Finding 567912 (2024-016)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2024
Accepted
2025-06-27
Audit: 360260
Organization: The City of Homewood, Alabama (AL)
Auditor: Bmss LLC

AI Summary

  • Core Issue: The City is not following proper procedures for “simplified acquisition” purchases as required by Uniform Guidance.
  • Impacted Requirements: Noncompliance with the purchasing guidelines outlined in 2 CFR 200.320 due to inadequate controls.
  • Recommended Follow-Up: The City should implement new policies and procedures to strengthen procurement controls for federal awards.

Finding Text

Criteria: Per the Uniform Guidance at 2 CFR 200.320, purchases classified as a “simplified acquisition” are those with an aggregate dollar amount above the micro-purchase threshold but below the simplified acquisition threshold determined by either the State Bid Law or Uniform Guidance; whichever is more restrictive. If “simplified acquisition” procedures are used, price or rate quotations must be obtained from an adequate number of qualified sources. Condition: Adequate controls were not in place to ensure that procedures for purchases classified as a “simplified acquisition” are being followed. Cause and effect: Lack of policies and procedures for purchases that fall under the classification of “simplified acquisition” led to the noncompliance with Uniform Guidance 2 CFR 200.320. Identification of repeat finding: This is not a repeat finding. Recommendation: The City should adopt policies and procedures and improve controls to ensure that procurement requirements for federal awards are being met. View of responsible officials: The City concurs – see corrective action plan.

Corrective Action Plan

The City concurs. The City is revising its policies and procedures for federal award programs to include procedures related to simplified acquisitions.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 567913 2024-017
    Significant Deficiency Repeat
  • 567914 2024-016
    Significant Deficiency
  • 567915 2024-017
    Significant Deficiency Repeat
  • 567916 2024-016
    Significant Deficiency
  • 567917 2024-017
    Significant Deficiency Repeat
  • 567918 2024-016
    Significant Deficiency
  • 567919 2024-017
    Significant Deficiency Repeat
  • 567920 2024-014
    Significant Deficiency
  • 567921 2024-015
    Significant Deficiency Repeat
  • 567922 2024-016
    Significant Deficiency
  • 567923 2024-017
    Significant Deficiency Repeat
  • 567924 2024-016
    Significant Deficiency
  • 567925 2024-017
    Significant Deficiency Repeat
  • 1144354 2024-016
    Significant Deficiency
  • 1144355 2024-017
    Significant Deficiency Repeat
  • 1144356 2024-016
    Significant Deficiency
  • 1144357 2024-017
    Significant Deficiency Repeat
  • 1144358 2024-016
    Significant Deficiency
  • 1144359 2024-017
    Significant Deficiency Repeat
  • 1144360 2024-016
    Significant Deficiency
  • 1144361 2024-017
    Significant Deficiency Repeat
  • 1144362 2024-014
    Significant Deficiency
  • 1144363 2024-015
    Significant Deficiency Repeat
  • 1144364 2024-016
    Significant Deficiency
  • 1144365 2024-017
    Significant Deficiency Repeat
  • 1144366 2024-016
    Significant Deficiency
  • 1144367 2024-017
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $702,062
20.219 Recreational Trails Program $206,673
20.205 Highway Planning and Construction $51,870
20.600 State and Community Highway Safety $29,476
45.310 Grants to States $10,000
16.U01 U.s. Marshals Overtime Reimbursement $1,872
15.904 Historic Preservation Fund Grants-in-Aid $1,833