Finding 567913 (2024-017)

Significant Deficiency Repeat Finding
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 failed to verify that vendors are not suspended or debarred before entering contracts.
  • Impacted Requirements: This violates Title 2 U.S. Code of Federal Regulations Part 180, which mandates verification of vendor eligibility.
  • Recommended Follow-Up: Implement policies and procedures to ensure proper review of vendor status is documented in bid-contract files.

Finding Text

Criteria: The requirements of Title 2 U.S. Code of Federal Regulations Part 180, OMB Guidelines to Agencies on Government-Wide Debarment and Suspension state that when you enter into a covered transaction with another person or entity, you must verify that the person or entity with whom you intend to do business is not excluded or disqualified. Condition: The City did not have adequate controls in place to ensure that person or entities were not suspended or debarred. Cause and effect: The City lacks the policies and procedures concerning the process of determining if a person or entity is suspended or debarred. The lack of such policies and procedures for suspension and debarment could result in contracts with suspended or debarred vendors. Identification of repeat finding: This is a repeat finding. Recommendation: The City should adopt policies and procedures and improve controls necessary to ensure there is evidence of review of suspended or debarred vendors is included with bid-contract documents. 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 suspension and debarment.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 567912 2024-016
    Significant Deficiency
  • 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