Finding Text
Procurement.
U.S. Department of Education
Passed-through Mississippi Department of Education
Program Name: Elementary and Secondary School Emergency Relief ARP (ESSER)
Program ALN: 84.425U
Compliance Requirement: Allowable Costs/Cost Principles
CRITERIA: Recipients of federal funds must follow federal procurement rules and regulations. For services in excess of $10,000, the district is required to obtain two quotes and/or proposals.
CONDITION: During our testing of expenditures, we noted the district expended in excess of $10,000 with one vendor for teacher educational resource services. The district documented the purchase as sole source. However, sole source is not considered an acceptable procurement method for federal expenditures. The services do appear to be for allowable costs and activities under the ARP ESSER grant. However, the district was unable to provide evidence that a required second quote and or proposal was obtained.
CONTEXT: The school district did not follow requirements related to procurement of goods and services.
CAUSE: The cause is a result of not properly implementing a designed system of accounting and internal controls.
EFFECT: Noncompliance with state and federal purchasing laws.
IDENTIFICATION OF REPEAT FINDING: No.
QUESTIONED COSTS: None
RECOMMENDATION: The school district should implement policies and procedures to ensure all applicable compliance requirements are being met.
VIEWS OF RESPONSIBLE OFFICIALS: We will implement policies or procedures to establish an internal control system that will ensure strong financial accountability, including compliance with state and federal purchasing requirements.