Finding Text
Finding SA2020-005: Lack of Documented Suspension and Debarment Verification for Vendors
AL number: 14.850
AL Title: Public and Indian Housing
Name of Federal Agency: Department of Housing and Urban Development
Federal Award Identification number and year: CA010 (2020)
Criteria: 24 CFR parts 180 required non-federal entities including Public Housing Authorities (PHA)
must verify that vendors and contractors are not suspended or debarred prior to entering into a
contract.
Condition: During our audit, we noted four vendors have no documentation to proof that vendors were
not suspended or debated.
Cause: We understand that the staff overseeing the federal awards during fiscal year 2020 are no longer
with the Authority, and therefore, the staff overseeing the federal awards subsequent to the fiscal year
were unable to provide the supporting documents.
Effect: The Housing Authority is not compliance with the suspension and debarment requirements as
stated in 24 CFR part 180.
Recommendation: The Housing Authority should retain documentation that vendors are not
suspended or debarred prior to awarding federally funded contracts.
Management Response: The Authority understands and accepts the recommendation that
documentation of vendor suspension or debarment status must be retained. The Authority staff has
followed the City’s process in verifying this information, but there was no proof retained. It has been
inquired on the sufficient requirement and the understanding is that a screenshot will suffice. Staff will
proceed with retaining a screenshot of vendor verification.