Finding Text
U.S. Department of the Treasury
2024-005 COVID-19 – Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) – Federal Assistance Listing Number 21.027
Condition: We noted two covered transactions where the debarment and suspension status of the vendor was not verified by the County.
Criteria: The CSLFRF grant award states the regulations contained in 2 CFR 180 regarding debarment and suspension are applicable to this award.
Cause: The County did not correctly understand the requirements to verify the debarment and suspension status of a vendor for covered transactions.
Effect: Disbursement of grant funds to a suspended or debarred vendor could occur, which would be in violation of the grant award.
Context: A total of eleven disbursements was selected for testing, which was a statistically valid sample. The auditor verified on SAM.gov that the vendors for the two covered transactions were not debarred or suspended. Therefore, there are no questioned costs.
Recommendation: The debarment and suspension status of all vendors for which grant fund disbursements exceed $25,000 should be verified on SAM.gov prior to the disbursement of grant funds.
Views of Responsible Officials and Planned Corrective Actions: Management did not correctly understand this requirement. The County will verify the debarment and suspension status of all vendors for which grant fund disbursements exceed $25,000 on SAM.gov prior to the disbursement of grant funds.