Finding Text
Criteria: 2 CFR 200.324 notes, ?The non-Federal entity must perform a cost or price analysis in connection with every procurement action in excess of the Simplified Acquisition Threshold including contract modifications. The method and degree of analysis is dependent on the facts surrounding the particular procurement situation, but as a starting point, the non-Federal entity must make independent estimates before receiving bids or proposals.? Condition: For one of six (16.7%) procurements selected for testing exceeded the Simplified Acquisition Threshold ($250,000) and a cost or price analysis was not performed. We consider this to be an instance of noncompliance relating to the Procurement, Suspension, and Debarment compliance requirement. Statistical sampling was not used in making sample selections. Questioned Costs: N/A. Cause and Effect: Without cost or price analyses being performed, the Organization may overspend on products or services when compared to other vendors and the environment. Recommendation: We recommend the evaluation policies and procedures to ensure all procurement requirements are followed. Views of Responsible Officials: Management agrees with this Single Audit Finding and response is included in the Corrective Action Plan.