Finding Text
Procurement
Federal Agency: U.S. Department of Agriculture
Federal Program Title: Child Nutrition Cluster
Assistance Listing Number: 10.553, 10.555, and 10.559
Federal Award Identification Number and Year: 212MN061N1199 - 2023
Pass-Through Agency: Minnesota Department of Education
Pass-Through Number(s): 1-0882-000
Award Period: July 1, 2022 - June 30, 2023
Type of Finding:
• Significant Deficiency in Internal Control over Compliance and Other Matters
Criteria or Specific
Requirement: Per 2 CRF section 200.318(i) the District must examine and verify that they document the history of the procurement including the rationale for the method of procurement, selection of contract type, basis for contractor selection and basis for contract price.
Condition: During procurement testing, it was noted that 2 of 5 vendors tested did not have support for quotes received.
Questioned Costs: Unknown.
Context: 2 out of 5 vendors tested did not have proper support to ensure that they went through proper procurement procedures.
Cause: Oversight.
Effect: Lack of proper documentation of controls over compliance with procurement could result in the District to be out of compliance with federal procurement requirements. This could ultimately result in questioned costs.
Repeat Finding: No.
Recommendation: We recommend the District implement procedures and controls to ensure proper procurement procedures are being followed.
Views of
Responsible
Officials: There is no disagreement with the audit finding.