Finding 597880 (2022-001)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2023-03-02

AI Summary

  • Core Issue: The Town lacks formal policies to verify if entities are debarred or suspended before entering transactions.
  • Impacted Requirements: This deficiency puts the Town at risk of noncompliance with federal suspension and debarment regulations.
  • Recommended Follow-Up: The Town should update its procurement policies to include verification procedures for covered transactions.

Finding Text

Finding No. 2022-001 Suspension and Debarment Federal Agency: U.S. Department of the Treasury Federal Program Name: COVID-19 American Rescue Plan Act Local Fiscal Recovery Assistance Listing Number: 21.027 Pass-Through Agency: State of Connecticut Office of Policy and Management Pass-Through Number(s): 12060-OPM20600-29669 Award Period: June 7, 2021 through December 31, 2026 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria: The Town must verify that an entity with which the Town plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded. Condition: The Town does not have formal policies or procedures in place for verification that an entity with which the Town plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded. Questioned Costs: None noted. Context: Although the Town did not have formal policies or procedures in place in conformity with the federal Uniform Guidance criteria, the entities for which the Town made purchases from were not debarred, suspended, or otherwise excluded. Effect: With the absence of compliant policies and procedures, the Town is at risk of noncompliance as it relates to federal suspension and debarment requirements. Cause: The Town was not aware of the details surrounding suspension and debarment requirements, and therefore formal policies and procedures were not in place. Recommendation: We recommend that the Town review its formal procurement policies and make necessary revisions to formally include policies and procedures to meet the requirements for verification that an entity with which the Town plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the auditors? recommendations. Corrective action will be taken to ensure the policy is updated and the correct procurement procedures are followed.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 21438 2022-001
    Significant Deficiency
  • 21439 2022-002
    Significant Deficiency
  • 597881 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $3.09M
93.600 Head Start $1.84M
10.553 School Breakfast Program $1.18M
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $716,266
84.010 Title I Grants to Local Educational Agencies $445,969
10.555 National School Lunch Program $433,287
14.218 Community Development Block Grants/entitlement Grants $193,903
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $170,955
84.048 Career and Technical Education -- Basic Grants to States $140,855
84.002 Adult Education - Basic Grants to States $138,000
10.560 State Administrative Expenses for Child Nutrition $122,853
45.312 National Leadership Grants $86,875
84.287 Twenty-First Century Community Learning Centers $69,919
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $68,409
10.559 Summer Food Service Program for Children $45,575
84.367 Improving Teacher Quality State Grants $44,611
84.425 Education Stabilization Fund $39,576
21.019 Coronavirus Relief Fund $33,439
10.582 Fresh Fruit and Vegetable Program $30,873
84.196 Education for Homeless Children and Youth $30,000
84.424 Student Support and Academic Enrichment Program $27,722
10.558 Child and Adult Care Food Program $26,455
97.042 Emergency Management Performance Grants $25,517
90.401 Help America Vote Act Requirements Payments $23,102
84.027 Special Education_grants to States $18,885
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $18,724
93.575 Child Care and Development Block Grant $17,100
16.922 Equitable Sharing Program $16,972
10.649 Pandemic Ebt Administrative Costs $13,494
97.024 Emergency Food and Shelter National Board Program $9,077
20.616 National Priority Safety Programs $6,008
84.173 Special Education_preschool Grants $4,987
20.600 State and Community Highway Safety $4,461
84.365 English Language Acquisition State Grants $3,394
16.738 Edward Byrne Memorial Justice Assistance Grant Program $3,381
20.205 Highway Planning and Construction $378