Finding Text
Finding #2022-001 ? Significant Deficiency and Other Noncompliance Applicable federal program: U. S. Department of Treasury Coronavirus State and Local Fiscal Recovery Funds Assistance Listing #: 21.027 Contract Number: None Contract Year: 03/03/21 ? 12/31/24 Criteria: Procurement ? Nonprofit organizations are required to conduct procurement transactions in a manner providing full and open competition consistent with standards prescribed in Uniform Guidance, Subtitle III Procurement Standards and conform to federal and state laws and regulations and other contractual requirements. Uniform Guidance requires that for small purchase procedures, price or rate quotations must be obtained from an adequate number of qualified sources, which for Boys and Girls Clubs is 3 sources. Condition and context: Of the two expenditures charged to the grant, which met or exceeded Boys and Girls Clubs? micro-purchase threshold, one did not go through a procurement process in accordance with Boys and Girls Clubs? policies and the Uniform Guidance. Cause: Failure to follow Boys and Girls Clubs? procurement policy by those responsible for procurement. Effect: Failure to follow formal procurement methods may result in Boys and Girls Clubs purchasing goods or services for more than would be necessary if required competitive procurement procedures had been followed. Recommendation: Provide additional education to employees responsible for procurement on Boys and Girls Clubs? procurement policy. Views of responsible officials: Management agrees with the finding. See Corrective Action Plan.