Finding Text
Material Weakness and Noncompliance 2 C.F.R. ? 2400.101 gives regulatory effect to the Department of Housing and Urban Development for 2 C.F.R. ? 200.318(a) which states the non-Federal entity must have and use documented procurement procedures, consistent with State, local, and tribal laws and regulations and the standards of this section, for the acquisition of property or services required under a Federal award or subaward. The non-Federal entity's documented procurement procedures must conform to the procurement standards identified in ?? 200.317 through 200.327. The Authority?s Procurement Policy states for micro purchases not exceeding $3,000, the purchaser should use a micro purchase order. Although the Authority did have an established Procurement Policy, they did not have purchase orders or contracts on file for 2 of the 50 purchases tested as stated in their policy. Failure to have proper controls in place to ensure the aforementioned policy is being followed could result in the Authority spending more in Federal monies than needed. The Authority should follow their established procurement policy.