Finding 607582 (2022-004)

Significant Deficiency Repeat Finding
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2023-09-25

AI Summary

  • Core Issue: The organization failed to document required procurement procedures for vendors, leading to significant deficiencies in compliance with federal guidelines.
  • Impacted Requirements: Non-compliance with Title 2 U.S. Code of Federal Regulations Part 200, specifically sections 200.318 to 200.326, which outline procurement standards for federal programs.
  • Recommended Follow-Up: Ensure proper documentation of procurement procedures is maintained to demonstrate compliance and mitigate risks of non-cost-effective contracting.

Finding Text

2022-004 U.S. Department of Justice Federal Financial Assistance Listing #16.575 Victims of Crime Act (VOCA) Procurement, Suspension and Debarment Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria - Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) Sections 200.318 through 200.326 set forth the procurement standards non-federal entities other than states must follow when operating federal programs and the procurement procedures required depending on the dollar amount of the transaction. Condition - During the course of our engagement, we identified that there was no observable documentation to indicate that the required procurement procedures were performed on vendors. Cause - Lack of oversight, awareness, or understanding of all of the specific requirements under the Uniform Guidance and all applicable CFR sections and controls were not adequately designed to ensure compliance with all of these requirements. Effect - A lack of established controls increases the overall risk that the Organization is contracting and awarding contracts which may not be the most cost advantageous. Questioned Costs - None reported Context/Sampling - A sample of 9 expenditures out of a population of 12 expenditures were selected for testing. Four of these met the conditions of the procurement policy (i.e., non- payroll related expenditures) and did not have the supporting documentation retained due to having entered into the contract during 2020 or prior to the implementation of the procurement policy in 2020. Two of these met the conditions of the procurement policy (i.e., non-payroll related expenditures) and did not go through the Organization?s procurement policy. Repeat Finding from Prior Year ? Yes, Finding 2021-004 Recommendation - We recommend that the Organization maintain the appropriate documentation evidencing that procurement procedures have been completed. Views of Responsible Officials - Management agrees with the finding.

Categories

Procurement, Suspension & Debarment Internal Control / Segregation of Duties

Other Findings in this Audit

  • 31136 2022-003
    Significant Deficiency Repeat
  • 31137 2022-004
    Significant Deficiency Repeat
  • 31138 2022-005
    Significant Deficiency Repeat
  • 31139 2022-003
    Significant Deficiency Repeat
  • 31140 2022-004
    Significant Deficiency Repeat
  • 31141 2022-005
    Significant Deficiency Repeat
  • 31142 2022-003
    Significant Deficiency Repeat
  • 31143 2022-004
    Significant Deficiency Repeat
  • 31144 2022-005
    Significant Deficiency Repeat
  • 31145 2022-003
    Significant Deficiency Repeat
  • 31146 2022-004
    Significant Deficiency Repeat
  • 31147 2022-005
    Significant Deficiency Repeat
  • 607578 2022-003
    Significant Deficiency Repeat
  • 607579 2022-004
    Significant Deficiency Repeat
  • 607580 2022-005
    Significant Deficiency Repeat
  • 607581 2022-003
    Significant Deficiency Repeat
  • 607583 2022-005
    Significant Deficiency Repeat
  • 607584 2022-003
    Significant Deficiency Repeat
  • 607585 2022-004
    Significant Deficiency Repeat
  • 607586 2022-005
    Significant Deficiency Repeat
  • 607587 2022-003
    Significant Deficiency Repeat
  • 607588 2022-004
    Significant Deficiency Repeat
  • 607589 2022-005
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
16.575 Crime Victim Assistance $347,563
16.017 Sexual Assault Services Formula Program $98,413
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $22,358
16.588 Violence Against Women Formula Grants $13,855
93.991 Preventive Health and Health Services Block Grant $535