Finding Text
2022-007 Procurement Controls and Compliance CFDA Title: Child Nutrition Cluster CFDA Number: 10.553, 10.555 Federal Award Number: 2022 Federal Agency: U.S Department of Agriculture Pass-through Entity: Montana Office of Public Instruction Condition: The District did not follow the required procurement procedures related to the purchase of a mobile prep kitchen. Criteria: Whenever any building, furnishing, repairing, or other work for the benefit of the district or purchasing of supplies for the district is necessary, and if the sum exceeds $80,000, the work done or the purchase made must be made by contract. Except as provided in Title 18, chapter 2, part 5, each contract must be let to the lowest responsible bidder after advertisement for bids. The advertisement must be published in the newspaper that will give notice to the largest number of people of the district as determined by the trustees. The advertisement must be made once each week for 2 consecutive weeks, and the second publication must be made not less than 5 days or more than 12 days before consideration of bids. MCA 20-9-204(3) In addition, 2 CFR Section 200.317 is required to be followed for the Child Nutrition Program. Procurements must follow the state?s laws and procedures. Context: During the testing of claims for the Child Nutrition Program, we noted a purchase of a mobile prep kitchen which exceeded $80,000 and thus the District was required to follow procurement procedures according to Montana law. Effect: The District did not advertise for bids and then let to the lowest bidder as required by MCA 20-9-204(3). Cause: The District did not follow its own policies and procedures with regards to this purchase. Recommendation: The District should follow MCA 20-9-204(3) for all purchases in excess of $80,000.