Core Issue: The Organization's procurement policy is missing key requirements from federal regulations (2 CFR 200.318).
Impacted Requirements: This affects compliance with procurement and suspension and debarment standards, increasing the risk of unallowable expenses.
Recommended Follow-up: Assign personnel to review and update the procurement policy to ensure it aligns with federal requirements.
Finding Text
Finding 2022-004 Assistance Listing Number: 14.231 Name of Federal Program or Cluster: Emergency Solutions Grant Program Name of Federal Agency: Department of Housing and Urban Development Name of Pass-through Entities: Wisconsin Department of Administration and City of Racine Criteria or Specific Requirement: Management is responsible for establishing policies and procedures which follow the procurement and suspension and debarment requirements of 2 CFR 200.318. Condition: The Organization?s procurement policy lacks some of the requirements required by the Code of Federal Regulations. Cause: Due to the lack of availability of personnel time, the procurement policy has not been updated to include all the requirements for federal award agreements. Effect or Potential Effect: There is an increased risk of unallowable expenses and noncompliance with procurement and suspension and debarment requirements. Repeat Finding: No Recommendation: We recommend the Organization assign personnel to review and update the Organization?s procurement policy to meet the federal requirements.