Finding 6192 (2022-004)

Significant Deficiency
Requirement
I
Questioned Costs
-
Year
2022
Accepted
2023-12-21
Audit: 8132
Organization: Special Olympics Arizona, Inc. (AZ)

AI Summary

  • Core Issue: The entity lacks documented procurement policies and procedures required by 2 CFR § 200.318.
  • Impacted Requirements: Compliance with federal procurement standards is not met, risking violations of 2 CFR § 200.318.
  • Recommended Follow-Up: Develop and implement written procurement policies to ensure compliance with federal regulations.

Finding Text

Item: 2022-004 Assistance Listing Number: 21.027 Programs: Coronavirus State and Local Fiscal Recovery Funds Federal Agency: U.S. Department of the Treasury Pass-Through Agencies: Arizona State Office of the Governor; Maricopa County Pass-Through Grantor Identifying Number: Unknown Award Year: January 1, 2022 to December 31, 2024; January 28, 2022 to June 30, 2023 Compliance Requirement: Procurement, suspension and debarment Criteria: In accordance with 2 CFR § 200.318 - General procurement standards - the entity must use its own documented procurement procedures which reflect applicable. State and local laws and regulations, provided that the procurements conform to applicable Federal law and the standards identified in 2 CFR § 200.318. Condition: The entity does not have a documented procurement policy and procedures that address the provisions of 2 CFR § 200.318 Questioned Costs: n/a Context: In a population of 79 procurements for program costs, we conducted a non-statistical sample of 8 transactions. In our sample of 8 transactions, it was noted that all procurements were below the micro-purchase threshold, but there was no documented procurement policies or controls to ensure compliance with 2 CFR § 200.318. Effect: Undocumented procurement decisions could violate the requirements of 2 CFR § 200.318 Cause: Special Olympics Arizona, Inc. did not prepare written procurement policies, nor implement controls to ensure adherence to the policies, that conform to 2 CFR § 200.318. Identification as a Repeat Finding: Not a repeat finding Recommendation: The entity should prepare written procurement policies and implement controls to ensure adherence to the policies that conform to 2 CFR § 200.318. Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.

Corrective Action Plan

Item: 2022-004 Assistance Listing Number: 21.027 Programs: Coronavirus State and Local Fiscal Recovery Funds Federal Agency: U.S. Department of the Treasury Pass-Through Agencies: Arizona State Office of the Governor; Maricopa County Pass-Through Grantor Identifying Number: Unknown Award Year: January 1, 2022 to December 31, 2024; January 28, 2022 to June 30, 2023 Criteria: In accordance with 2 CFR § 200.318 - General procurement standards - the entity must use its own documented procurement procedures which reflect applicable. State and local laws and regulations, provided that the procurements conform to applicable Federal law and the standards identified in 2 CFR § 200.318. Condition: The entity does not have a documented procurement policy and procedures that address the provisions of 2 CFR § 200.318 Name of Contact Person: Doug Taylor, CFO Phone Number: (602) 230-1116 Anticipated Completion Date: Completed Views of Responsible Officials and Corrective Actions: Special Olympics Arizona, Inc. will document in writing its previously unwritten policies and procedures to ensure adherence to the procurement policies that conform to 2 CFR § 200.318.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 6190 2022-002
    Material Weakness
  • 6191 2022-003
    Material Weakness
  • 582632 2022-002
    Material Weakness
  • 582633 2022-003
    Material Weakness
  • 582634 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.380 Special Education -- Olympic Education Programs $459,299
21.027 Coronavirus State and Local Fiscal Recovery Funds $377,515
84.425 Education Stabilization Fund $236,090
93.217 Family Planning_services $205,331
93.184 Disabilities Prevention $144,188
93.630 Developmental Disabilities Basic Support and Advocacy Grants $4,954