Finding Text
Federal Grants Management Procurement Policy Assistance Listing Number: 10.CNC (10.553, 10.555) Compliance Requirement Procurement Condition The District procured its food service contractor through competitive proposals during the 2020-21 fiscal year; however, the District was unable to provide us with the original signed contract, Board of Education approval, or any other supporting documentation used to identify who the District requested proposals from and what criteria was used to award the contract. Criteria Uniform Guidance establishes methods of procurement (200.320) related to federal programs which must be compiled with by the District. Since the anticipated contract exceeded the Simplified Acquisition Threshold, procurement by competitive proposal was required and procurement records should include, at a minimum, the basis for contractors selection and the basis for award cost. Cause The District received only one bid during the competitive proposal process which it accepted. The District did not realize that despite receiving only one proposal, documentation supporting the competitive process and the decision to accept the proposal should be retained in accordance with Uniform Guidance. Effect Without adequate procurement records, federal and state agencies could potentially question if the contract was awarded without competition since only one bid was received by the District Questioned Costs None Recommendation We recommend the District review present policies and procedures, including the retention of sufficient support related to procurements to ensure it complies with the methods of procurement (200.320) standards in Uniform Guidance. Procurement records should include some form of cost or price analysis, along with the basis of for the contractor selected, especially in situations when the District receives only one bid. Repeat Finding Yes Views of Responsible Officials There is no disagreement with the audit finding.