Finding Text
Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2022 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2021 - June 30, 2022 Type of Finding: ? Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Not applicable. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding.