Finding 956938 (2023-001)

Significant Deficiency Repeat Finding
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2024-03-15

AI Summary

  • Core Issue: The Home failed to verify vendor eligibility, risking compliance with federal procurement regulations.
  • Impacted Requirements: Non-compliance with 2 CFR Sections 200.212, 200.318(h), and 180.300, as well as 48 CFR Section 52.209-6.
  • Recommended Follow-Up: Implement a regular review process to ensure vendors are not debarred or suspended, and document these checks.

Finding Text

Compliance with Uniform Guidance - Procurement Suspension and Debarment Information on Federal Program: Unaccompanied Alien Children (Assistance Listing No. 93.676) provided by the Department of Health and Human Services. Criteria: 2 CFR Sections 200.212, 200.318(h), and 180.300 and 48 CFR Section 52.209-6 state that a non-Federal entity must review that an entity with which it plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded from participation in federal award programs. Condition: During our testing for procurement compliance, it was determined that the Home did not verify that vendors charged to the major program are not debarred, suspended, or otherwise excluded from participation in federal award programs. Questioned Cost: None Cause: The Home was not aware of the requirement to review an entity’s status. Effect: The Home is not in compliance with 2 CFR Sections 200.212, 200.318(h), and 180.300 and 48 CFR Section 52.209-6. As a result, the Home could enter into covered transactions with entities that are debarred, suspended, or otherwise excluded from participation in federal award programs. Perspective Information: Vendors in excess of the $25,000 threshold were reviewed to determine if they are debarred, suspended, or otherwise excluded from participation in federal award programs. None were noted to be ineligible for participation. Repeat Finding: Yes Recommendation: We recommend the Home review and document the verification that vendors are not debarred, suspended, or otherwise excluded from participation in federal award programs. Views of the Responsible Officials and Planned Corrective Actions: This item was included in the 6/30/22 Report on Compliance for Major Federal Programs which was finalized in February 2023. The G/L Vendor List was found to contain many inactive vendors and was modified. Beginning in October 2023, management began sending the vendor List to EPStaffCheck on a monthly basis. Each vendor is run through OIG (Office of Inspector General for Excluded Individuals/Entities); OIG_Most_Wanted (Fugitives}; SAM (System for Award Management for excluded parties); SON.Office of Foreign Assets Control (Specially Designated Nationals) and NY _Medicaid (Exclusion List).

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 380496 2023-001
    Significant Deficiency Repeat
  • 380497 2023-002
    Significant Deficiency Repeat
  • 380498 2023-003
    Material Weakness
  • 956939 2023-002
    Significant Deficiency Repeat
  • 956940 2023-003
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.676 Unaccompanied Alien Children Program $12.67M
10.555 National School Lunch Program $105,864
10.553 School Breakfast Program $66,630
10.579 Child Nutrition Discretionary Grants Limited Availability $12,394
10.649 Pandemic Ebt Administrative Costs $2,512