Finding 957530 (2023-003)

Material Weakness
Requirement
I
Questioned Costs
-
Year
2023
Accepted
2024-03-19

AI Summary

  • Core Issue: Lack of documentation for verifying suspension and debarment for contractors.
  • Impacted Requirements: Compliance with 2 CFR regulations regarding vendor eligibility for federal contracts over $25,000.
  • Recommended Follow-Up: Establish and document a clear process for suspension and debarment reviews for all relevant contracts.

Finding Text

Condition: A sample of three (3) contractors were selected for testing procurement, suspension, and debarment. Our test work indicated that there was no documentation for the verification of suspension and debarment for all three contractors selected for testing. Criteria: Suspension and debarment regulations under 2 CFR should be followed. Cause: Procedures have not been established to verify if vendors contracted with the Foundation related to the federal program in excess of $25,000 are not suspended, debarred or otherwise excluded from doing business. Effect: Noncompliance with the federal award program’s suspension and debarment compliance requirements could occur and not be detected and corrected timely. Recommendation: We recommend that the Foundation establish and document suspension and debarment reviews for all contracts entered into using federal awards. Views of Responsible Officials and Planned Corrective Actions: The Foundation has always had procedures in place to research whether an organization is suspended and debarred. The Foundation has also developed a process by which the grant administration team both looks up and takes screen shots of the search for each vendor’s status in the database (both upon contract renewal or when entering a new contract with a value of more than $25,000). This information is maintained by the grant administration team.

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 381087 2023-002
    Material Weakness
  • 381088 2023-003
    Material Weakness
  • 381089 2023-004
    Material Weakness Repeat
  • 381090 2023-005
    Significant Deficiency
  • 381091 2023-006
    Significant Deficiency Repeat
  • 957529 2023-002
    Material Weakness
  • 957531 2023-004
    Material Weakness Repeat
  • 957532 2023-005
    Significant Deficiency
  • 957533 2023-006
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
93.850 Improving Epilepsy Programs, Services, and Outcomes Through National Partnerships $3.86M