Finding Text
NONCOMPLIANCE WITH PROCUREMENT AND SUSPENSION AND DEBARMENT REQUIREMENTS, CAPITALIZATION GRANTS FOR DRINKING WATER STATE REVOLVING FUNDS, ASSISTANCE LISTING No. 66.468, GRANT No.’s WRF-23530 AND WRF-23531, YEAR ENDED JUNE 30, 2023
Criteria: Per 2 CFR 200.214, non-Federal entities are subject to the non-procurement, debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. The regulations in 2 CFR part 180 restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities.
Condition: The city did not verify that program recipients/participants were not suspended, debarred, or otherwise excluded from participation in the program.
Cause: The city does not have procurement policies and procedures in place that allow it to comply with procurement standards outlined in the Uniform Guidance.
Effect: Non-compliance with program terms and conditions.
Questioned Costs: None
Recommendation: Management should develop procedures that will provide reasonable assurance that procurement of goods and services are made in compliance with applicable federal regulations and other procurement requirements specific to a federal award or subaward, and that no subaward, contract, or agreement for purchase of goods or services is made with any suspended or debarred party.
Views of responsible officials and planned corrective action: The government agrees with this finding and will adhere to the attached corrective action plan.