Finding Text
Finding 2022-003. Procurement. ALN 21.027 COVID-19 Coronavirus State and Local Fiscal Recovery Funds. Criteria Or Specific Requirement: Suspension and Debarment, Non-Federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. “Covered transactions” include those procurement contracts for goods and services awarded under a nonprocurement transaction (e.g., grant or cooperative agreement) that are expected to equal or exceed $25,000 or meet certain other criteria as specified in 2 CFR section 180.220. All nonprocurement transactions entered into by a recipient (i.e., subawards to subrecipients), irrespective of award amount, are considered covered transactions, unless they are exempt as provided in 2 CFR section 180.215. Condition: The County did not perform any procedures to determine that SLFRF funds were not used to enter into contracts or subawards with parties that are debarred, suspended or otherwise excluded from participation in Federal assistance programs. Cause: The County did not follow its formal policy which requires departments to perform suspension or debarment procedures over vendors and beneficiaries that the City contracts with using federal funds. Effect: The County could be contracting or providing funding to vendors and beneficiaries that are prohibited from working on projects which are or receiving federal funds. Questioned Costs: None. Identification As A Repeat Finding: 2021-004. Recommendation: The County should follow its procurement policy and ensure that vendors and beneficiaries of SLFRF funds are not suspended or debarred. Views Of Responsible Officials And Planned Corrective Action: The County agrees with the finding and has put together a correction action plan for the finding. For additional information, see the County’s separate report for planned corrective action.