Finding Text
FINDING 2023-001 PROCUREMENT
SIGNIFICANT DEFICIENCY
Federal Program: Charter School Programs
Assistance Listing Numbers: 84.282A
Criteria
Per 2 CFR 200.318, “The non-Federal entity must have and use documented procurement procedures,
consistent with State, local, and tribal laws and regulations and the standards of this section, for the
acquisition of property or services required under a Federal award or subaward. The non-Federal entity's
documented procurement procedures must conform to the procurement standards identified in §200.317
through 200.327.”
Per 2 CFR 200.320(a)(2)(i) Small Purchase Procedures, “The acquisition of property or services, the
aggregate dollar amount of which is higher than the micro-purchase threshold but does not exceed the
simplified acquisition threshold. If small purchase procedures are used, price or rate quotations must be
obtained from an adequate number of qualified sources as determined appropriate by the non-Federal
entity.”
Condition
The School was unable to provide documentation to support that price comparisons were obtained from
vendors for costs falling in the category of small purchases (between $10,000 and $249,999).
Additionally, the School’s procedures manual did not include procedures for the handling of these
transactions.
Cause
Documentation was not maintained to support that this step in the procurement process was completed.
Effect
Not documenting these procedures could result in the School completing procurement transactions not in
compliance with Federal regulations.
Recommendation
We recommend the School develop procedures to ensure price comparisons are obtained and documented.
Views of Responsible Officials and Planned Corrective Actions
The School’s Corrective Action Plan is included on page 23.