Finding Text
Noncompliance with Procurement, Suspenion, and Debarment Compliance Requirements - Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”), subpart D, section 200.318 requires documented procurement procedures which the Center must use and these must conform with the specific requirements of the procurement standards in sections 200.317-200.327 (“Procurement Standards”) of the Uniform Guidance. The Center should have such a policy and there should be adequate internal controls over the use of such a policy to ensure they are in compliance with all direct and material federal and state award compliance requirements related to the Center and its funding sources.
Condition: As a result of our testing of this requirement, we noted the Center does not have a written procurement policy that conforms with the requirements noted in the criteria section of this finding. Thus, the Center is not in compliance with the Procurement Standards of the Uniform Guidance and the State Single Audit Guidelines relative to all its federal and state awards.
Cause: The Center does not have such a policy.
Effect: The Center does not have a procurement policy that conforms with federal and state requirements; which also means there is a control deficiency over this compliance requirement.
Recommendation: The Center should create an approved formal written procurement policy and adopt internal controls over its use relative to federal and state awards.
Management response: The Center will create an approved formal written procurement policy and will implement it during their calendar year ended December 31, 2024.