Response - Help for Survivors of Domestic Violence and Sexual Assault

Criteria: 2 CFR 200.319 states that all procurement transactions under the Federal award must be conducted in a manner that provides full and open competition and is consistent with Federal procurement standards. 2 CFR 200.214 states in part that recipients and subrecipients are subject to the suspension and debarment regulations. In addition, 2 CFR 200.303 in part states that a recipient of a Federal award must establish, document, and maintain effective internal control over the Federal award. Condition: We have selected and tested one vendor for suspension and debarment with expenditures in excess of $25,000 for the construction of a new shelter and office space for compliance with suspension and debarment. We identified the one vendor were not properly verified for suspension and debarment prior to the contract execution date. It appears that the vendor was not suspended or debarred by the federal government. Cause: Internal controls over suspension and debarment were not properly designed to verify that all vendors are in compliance with suspension and debarment. Effect: Our testing identified that the Organization’s internal controls over compliance with suspension and debarment are not in place to comply with the suspension and debarment requirements. Based on our testing, the vendor was in compliance with suspension and debarment. Repeat Finding: No. Recommendation: We recommend that the Organization re-evaluate the design of internal controls over compliance with suspension and debarment compliance requirements based on 2 CFR 200.214 and establish policies and procedures to comply with these requirements as they relate to requirements related to federal grants. Corrective Action Plan: Reported on page 20.