FORT BEND COUNTY MUNICIPAL UTILITY DISTRICT NO. 140Local Government

Finding 2021-001 ? Internal Controls Over Uniform Guidance Requirements Related to Suspension and Debarment. Criteria: The Uniform Guidance (2 CFR 200) provides that recipients of federal funds are prohibited from contracting with entities that have been suspended or debarred from participation in Federal programs. The District should have procedures in place to ensure that it verifies the status of all entities that will be paid from Federal funds. Condition: The District does not have procedures in place to verify that vendors/contractors have not been suspended or debarred. The District has appropriate internal controls over and has otherwise complied with all competitive bidding and procurement requirements. Cause: The District was not aware of this requirement. Effect: The District has not established internal controls to ensure compliance with the Uniform Guidance requirements related to suspension and debarment. Questioned Costs: None noted. Recommendation: We recommend that the District adopt procedures to verify that contractors/vendors have not been suspended or debarred from receiving federal funds. View of Responsible Officials and Planned Corrective Action: Ron Dechert, District Engineer, concurs with the finding and, in the event of future Federal awards, will implement procedures to ensure that the District does not award contracts with entities that have been suspended or debarred from receiving Federal funds.