EIN: 860365905
UEI: E3YECMCP1BP6
Data as of August 24, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on March 26, 2026. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by September 26, 2026 (33 days from today).
What is a management decision? →During our testing, we noted the City did not have adequate internal controls designed to ensure vendors were not suspended or debarred. The City did not retain documentation that the suspension and debarment status of contractors were verified prior to entering into the contract. Questioned costs: None Context: During our testing, it was noted that for one out of the five items the City successfully completed the suspension and debarment check as required by the uniform guidance. However, during the review, it was found that the city did not retain the documentation supporting the date when the check was performed. Cause: The City’s controls were not sufficient to ensure that contractors’ suspension and debarment status was documented prior to entering into the contract. Effect: The City could have entered into an agreement with a contractor that was suspended or debarred. Although the City was able to demonstrate that contracts were not entered into with vendors who were suspended or debarred, the absence of documentation performed prior to contract execution presents a risk of noncompliance with applicable procurement regulations. Repeat Finding: No. Recommendation: We recommend the City design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred prior to entering into transactions with contractors. Views of responsible officials: There is no disagreement with the audit finding.
Show full finding ▾Hide full finding ▴2025 – 002 Federal Agency: U.S. Department of Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: H79TI083313 - 2020 Award Period: March 3, 2021 through December 31, 2026 Type of Finding: • Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. Non-federal entities are prohibited from contracting with or making subawards under covered transactions that are suspended or debarred. Before entering into a covered transaction, the entity must verify that the contractor is not suspended, debarred, or otherwise excluded from participating in the transaction. Condition: During our testing, we noted the City did not have adequate internal controls designed to ensure vendors were not suspended or debarred. The City did not retain documentation that the suspension and debarment status of contractors were verified prior to entering into the contract. Questioned costs: None Context: During our testing, it was noted that for one out of the five items the City successfully completed the suspension and debarment check as required by the uniform guidance. However, during the review, it was found that the city did not retain the documentation supporting the date when the check was performed. Cause: The City’s controls were not sufficient to ensure that contractors’ suspension and debarment status was documented prior to entering into the contract. Effect: The City could have entered into an agreement with a contractor that was suspended or debarred. Although the City was able to demonstrate that contracts were not entered into with vendors who were suspended or debarred, the absence of documentation performed prior to contract execution presents a risk of noncompliance with applicable procurement regulations. Repeat Finding: No. Recommendation: We recommend the City design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred prior to entering into transactions with contractors. Views of responsible officials: There is no disagreement with the audit finding.
Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Recommendation: We recommend the City design controls to ensure an adequate review process is in place to review potential contractors to verify they are not suspended or debarred prior to entering into transactions with contractors. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding. Lake Havasu City recognizes the need for strengthened internal communication and training related to federal grant requirements, specifically in identifying purchases made with federal funds. To address this, the City is implementing the following actions: • Providing targeted training to all departments that utilize federal grant funding, emphasizing requirements under Assistance Listing 21.027, including pre-procurement responsibilities such as identifying grant-funded purchases. • Reinforcing procedures requiring departments to clearly flag and communicate any purchases involving federal funds to Procurement before initiating vendor engagement. • Updating internal guidance and distributing a quick-reference tool that outlines federal procurement obligations so that staff can easily determine when suspension and debarment checks are required. • Conducting follow-up training and monitoring to ensure departments consistently follow notification and documentation procedures. These steps will help ensure federal requirements are met and that Procurement is appropriately informed to perform suspension and debarment checks before transactions occur. Name(s) of the contact person(s) responsible for corrective action: Vijette Saari, Grants Manager Trinna Ware, Finance Division Manager Planned completion date for corrective action: June 30, 2026 If the U.S. Department of Treasury has questions regarding this plan, please call Trinna Ware at (928)854-0735.
FAC accepted this audit on January 9, 2017 — management decision was due July 9, 2017.
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