ARIZONA HOSPITAL AND HEALTHCARE ASSOCIATIONNon-Profit

National Bioterrorism Hospital Preparedness Program - CFDA 93.889 Criteria: The Organization is required to verify whether vendors with whom they will be doing business with that have total transactions greater than $25,000 are suspended or debarred. Condition: The Organization was adequately procuring goods and services, however, did not verify whether vendors with total transactions greater than $25,000 were suspended or debarred prior to entering into transactions with these vendors. Effect: The Organization does not have adequate suspension and debarment policies and procedures. Population and items tested: Out of a sample of six vendor transactions, the client did not verify whether the vendor was suspended or debarred for six transactions. Cause: Implementation of compliance with Federal requirements was incomplete. Recommendation: We recommend the Organization implement changes to the procurement, suspension, and debarment policy to include all the requirements of 2 CFR 200. Auditee response: We concur with the recommendation. We will revise our current procurement policy to include compliance requirement procedures for suspension and debarment to ensure we verify that all vendors have not been suspended or debarred prior to entering into a transaction agreement with the vendor.