City of CorcoranLocal Government

Finding 2021-001 ? Procurement (CFDA #20.205 ? Highway Planning and Construction) Condition: The City of Corcoran did not have its own written procurement procedures which reflect applicable State, local, and tribal laws and regulations which also conform to the applicable federal law and standards identified in the Uniform Guidance. Criteria: 2 CFR Part 200, Part D (Uniform Guidance) Section 200.318 requires that a non-federal entity use and maintain its own documented procurement procedures which reflect applicable State, local, and tribal laws and regulations, provided that the procurements conform to applicable federal law and standards identified in the Uniform Guidance. Cause: The City of Corcoran previously utilized templates and other resources provided by the Federal and State granting agencies in creating request for proposals, when applicable. The City does so to ensure compliance with applicable federal procurement standards but was unaware of the requirement to also have their own written procurement procedures. The City adopted their own written and procurement policy during the year-ended June 30, 2021 but was not in effect for the entire fiscal year. Effect: As a result of our audit, we have determined that the City followed all applicable procurement compliance requirements as it relates to grants under CFDA #20.205 with the exception of maintaining its own written procurement policy. The ultimate lack of documented procurement standards for the City could increase the risk of goods and services being procured through a method which is not in accordance with applicable State, local, and tribal law as well as federal regulations including the Uniform Guidance. Recommendation: We recommend that the City create, adopt, and utilize its own written procurement policy and related procedures which reflect applicable State, local, and tribal laws and regulations which are in accordance with applicable Federal law and standards identified in 2 CFR 200.318 ? 326 (Uniform Guidance). Management?s Response: See corrective action plan.

Finding 2020-004 ? Procurement (CFDA #20.205 ? Highway Planning and Construction) Condition: The City of Corcoran does not have written procurement procedures which reflect applicable State, local, and tribal laws and regulations which also conform to the applicable federal law and standards identified in the Uniform Guidance. Criteria: 2 CFR Part 200, Part D (Uniform Guidance) Section 200.318 requires that a non-federal entity use and maintain its own documented procurement procedures which reflect applicable State, local, and tribal laws and regulations, provided that the procurements conform to applicable federal law and standards identified in the Uniform Guidance. Cause: The City of Corcoran utilizes templates and other resources provided by the Federal and State granting agencies in creating request for proposals, when applicable. The City does so to ensure compliance with applicable federal procurement standards but was unaware of the requirement to also have their own written procurement procedures. Effect: As a result of our audit, we have determined that the City followed all applicable procurement compliance requirements as it relates to grants under CFDA #20.205 with the exception of maintaining its own written procurement policy. The ultimate lack of documented procurement standards for the City could increase the risk of goods and services being procured through a method which is not in accordance with applicable State, local, and tribal law as well as federal regulations including the Uniform Guidance. Recommendation: We recommend that the City create, adopt, and utilize its own written procurement policy and related procedures which reflect applicable State, local, and tribal laws and regulations which are in accordance with applicable Federal law and standards identified in 2 CFR 200.318 ? 326 (Uniform Guidance). Management?s Response: See corrective action plan.