KENTUCKY STATE UNIVERSITY SCHEDULE OF FINDINGS AND QUESTIONED COSTS (CONTINUED) YEAR ENDED JUNE 30, 2023

Section III – Findings and Questioned Costs – Major Federal Programs (Continued)

2023 – 026 – Suspension and Debarment

Federal Agency: Various

Federal Program Name: Research and Development Cluster

Assistance Listing Number: Various

Federal Award Identification Number and Year: Various

Award Period: July 1, 2022 – June 30, 2023

Type of Finding:

• Significant Deficiency in Internal Control over Compliance
• Other Matters

Criteria or specific requirement: Recipients and subrecipients are subject to the nonprocurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, as well as 2 CFR part 180. The regulations in 2 CFR part 180 restrict making Federal awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from receiving or participating in Federal awards.

Condition: The University did not maintain records obtained from applying suspension and debarment procedures.

Questioned costs: None.

Context: The University did not maintain records obtained from applying suspension and debarment procedures. As such, 1 of 6 vendors tested did not have support around suspension and debarment.

Cause: The University did not maintain records obtained from applying suspension and debarment procedures.

Effect: The University is not in compliance with Uniform Guidance for suspension and debarment.

Repeat Finding: No.

Recommendation: We recommend the University review its policies relating to the retention of records to ensure support regarding the debarment status of vendors is maintained.

Views of responsible officials: There is no disagreement with the audit finding.

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