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Audit Objective

Determine whether goods and services were procured in accordance with the Town’s procurement policy and applicable statutes.

Key Findings

• Of 59 payments totaling $632,000, two purchases totaling $175,000 were not competitively bid as required.
• Of 55 purchases totaling $189,000, 17 purchases totaling $56,000 did not have the required request for proposals (RFP) and/or the required number of quotes prior to being made.
• The Town’s procurement policy does not require the solicitation of competition, such as written proposals or quotes, for the procurement of professional services.

Key Recommendations

• Follow competitive bidding statutes and policy requirements.
• Revise the procurement policy or adopt written procedures to specify documentation requirements, including the rationale for cases when the selected vendor is not the lowest priced.
• Develop procedures for the competitive procurement of professional services.

Town officials agreed with our findings and indicated they plan to initiate corrective action.