Comptrollers Audit Corrective Action Plan Final

Robert Cox

Informations

• Publié par: Illa
• Nombre de lectures: 16
• Langue: English

Extrait

NEW ROCHELLE CITY SCHOOL DISTRICT CORRECTIVE ACTION PLAN NEW YORK STATE COMPTROLLERS AUDIT      PROCUREMENT    Procurement Recommendations  1.Recommendation:The Board should award contracts to professional service providers only after soliciting competitive proposals.  Corrective Action Plan:Competitive bidding is not required for the procurement of professional services which involve specialized skill, training and expertise; use of professional judgment or discretion; and a high degree of creativity.The District presently utilizes Request for Proposals (RFP) and quotations for, among other services, architect and auditing services. In order to get good service at a reasonable price and otherwise protect the interests of taxpayers, the Board and Administration will clarify its Purchasing Regulations to provide further guidance on when quotations and RFPs should be utilized.  2.Recommendation:The Districts purchasing policies should define the process for determining sole source vendors.  Corrective Action Plan:The District will amend the purchasing policy to instruct requisitioners to document the companies that they have contacted; noting the date, the name of the person they spoke to, and the information received; prior to accepting a signed letter as proof that a specific company is the sole source provider of those goods.  3.Recommendation:The Districts purchasing policy should define an emergency situation and identify a District official responsible to declare a situation an emergency. Sufficientdocumentation should be maintained to justify emergency purchases.  Corrective Action Plan:The District will amend the purchasing policy to clearly define what constitutes an “emergency”, and outline the procedures (including the required documentation and approval).   

 4. Recommendation:District officials should closely monitor the purchasing  processto ensure that purchases are made in accordance with policies and  procedures.  Corrective Action Plan:The Assistant Superintendent for Business, the Purchasing Agent and the Assistant Purchasing Agent have met with departments which had not always followed the purchasing process. The requirements and reasons for the purchasing process were reviewed. The needs of the affected departments were reviewed. In each case we have been able to meet the departments needs within the purchasing process, mainly through scheduling changes.     CLAIMS PROCESSING    Claims Processing Recommendation   5.Recommendation:The Board should adopt a written job description to provide specific instructions and communicate their expectations to the claims auditor. Thisshould include a requirement that the claims auditor meet with the Board as  necessaryto discuss questionable claims.  Corrective Action Plan:A job description for the Internal Claims Auditor has been implemented, copy attached. The requirements of this job description were reviewed with the Claims Auditor. The job description was also reviewed with the staff in Purchasing and Accounts Payable Departments so they would know what is considered correct procedure and what they would be audited against. Further review will take place.             

   SEGREGATION OF DUTIES    Segregation of Duties Recommendations   6.Recommendation:District officials should establish compensating controls and routinely monitor and review the work of the Treasurer when the segregation of  dutiesis not feasible.   CorrectiveAction Plan:  TheAssistant Superintendent for Business will routinely monitor and review the work of the Treasurer..  7.Recommendation:The Assistant Superintendent for Business should receive a wire transfer confirmation directly from the bank within one day of the transfer.  Corrective Action Plan: Assistant Superintendent of Business will complete a registration with Wachovia Bank and approve all fund transfers that the Treasurer has instituted, wire confirmation from bank will be available immediately upon approval.   8.Recommendation:The District should enter into a written agreement with the  bankprescribing the manner in which transfers will be accomplished, including:  whowill make the transfers, from which accounts the transfers will be made, and  requirea written confirmation to the District.   Corrective Action Plan: We will meet our representative(s) from Wachovia to enter into a written agreement.  9.Recommendation:District officials should adopt a system of internal controls for documenting and reporting transfers and other cash duties of the Treasurer.  Corrective Action Plan: We now use dual control for transfers, the Treasurer prepares the transfers and the Assistant Superintendent for Business approves them electronically as the final stage of execution of transfers. The Treasurer and the Assistant Superintendent for Business meet to review transfers prior to transmission. Copies of all transfers are kept in a binder in the Accounting Office. 

The following procedure has been instituted for cash; cash is received; receipts are written, checks endorsed and deposit slips are written by one accounting department employee. The courier brings the deposits to the bank and upon his return gives the deposit slips to another accounting employee who matches the deposit slip to the cash received and posts into the cash flow.   10.Recommendation:District officials should segregate the duties of the purchasing agent and administrator of the financial accounting application.   CorrectiveAction Plan: The Assistant Superintendent for Business will assume the duties of the Finance Manager Security Administrator.           