City of Boulder - RTD CAGID ECO PASS Program Audit-Aug

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Informations

• Publié par: Theyr
• Nombre de lectures: 9
• Langue: English

Extrait

City of Boulder

City of Boulder Central Area General Improvement

District (CAGID) – RTD 2004-2 ECO Pass

Program Audit

August 2004

Internal Audit Division

City Manager’s Office

Audit Report Summary

City of Boulder Central Area General Improvement District (CAGID) –

RTD 2004-2 ECO Pass Program Audit

Tests and observations were performed to:

•

Verify that the employee works for a CAGID employer.

•

Verify that the named employee has actually received the decal.

•

Confirm the accuracy of the Decal Distribution Report (DDR) used to track issuance of

decals and to report to RTD.

•

Confirm the total number of decals issued and decals on hand.

SUMMARY:

The auditor recommends that the frequency of these audits be decreased

as there have been no material findings and processes appear to be working.

Process improvements planned include:

•

City of Boulder has included a step in the CAGID ECO Pass issuance and recording

process to validate the data entered on the Decal Distribution Report (DDR).

This

has improved the accuracy of name spellings, and eliminated the instances of Decal

number entry errors noted during the prior audit.

Further reduction of name spelling

errors can be expected by changing the options on Excel software used for the Decal

Distribution Report to eliminate automatic entry of employer name.

No changes were recommended for the following areas:

•

All CAGID employees issued ECO Passes who were examined in the sample

selected by RTD were found to be current employees of valid CAGID employers.

Guy E. Wiley, Internal Auditor

City of Boulder

City of Boulder

City of Boulder (CAGID) – RTD 2004-2 ECO PASS Program Audit

OVERVIEW

The City of Boulder’s Downtown Management Commission offers employers in Boulder’s

downtown Central Area General Improvement District (CAGID) ECO Passes to their

employees to enable free use of RTD busses to commute to work.

The City of Boulder

Downtown Management Commission funds this cost.

In contract negotiation for the 2004

contract, City of Boulder and RTD agreed that RTD would furnish City of Boulder with an

agreed upon number of ECO Pass Decals for issuance by City of Boulder directly to valid

CAGID employees.

ECO Passes had previously been mailed to CAGID employers directly

by RTD. In return, City of Boulder agreed to perform two independent audits per year of

internal controls over the decal issuance process and the inventory of decals remaining on

hand at the time of the audit.

These two audits are to be performed by the Internal Auditor.

Upon receipt of the July 1, 2004, Decal Distribution Report (DDR), RTD randomly selected

approximately 10% of the 2,897 decals issued to employees at that date to be tested by the

Internal Auditor.

AUDIT SCOPE

Tests and observations were performed to:

•

Verify that the employee works for a CAGID employer.

•

Verify that the named employee has actually received the decal.

•

Confirm the accuracy of the Decal Distribution Report (DDR).

•

Confirm the total number of decals issued and decals on hand.

OBSERVATIONS

1.

Accuracy of data in the Decal Distribution Report

Twenty-four errors were noted in spelling of names and entry of correct employer names on

the Decal Distribution Report (DDR) from information on 2004 ECO Pass Authorization

forms.

Most of these errors (83%) occurred in tested items that were entered on the DDR

before process changes were implemented based on recommendations of the March 2004

Audit.

Recommendation:

The City of Boulder should review this type of error with employees who do input to the

DDR.

Response:

Staff recognizes the need to correct the names on the current Decal Distribution Report

and has willingly done so. Staff also would like to point out the difficulty in reading

some of the names due to the carbon copy form and the nature of the individuals’

handwriting on the forms.

2.

The sample included three instances of apparent issuance of duplicate decals.

There were three instances in the sample where it appeared that two decals had been issued

to one individual.

In two instances, review of the Employee Authorization Forms showed

that these were properly documented replacements of lost decals.

In the third instance,

although the Employee Authorization Form had not been properly marked, the number

sequence of the second decal indicated that it was a replacement.

Recommendation:

Employees who process issuance of replacement decals should be

reminded of the proper procedure.

Response:

Staff has corrected the DDR report to show that the decals are replacement

decals and in the future will note that they are indeed replacements on the DDR. Staff

will also try to remember to ask all employees if this is a new, renewal, lost/stolen,

replacement pass to aid in this procedure.

3.

Tests to assure decals are issued to current employees of valid CAGID employers.

Tests indicated that all decals included in the sample were issued to and received by current

employees of valid CAGID Employers.

Tests did identify some errors

in recording the correct employer for ten employees on the Decal Distribution Report and in

two cases on the Employee Authorization Form.

Six of ten errors noted were caused by

using a feature of Excel that automatically fills in a cell with information from the last entry

that started with a letter or series of letters.

The remaining four errors could have been

prevented if employees doing entry on the Decal Distribution Report and accepting and

processing Employee Authorization Forms had checked Employer Name on the RTD

Employer Master List.

Recommendation:

In Excel, use the path:

Tools/Options/Edit to deselect “Enable

AutoComplete for cell values.”

This will prevent the first category of error.

Following

proper procedure to check for valid employer name on the RTD Employer Master List

would prevent the second category of error.

Employees who process issuance of decals

should be reminded of the proper procedure and should implement the change to

Excel on each computer used for input.

Response:

Staff will use the method described for Excel and take more time to check the

two RTD approved CAGID employer lists to make sure we have the exact same name as on

the approved two lists when entering the business name from the carbon copy form.

Example: Gondolier Café was entered on the DDR and the name of the business on the

approved RTD form is actually Café Gondolier.

Staff has also made the corrections on the current DDR.

4.

Decal inventory controls.

The auditor performed a physical inventory of decals as of 8/27/04 and found no

discrepancies in inventory.

The inventory quantity, the total of decals received from RTD

and the number of decals issued to employees of CAGID employers is noted in the

following exhibit.

The total number of decals received from RTD agrees with the number

stated in the 2004 contract.

Thirty-eight additional “replacement” decals have been received

and were observed in inventory.

There were no discrepancies noted in the decal inventory or the controls over that inventory.

No recommendation or response is required.

Number Series Accounted For

# of Decals

Decals Issued and entered on

DDR at 8-27-04 (last number on

DDR verified by auditor):

005000 through 007916

2917

Decals Issued but not yet

entered on DDR at 8-27-04

(Auditor examined 2004 ECO

PASS Employee Authorization

Forms):

007917 through 007964

48

Roll in use at Transportation

Resource Center:

007965 through 007999

35

Rolls in Safe:

008000 through 008999

1000

009000 through 009999

1000

010000 through 010999

1000

Spare Roll at Transportation

Resource Center:

060286 through 060632

347

Decals Received from RTD per 2004 contract

6347

Replacement Decals Received

from RTD in 2004:

078849

1

078851

1

079342

1

079343

1

081060 through 081066

7

089000 through 089011

12

089013 through 089021

9

089023 through 089024

2

089496 through 089499

4

38

Total 2004 Decals Received from RTD at 8/27-04

6385

Physical Inventory of Decals

8/27/2004

Attachments:

Electronic copies of the auditor’s workpapers have been furnished to RTD

along with the audit report.