1a-Audit Report 020

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Dave Freudenthal STATE OF WYOMING Governor Michael Geesey DEPARTMENT OF AUDIT Director PUBLIC FUNDS DIVISION Pamela Robinson [phone] Fax [phone] Administrator Email: [e-mail] January 29, 2004 Mr. John V. Corra, Director Department of Environmental Quality thHerschler Building, 4 Floor West Cheyenne, WY 82002 Dear Mr. Corra: We have audited the performance measures associated with the Strategic Plan for the Period July 1, 2000 through June 30, 2005, and the reported results of the Department of Environmental Quality for the fiscal year ended June 30, 2003. Wyoming Statute 28-1-115(a)(ii)(A) requires every state agency to develop performance measures that provide methods and criteria to measure the agency’s performance in conducting its activities and in achieving its goals and objectives. Wyoming Statute 9-2-1014(a) requires that the annual report compiled by the Department of Administration and Information contain a means of evaluating the outcomes included in the agency’s strategic plan. These measures, as developed by the agency, are to be examined by the Department of Audit. Our objective was to audit the results for all the outcomes contained in the strategic plan. The scope of our audit consisted of testing the results as reported in the Agency’s Annual Report dated June 30, 2003. The objective of the audit did not extend to an evaluation of the appropriateness of individual ...

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• Publié par: Urke
• Nombre de lectures: 20
• Langue: English

Extrait

Dave Freudenthal S T A T E O F W Y O M I N G Governor D E P A R T M E N T O F A U D I T Michael Geesey Director PUBLIC FUNDS DIVISION Pamela Robinson (307) 7777798 Fax (307) 777 5341 Administrator Email: [e-mail] January 29, 2004 Mr. John V. Corra, Director Department of Environmental Quality th Herschler Building, 4 Floor West Cheyenne, WY 82002 Dear Mr. Corra: We have audited the performance measures associated with the Strategic Plan for the Period July 1, 2000 through June 30, 2005, and the reported results of the Department of Environmental Quality for the fiscal year ended June 30, 2003. Wyoming Statute 281115(a)(ii)(A) requires every state agency to develop performance measures that provide methods and criteria to measure the agency’s performance in conducting its activities and in achieving its goals and objectives. Wyoming Statute 921014(a) requires that the annual report compiled by the Department of Administration and Information contain a means of evaluating the outcomes included in the agency’s strategic plan. These measures, as developed by the agency, are to be examined by the Department of Audit. Our objective was to audit the results for all the outcomes contained in the strategic plan. The scope of our audit consisted of testing the results as reported in the Agency’s Annual Report dated June 30, 2003. The objective of the audit did not extend to an evaluation of the appropriateness of individual outcomes or other performance measures and indicators. Our testing of the eight Department outcome measures yielded the following statistics: Verified Not Reported Not Verifiable Total 2 2 4 8 25% 25% 75% 100% Our audit was made in accordance withGovernment Auditing Standardsby the promulgated Office of the Comptroller General of the United States and included such procedures as we considered necessary in the circumstances. The procedures and techniques used will vary with the type and nature of the information being analyzed. Our procedures were designed to determine the accuracy of the outcome results. The procedures and techniques used in this audit included: ·interviews and inquiries of staff and management, ·analytical reviews of acquired information, and ·recalculation of numerical results from supporting documentation.

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Department of Environmental Qualit Performance Measures Audit January 29, 2004 Management controls include the organization, methods and procedures adopted by management to ensure its goals are met. We reviewed those management controls relating to the reported outcomes. These controls included: ·management’s involvement in the obtaining and processing of performance measures data, ·management’s systems for compiling, measuring, reporting and monitoring the measures, ·procedures for ensuring only valid and reliable data and information is obtained, and ·management’s use of performance measurements data for decision making. The measures presented in the strategic plan and annual report are the responsibility of the Department of Environmental Quality’s management. Our responsibility is to determine the accurate presentation of the results of those measures. The accompanying Schedule of Strategic Plan Outcomes, Reported Results and Audited Results; Explanatory Comments; and Findings and Recommendations present the results of our audit. This information is intended for the use of the Legislative Management Audit Committee, Departmental Management, and other regulatory state agencies. However, this report is a matter of public record and its distribution is not limited. ©ª Public Funds Division cc Governor’s Office  Secretary of State’s Office  Legislative Service Office  Administration & Information, Budget Office

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Department of Environmental Qualit Performance Measures Audit January 29, 2004 SCHEDULE OF STRATEGIC PLAN OUTCOMES, REPORTED RESULTS AND AUDITED RESULTS Audited Results Legend Code Description VThe reported result was verified by the audit. NVThe reported result was not verifiable. (The comment number references additional information in the Explanatory Comments section of this report.) NRResult not included in annual report. (The comment number references additional information in the Explanatory Comments section of this report.) Goal, Objective, Outcome Reported Results Division Audited Department Results Audited Results Goal 1: Protect public health and the environment in Wyoming while responding to continued population growth and industrial development. Objective 1A: Maintain an effective permitting process. Outcome 1A1: Where permitsNV are required by law, the (Comment 1) percentage of facilities in Wyoming that are properly permitted will be maximized. Air Quality Division oil & gas facilities = not verified 90% all other facilities = 95% Water Quality Division 1) Of the 259 coalbed not verified methane wells authorized for re injection, it is estimated that 100% of those constructed have obtained general permits. 2a) NPDES surface water discharge, 2b) water supply and waste water construction and 2c) subdivision review programs are estimated to have been 98% permitted before the activity was initiated.

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Department of Environmental Qualit Performance Measures Audit January 29, 2004 Land Quality Division 99.8% Industrial Siting Division 100% Solid and Hazardous Waste 1) initial operating Division permits: 100% 2) 29.6% have expired permits Objective 1B: Maintain an effective compliance program. Outcome 1B1: The percentage of facilities in Wyoming that are constructed and operated in accordance with applicable standards will be maximized. Air Quality Division 96.1% Water Quality Division estimate 95% of permitted facilities are operated in substantial compliance with their permits and applicable standards. Land Quality Division 96% Industrial Siting Division 100% Solid and Hazardous Waste 98% Division Objective 1C: DEQ will collect, manage and analyze data on ambient conditions throughout the state to document existing environmental quality and identify trends for management attention. Outcome 1C1: The ambient monitoring data collected managed and analyzed will provide a valid, reliable and affordable measurement of the state's environmental quality. Air Quality Division Data recovery rate for the ambient monitoring network was 91.4% Water Quality Division Of the 15 counties evaluated, pesticides are present in shallow groundwater in many areas, but in nearly all areas concentrations are below harmful

verified not verified not verified

verified not verified

verified verified verified

verified

verified

V (Comment 2)

V

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Department of Environmental Qualit Performance Measures Audit January 29, 2004

Objective 1D: DEQ will identify, prioritize and remediate sites posing a public health or environmental threat, and will establish a disaster assistance capability. Outcome 1D1: The percentage of known sites posing a health risk to the public or significant threat to the environment which are prioritized and scheduled for remediation will be maximized. Water Quality Division

Land Quality Division

Solid and Hazardous Waste Division

Abandoned Mine Land (AML) Division

Goal 2: Ensure highest quality human resources to su

levels.

68% of leaking above/underground storage tanks have been or are currently being remediated. Of the other 165 groundwater contaminated sites, 69 are in remediation. Bond forfeiture for 1 mining operation; site will be prioritized an scheduled for remediation 0 of 19 solid waste facility sites have implemented corrective action; 9 of 9 hazardous waste facilities have established corrective action plans; 30 of 34 Voluntary Remediation Program sites have remedy agreements AML inventory has over 2,500 sites with 1,500 needing further analysis before remediation cost estimates can be prepared.

not verified

verified

verified

not verified

NV (Comment 3)

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Department of Environmental Qualit Performance Measures Audit January 29, 2004 department's mission. Objective 2A: Provide the highest quality services by maintaining a highly motivated, productive and welltrained professional staff. Outcome 2A1:divisions workedSuccessful All fulfillment of the Department's toward the successful mission by implementing the fulfillment of the goals and objectives of this plan. department's mission by implementing the goals and objectives of the strategic plan. Goal 3: Increase public understanding of Wyoming's environmental requirements and ensure that future problems and innovative solutions are identified. Objective 3A: Openly communicate the Department's mission, goals and programmatic requirements to those affected by our actions. Outcome 3A1:No percentage or The percentage of those affected by our actions other quantified resul that understand Wyoming's reported environmental programs and the reasons why they are needed will be maximized. Objective 3B: Develop ways to assist local governments in dealing with environmental problems. Outcome 3B1:No percentage or The percentage of local governments satisfied other quantified resul with the environmental reported maintenance/enhancement assistance provided by DEQ will be maximized. Objective 3C: DEQ will expand pollution prevention efforts in all media to support reduction in pollutants from both existing and new developments. Outcome 3C1: The percentage A majority of of facility owner/operators who respondents indicated believe DEQ is providing that the information adequate information on multi media pollution prevention useful. techni

NV (Comment 4)

NR (Comment 5)

NR (Comment 6)

NV (Comment 7)

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Department of Environmental Qualit Performance Measures Audit January 29, 2004 introduction into the environment will be maximized.

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Department of Environmental Qualit Performance Measures Audit January 29, 2004 EXPLANATORY COMMENTS The following comments provide details regarding those outcome results identified as Not Reported or Not Verifiable in the preceding Schedule of Strategic Plan Outcomes, Reported Results and Audited Results. 1. Outcome 1A1: Except for the land quality division, documentation supporting the reported results was not retained. In addition, formal systems for tracking the outcome results had not been implemented or followed. 2. Outcome 1B1: Supporting documentation for the water quality division results was not retained. 3. Outcome 1D1:documentation used to derive the water quality division results Supporting was not retained. The land quality division result was verified based on the assumption that the one site that had its bond revoked during the year will be prioritized and scheduled for remediation. (Bond was forfeited shortly before the end of the fiscal year.)  The solid and hazardous waste division result relied upon the date a draft letter was sent to the facility. As the draft letters are not dated, in was not possible to verify the year the letters were sent.  The number of AML sites needing remediation is between 3,371 and 2,212. The listing of total sites includes 856 sites with generally completed construction, 103 sites that may be duplicates of other sites, and 200 sites that are being reviewed to determine if they should be deleted from the list. The exact number of sites requiring remediation will not be determinable until completion of “field truthing”, scheduled for the summer of 2004. In addition, there are as many as 1,898 sites requiring analysis and estimates of remediation costs. 4. Outcome 2A1:quantitative method for calculating the result for this outcome had not A been developed. The reported result was based on the intuitive knowledge of management as to the level of accomplishment/fulfillment of the department’s mission through implementation of the goals and objectives. 5. Outcome 3A1: Procedures had not been developed as to how the elements of the percentage were to be determined. 6. Outcome 3B1:for this outcome had not been determined for fiscal year 2003. No Results survey of local governments was conducted during the year. 7. Outcome 3C1:documentation (the returned surveys) were not retained and, Supporting therefore, not available for review.

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Department of Environmental Qualit Performance Measures Audit January 29, 2004 FINDINGS AND RECOMMENDATIONS The following recommendations are suggested as procedures and processes, which should assist in enhancing controls over deriving and reporting of all outcome results. Implementing these recommendations sho uld result in increased reliability and validity of the information used to calculate and report on outcome results. 1. Documenting the Methodology for Calculating Results. Discussionproblems were noted that could be easily resolved by formally: Certain documenting the procedures for deriving outcome results. These problems included: ·appropriate computations to consistently measure outcome results had not been developed, ·terms used in the calculation of results were not always precisely defined, ·results could not be verified because the calculation used to determine the reported result was not known, and ·supporting documentation was not retained so reported results could be recalculated.  In addition, there was no standardization as to how individual divisions were to calculate results for the same outcome. For example, the outcome for Objective 1.1 reads: “Where permits are required by law, the percentage of facilities in Wyoming that are properly permitted will be maximized.” Individua l division calculations for this outcome included: ·estimated percentages based on intuition, ·ratio of operators receiving notice of violations for operating without a permit/total operators, ·percentage of operators obtaining initial operating permits, and ·percentage of operators with expired permits. Not having formalized process, procedures, and definitions may lead to results that are incorrect, misleading, or not consistently presented between years. Results that are not accurate and valid may not bene fit the readers and users of the report or could result in misinterpretation of Department activities. Recommendation: Division administrators, or those responsible for deriving outcome results, should detail in writing the procedures for compiling, calculating, and retaining results. Details should include, as a minimum: ·where the information (numerator and denominator) is obtained (i.e., the name of the database, compute file, or report) ·how the information is extracted from the database (i.e., what query is run and the parameters of the query) ·the date the information is obtained from database (should be consistent from yeartoyear), and ·the procedures for securing the data so the results can be replicated in the future (i.e., hard copy printouts, saving to a compact disk, etc.) rd th HERSCHLER BUILDING, 3 FLOOR EAST ! STREETWEST 25  122 !  CHEYENNE, WY 82002 ! WEB SITEhttp://audit.state.wy.us Page9

Department of Environmental Qualit Performance Measures Audit January 29, 2004  After the procedures have been documented, management should review the procedures to ensure the methodology will derive the results in the form and to the precision required by management. 2. Violation of W.S. 921014(c). Discussionfor all outcomes were not included in the compendium (State: Results Annual Report) as required by statute. W.S. 921014(a) and (b) state, in part: “(a) The [written, comprehensive report of the programs, objectives, activities and condition covering the previous fiscal period] shall detail the fiscal affairs of the reporting agency including receipts and expenditures and make recommendations for improving the agency's programs. The report shall include an annual performance report which provides a means of evaluation of the outcomes included in an agency strategic plan required by W.S. 281115 and 281116. (b) Upon the receipt of all agency reports, the department [of administration and information] shall compile and index the information into a single compendium that will facilitate its use by the governor and the legislature.” Results for two outcomes had not been determined for the year. By not including results for all outcomes, users of the reports may not have sufficient information for their use. Recommendation:When a result has not been determined for an outcome, a statement to that effect should be included in the compendium. This will apprise users of the report with some information regarding the outcome which they may find useful.

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