HomeMy WebLinkAbout1617-4 Follow-up report on Law Library Transition(Final 2-17-2017)Follow-up report of Law Library Transition #16/17-4 February 2017
FOLLOW-UP REPORT
Law Library Transition
(Internal audit report #15/16-5 issued May 2016)
To request this information in an alternate format, please call (541) 330-4674 or send email to David.Givans@Deschutes.org
Deschutes County,
Oregon
David Givans, CPA, CIA, CGMA
Deschutes County Internal Auditor
PO Box 6005
1300 NW Wall St
Bend, OR 97708-6005
(541) 330-4674
David.Givans@Deschutes.org
Audit committee:
Lindsey Lombard, Chair - Public member
John Barnett - Public member
Tom Linhares - Public member
Daryl Parrish - Public member
Michael Shadrach - Public member
Wayne Yeatman - Public member
Anthony DeBone, County Commissioner
Nancy Blankenship, County Clerk
Dan Despotopulos, Fair & Expo Director
Follow-up report of Law Library Transition #16/17-4 February 2017
TABLE OF
CONTENTS:
1. INTRODUCTION .................................................................................................. 1
1.1. Background ........................................................................................................ 1
1.2. Objectives & Scope ............................................................................................ 1
1.3. Methodology ....................................................................................................... 1
2. FOLLOW-UP RESULTS ...................................................................................... 2
3. APPENDIX ........................................................................................................ 3-5
3.1. Appendix I – Updated Workplan for Report #15/16-5
(Status as of February 2017) .......................................................................... 3-5
Follow-up report of Law Library Transition #16/17-4 February 2017
Page 1
1. Introduction
1.1 BACKGROUND
Audit Authority:
The Deschutes County Audit Committee has suggested that follow-ups occur from nine months to one
year after the original report issuance. The Audit Committee’s would like to make sure departments
satisfactorily address recommendations.
1.2 OBJECTIVES and SCOPE
Objectives:
The objective was to follow-up on the outstanding audit recommendations.
Scope:
The follow-up included six (6) recommendations from the internal audit report on the Law Library Transition
(#15/16-5 issued May 2016).
The follow-up reflects the status as of February 2017. The original internal audit report should be
referenced for the full text of recommendations and discussion.
1.3 METHODOLOGY
The follow-up report was developed from information provided by Erik Kropp Deputy County Administrator.
In cases where recommendations have not been implemented, comments were sought for the reasons why
and the timing for addressing these. The follow-up is, by nature, subjective. In determining the status of
recommendations that were followed up, we relied on assertions provided by those involved and did not
attempt to independently verify those assertions.
The updates received by County Administration are included in Appendix I.
Since no substantive audit work was performed, Government Auditing Standards issued by the Comptroller
General of the United States were not followed.
DESCHUTES COUNTY
INTERNAL AUDIT
REPORT
DESCHUTES COUNTY
INTERNAL AUDIT
REPORT
DESCHUTES COUNTY
INTERNAL AUDIT
REPORT
Follow-up report of Law Library Transition #16/17-4 February 2017
Page 2
2. Follow -up Results
Figure I -
How were
recommendations
implemented?
The follow-up included six (6) recommendations agreed to by management. Management in substance
agreed with all recommendations. Figure I provides an overview of the implementation status of the
recommendations. The details of the updated workplan are provided in Appendix I.
With this follow-up, eighty-three percent (83%) of the recommendations have been completed.
Completed
83%
Underway
17%
Follow-up report of Law Library Transition #16/17-4 February 2017
Page 3
3. Appendix Appendix I – Updated Workplan for Report #15/16-5 (Status as of February 2017)
Audit # 15/16-5 Workplan
Ag
r
e
e
Di
s
a
g
r
e
e
Implementation Status
Comments # Recommendations Co
m
p
l
e
t
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d
Un
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w
a
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Pl
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Estimated or
Actual Date
of
Completion
1 It is recommended the MOU be updated to
address the extent and expectations of law
library services provided in print collections
and through online legal subscriptions. These
expectations should be determined with the
assistance of the Deschutes Public Library.
X X May-17 We agree with the auditor’s recommendation to update
the MOU to provide more details about the expectations
of law library services provided by Deschutes Public
Library.
2 It is recommended for staff utilizing the
surplus property provisions of the code
familiarize themselves with how to deal with
items greater than $500 and maintain the
documentation required.
X X Jan-17 Property & Facilities staff who handle surplus property
will be given a copy of the policy and it will be included in
internal staff discussions.
Follow-up report of Law Library Transition #16/17-4 February 2017
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Audit # 15/16-5 Workplan
Ag
r
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Di
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a
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Implementation Status
Comments # Recommendations Co
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p
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e
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Un
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w
a
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Pl
a
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Estimated or
Actual Date
of
Completion
3 It is recommended for significant sales of
surplus property go back to the fund
originating the purchase unless additional
procedures are developed by the County to
use such proceeds to cover specific costs. {In
the case of the shelving monies, these should
be accounted for in the law library fund that
incurred the costs}.
X X We agree with the recommendation, although we believe
each situation should be reviewed and discussed up front
with the department asking for the sale of surplus
property and the Property and Facilities Department.
-------------------
We do not keep track nor try to trace back the origins of
surplus property. For example, a desk or file cabinet
purchased by one department or fund may become
surplus and it then becomes the property of Property &
Facilities to reallocate as needed. That same desk or
cabinet may pass through numerous offices in its
lifespan. If it gets to the point that it has served its useful
life and we either throw it away or sell it, we have no idea
what the original purchaser is, and we consider it our
department’s property. We keep the proceeds of any
sale because we are the ones handling all aspects of the
sale, both physical and administrative.
We consider the shelving the same as any other types of
surplus property. Once it is no longer needed by a
department, it becomes our (P&F) property. It just so
happens we know the origins of the shelving purchase,
but it is treated just as any other surplus property. If it
had instead been broken down and distributed to various
offices, and then in several years those offices requested
us to remove them because they were no longer needed,
we most likely would not have known the origin. The only
reason we knew in this instance is because I am still here
and knew the history.
Follow-up report of Law Library Transition #16/17-4 February 2017
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Audit # 15/16-5 Workplan
Ag
r
e
e
Di
s
a
g
r
e
e
Implementation Status
Comments # Recommendations Co
m
p
l
e
t
e
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Un
d
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r
w
a
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Pl
a
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n
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d
Estimated or
Actual Date
of
Completion
4 It is recommended for Property and Facilities
to use a cash receipt book (in triplicate) to
account for their cash receipts and to
maintain a master copy that monies can be
reconciled to. The department’s cash
handling procedures should be updated to
reflect the cash sales of surplus property that
is now occurring.
X X Jan-17 In the past, nearly all of our cash handling dealt with
lease payments. We have had two surplus property
sales in the past year. Our goal is to try to recycle these
items even if we are getting just a couple dollars. We
would rather sell it or even give it away than to throw it in
the landfill. We currently keep cash receipts in duplicate,
but will develop a triplicate system.
5 It is recommended the County consider
adjusting the internal service fund modified
expenditures (used for calculating Finance,
Administration and BOCC internal service
fund charges) for the lack of activity now
occurring in Fund 215- Law Library.
X X Feb-17 Internal Service charges for BOCC, Admin, and Finance
for FY 2018 budget are proposed to be reduced 50%.
6 It is recommended for management to
consider repaying the general fund for the
monies transferred in FY 2002.
X X FY 2018 budget proposal includes a repaying the general
fund.
{END OF REPORT}