Good morning all.

This time I'm going to call the audit and finance committee meeting to order.

Our first order of business is approval of our March 3rd meeting minutes.

All in favor?

Aye.

Motion passes.

Thank you.

We have two briefings today.

Our first briefing is from Patrice Randall.

Our auditor, I'm almost awake today.

Good morning, Patrice Randall, City Auditor.

Here to present an update since our last audit committee meeting.

We've completed a park safety and maintenance audit.

That audit has not been released, but since there were no material findings, we wanted to go ahead and make the presentation.

As a part of the audit, we interviewed park and recreation department staff.

We reviewed responses from the most recently completed citizen survey, reviewed work orders, service requests, inspection records.

We also conducted walkthroughs of selected parks.

We concluded that the parking rec department's process for identifying and mitigating risks was adequate, but we did, however, identify a need for written standard operating policies and procedures.

We've also completed a data analysis report for the first and second quarters of this fiscal year.

No vendors assigned multiple vendor identification numbers, and the wire transfers were adequately documented, supported, and were for city business purposes.

We did, however, identify weaknesses or exceptions with the employee termination payments, gift cards, and personal paid holiday.

So in reference to employee termination payments, we found that four of our 15 sample payments were erroneously calculated.

Two of those were overpayments, two were underpayments.

While we don't make recommendations for our data analysis reports, we did make an audit comment or a suggestion to management that they implement an enhanced process that requires review of terminal leave payment calculations on at least a sample basis or for payments in excess of a certain amount.

We had two departments, neighborhood services and the police department.

For neighborhood services, we were able to account for all but nine gift cards that were valued at 100 each.

I will say that once we made this, once we concluded that these were not accounted for, the neighborhood services department immediately drafted and presented written standard operating procedures that govern their gift cards.

For the police department, we were unable to account for 429 of the gift cards valued at $50 each.

During our review, the police department had reassigned this task to an um an employee.

That employee was actually trying to get the gift card logs throughout our process.

So what we plan to do is come back to the police department within one or two weeks to try to account for these 429 gift cards.

We will say that when you have uh gift cards, it's important to have a log that is centralized and that accounts for our gift cards from the point they are purchased until the gift cards are distributed.

And so whenever you have a change in custodianship, it should only involve transferring a complete set of records from one custodian to another.

So oh chair.

Patrice, what are they using these gift cards for?

Is it for internal awards or is it in community program?

It's a community program.

Okay.

Code yes.

And then personal paid holidays.

So the city allows two paid uh personal holiday leaves for employees, and we found that 35 of the 52 uh sampled employees exceeded that two-day or 16-hour leave.

Uh three of these were overpaid to former city employees.

We had 31 that were overpaid.

These are current city employees, and one that was 31 that was overpaid and one that was underpaid.

And as mentioned, we don't make recommendations, but for this one, since we've had uh prior exceptions with personal holidays, we uh suggested to management that they consider either changing the personal holiday leave to a full eight hour day or set up personal holiday leave as an absence.

And so when it's set up as an absence, the system will prompt the employee to see how many hours are eligible, and so then that way they cannot use more than what's been permitted by city policy.

So that was our suggestion to to management.

And then it concludes our audits.

Are there any questions or data analysis?

Questions.

Patrice, thank you very much.

Appreciate the update.

And I'm at this point, uh Leslie Tinaco, our senior administrative assistant is going to present to you all what we've done so far with our SharePoint.

Good morning, Leslie Tinoko, senior administrative assistant with internal audit.

So I will be presenting our SharePoint site to date.

This is our homepage where you'll find information for the internal audit department as well as more information about our office down below.

I'll start with our first tile, um, which is the status of audit recommendations.

So this section will uh display the status of uh prior audit uh recommendations since October of 2023.

Internal audit will be updating the recommendations no later than 5 p.m.

on the last Thursday of each month.