San Antonio Audit Committee Meeting - September 2, 2025

The Audit Committee convened on September 2, 2025, at 1:01 PM with quorum present. The meeting included approval of prior meeting minutes, a consent agenda, discussion of a deferred audit of Greater SATX, presentation of the P Card audit, and an overview of the 2026 audit plan.

Consent Calendar

• Minutes from the previous meeting were approved by voice vote.
• The consent agenda was approved, with the exception of Item 3 (Greater SATX audit), which was pulled for individual discussion.

Public Comments & Testimony

• No public comments were made.

Discussion Items

• Item 3: Greater SATX Audit - Councilmember Mesa Gonzalez raised concerns about the audit's executive summary stating the agreement is monitored appropriately, while deeper findings indicated the Economic Development Department could not validate Greater SATX's metrics due to insufficient supporting documentation. She emphasized the need for accountability for organizations receiving city funds. The item was deferred to the next meeting, with a motion and second approved, to allow the new committee member to be briefed and to invite Greater SATX to present.
• Item 6: P Card Audit - Abigail Esteves presented findings from the audit of the Purchasing Card (P Card) program. The audit reviewed compliance with policies and procedures, identifying several issues: approximately 45% of transactions lacked required supporting documentation, 44% of transactions were unapproved for over three months, 1,640 transactions exceeded $3,000 without justification, 123 users had credit limits above their spending, and seven former employees still had active cards (though no unauthorized purchases were made). The audit concluded the program had controls but needed improvements in policy updates, monitoring, and access management. Councilmember White expressed concern that the executive summary characterized the program as adequately monitored despite these issues. The City's audit director explained the audit assessed overall compliance rather than effectiveness, noting that 26,000 transactions (averaging under $300) occur annually. Finance officials confirmed that no improper use was found, and corrective actions are underway, including strengthening termination processes. The committee accepted the audit report with a motion and second, and it was noted that follow-up would occur.
• Item 7: 2026 Audit Plan Overview - City Auditor Vary Varas presented a draft audit plan for fiscal year 2026, emphasizing a risk-based approach and the need to add value amid budget deficits. The plan includes 32 audits and 3 consultant projects (totaling 35), focusing on revenue, safety (including flood-related audits), homeless services, and workforce development. Some audits were deferred from 2025, such as airport parking operations (due to ongoing process changes) and a police department audit (phase 1 just implemented). The plan is scheduled for City Council approval on October 9. Councilmember White requested that the final plan include a column showing the last audit date for each department and whether it is a new or follow-up audit. A motion to forward the plan to the City Council meeting on October 9 was approved.

Key Outcomes

• Minutes and Consent Agenda: Approved by voice vote, except Item 3 pulled.
• Greater SATX Audit: Deferred to the next meeting (motion carried).
• P Card Audit: Accepted; corrective actions underway; follow-up scheduled within a year (motion carried).
• 2026 Audit Plan: Approved for presentation to City Council on October 9, with a request to add audit history details (motion carried).
• Meeting adjourned at 1:35 PM.