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File #: 20-42    Version: 1 Name: Internal Audit Reports Review: (1) Enterprise Internal Controls & (2) Cash Handling Internal Controls
Type: Minute Order Status: Action Item
File created: 7/3/2019 In control: FINANCE ADVISORY COMMITTEE
On agenda: 7/10/2019 Final action:
Title: (1) Discussion of Internal Audit Reports of Enterprise Internal Controls Review and Cash Handling Internal Controls Improvement and (2) Authorize reports for Transmittal to City Council
Attachments: 1. Enterprise Internal Controls Review - DRAFT, 2. Cash Handling Internal Controls Improvement - DRAFT
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo
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title
(1) Discussion of Internal Audit Reports of Enterprise Internal Controls Review and Cash Handling Internal Controls Improvement and (2) Authorize reports for Transmittal to City Council

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Meeting Date: July 10, 2019

Contact Person/Dept: Onyx Jones/Finance Department

Phone Number: (310) 253-5865

Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]

Public Hearing: [] Action Item: [X] Attachments: [X]

Public Notification: (E-Mail) Meetings and Agendas - Finance Advisory Committee (07/03/19)

Departmental Approval: Onyx Jones, Chief Financial Officer (07/02/19)
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RECOMMENDATION

The Internal Controls Ad Hoc Subcommittee recommends the Finance Advisory Committee (FAC) (1) Discussion of Internal Audit Reports of Enterprise Internal Controls Review and Cash Handling Internal Controls Improvement and (2) Authorize reports for Transmittal to City Council


BACKGROUND/DISCUSSION

Internal audits assist the City in the efficient use of resources by providing analysis and recommendations for improved operations and stronger internal controls. The City voluntarily hired Moss Adams, LLP back in 2016 as an independent audit firm to perform internal audit services in accordance with applicable industry standards. The Finance Department recognizes that effective internal controls result in best management practices for financial operations.

Moss Adams is in progress of performing a variety of reviews that include:
* Evaluating the adequacy of segregation of duties
* Supervisory reviews and approvals
* Reconciliations
* Physical safeguards over cash, checks and critical forms (such as handwritten receipts, permits and licenses)
* Existence and adequacy of written procedures.
* Enterprise risk assessment of City operations including grants, payroll and accounts payable.

There are six reports currently being developed by Moss Adams, LLP. The ...

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