[read complete report - pdf]

Audit Objective

Determine whether claims were adequately documented, for appropriate purposes and properly audited and approved before payment.

Key Findings

• We reviewed 91 claims totaling $1.3 million (7 percent) paid during the audit period and found they were generally supported by adequate documentation and for proper purposes. However, 45 claims totaling $471,138 were paid before the claims auditor’s approval and the claims auditor did not audit 10 scholarship payments totaling $4,750.

The claims auditor did not:

• Audit and approve 478 other claims totaling $945,478 before payment.
• Report the results of the claims auditing process directly to the Board.

Key Recommendations

• Ensure no claims, other than those allowed under law, are paid prior to the claims auditor’s audit and approval.
• Ensure all claims for scholarship payments are audited and approved by the claims auditor before they are paid.
• Ensure the claims auditor reports to the Board of Education.

District officials agreed with our recommendations and have initiated or indicated they planned to initiate corrective action.