Audit 382319

REPORTABLE CONDITION: THE ABSENCE OF SEVERAL REQUIRED DOCUMENTS IN THE ON-SITE CONSUMER FILES INDICATES THAT INTERNAL CONTROLS OVERCOMPLIANCE WITH THE EEC CHILDCARE CONTRACT REQUIREMENTS ARE NOT OPERATING EFFECTIVELY. CRITERIA: TO STRENGTHEN INTERNAL CONTROLS OVER COMPLIANCE, 18 DEGREES INC. SHOULD MAINTAIN AND PERIODICALLY REVIEW ANENROLLMENT CHECKLIST TO VERIFY THAT ALL REQUIRED DOCUMENTS ARE COLLECTED AND PROPERLY FILED IN EACH CONSUMER RECORD. ANY MISSING DOCUMENTATION SHOULD TRIGGER PROMPT FOLLOW-UP TO SECURE THE REQUIRED INFORMATION. CAUSE: THE ORGANIZATION’S EXISTING INTERNAL CONTROLS TO ENSURE COMPLETE CONSUMER DOCUMENTATION ARE NOT BEING CONSISTENTLY APPLIED. EFFECT: SEVERAL REQUIRED DOCUMENTS IN THE ON-SITE CONSUMER FILES WERE MISSING. REPEAT FINDING: NO. AUDITORS’ RECOMMENDATION: THE ORGANIZATION SHOULD BE MAINTAINING A CHECKLIST OF REQUIRED DOCUMENTS THAT ARE TO BE MAINTAINED IN THE CONSUMERFILES AND BE CHECKING THE CHECKLIST BI-MONTHLY (AND FOLLOWING UP, IF NECESSARY) TO ENSURE ALL REQUIRED DOCUMENTS HAVEBEEN RETRIEVED.