FAC Explorer

Finding 1162027 (2024-004)

Material Weakness Repeat Finding
Requirement
F
Questioned Costs
-
Year
2024
Accepted
2025-11-07
Audit: 371899
Organization: Puerto Rico Ports Authority (PR)
Auditor: GALINDEZ LLC

AI Summary

  • Answer: The Authority has not conducted the required physical inventory of property and equipment for the past two years.
  • Trend: This lack of inventory checks indicates a potential ongoing issue with compliance and asset management.
  • List: Follow up by ensuring the Property Division implements a physical inventory process and reviews compliance with policies.

Finding Text

While obtaining our understanding of the policies and procedures in place at the Authority’s office in relation to the management of property and equipment, management represented to us that the required physical inventory has not been performed by the Authority’s Property Division personnel during the last two years as required.

Corrective Action Plan

This also has been a recurring finding in the last audits. The assigned staff responsible for coordinating the completion of this task are no longer with the Authority. During fiscal year 2025‐2026, the Human Resources area is conducting analysis and evaluation of all accounting vacant positions to determine which ones can be hired. Once this analysis is completed, management will obtain the required approval to hire additional personnel to take care of the physical inventory taking. The position of Property Manager has already been duly filled.

Categories

Equipment & Real Property Management

Other Findings in this Audit

  • 1162028 2024-005
    Material Weakness Repeat
  • 1162029 2024-008
    Material Weakness Repeat
  • 1162030 2024-005
    Material Weakness Repeat
  • 1162031 2024-006
    Material Weakness Repeat
  • 1162032 2024-007
    Material Weakness Repeat
  • 1162033 2024-005
    Material Weakness Repeat
  • 1162034 2024-006
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
20.106 AIRPORT IMPROVEMENT PROGRAM, INFRASTRUCTURE INVESTMENT AND JOBS ACT PROGRAMS, AND COVID-19 AIRPORTS PROGRAMS $14.18M
97.036 DISASTER GRANTS - PUBLIC ASSISTANCE (PRESIDENTIALLY DECLARED DISASTERS) $4.68M
97.056 PORT SECURITY GRANT PROGRAM $750,000
16.922 EQUITABLE SHARING PROGRAM $246,293
20.500 FEDERAL TRANSIT CAPITAL INVESTMENT GRANTS $24,520
14.218 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $770