Finding 1175441 (2025-001)

Finding 2025-001 – Purchasing Process Criteria: The City's purchasing procedures should occur through an appropriate workflow and approval process. Condition: Various departments received invoices for goods purchased or services performed prior to receiving appropriate approvals per the City's purchasing policies. Cause and Effect: City personnel were not following the appropriate purchasing policy and committed the City to purchases prior to receiving appropriate approvals. As a result of not following the City's existing internal control procedures, a risk arises of overcommitting funds and the potential inefficient spending of City resources. Recommendation: We recommend that the City prioritize ongoing education and training for key staff involved in the purchasing process. This training should emphasize the correct workflow for obtaining approvals to commit City funds prior to receiving an invoice and incurring expenditures. Management Response: Staff authorized to submit and approve requisitions will be subject to further training on the City's purchasing process and procedures. Together with additional training, and new software tools, this process is expected to be improved.