Finding Text
Condition There were inadequate controls over payments for goods and services. Criteria The School Board should adhere to its policies and procedures to ensure that receipt of goods is properly documented prior to invoice payment. Cause The School Board did not adhere to its policies and procedures regarding purchasing documentation. Effect Supporting documentation relating to receipt of goods was not present for some disbursements. Context A sample of 40 disbursements was selected for audit from a population of 331 disbursements. The test found that 1 disbursement did not have documentation supporting the receipt of goods. There are $42,515 of questioned costs as a result of inadequate documentation for receipt of goods. Our sample was a non-statistical sample. Recommendation The School Board should adhere to their policies and procedures and ensure that all required documentation is maintained. Views of Responsible Officials and Planned Corrective Action To ensure that receipt of goods is properly documented prior to invoice payment, the following process will be implemented effective immediately: (1) As of 7/1/2022, inventory received by each school site will be verified for documentation of receipt (signature) by CNS Office Coordinator/ Accounts Payable, (2) Inventory received without documentation of receipt will be verified with computer entry of inventory received by Area Supervisor assigned to that school; receiving date, quantity received, and price will be verified and signature will be obtained, (3) Documentation of receipt for inventory received that has not been processed for payment will be reviewed by Area Supervisor prior to submission to CNS Office Coordinator for payment, (4) School Site Cafeteria Managers and Technicians have received notification of and training on this requirement, (5) Area Supervisors will review all inventory receipts when conducting routine monitoring, and (6) The CNS Office Coordinator will be the final check to ensure that receipt of goods is properly documented.