Transcript Highlights:

• Under the mayor, an audit or agreed-upon procedure compliance report was not obtained for the water and
• Under the mayor, an annual audit or agreed-upon procedure report has not been obtained for the water
• The annual audit or agreed-upon procedure report has not been obtained for the water department since
• A audit agreed-upon procedures report for the water and sewer system was not obtained, in noncompliance
• audits.

Keywords: 1204, all

Transcript Highlights:

• in a previous audit?
• audit for the single audit in this upcoming year.
• Chairman, Co-Chairman, at this point, our single audit procedures focus only on the records that are
• audit.
• 24 single audit.

Summary: The committee first heard an update on Topok Elementary School District’s long-running noncompliance with Arizona’s Uniform System of Financial Records. The Auditor General’s office explained the USFR noncompliance process and reported that Topok had made substantial progress, correcting many deficiencies in areas such as open meeting law, procurement, payroll, attendance reporting, property control, and information technology. The district’s superintendent and staff described the corrective actions they had taken, the use of outside consultants, and their plan to maintain compliance through stronger leadership, training, and consistent procedures. Members praised the district’s progress and asked about the remaining deficiencies and the status of the 3% state-aid withholding, which the Auditor General said would be addressed by the State Board of Education. The committee then considered a request for a fourth school safety special audit, tied to concerns raised by Representative Martinez about Phoenix Union High School District and school violence response practices. The Auditor General said the proposed audit would be a new topic focused on policies and procedures for responding to credible threats of violence and allegations of staff misconduct affecting student safety, and could include Phoenix Union in the sample. Representative Martinez described a fatal 2024 shooting, weapons incidents, and concerns about district oversight. The committee approved the motion 10-0. Next, staff presented the fiscal years 2027-2028 school district performance audit schedule, describing 26 randomly selected school districts and career and technical education districts, plus 84 planned follow-ups. The Auditor General said the schedule is intended to shorten the average time between audits and that the school audits division is now fully staffed. Members asked about county coverage and the inclusion of ESA accountability, but the schedule was ultimately presented for review rather than approval. The committee also heard a detailed federal compliance audit presentation on the Child Care and Development Fund (CCDF) administered by DES. The Auditor General reported repeated findings involving missing provider documentation, questioned costs, and FFATA reporting errors, including a 2024 sample that led to questioning $2.88 million in costs. The office recommended stronger documentation, record retention, reporting procedures, and staff training; DES concurred and said it would correct the findings in 2026. Members discussed the limits of the single-audit scope, the possibility of a broader special audit, and the federal government’s recent actions on CCDF oversight in other states. Finally, the committee considered and discussed a special audit request for CCDF that would broaden review to provider oversight, licensing, site visits, and billing accuracy across multiple state agencies, with estimated costs of $547,000 to $625,000 and a projected report date of July 31, 2027.

Transcript Highlights:

• On pages 6 through 9 of the report, our listed other additional audit procedures that we completed for
• During the audit period, the agency didn't have procedures or controls to track that 25% spending limit
• And we are putting in process procedures and tool sets to rectify that audit finding. So, Mr.
• Our audit is applying those procedures to ensure that they are living up to those expectations.
• audit.

Keywords: 908, all

Transcript Highlights:

• Under the mayor, an audit or agreed-upon procedure compliance report was not obtained for the water and
• Under the mayor, an annual audit or agreed-upon procedure report has not been obtained for the water
• Under the mayor, an annual audit or agreed-upon procedure report has not been obtained for the water
• The audit agreed-upon procedures report for the water and sewer system was not obtained, in noncompliance
• An annual audit degree problem procedure report has not been completed or submitted to Arkansas Lesley

Summary: The committee approved the prior meeting minutes and then received updates on delinquent water and sewer reports, including seven new reinstatements and a reduction to four remaining delinquent filers. Staff also reported on municipal accounting code noncompliance, removing Denning and Gum Springs from the 60-day clock after improved records were verified, and presenting repeat findings for Fargo, Lead Hill, Alma, Jericho, and Haynes. Members discussed repeated audit problems, the length of time some issues had persisted, and whether towns should be given additional time or face stronger action; motions were made and adopted to place some entities on a 60-day clock or defer action to later meetings. For Fargo and Alma, staff described extensive repeat accounting deficiencies, including missing budgets, bank reconciliations, financial statements, receipts, journals, and supporting documentation. Fargo’s mayor said the town had been understaffed and was beginning to improve its office systems; the committee voted to defer the matter for 60 days and file the report. Alma’s officials said they were trying to correct water audit and accounting issues, and the committee likewise deferred the matter to the August meeting while warning that water-audit delays could jeopardize turnback funds. The committee then reviewed misuse-of-street-funds findings for Jericho and Haynes. Jericho’s police chief and officials explained that traffic fines, drug-related arrests, and other citations had pushed the town over the statutory threshold, while staff clarified that the speed-trap calculation excludes certain add-on fines and is referred to the prosecuting attorney for any action. Haynes officials said repayment problems stemmed from lost revenue and staffing changes, including the loss of the police department, but staff reported the town remained behind on its repayment plan and also owed the IRS. The committee voted to defer the Haynes matter to September and to defer Jericho as well, with members emphasizing the need for consistency and possible broader legislative review of small-town viability. A special report on the Pulaski County Regional Solid Waste Management District drew substantial discussion. Staff cited findings involving board approval of payroll and contracts, credit card documentation, car allowances and personal vehicle use, competitive bidding, and unusually high advertising spending, as well as the sale of trailers and other equipment at low prices. The district director said the board had delegated authority for many expenditures, that personal use was reported for tax purposes, and that advertising was necessary to educate the public about recycling. Members questioned the procurement and disposal decisions and the size of the advertising budget; after discussion, the committee deferred the report to September and asked the director to return. The meeting also included brief deferred reports on Biggers, Gilmore, and Holly Grove, which were filed after local officials described ongoing efforts to resolve long-standing audit and tax issues.

Transcript Highlights:

• Our audit also...
• Versace did on this audit.
• One concern is the Bureau, at the time of our audit, did not have policies and procedures explaining
• It wasn't part of our audit.
• So this audit just really shined light on all of the different aspects of the procedural process for

Summary: The hearing focused on a state audit of Cal/OSHA titled “The Division of Occupational Safety and Health: Process Deficiencies and Staffing Shortages Limit Its Ability to Protect Workers.” Committee leaders and the audit team described serious workplace tragedies, argued that California’s worker protections are not being adequately enforced, and said the audit was prompted by concerns that Cal/OSHA was too often relying on letters instead of inspections, delaying investigations, and closing cases without enough documentation. Members repeatedly emphasized that the issue was not just staffing, but also outdated policies, weak oversight, and inconsistent enforcement. State Auditor Grant Parks said the audit found a 32% vacancy rate in 2023-24, heavy reliance on hard-copy files, outdated or unclear policies, and inconsistent decision-making in complaints, accidents, citations, and fine reductions. He said Cal/OSHA conducted on-site inspections in only about 20% of complaints, used letter investigations more than 80% of the time, often lacked evidence that hazards were corrected, and sometimes failed to inspect serious injury cases on time. The audit also found weak documentation for fine calculations and settlement reductions, with some penalties reduced substantially without clear explanations. Parks said the agency had accepted the findings and would provide progress updates later in the year. Committee members pressed the auditor on vacancy rates, the use of letter investigations, the low rate of criminal referrals, and whether fines were being reduced too often. Cal/OSHA and DIR officials responded that the vacancy rate had fallen to 12% partly because 66 vacant positions were eliminated in a statewide budget reduction and partly because of hiring; they said 126 people had been hired in the first half of the year. They also said they had hired a policy writer, were updating several policies, were planning periodic internal audits, and were developing a new data management system expected to go live in late 2026 or early 2027. On fines, officials said Title 8 sets base penalties and allows adjustments based on factors like employer size, history, and good faith, with appeals and informal conferences also affecting final amounts. No votes or formal actions were taken during the hearing.

Transcript Highlights:

• <00:18:03.520> are and our policies and procedures are and our policies and procedures are
• standards as well as accepted auditing standards as well as Government<00:45:02.800> auditing
• With me is Jean Mitchell, the financial audit supervisor from our office, who supervised the audit.
• and the results of the audit.
• We conducted this performance audit in accordance with government auditing standards.

Keywords: 928, house, all

Summary: The Fiscal Committee met on January 30, 2025, and first organized itself by electing Senator Jim Gray as vice chair, electing Representative F as clerk, appointing Michael Caine as legislative budget assistant, and adopting the committee’s rules and procedures. The committee also adopted an amendment to the rules allowing audits to be automatically released to the public once placed on the Fiscal Committee agenda, with members discussing that the change would improve transparency and reduce paper handling. The minutes from the November 15, 2024 meeting were approved, with members who were absent abstaining. The committee then worked through a consent calendar and several individual items. It removed or noted withdrawals on a few items, including item 25004 for further discussion, item 25016 withdrawn by the Department of Education, item 257 removed by Representative F, and item 25001 removed under Tab 4. Item 25004, concerning the newborn screening program, prompted testimony from the Department of Health and Human Services explaining that the program is mandatory with an opt-out provision; officials said 99.2% of newborns were screened in 2023, meaning the opt-out rate was under 1%. The committee also approved item 25007, related to DHHS community health workers and telework policy, after hearing that the workers are not placed in schools and that DHHS follows statewide telework policy. On the regular calendar, the committee approved a Department of Administrative Services request to extend the release date for fiscal year 2024 numbers to March 31, and approved a Department of Fish and Game item. It also approved winter maintenance funding for the Department of Transportation after hearing that the $5.7 million request might not last through the winter if additional storms occur; DOT said even a small storm can cost more than $1 million and that crews are dispatched based on road conditions and supervisory judgment. The committee then approved items for the Judicial Council and the Office of Legislative Budget Assistant. The final discussion focused on the Health and Human Services dashboard and the Youth Development Center claims. DHHS acknowledged a data error in the APS client line and said Community Mental Health Center caseload data is still not fully accurate because two centers are undergoing EHR conversions. Members also asked about the low census at the Sununu Youth Development Center and about the process for managing future claims related to the YDC settlement fund. Witnesses from the Attorney General’s office said the fund is handled through a unique arrangement involving DOJ appropriations and judicial branch staff, that current judicial budget cuts are not yet affecting the litigation pace, and that the average resolution so far has been about $500,000, though future claims may vary. No votes were taken on the discussion items beyond the approvals noted above.

Transcript Highlights:

• Create policies and procedures.
• Create policies and procedures.
• Create policies and procedures.
• Create policies and procedures.
• side you know we are auditing to audit side you know we are auditing to make<00:05:10.520> sure

Keywords: 1187, senate, all

Summary: The Senate Finance Committee met on January 9, 2025, to focus on internal controls, fraud prevention, and legislative oversight of state agencies. Legislative Auditor Judy Randall explained Minnesota’s internal control framework, based on the GAO Green Book, and described five core controls: assigning responsibility, separating duties, restricting access, maintaining policies and procedures, and keeping records. She tied each control to examples from recent audits, including DHS’s Medicaid provider debt recovery, the Minnesota State Academies’ travel reimbursement issue, privileged access at the Minnesota State Lottery, missing mileage-verification procedures at the Board of Firefighter Training and Education, and weak documentation in the Board on Aging’s senior nutrition program. Deputy Legislative Auditor Jod Mson Rodriguez then presented a new follow-up report on implementation of prior recommendations from 2022 through 2024, including special reviews. She said the office gathers agency documentation, evaluates progress, and categorizes recommendations from implemented to not applicable, while noting that some items require more work to verify and that this reflects OLA capacity rather than agency performance. Examples included the Department of Commerce, where some policy changes were verified but further work would be needed to confirm consistent investigator compliance, and the Metropolitan Council, where more data analysis would be needed to determine whether bonus payments were properly earned. She also noted that a legislature-directed recommendation to require grant manager training had not been implemented. Overall, OLA reported that state agencies had implemented or partially implemented close to 70% of its recommendations, while the legislature had implemented or partially implemented about 40% of recommendations from the last three years. Members generally praised the office’s work and discussed how agencies respond after reports are issued. Senator Westrom raised concerns about a recent media report on alleged fraud in CCAP, and Randall said OLA was aware of the issue but could not discuss details. Senator Draheim asked about post-report agency engagement, and Randall and Rodriguez said follow-up varies, with some agencies seeking private meetings and others engaging less, but that the follow-up process often prompts further discussion and improvement.

Transcript Highlights:

• financial audit.
• course, from financial audits. course, from financial audits.
• procedure. He I I I I'm very glad that procedure.
• <01:03:07.680> and audits um the 2019 financial audit and audits um the 2019 financial audit
• procedures that are where a a procedure procedures that are where a a procedure takes<01:22:31.920

Keywords: 928, house, all

Summary: The Judiciary Committee met to hear the Legislative Budget Assistant Office’s performance audit of the New Hampshire Commission for Human Rights. Auditors said the commission was inefficient and ineffective in investigating discrimination complaints and closing cases in a timely manner during fiscal years 2020 through 2023. The report contained 25 observations; the commission fully concurred with 24 and concurred in part with one. Auditors highlighted major problems with case processing delays, inaccurate case data, lack of a case management system, weak strategic planning and risk assessment, outdated and disorganized policies, confidentiality issues, expired administrative rules, fee-setting practices, incomplete financial-interest filings, and failure to complete required reports and reconciliations. Two recommendations, involving complaint screening and conciliation, may require legislative action. Several observations focused on the commission’s intake and investigation practices. Auditors said complaints may have been screened out before docketing, potentially preventing commissioner review required by statute, and that the investigation process lacked clear rules and guidance. They also found investigators were assigned non-investigative tasks, training was inadequate, interview requirements were unclear, supervisory duties were burdensome, and confidential information was not always protected by encrypted email. The audit recommended clearer administrative rules, better internal controls, more focused staffing, a supervisory investigator position, and improved training and documentation. Commission representatives said they had already made progress on several items since the audit began, including posting overdue biennial reports and moving toward a case management system expected to go live in June. They said they were working with EEOC counterparts and legal counsel, but emphasized staffing shortages and high turnover, noting the commission currently had nine people working out of 15 authorized positions, with three investigator vacancies and a vacant paralegal position. Committee members thanked the auditors and commission staff, discussed the history of the audit request, and raised concerns about how long the recommended corrective actions might take. The committee took no vote or formal action during the hearing.

Transcript Highlights:

• On pages 6 through 9 of the report, we list other additional audit procedures that we completed for this
• audit.
• During the audit period, the agency didn't have procedures or controls to track that 25% spending limit
• We agree with that, and we are putting in process procedures and tool sets to rectify that audit finding
• Our audit is applying those procedures to ensure that they are living up to those expectations.

Summary: The committee was called to order, the Pledge of Allegiance and prayer were offered, and the minutes from the previous meeting were approved. Members then received a memo summarizing major audit items and began hearing audit presentations from the State Auditor’s Office and private auditors on a range of state agencies and organizations. Several audits were reported as clean, including the Bank of North Dakota, the North Dakota Guaranteed Student Loan Program, the Office of the Governor, the Office of the State Treasurer, the Office of Management and Budget, the Department of Transportation’s flexible transportation fund, Lake Region State College, and the Department of Environmental Quality. The North Dakota Stockmen’s Association also received an unmodified opinion, though repeat findings were noted for limited segregation of duties and financial statement preparation due to its small staff. The Council on the Arts audit found two findings: payroll charged to federal awards without adequate timekeeping records, and unallowable expenditures from a restricted cultural endowment fund. The Department of Public Instruction audit identified unsupported scholarship applications in the paraprofessional-to-teacher program, though additional testing showed the funds were used for their intended purpose. The most extensive discussion centered on the North Dakota Racing Commission audit, which identified four findings: overspending the promotion fund’s 25% operating limit, grant conditions not being met, improper Breeders Fund awards, and improper procurement for advertising services. Racing Commission director Bruce Johnson acknowledged complacency and weak controls, said the agency would tighten procedures, and explained that the commission had since worked with procurement and would follow the rules more closely. Auditors also explained that the commission would now be audited every two years because of the findings. Another major discussion involved the University of North Dakota School of Law, where auditors found a lack of documentation supporting admissions decisions for post-baccalaureate programs. UND officials said they remain in good standing with the American Bar Association but agreed better documentation and tools are needed; the committee pressed for more transparency and follow-up on admissions criteria. The committee also received an update on Dakota College at Bottineau, where Minot State University reported that bank reconciliations had been brought current after a significant backlog and would now be maintained through shared services. Members requested a written follow-up report on the issues and corrective actions. Finally, the North Dakota Fair Association explained that its foundation has been dissolved and remaining funds were transferred to another nonprofit for continued support of the state fair, and the Department of Public Instruction provided an update on school meal debt, saying the reported amount was about $1.1 million from a partial district survey and that debt remains a local issue, though it could be revisited if school meal funding changes.

Transcript Highlights:

• What's the procedure at the end of an audit to follow up on the open items?
• What's the procedure at the end of an audit to follow up on the open items?
• What's the procedure at the end of an audit to follow up on the open items?
• What's the procedure at the end of an audit to follow up on the open items?
• What's the procedure at the end of an audit to follow up on the open items?

Keywords: 928, house, all

Summary: The committee organized itself by electing Representative Griffin as chair and a senator as vice chair, then approved the prior meeting minutes. Director Young then gave status updates on several ongoing performance audits. The New Hampshire Commission for Human Rights audit was reported complete, with presentations already made to the fiscal committee and House Judiciary. The special education oversight audit is still in progress, with 17 observations already sent to the department, responses received on 14, partial concurrence on 12, and a full draft report expected in late summer or early fall. The education freedom accounts audit is also underway, with fieldwork focused on eligibility controls and expenses; staffing shortages at the department have slowed the work, and a draft report is hoped for in the fall. The Doorway program audit is in the planning phase, with a report targeted for the end of the year. Members then discussed whether the committee should do more follow-up on completed audits. Several members said audits often identify issues that remain unresolved for years, and suggested a more active review process, similar to the Health and Human Services Oversight Committee, where agencies would return to report on what audit findings have been fixed and what remains outstanding. Staff noted that any such follow-up would take time away from new audit work, but said they were willing to consider the committee’s direction. Members also discussed using Transparency New Hampshire updates and agency self-reporting to help track progress, and there was general agreement to move toward a system of periodic follow-up on recent audits. The committee also reviewed suspended and potential audit topics. Two Department of Health and Human Services audits, involving the Bureau of Elderly and Adult Services and out-of-date placements, remain suspended because of ongoing litigation. Two other DHS topics, contract management and the Bureau of Developmental Services, remain on the potential audit list. A member raised a possible Fish and Game topic based on constituent concerns, but agreed to wait after speaking with the new director. The committee concluded by agreeing that the audit division should compile a list of audits completed in the last 10 years, with members to identify which ones they want to revisit first.

Transcript Highlights:

• As the audit report reflected, there was no policy or procedure in place to document situations where
• earlier, which, you know, Director Johnson had mentioned during the audit, this is not a gotcha audit
• This audit was not a sunset review.
• This audit was not a sunset review.
• Although our previous audits of the authority have identified some issues... ...audits of the authority

Keywords: 1182, all

Transcript Highlights:

• On pages 6 through 9 of the report, we list other additional audit procedures that we completed for this
• audit.
• During the audit period, the agency didn't have procedures or controls to track that 25% spending limit
• And we are putting in process procedures and tool sets to rectify that audit finding. So, Mr.
• Our audit is applying those procedures to ensure that they are living up to those expectations.

Summary: The committee convened, approved the prior meeting minutes, and received a memo summarizing major audit items. The State Auditor’s office and outside auditors then presented a series of audits, many of which were clean with unmodified opinions and no findings, including the Bank of North Dakota, the Guaranteed Student Loan Program, the Office of the Governor, the State Treasurer, the Office of Management and Budget, the Department of Transportation, the Department of Environmental Quality, Lake Region State College, and the Office of the Governor. The North Dakota Stockmen’s Association audit was also clean overall, but it repeated findings about limited segregation of duties and auditor assistance in preparing financial statements, which the auditor said were expected to continue because of the organization’s small size. Committee members asked about out-of-state board addresses, and the association explained those members were North Dakota residents using South Dakota mailing addresses. Several audits did include findings. The Council on the Arts audit identified two issues: payroll charged to federal awards without supporting time records, and $12,825 in Cultural Endowment Fund spending that was not allowable under state law, including staff training, retreats, and executive director candidate travel. The Department of Public Instruction audit found unsupported scholarship applications in the paraprofessional-to-teacher program, but additional testing confirmed the funds were credited properly and students completed required school district work, so no improper payments were identified. The University of North Dakota audit found a lack of documentation and transparency in School of Law admissions decisions; the auditor said the law school used a holistic process but did not keep notes or evaluation tools to show why applicants were admitted, waitlisted, or denied. UND leadership said the school is in good standing with the American Bar Association and agreed better documentation is needed, and the auditor said the issue was the missing documentation, not ABA accreditation itself. The most extensive discussion centered on the North Dakota Racing Commission audit, which found four findings: overspending the promotion fund’s 25% operating cap, grant conditions not being met, improper breeder fund awards, and improper procurement. The auditor said promotion fund spending exceeded the cap by $327,447 and the fund balance dropped sharply over the audit period. Racing Commission director Bruce Johnson said the agency had become complacent, that grant requests were treated as routine, and that controls and documentation need to be tightened. He also explained that the breeder fund overpayments involved two horses whose ownership transfers were not properly documented before racing, and that the procurement issue stemmed from an advertising contract that proceeded without proper written procurement procedures after a misunderstanding with the State Procurement Office. The auditor said the Racing Commission will now be audited every two years because of the findings. The committee also received updates on Dakota College at Bottineau’s bank reconciliations, which Minot State University said had been brought current after an 18-month backlog, with only one account still needing cleanup; members asked for a written report on the corrective actions. The North Dakota Fair Foundation was reported to have dissolved, with remaining funds transferred to another nonprofit account for continued support of the state fair. Finally, the Department of Public Instruction provided an update on school meal debt, revising the earlier estimate to about $1.1 million based on incomplete district survey responses, and said the Anti-Lunch Shaming law likely increased meal debt because schools must feed students regardless of account balance. Members discussed the need for a more accurate year-end debt figure and possible future reporting at a later committee meeting.

Transcript Highlights:

• We audit our audits on a three-year rotation.
• In these instances, we did extend our audit procedures to verify there were no transactions made that
• In these instances, we did extend our audit procedures to verify there were no transactions made that
• I'm the audit manager over college and university audits.
• He mentioned we did six university audits this audit cycle. We have finalized four of those audits.

Summary: The Joint Legislative Auditing Committee received a presentation from Auditor General staff on recurring findings from audits of district school boards, colleges, and universities. For school districts, the main issues discussed included missing or outdated safe-school officer training documentation, weak purchasing-card controls, vendor banking-change fraud risks, incomplete background screenings and disqualification-list procedures, missing website budget disclosures, excessive or untimely IT access, late deactivation of former employees’ access, missed emergency drill deadlines, inaccurate capital outlay and resiliency education records, weak tangible property inventories, adult education reporting errors, untimely bank reconciliations, and improper use of workforce development funds. The auditors said many of these issues are repeated from prior years and are summarized in their annual report on significant findings and financial trends. For universities and colleges, the auditors highlighted similar control weaknesses, including vendor information change controls, IT access issues, cash and investment reconciliation problems, purchasing and procurement deficiencies, personnel and compensation issues, and student fee compliance concerns. Specific examples included a UF consulting contract totaling about $6 million, FAU underreporting carry-forward balances by about $77 million, UCF’s payment loss of about $107,000 from an email scam tied to vendor changes, and a North Florida College unauthorized transfer involving a few hundred thousand dollars. The committee asked questions about the UF consulting work, the FAU carry-forward issue, and whether the listed findings meant every named entity had every issue; auditors clarified that the lists reflected entities with findings in those categories, not necessarily each specific problem. The committee then turned to enforcement for entities with long-standing uncorrected audit findings. Staff reported 144 entities with 197 findings repeated in three or more successive audit reports and recommended sending letters requesting updated corrective-action status, including for late-filed 2022-2023 reports where appropriate. The committee approved the staff recommendation and directed letters to be sent. The meeting ended with members emphasizing the importance of audit oversight and taxpayer accountability.

Transcript Highlights:

• The Arkansas legislative audit financial statements and audits for fiscal years 2024 and 2025 were completed
• The audits were conducted by a private CPA firm, and the audit reports contain clean opinions on the
• Our audit department is tasked with a very important job of making sure that they audit everything and
• There were 52 audit reports with no findings and five audit reports that contained findings.
• internal audits. ...Legislative Audit, but we conducted some internal audits before the firm conducting

Keywords: 1204, all

Transcript Highlights:

• procedure performed self-audit procedure performed by an independent third party, self-assessment of
• Chairman, so the audit... the audit process itself has to be done The audit itself has to be done in
• Um, but in the procedures for the audit, all have to comply with GAAP or not GAAP, but Yellow Book. >
• of Audit and the Management Audit Committee.
• Audit committee is about fraud. Audit committee is about fraud. Audit committee is about fraud.

Keywords: 916, all

Transcript Highlights:

• The audits were conducted by a private CPA firm, and the audit reports contain clean opinions on the
• Our audit department is tasked with a very important job of making sure that they audit everything and
• There were 52 audit reports with no findings and five audit reports that contained findings.
• internal audits... ...Legislative Audit, but we conducted some internal audits before the firm conducting
• the forensic audit came on board.

Summary: The Legislative Joint Auditing Committee met to approve prior minutes and receive reports from several subcommittees and audits. The executive committee reported that audit and special reports were scheduled for presentation, one requested report remained outstanding, and staff had reviewed circuit-court caseload assignments in Benton County’s 19th West Judicial District. The committee also heard that Arkansas legislative audit financial statements and audits for fiscal years 2024 and 2025 received clean opinions with no internal-control findings, and that the report was accepted. The counties and municipalities report covered delinquent private water and sewer audits, with many entities reinstated after filing required reports, and reviewed current and deferred reports; several reports were referred to prosecutors, the attorney general, or the Government Bonding Board. The education audit report covered 57 school district audits, with three districts—Camden Fairview, Forest City, and Eudora—deferred until the June meeting because of findings and referrals. A substitute motion amended the report to file the Nettleton School District report, and the amended report passed. The state agencies report noted findings at the Department of Public Safety and the Department of Transportation and Shared Services, including duplicate payments, collateral issues, record-keeping problems, and missing vehicle logs; the committee filed five reports. The committee then reviewed the City of Pine Bluff’s 2024 financial audit. The city received clean opinions overall, but the management letter identified serious issues in the mayor’s office, Parks and Recreation, and Finance, including unaccounted-for receipts, altered invoices, unallowable and questionable purchases, missing equipment, and weak cash-receipting and reconciliation procedures. City officials, including the mayor and department heads, testified that the problems largely involved prior activity, said they had terminated involved employees, referred matters to law enforcement, and described corrective steps such as a forensic audit, new procurement and accounting procedures, electronic receipting and payments, and software upgrades. After questions from members, the committee voted to file the Pine Bluff report and adjourned, with the next meeting set for June 4-5, 2026.

Transcript Highlights:

• We'll move on to the audits.
• 25 audit 24 audit ran into June of 25. 25 audit 24 audit ran into June of 25.
• She was a senior audit manager and in charge of the audit.
• > audit.
• written policies and procedures. written policies and procedures.

Keywords: 1189, house, all

Summary: The Joint Fiscal Committee met on March 20, 2026, approved the minutes, and adopted the consent calendar after removing two items for separate discussion: FIS 26048 from the Department of Safety and FIS 26053 from the Department of Environmental Services. The committee then adopted both of those items after brief questioning. Safety explained that a $2 million transfer would reduce its lapse, though it still expected a lapse of just under $4 million. Members, especially Senator Gray, emphasized concern about lapses and the need to track them closely given prior-year shortfalls. On the Environmental Services item, members discussed the Heavy Falls dam removal. The commissioner said the dam is old, not grounded in bedrock, and does not meet current safety standards, so removal was the practical option because replacement funding was unavailable. He said the aquatic resource mitigation fund and Army Corps of Engineers support made the removal feasible, and that the town had been involved in discussions for years. The committee adopted the item. The committee also adopted a Department of Transportation item, with staff noting high snowfall and a roughly 25% vacancy rate but saying contractors and bonus incentives had allowed plowing operations to continue. A Judicial Council item was then adopted, with the director saying it would likely be his last appearance this fiscal year. The committee next reviewed information materials on YDC claims administration, where DOJ staff said current spending would leave about a $10 million buffer into the next fiscal year and described reduced staffing and ongoing claims work; no action was taken. The committee then heard audit presentations for the Liquor Commission and Lottery Commission. The Liquor Commission audit reported seven findings, including a material weakness on reconciliations, issues with NextGen data/reporting, gift and promotional card controls, procurement and leasing practices, and one nonconcurrence on whether certain purchases were exempt from bidding requirements; members discussed whether attorney general review or legislation might be needed. The commission said it had completed a year-end reconciliation and was about 70% reconciled through February. The Lottery Commission audit reported three internal control comments, all concurred with by the lottery, focused on written procedures, filling the controller position, annual risk assessments, disaster recovery testing, user access controls, and training compliance; the lottery said it was hiring to reduce reliance on one employee and had no unresolved findings. The committee took no vote on the audit materials and adjourned after setting the next meeting for April 17 at 11:00 a.m.

Transcript Highlights:

• Accounting procedures from municipalities set forth in state law and other accounting procedures as follows
• . procedures for municipalities set forth in state law and other accounting procedures as follows.
• Arkansas Code requires Legislative Audit to review selected procedures, policies, and transactions of
• The Benton County District responded that certain procedures were changed and compensating procedures
• I mean, we do an audit every year, year-end audit, but I didn't know I had to send it to the...

Summary: The committee approved the February 12 minutes and received updates on delinquent municipal water and sewer reports for 2022 and 2023, noting continued progress toward compliance and reinstatement of turnback funds for several cities. It also deferred several matters to the June 4 meeting, including Fargo’s municipal accounting noncompliance report, Jericho’s street-fund misuse issue, Biggers and Holly Grove deferred reports, and a group of private water and sewer reports lacking proper responses. Members then heard and filed a detailed report on the City of Strong, which involved repeat findings on undeposited receipts, improper use of solid waste funds, unsupported spending, late payroll tax payments, accounting control problems, and fund balance issues. Mayor Darrell Howell described corrective steps, including new internal controls, outside CPA assistance, repayment of misapplied funds, budget amendments, and efforts to address the findings; the committee commended the city’s efforts and filed the report. The committee also filed reports on Thornton Waterworks, Calhoun County, Salem, Briarcliffe, Compton Water Association, Montgomery County Regional Public Water Authority, Camden, Johnson County, and Sparkman, while deferring several private water reports and other unresolved items. A major portion of the meeting focused on the Pulaski County Regional Solid Waste Management District and other regional solid waste districts. The audit found issues in Pulaski County involving unapproved payroll items, missing credit card documentation, unapproved contracts, vehicle and cell phone documentation problems, lack of competitive bidding, and weak internal controls; members questioned the district’s practices and deferred the report to June while requesting district representatives appear. The committee also reviewed a statewide report on six regional solid waste management districts, with findings in Pulaski, Faulkner, and Benton counties and no findings in three others; that report was likewise deferred for Pulaski County questions. The meeting ended after a lengthy discussion with Cross County Rural Water System about overdue audit posting, water quality problems, grant-funded improvements, board notice practices, and the broader challenges facing rural water systems, after which the committee filed the report and adjourned.

Transcript Highlights:

• So we have 23 years of unfiled audits with Legislative Audit. That's pretty serious.
• And if we've received audits or not received audits, or have we required?
• And if we've received audits or not received audits, or have we requested them, and what's been the procedure
• when there is an ask of Legislative Audit staff to do some, for us to perform some procedures, to perform
• Audit, then yes, a request to audit would have to go through our executive committee.

Keywords: 1204, all

Transcript Highlights:

• I had to sign for that audit. I had to sign for that audit.
• Well, don't they do private audits and then send the audit over to the state? Yes, sir.
• So we have 23 years of unfiled audits with Legislative Audit. That's pretty serious.
• And if we've received audits or not received audits or have we requested them, and what's been the procedure
• when there is an ask of Legislative Audit staff to do some, for us to perform some procedures, to perform

Summary: The committee began with prayer and approval of the January 8 minutes, then received updates on delinquent private water and sewer reports. Staff reported that for the 2022 reports, 19 of 43 entities had had their turnback reinstated, while 24 remained in escrow; for the 2023 reports, 59 of 64 entities had filed, leaving five outstanding. The committee also filed a report on Adona, where staff said the city had made enough progress toward substantial compliance with municipal accounting laws to discontinue withholding turnback, and the committee adopted that recommendation. The bulk of the meeting focused on municipal accounting noncompliance cases. Gum Springs and Denning were presented with extensive repeat findings involving budgets not adopted by ordinance or resolution, missing or incomplete bank reconciliations, inadequate receipts and disbursement records, payroll issues, and improper handling of Act 833 funds or other city money. Both cities’ mayors and recorders-treasurers testified about efforts to correct records, obtain training, and work with the Municipal League; the committee voted to start the 60-day turnback-withholding clock for both and then filed the reports. Fargo was deferred because no city representative was present. Additional reports included Green Forest, Elaine, Strong, Brooklyn, Mineral Springs, Rondo, Waldo, Columbia County, and several private water and sewer entities. Strong drew significant concern over missing garbage-bag revenue, improper fund transfers, and deficit balances; the committee deferred that report to the March meeting. The committee also heard investigative or referred reports on the Faulkner County Fair Association, Brooklyn payroll direct-deposit fraud, and other entities with questionable disbursements or recordkeeping. In several cases, staff recommended filing the reports after responses were received; in others, the committee deferred action when responses were lacking or representatives were absent. The meeting ended with a motion to defer a Cross County Rural Water matter so the entity could appear at the next meeting.