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Audit Objective

Determine whether the Board and District officials ensure that compensation payments for employees are accurate, properly approved and supported.

Key Findings

• We reviewed payroll payments totaling $4.7 million to 151 employees and found almost $418,000 in payments (9 percent) were not accurate, supported or paid in accordance with contracts or Board resolutions. For example, the Board did not authorize salaries paid to six individuals totaling $347,368 and paid $11,690 to an employee who worked offsite without certainty as to the work performed.
• Manual adjustments for fingerprint time clock system entries were not adequately supported or approved by supervisors.

Key Recommendations

• Establish procedures to ensure that payroll-related payments are accurate, supported and in accordance with written collective bargaining agreements (CBAs) individual employment contracts or Board resolutions.
• Ensure all salaries, wages and additional pay items are authorized by the Board before being paid.
• Ensure manual adjustments for missed punches into the fingerprint time clock system are documented and approved by supervisors.

District officials disputed and disagreed with us in many instances; however, they indicated they had already taken or planned to take corrective action.

Appendix B includes our comments on the issues raised in the District’s response letter.