AUDIT COMMITTEE SUMMARY
September 19, 2017
Follow-up Audit of SAPD Off Duty Employment Program
Report Issued June 29, 2017
Follow-up Audit Objective
Determine if prior audit recommendations have been successfully implemented and working as intended.
Background
In March of 2015, the Office of the City Auditor completed an audit of the San Antonio Police Department (SAPD) Off-Duty Employment Program. The objective of the audit was to determine if key internal controls over the SAPD Off-Duty Employment Program were adequate to ensure compliance with department policy and the Collective Bargaining Agreement (CBA).
The Office of the City Auditor concluded that SAPD Off-Duty Employment Program did not have adequate internal controls to ensure compliance with department policy and the CBA. SAPD’s billing and collection of revenue was processed untimely and recorded inaccurately. There was a lack of controls related to the scheduling of officers, protection of credit card information and compliance with cash handling policies. In addition, there was a lack of event support documentation and outdated written procedures. Finally, the City was not recovering the cost to administer the program. The City incurred a loss of $872,000 administering the Program in FY2014.
Audit Scope and Methodology
The audit scope was limited to the recommendations and corrective action plans made in the original report for the period of FY 2014 through FY 2016.
Audit Conclusion
SAPD has successfully implemented six of the seven prior audit recommendations.
SAPD established controls to ensure billing, recording, and collection of revenue is accurate. SAPD also developed an equitable process for scheduling off-duty assignments. In addition, SAPD implemented controls to ensure the security and protection of customer credit card information. SAPD was also in compliance with City cash handling requirements. Finally, procedures were established to ensure event documentation is maintained and updated procedures to reflect current operations.
However, SAPD has partially implemented one action plan to address the operating loss of administering the Program. SAPD has not fully replaced sworn officers performing administrative tasks with civilian personnel. As a result the City incurred a loss in FY15 and FY16 of approximately $933,000 and $1,107,000 respectively as shown below.
|
Program Administrative Revenues and Expenditures |
|
|
FY 2014 |
FY 2015 |
FY 2016 |
|
Revenues |
|
|
|
|
NSA Revenue |
61,379.28 |
43,891.38 |
30,169.12 |
|
Event Revenue |
57,586.43 |
72,708.37 |
60,379.08 |
|
Total Revenues |
118,965.71 |
116,599.75 |
90,548.20 |
|
Expenditures |
|
|
|
|
Personnel |
947,999.56 |
997,624.71 |
1,130,244.25 |
|
Non - Personnel |
43,272.88 |
51,627.69 |
67,693.72 |
|
Total Expenditures |
991,272.44 |
1,049,252.40 |
1,197,937.97 |
|
Net Income (Loss) |
(872,306.73) |
(932,652.65) |
(1,107,389.77) |
We made a recommendation to address the opportunity. The SAPD Police Chief concurred with the recommendations and developed positive corrective action plans.