COM 0942.000 2020-2022 - Laserfiche WebLink

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Update and Enforce Policies and Procedures Condition and Cause Written policies and procedures were incomplete, insufficiently detailed, and not consistently followed or enforced. Effect of the Condition A weak control framework leads to fraud, loss or theft. Recommendation 8.1 "We recommend Mass Transit management establish, clarify, and enforce internal controls in County policy and procedures to ensure consistency throughout the department and with industry best practices including but not limited to: • Timely independent review and monitoring procedures • Guidance and clarification on individual job duties to ensure adequate segregation of duties exists • Physical security procedures • Timely deposit of receipts • Endorsing checks immediately upon receipt • Consecutiveness of pre-numbered receipts, paratransit coupons, taxi coupons, bus passes, and bus tickets (once pre-numbered) • Timely recognition of revenue • Cash and check composition reconciliation • Recording and reconciliation of cash over/shorts • Fraud reporting guidance • These policies should provide enough detail to describe how the procedures are intended to be performed, delineate authority and responsibility, and indicate which employees are to perform which procedures" Agency Action • Developed Mail-In, Walk-In, Treasury Receipt, Credit Card Sales procedures to address: o Endorse the check by stamping the bank information on the back • Used after-hours security guard/services from 5:30 pm to 6:00 am 7-days a week. The Leilani Street gate into the transfer station is locked between 5-5:30pm and reopens at 6am. Security guard patrols from Leilani Street to base yard Audit Activity Verified that all items listed below are included in MTA cash handling policies and procedures. We determined that while multiple items in this recommendation are covered by the various cash handling procedures, there are some areas not fully addressed: Exceptions • Timely independent review and monitoring procedures are not fully developed • Guidance and clarification on individual job duties to ensure adequate segregation of duties exists - MTA has procedures and processes partly meet this recommendation, however, there is only one Account Clerk assisted by various security guards/vendor staff to act as a second set of eyes for the cash count; this is not appropriate since neither of the persons is working for the County or is contractually covered to do this type of work • Cash and check reconciliation - Reconciliation of taxi coupons and licensing sales are not being reconciled daily Update and Enforce Policies and Procedures 1 23