COM 0109.001 2016-2018 - Laserfiche WebLink

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During our site visit, we compared inventory records to physical inventory to verify the accuracy and completeness of the inventory and inventory records. We found the following exceptions at the S. Hilo, Kona, and Hamakua Road baseyards: • Highway Administration located at the S. Hilo Road baseyard did not report treated lumber totaling $140,765. • The Kona Road baseyard did not report office supplies, tires, consumable supplies, and tools in at least the last two fiscal years. Only roadside material was recorded as MTS in the inventory system. • The Hamakua Road baseyard did not report herbicide and tires as MTS in the inventory system. In addition, we found at least 79 other controlled assets (e.g., backpack blowers, office equipment, and mobile radios, etc.) (Figure 6) that were present at most baseyards and not properly or timely recorded in the inventory system. During the audit, the Division subsequently recorded only eight of these controlled assets and purchase invoices could not be reviewed for the remaining 71 items. These invoices could not be located and were not properly recorded in the inventory system. We were unable to determine acquired dates and original cost of these items since purchase invoices could not be located. It is important that staff involved in managing the County's inventory have a clear understanding of what items are considered as inventory and whether they need to record these items in the inventory system. If staff do not have a uniform understanding of what items are considered inventory, items purchased with county funds may not be recorded. Management will not be able to control or manage those items that are not recorded. Items Not Recorded as Inventory Hwy Administration 1 U M Hamakua Road 1 2 c Kona Road 5 M -0a g m South Hilo Road 8 3 a m Ka'u Road 16 ao N. & S. Kohala Road 19 x a Puna Road 28 Total 79 79 total items costing $170,000 not recorded Figure 6 Source: Auditor testing of DPW Highway Maintenance Baseyards DPW Highway Maintenance Division Inventory Management: Audit Results 114