2010-01-AU Limited Scope Performance Audit of Department of Water Supply's Internal Controls for Cash Handling and Financial IT Systems

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CHAPTER 3: DEPARTMENT OF WATER SUPPLY FINANCE DIVISION Is directed by the Finance Division Head - Waterworks Controller, and provides three primary financial functions for the Department — Customer Service, Management Accounting, and Computer Service (or Support Services). [See attached: Organization Chart] Customer Service Branch Conducts the Department's billing operations and their related functions, including customer sign -up; meter reading; collection and accounting for cash; preaudit of consumer accounts; maintaining and updating consumer records (water sales); maintaining accounts receivable records and processing billings (work orders); preparing revenue estimates; handling customer service complaints; and performing credit investigations and follow up on delinquent accounts. [See attached: Position Organization Chart] Manaaement Accountin Branch Maintains the general books of the water utility in accordance with the Uniform System of Accounts for Class A and B Water Utilities, as recommended by the National Association of Railroad and Utilities Commissioners, and with applicable laws, rules, and regulations; prepares monthly and annual financial statistical reports on a timely basis; maintains fiscal control of storeroom and storage yards; prepares payrolls and related reports; develops and accumulates cost data; processes requisitions for purchase of materials and supplies; prepares contract documents for and procures all waterworks materials and equipment by formal contracts; preaudits and processes invoices for payments; prepares disbursement vouchers for all expenditures; and reviews, revises, and implements changes in management information system. [See attached: Position Organization Chart] SUDDOrt Services or Comauter Service Branch Maintains and operates all data processing equipment in serving the functions of various other operating units in the Department; provides technical assistance in evaluating accounting systems for the purpose of converting from a manual operation to an automated computer system; and plans and coordinates the installation of the Department's financial information processing system. [See attached: Position Organization Chart] OPERATIONS DIVISION Is directed by the Operations Division Head -Chief of Operations, and is divided into three sections — Field Operations, Plant Operations, and Maintenance. It provides safe potable water to consumers 24 hours a day, including operations and maintenance of the water distribution systems, transmission mains, sources, reservoirs, pumps, treatment plants, communication and controls; and coordinates work with the Engineering and Finance Divisions. 16