HomeMy WebLinkAboutCOM 0109.000 2016-2018 Valerie T. Poindexter .. —- Bonnie S.Nims,CGAP
Chair&Presiding Officer •. or•"•! •. Legislative Auditor
Council District 1
Business Address
6::4a- 1266 Aamehameha Avenue
Suite A-S
Hilo.Hawaii 96720
(Enuntg of Pafinn`1
OFFICE OF THE LEGISLATIVE AUDITOR
25 Aupuni Street Hilo, Hawaii 96720 * (808)961-8386 • Fax(808)961-8905
website-htrp hawmicounp.ear e-mail:publldaor&cahawaithi.us
February 2, 2017
COUNTY CLERK
Valerie Poindexter, Council Chair and COUNTY OF RAWAI'I
Members of the Hawaii CountyCouncil
RECEIVED
Time 33 By lin,
Hawaii County Council Date FEe. 02 2oi7
25 Aupuni Street
Hilo, Hawaii 96720
Dear Madam Chair and Council Members,
In accordance with Hawaii County Charter Section 3-18(d)(2), attached is the Office of the
Legislative Auditor's report of our audit of Inventory Management of the Department of Public
Works Highway Maintenance Division. The purpose of the audit was to determine whether internal
controls currently in place are effective in ensuring accurate and complete inventory and inventory
records, accountability for inventory and inventory records, and adequate safeguarding of inventory.
We also identified potential areas for improvement.
The Division's inventory management system lacks sufficient internal controls, including
independent monitoring, proper recording, and disposal of inventory, continuously tracking of items
prone to theft, adequate safeguarding,training of employees, and written policies and procedures.
Due to these internal control weaknesses, as well as errors in processing inventory, physical
inventory and inventory records were inaccurate and incomplete.
Please contact me at 961-8386, if you need further information. We sincerely thank the staff of the
Department of Public Works Administration, Highway Maintenance Division, and the Department
of Finance Property Management Division for their assistance and cooperation during the audit
process. We sincerely appreciate all of their valuable time and efforts spent on providing us
information.
Respectfully,
_ 1
r a
Bonnie S. Nims, CLAP p
Legislative Auditor Comm.No. I 0 1
Ref.To: FL
(Note: The original audit report was replaced Ret.Dote Elk Ob. 20t7
per Comm. No. 109.1.)
cc: Harry Kim, Mayor
Stewart Maeda, County Clerk
Wil Okabe, Managing Director
Frank J. De Marco, P.E., Public Works Director
Allan G. Simeon, P.E., Public Works Deputy Director
Neil Azevedo, Highway Maintenance Division Chief
Collins Tomei, Finance Director
Deanna Sako, Deputy Finance Director