Summary

This operational audit for the period July 1, 2005, through June 30, 2006, disclosed the following:

Finding No. 1:  Self-Insurance - Claims Monitoring

The District did not require the service agent for its workers’ compensation self-insurance program to provide, through its independent auditors, a service organization report covering internal controls over the processing of claims payments.

Finding No. 2:  Monitoring of Charter Schools

The District did not always ensure that charter schools were in compliance with the contract provisions regarding insurance coverage. 

Finding No. 3:  Assigning of Cellular Telephones

The District’s procedures over cellular telephones needed improvement.  The District’s procedures did not provide for the specific criteria to be used by cost center heads to justify business need.

Finding No. 4:  Architect and Engineer Professional Liability Insurance

The District’s procedures did not ensure that its architects and engineers were adequately insured. 

Finding No. 5:  Fingerprinting Requirements

Improvements were needed in procedures for timely obtaining fingerprints and background checks for contractual personnel who are permitted access to school grounds when students are present or who have direct student contact and for instructional personnel upon recertification.

Finding No. 6:  Security Awareness Training

Improvements were needed in the District’s security awareness training. 

Finding No. 7:  Information Technology – Access Controls

Improvements were needed in access controls over the District’s information technology resources.   

The Superintendent’s written response to the audit findings and recommendations is included in Appendix B of this report.