Summary

Our audit of the Department of Education for the year ended December 31, 2005, including selected Department actions through September 30, 2006, disclosed the following:

Finding No. 1: Inconsistencies were noted between the Department’s organizational structure and applicable State requirements.  We also noted that the Department did not always obtain the approval of the Executive Office of the Governor prior to making changes in its organizational structure, as appropriate.

Finding No. 2: The Department did not maintain a master list of its cash collection locations; maintain cash collection procedures by location; or periodically review its cash collection practices.

Finding No. 3: The Department did not submit information concerning its clearing accounts, revolving funds, and banking service contracts to the Department of Financial Services (DFS), as required.  Subsequent to our inquiries, the Department submitted the required information.

Finding No. 4: The Department did not update its motor vehicle usage data in the Equipment Management Information System in a consistent and timely manner, and the supporting Motor Vehicle Reports were not always accurate and complete.

Finding No. 5: The Department’s policies and procedures for acquiring and using cellular telephones (cell phones) did not provide for adequate monitoring of cell phone usage.  Also, the Department did not confer with the Department of Financial Services to report to the Internal Revenue Service the value of cell phone services as income for employees who did not make an adequate accounting of the business use of their assigned cell phones.  Subsequent to our inquiries, the Department contacted DFS to initiate discussion of this issue.

Finding No. 6: The Department did not promptly revoke access to the Florida Accounting Information Resource Subsystem for 19 ex-employees.

Finding No. 7: The Department did not provide school districts and community colleges all the information needed to accurately reflect State Board of Education bond transactions in their 2005-06 financial statements in accordance with generally accepted accounting principles.  Subsequent to our inquiries, the Department provided the needed SBE bond information to the district school boards and community colleges concerned.

Finding No. 8: The Department did not require certifications from community colleges’ direct support organizations regarding the deposit of local matching funds for the Community College Facility Enhancement Challenge Grant Program.

The Department’s response is included in this report as Appendix A.