FINAL REPORT
City of Cupertino
CITY -WIDE POLICY INVENTORY AND GAP ANALYSIS
November 21, 2024
Moss Adams LLP
999 Third Avenue, Suite 2800
Seattle, WA 98104
(206) 302-6500
City-Wide Policy Inventory and Gap Analysis
FOR INTERNAL USE OF CITY OF CUPERTINO ONLY
Table of Contents
Background, Scope, and Methodology 1
A. Background 1
B. Scope and Methodology 1
Overall Results 4
Prioritized P&P Work Plan 5
A. Administrative Services 5
B. City Manager’s Office 5
C. Community Development 6
D. Innovation and Technology 6
E. Law Enforcement 7
F. Parks and Recreation 7
G. Public Works 8
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BACKGROUND, SCOPE, AND METHODOLOGY
The City of Cupertino (the City) requested that Moss Adams LLP (Moss Adams), as the City’s internal auditor, perform an inventory of Citywide Administrative policies and procedures (P&Ps) and provide a gap analysis to determine whether gaps in coverage exist, and develop a prioritized P&P work plan to support the City in addressing identified gaps. The objectives of this project were to:
Determine which Citywide departments are adequately covered by comprehensive and current P&Ps.
Identify the gaps within each policy, including areas where:
○ There were no documented policies to support departmental functions ○ Existing policies that are outdated or in need of minor updates or additions, and; ○ Current internal control or gap coverage is missing key components. Prioritize policy gaps based on overall risk and develop an implementation plan to provide the City with recommendations for prioritizing and addressing identified policy gaps.
This engagement was performed in accordance with Standards for Consulting Services established by the American Institute of Certified Public Accountants. Accordingly, we provide no opinion, attestation, or other form of assurance with respect to our work o r the information upon which our work is based. This report was developed based on our assessment of the City’s departmental Administrative P&Ps we requested as of October 2023, however, some departments required additional time to provide all P&Ps and therefore, P&Ps were received up through June 2024. The procedures we performed do not constitute an examination in accordance with generally accepted auditing standards or attestation standards.
The scope of this project included Administrative P&Ps in each of the following City departments:
Administrative Services
City Manager’s Office
Community Development
Innovation and Technology
Law Enforcement
Parks and Recreation
Public Works
○ Capital Improvement Program
The scope does not include the City’s finance and accounting functional areas, which were addressed in our report titled “Fiscal Policy Inventory and Gap Analysis” from May 2022 . The scope also does not include City Council P&Ps and P&Ps adopted by Council Resolution, which are more legislative in nature compared to the in-scope Administrative P&Ps, which are more operationally City-Wide Policy Inventory and Gap Analysis | 2
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focused. Citywide Administrative P&Ps are reviewed and approved by the City Manager and department-specific P&Ps are reviewed and approved by the respective Department Head.
All Administrative P&Ps available as of October 2023 through June 2024 were provided to Moss Adams to assess as part of this project. Other P&P documents, informal process documentation, or guideline documents that are not approved formal P&Ps at the City level may exist; however, they were not included in this analysis and are therefore not included in the results presented in this report.
The procedures performed included:
Citywide P&P Inventory
We worked with the City to determine that the following departments would be included in the scope of this project:
○ Administrative Services
○ City Manager’s Office
○ Community Development
○ Innovation and Technology
○ Law Enforcement
○ Parks and Recreation
○ Public Works
− Capital Improvement Program
For each department, we performed the following:
○ Obtained all available P&P documents.
○ Documented a full inventory of existing P&Ps, including a summary of the coverage areas and age of each P&P.
○ Discussed the full inventory of results with the City to ensure that all P&Ps were provided and included in the inventory for each department listed above.
Citywide P&P Gap Analysis
We performed a full gap analysis of departmental P&Ps including:
○ Identifying potential gaps in coverage for the current departmental P&Ps. ○ Assessing the current departmental P&Ps for opportunities to improve the overall content and flow/structure, incorporate best practices, and improve internal controls, where possible, to provide effective resources for employees.
○ Summarizing the gaps identified for all policies within the gap analysis. ○ Categorizing the significance and extent of the identified gaps as follows: full gaps, major gaps, or minor gaps. Additionally, we identified policies that need to be reviewed for potential updates.
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Prioritized P&P Work Plan Development
Based on the results of the P&P inventory and gap analysis performed, we developed detailed recommendations, by department, for the City to use as a road map for developing, amending, or updating policies. We assigned a risk level (high, medium, or low), as described in the following table, and a recommended priority order by phase based on the risk level. We discussed the prioritized policies work plan with management, gathered input on the work plan, and made updates, as appropriate.
Gaps identified during the analysis were categorized as follows:
Full Gap: Documented P&Ps do not exist for the area.
Major Gap: Some P&P documentation exists; however, there are major gaps in overall coverage. Minor Gap: P&Ps cover most of the key areas but require some updating or additional coverage . Update Needed: The P&P needs to be reviewed for potential updates.
The assessed risk level, category descriptions, and recommended phases/timing for addressing the gaps and related recommendations are described in the following table. The risk levels were assigned based on our understanding of the City, insights gained from management, the inherent risk in each area, and the level and significance of gaps identified.
Assessed
Risk Level Category Description
Recommended
Phase/Timing
High Risk ● Area is inherently high risk
● Gaps identified were either full gaps (i.e., no P&P coverage) or major gaps
● Area is a high priority for the City’s operations and structure Phase One
(within 6 months of
fiscal year end –
June 2025)
Medium Risk ● Area is inherently high or medium risk; however, a lack of documented P&Ps may only represent a medium risk to the City ● Gaps identified were either full gaps or major gaps
● Area is a high priority for the City’s operations and structure Phase Two
(within 12 months
of fiscal year end –
December 2025)
Low Risk ● Area is inherently low risk
● Gaps identified were either minor in significance or magnitude, or the area only needed review or updating
● Area is a low priority for the City’s operations and structure Phase Three
(within 18 months
of fiscal year end –
June 2026)
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OVERALL RESULTS
Throughout the P&P inventory and gap analysis, we found that the Citywide departments have a variety of P&P documents; however, they are not consistently utilized, structured, or based on standard templates Citywide.
The City does not have a defined Citywide P&P framework and, as a result, in many cases it was unclear what level of policy a document fell under or whether a P&P was a policy, memorandum, or standard operating procedure.
In addition, the City does not have a standard template/format and there does not appear to be a structure for ensuring all policies are supported by underlying procedures .
Utilizing a defined P&P framework with standard templates will help streamline the City’s P&P resources. This framework can be used to define responsibilities at both the City Council and management level.
After completing the policy and procedure gap analysis f or the Law Enforcement Department we were informed that given that they contract with Santa Clara Sheriff’s Office the City’s policies and procedures are not public record and could not be provided. As we were not able to review these policies, we recommend that the City assess whether the policies cover the topics detailed below. In the Prioritized P&P Work Plan, we have marked the Type of Gap, Associated Risk, and Recommended Priority Level columns as “N/A” as the City will need to perform this assessment.
The City can utilize the Prioritized P&P Work Plan, presented in the following section, to carry out their efforts in developing and updating their Citywide P&Ps. In addition to the following summary table, we have provided management with a detailed Prioritized P&P Work Plan, which includes all results from the inventory and gap analysis performed and detailed recommendations by area.
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PRIORITIZED P&P WORK PLAN
Policy Name Type of Gap Associated Risk
Recommended
Priority Level
Vehicle Use Policy Minor Gap Medium 2
Anti-Bullying Policy and Signature Sheet Update Needed Low 3 Children in the Workplace Policy Updated Needed Low 3
Debt Management Policy Update Needed Low 3
Employee Events Minor Gap Low 3
Employee Service – Retirement Awards
Policy
Minor Gap Low 3
Hiring Retired Annuitants Policy Update Needed Low 3
Interim Parking Policy Update Needed Low 3
Rec Bucks Program Policy Update Needed Low 3
Reclass Policy Update Needed Low 3
Return to Work Policy Update Needed Low 3
Risk Management Policy Update Needed Low 3
Salary Admin Procedures Update Needed Low 3
Surety Deposit Policy Update Needed Low 3
Travel Policy Update Needed Low 3
Unclaimed Property Update Needed Low 3
Volunteer Intern Process Policy Update Needed Low 3
Policy Name Type of Gap Associated Risk
Recommended
Priority Level
Candidate Restriction on Campaign Activity Minor Gap Medium 2 Redaction Policy Minor Gap Medium 2
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Policy Name Type of Gap Associated Risk
Recommended
Priority Level
Social Media Policy Minor Gap Medium 2
Business Cards for Councilmembers,
Commissioners, and Staff
Minor Gap Low 3
City Hall Meeting Room Use Policy Minor Gap Low 3
Council Orientation Guidelines Update Needed Low 3
Employee and City Officer Restrictions -
Political Activities
Update Needed Low 3
News Media Contact Relations Policy Update Needed Low 3 Outgoing Mayor & Councilmember Gifts
Policy
Update Needed Low 3
Telephone Etiquette Policy Minor Gap Low 3
Policy Name Type of Gap Associated Risk
Recommended
Priority Level
New Planning Employee Training Manual Minor Gap Medium 2 Comparison Matrix for Existing and New
Construction
Minor Gap Low 3
Plans Required to be Prepared Minor Gap Low 3
Protection of Wiring during Construction Minor Gap Low 3 Reinspection Fee Policy Minor Gap Low 3
Temporary Certificate of Occupancy
Procedure
Minor Gap Low 3
Survey Policy No Gap N/A N/A
Policy Name Type of Gap Associated Risk
Recommended
Priority Level
City Channel Policies and Procedures Update Needed Medium 2 Intranet Policy Update Needed Medium 2
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Policy Name Type of Gap Associated Risk
Recommended
Priority Level
Photo Identification Policy Update Needed Medium 2
Technology Use Policy Minor Gap Medium 2
Email Retention Policy Update Needed Low 3
Electronic Communications Policy Minor Gap Low 3
Internet Access and Use Policy Minor Gap Low 3
MS Teams Governance Update Needed Low 3
Policy Name Type of Gap Associated Risk
Recommended
Priority Level
Arrest and Detention Policy and
Procedures
N/A N/A N/A
Bias-Free Policing Policy and Procedures N/A N/A N/A
Complaints and Discipline Policy and
Procedures
N/A N/A N/A
Reporting and Accountability Policy and
Procedures
N/A N/A N/A
Training and Professional Development
Policy and Procedures
N/A N/A N/A
Use of Force Policy and Procedures N/A N/A N/A
Policy Name Type of Gap Associated Risk
Recommended
Priority Level
Cupertino Senior Center Internal Policies Update Needed Medium 2 Front Office Rental Policies and
Procedures
Minor Gap Medium 2
Sport Center Sign Policy Update Needed Medium 2
Community Special Events in Memorial
Park Approved
Update Needed Low 3
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Policy Name Type of Gap Associated Risk
Recommended
Priority Level
Capital Improvement Program: Capital
Improvement Policy
Major Gap High 1
Paper Procurement Policy Minor Gap Medium 2
Polychlorinated biphenyls (PCB) Demo
Management Policy
Minor Gap Medium 2
Pool Vehicle Use Minor Gap Medium 2
Banner Policy Update Needed Low 3
Bicycle Commute Policy Update Needed Low 3
Building Exteriors and Bridge Maintenance Update Needed Low 3 Complete Street Policy Update Needed Low 3
Compost Site Operations Update Needed Low 3
Dark Traffic Signal Policy Update Needed Low 3
Dedication Requirement Policy Update Needed Low 3
Emergency Response Update Needed Low 3
Environmental Preferred Purchasing Policy Update Needed Low 3 Impervious Material in Parkstrip Update Needed Low 3
Integrated Pest Management Policy Update Needed Low 3
Key Policy Update Needed Low 3
Maint. Of City Medians Update Needed Low 3
Monitoring Wells Policy Update Needed Low 3
Opening/Closing City Parks Update Needed Low 3
Parkstrip Policy Update Needed Low 3
Public Works Confirmation Fee Update Needed Low 3
Record Keeping - Spraying Chem.
Application Training
Update Needed Low 3
Road Improvement Requirement Policy Update Needed Low 3 City-Wide Policy Inventory and Gap Analysis | 9
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Policy Name Type of Gap Associated Risk
Recommended
Priority Level
School Sites Update Needed Low 3
SOP Fleet 2000 Update Needed Low 3
Steel Plate Requirements for Excavations
in the Public ROW
Update Needed Low 3
Stormwater Re-Inspection Fee Update Needed Low 3
Street and Easement Vacations Update Needed Low 3
Street Name Policy Update Needed Low 3
Street Lighting Systems Update Needed Low 3
Street Signs & Markings Update Needed Low 3
Street Tree maintenance Update Needed Low 3
Weekend Work Furlough Program Update Needed Low 3
Work Zone Traffic Control Update Needed Low 3