Item 17 2023-01237 City Auditor’s Recommendation Follow-Up Report for the Six-Month Period Ending June 30, 2023

City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-01237 10/3/2023 Consent Item 17.

City Auditor’s Recommendation Follow-Up Report for the Six-Month Period Ending June 30, 2023
File ID: 2023-01237
Location: Citywide
Recommendation: Pass a Motion approving the City Auditor’s Recommendation Follow-Up Report for the January 1, 2023 to June 30, 2023 period.

Contact: Jorge Oseguera, City Auditor, (916) 808-7270, [email protected], Office of the City Auditor
Presenter: None
Attachments:
1-Description/Analysis
2-City Auditor’s Recommendation Follow-Up Report for the Six-Month Period Ending June 30, 2023 Description/Analysis
Issue Detail: According to the City Council Rules of Procedures, the Budget and Audit Committee shall receive, review, and forward to the council as appropriate, reports, recommendations, and updates from the City Auditor. This report details the implementation status of open audit recommendations during the second half of fiscal year (FY) 2022/23.

Policy Considerations: The City Auditor’s presentation of the Recommendation Follow-Up Report is consistent with the Mayor and the City Council’s intent to have an independent audit function for the City of Sacramento.

Economic Impacts: None.

Environmental Considerations: None.

Page 1 of 2 ends

File ID: 2023-01237 10/3/2023 Consent Item 17.

Sustainability: None.

Commission/Committee Action: On September 5, 2023, the Budget and Audit Committee passed a motion to accept the City Auditor’s Recommendation Follow-Up Report for the Six-Month Period Ending June 30, 2023 and to forward to the City Council for approval.

Rationale for Recommendation: This staff report provides the City Council with information that may be used to meet its responsibility to provide oversight and supervision of the City Auditor.

Financial Considerations: The cost of the Recommendation Follow-Up Report was funded out of the FY 2023/24 Office of the City Auditor budget.

Local Business Enterprise (LBE): Not applicable.

Page 2 of 2 ends

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Report #
2023/24-03
City Auditor’s Semi-Annual
Recommendation Follow-Up Report:

January – June 2023

Jorge Oseguera
City Auditor
September 2023

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Contents
Recommendation Follow-Up Process .............................................................................................................................................. 4 Recommendation Progress ................................................................................................................................................ 4 Benefits of Implementing Recommendations ............................................................................................................................... 4 Implementation Progress of Recommendations ......................................................................................................................... 6 81% of All Recommendations Have Been Closed .............................................................................................................. 6 Status of Open Recommendations .................................................................................................................................... 7 The Number of Recommendations Issued and Closed Per Year ........................................................................................ 8 Open Recommendations by Department .......................................................................................................................... 9 Post Audit Recommendation Follow Up Status by Audit ......................................................................................................... 10 Audit of City Policies and Procedures .............................................................................................................................. 10 Audit of City Light-Duty Vehicle Use ................................................................................................................................ 11 Audit of Citywide Purchase-Card Use .............................................................................................................................. 12 Audit of City Employee Supplemental Pay ....................................................................................................................... 13 Audit of the Fire Department Inventory Systems & Narcotics - Part 2 of 2 ..................................................................... 13 Audit of Citywide Wireless Communications ................................................................................................................... 16 Audit of the Department of Utilities Labor Reporting ..................................................................................................... 17 Audit of the City's Risk Management Division ................................................................................................................. 18 Audit of Fire Department Overtime Use .......................................................................................................................... 19 Audit of the Department of Utilities Inventory ................................................................................................................ 20 Audit of Procurement for Services of $25,000 or Less..................................................................................................... 22 Audit of the Department of Parks and Recreation's Strategic Planning and Part-time Employee Benefits Management23 Audit of the Department of Utilities Workplace Safety ................................................................................................... 25 Audit of On-Street Parking Meters .................................................................................................................................. 26 Audit of Retiree Health Benefits ...................................................................................................................................... 27

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of the 911 Emergency Communications Center ..................................................................................................... 28 Audit of the Department of Utilities Vehicle Fleet .......................................................................................................... 28 Audit of City-Owned and Leased Real Property ............................................................................................................... 29 Audit of the City's Green Efforts ...................................................................................................................................... 32 Contract Compliance Audits of the Roberts Family Development Center and Downtown Streets Team, Inc. ............... 37 Audit of the Cannabis Storefront Dispensary Permitting Process ................................................................................... 37 Continuous Review of Cannabis Policymaking, Education & Community Outreach ....................................................... 39 Audit of the Sacramento Community Police Review Commission ................................................................................... 40 Vendor Audit of Wide Open Walls ................................................................................................................................... 45 Language Access Gap Analysis, Survey Results, and Policy Recommendations .............................................................. 46 Audit of the Cannabis Code Enforcement Unit ................................................................................................................ 52

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Recommendation Follow-Up Process
The Office of the City Auditor (Office) makes recommendations to strengthen accountability and improve the efficiency and effectiveness of City programs. In many cases, this involves verifying compliance with laws and regulations, identifying internal control weaknesses and failures, and assessing whether the City has acquired and used its resources efficiently. Sacramento City Code section 2.18.040 states “[t]he city auditor shall periodically review audit recommendations and investigations as practical to determine if responsive action has been taken. The city auditor may request status reports from audit subjects regarding actions taken to address audit findings and recommendations.” The Office monitors the implementation of all recommendations and reports on the status of open recommendations every six months with this semiannual report.

In accordance with the City Auditor’s approved Fiscal Year (FY) 2023/24 Audit Plan, we have prepared a report on the status of open recommendations for the six-month period ending June 2023. To prepare this report, we met with department staff, reviewed documentation provided by departments, and performed testing to evaluate implementation progress. We would like to express our appreciation to City staff for their cooperation and assistance during our reviews.

Recommendation Progress
We classified recommendations based on the responsible party’s progress:

 Not started – The responsible party temporarily postponed implementing the audit recommendation or did not demonstrate sufficient progress toward implementing the recommendation.
 S tarted – The responsible party began implementing the recommendation, but considerable work remains.  Partly Implemented – The responsible party satisfied some elements of the audit recommendation, but additional work and testing remains.
 Imp lemented – The responsible party provided documentation and the Auditor verified the satisfactory implementation of the audit recommendation.
 D rop ped – The auditor recommends eliminating the recommendation since a change in circumstances rendered it unnecessary.

Benefits of Implementing Recommendations
One of the goals in performing our work is to identify areas in which the City could reduce expenses or increase revenues. However, in some cases it can be difficult to calculate the financial benefit that a recommendation could produce. For example, it would be difficult to determine avoided costs of potential workers’ compensation claims in the future.

While much of our work aims to identify financial benefits, recommendations are not solely focused on identifying savings. Sometimes they focus on areas that identify key benefits that are not easily quantifiable. For example, it could be difficult to quantify the value of increased

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

residents’ satisfaction with City services due to implementation of recommendations, or the benefits of having policies in place that reduce the City’s overall risk.

We expect that most of our work will yield both financial and non-financial benefits. Some examples of benefits captured include identifying revenue the City should have collected, errors that led the City to overpay expenses, and potential savings by modifying practices or agreements.

Figure 1 illustrates the potential financial benefits identified in our reports as well as the estimated realized financial benefits resulting from the implementation of all recommendations made by the Office of the City Auditor.

Figure 1: Potential Financial Benefit Identified and Estimated Financial Benefit Realized Since Establishment of the Office of the City Auditor

Source: Auditor generated.

As the figure above covers various types of potential benefits and relies on decisions and agreements that may or may not be made, it does not represent an expectation that the City will necessarily save or recover the full amount identified. For example, although the Audit of the Community Development Department identified $2.3 million in fees that the City did not collect, recovering those fees may prove difficult due to barriers to collection.

Potential Benefit
$98 Million
Realized Benefit
$41.9 Million

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Implementation Progress of Recommendations
81% of All Recommendations Have Been Closed
Since the establishment of the Office of the City Auditor in 2010, the Office has issued over 75 reports and made 735 recommendations. During this reporting period, 21 recommendations were closed. At the end of this recommendation follow-up period, 595 (81%) of total recommendations had been closed. Figure 2 illustrates the number of recommendations open compared to the number of recommendations closed as of June 30, 2023.

Figure 2: Recommendation Status

Source: Auditor generated.

140
595 Open
Closed

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Status of Open Recommendations
Open recommendations are classified based on the responsible party’s progress towards implementation. Figure 3 illustrates the progress of all open recommendations.

Figure 3: Status of Open Recommendations

Source: Auditor generated.

In addition to reporting on the current progress of open recommendations, our Office tracks whether notable new progress has been made towards implementing recommendations during the review period.

17 49
74 Not Started
Started
Partly Implemented

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Number of Recommendations Issued and Closed Per Year Figure 4 illustrates the number of recommendations issued and closed in the last eight fiscal years. The average number of recommendations closed per year is 53.

Figure 4: Recommendations Issued Compared to Recommendations Closed by Fiscal Year

Source: Auditor generated.
51 62
120
10 69
58 27 28
57 47
40 54
80 75
34 35
0 20
40 60
80 100
120
140
2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023 Recommendations Issued Recommendations Closed Average Closed (52)

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Open Recommendations by Department
Recommendations made by the Office of the City Auditor are directed towards specific departments or entities. In some cases, implementation requires extensive coordination between multiple parties. Recommendations directed towards multiple parties are listed under the lead department. Figure 5 illustrates the outstanding recommendations by department. For context, the number of closed and total recommendations issued to each department is also listed.

Figure 5: Recommendations by Department
Department Open Closed Total % Closed
City Attorney 0 1 1 100%
City Clerk 0 1 1 100%
City Council 15 7 22 32%
City Manager 34 34 68 50%
Community Development 3 48 51 94%
Finance 18 83 101 82%
Fire 12 46 58 79%
Human Resources 10 100 110 91%
Information Technology 3 45 48 94%
Non-City Organization 0 33 33 100%
Office of Cannabis Management 3 25 28 89%
Police 2 11 13 85%
Public Works 19 47 66 71%
Sacramento Housing and Redevelopment Agency 0 12 12 100% Utilities 13 91 104 88%
Youth, Parks, and Community Enrichment 8 11 19 58%
Grand Total 140 595 735 81%
Source: Auditor generated.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Post Audit Recommendation Follow Up Status by Audit
The following tables provide the status of audit recommendations, by audit report, generally in the order the audits were issued. Please note that recommendations closed in a prior period are not listed.

Audit of City Policies and Procedures

Report #2011-04

Finding # Recommendation Status Update

While the City has a System for
Establishing Policies &
Procedures, it is Generally
Circumvented
5 Update AP-1001 to clearly describe the
mechanism for updating Administrative
Policies
Partly
Implemented
Last period, the Human Resources Department
developed a Policy Process Workflow which outlines the
process to establish and update City policies. The policy has since been updated to guide City employees that
need to create or revise a policy. This document is
available to City staff on the Human Resources
Department’s intranet page.

The Inventory of Citywide
Policies Could be More
Complete and Organized
10 Strengthen the language in AP-1001 to
require department directors and
division managers who manage
citywide processes to establish
Administrative Policies over key
operational areas.

Partly
Implemented
Last period, the Human Resources Department
developed a Policy Process Workflow which outlines the
process to establish and update City policies. The policy has since been updated to guide City employees that
need to create or revise a policy. This document is
available to City staff on the Human Resources
Department’s intranet page.

The Inventory of Citywide
Policies Could be More
Complete and Organized
14 Update PR-1001-01 to include a clear
description of how Administrative
Policies and Procedures are integrated
and accessed in CCM.

Partly
Implemented
No progress made during this recommendation follow
up period.

The Inventory of Citywide
Policies Could be More
Complete and Organized
17 Design a control to ensure outdated
policies and procedures are removed
from CityNet and the City’s public
website.

Partly
Implemented
During this period, Labor Relations reviewed posted
policies and removed and archived policies identified as no longer relevant/in effect. To the best of their
knowledge, all policies posted on the public website and the internal website are current. The Office of the City Auditor will conduct tests to determine if outdated
policies and procedures are removed from the website.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of City Light-Duty Vehicle Use

Report #2011-05

Finding # Recommendation Status Update

The lack of a detailed City
take-home vehicle policy has
allowed the City to approve
almost 250 take-home
vehicles, resulting in a
substantial cost
10 Revise the City’s transportation policy to
consolidate City direction and enhance
criteria for allocating take-home
vehicles.

Started No progress was made during the reporting period. The policy is still with Labor Relations for review.

The lack of a detailed City
take-home vehicle policy has
allowed the City to approve
almost 250 take-home
vehicles, resulting in a
substantial cost
11 Require employees who receive a take-
home vehicle to maintain a log of call
back events.

Partly
Implemented
No progress was made during the reporting period.

The lack of a detailed City
take-home vehicle policy has
allowed the City to approve
almost 250 take-home
vehicles, resulting in a
substantial cost
13 Work towards incorporating into all City
labor agreements language that clearly
states the City’s rights and authority
over vehicle assignments and removals.

Started No progress was made during the reporting period.

According to the Labor Relations Division, this item
remains with Labor Relations to be addressed at a future date.

The lack of a detailed City
take-home vehicle policy has
allowed the City to approve
almost 250 take-home
vehicles, resulting in a
substantial cost
14 Enforce the current take-home vehicle
distance limitation that restricts take-
home vehicle assignments to employees
that live within thirty-five (35) air miles
from the freeway interchange at W-X,
29th-30th Streets.

Started No progress was made during the reporting period.

According to the Labor Relations Division, this item
remains with Labor Relations to be addressed at a future date.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of Citywide Purchase-Card Use

Report #2012-06

Finding # Recommendation Status Update

While transactions reviewed
did not reveal extensive
personal purchases, some
charges violated policy and
lacked complete support
3 Establish a consistent form and guidance
to departments for processing lost
receipt justifications.

Partly
Implemented
The department is in the process of developing a
Purchasing Card Procedure Manual to serve as a guidance for processing lost receipt justifications.

The purchase card program
lacked complete policy
guidance and oversight
5 Update the Purchasing Card Policy to
make it consistent with other City
policies.

Partly
Implemented
The Purchasing Card Policy has been updated and is
currently undergoing final review.

The purchase card program
lacked complete policy
guidance and oversight
6 Create an authoritative document that
clearly states what types of purchasing
card transactions are allowable and
prohibited, and distribute it to all
cardholders and approving officials.

Partly
Implemented
The department has updated the Purchasing Card
Procedure Manual to reflect the types of transactions that are allowable and prohibited. It is currently undergoing final review. Once the handbook is formally adopted, it will be distributed to all cardholders and approving
officials.

The purchase card program
lacked complete policy
guidance and oversight
7 Ensure that the document is updated
annually to reflect policy changes.

Partly
Implemented
The Purchasing Card Policy is currently undergoing final review. Once formally adopted, it will be reviewed
annually to reflect applicable policy changes.

The purchase card program
lacked complete policy
guidance and oversight
8 Provide mandatory annual purchasing
card-use training for cardholders and
require them to sign a form agreeing to
program terms and acknowledging their
responsibilities.

Partly
Implemented
Updated training has been uploaded to Acumen, the
City's training portal. The Procurement Division is working with the Human Resources Department to determine
how to assign training to cardholders annually.

The purchase card program
lacked complete policy
guidance and oversight
9 Provide mandatory annual purchasing
card-approval training for approving
officials and require them to sign a form
agreeing to program terms and
acknowledging their responsibilities
Partly
Implemented
Updated training has been uploaded to Acumen, the
City's training portal. The Procurement Division is working with the Human Resources Department to determine
how to assign training to cardholders annually.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of City Employee Supplemental Pay

Report #2013-03

Finding # Recommendation Status Update

Controls Over Employee Time
Reporting Must be Improved
9 Create a policy and procedure for
recording supervisor approval of
individual employee time.

Partly
Implemented
No progress made during this recommendation follow-up
period.

Controls Over Employee Time
Reporting Must be Improved
10 Discontinue allowing any employee to
have administrative access to both
Telestaff software and server, and create
a policy to prevent it in the future.

Partly
Implemented
According to the Fire Department, changes have been
made to limit the access to Telestaff for all employees.

Administrative access is limited to those that implement staffing and pay related items. A review and confirmation by the City Auditor's Office is pending and if confirmed, this recommendation will be implemented in the next
reporting period.

Controls Over Employee Time
Reporting Must be Improved
11 Develop controls to monitor the activity
of those provided with administrative
rights to Telestaff.

Started No progress made during this recommendation follow up period.

Audit of the Fire Department Inventory Systems & Narcotics - Part 2 of 2 Report #2014-02

Finding # Recommendation Status Update

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
1 Assign responsibility for managing
inventory and develop policies to
provide clear and consistent direction.

Partly Implemented Two stores clerks are now assigned for ALS Logistics duties including conducting weekly inventory counts at
each fire station, identifying needs, and delivering
inventory to each fire station. Procedures have been
vetted out by the EMS division but formal policies have not yet been drafted.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
2 Establish performance goals to
determine if the system is functioning
properly.

Implemented Although inventory accuracy goals have not been set, the EMS division now has ALS Logistics Stores Clerks
responsible for counting, managing, and ordering
inventory for all fire stations. In addition, they conduct monthly cycle counts. Discrepancies found during a
cycle count are reported to the ALS Logistics Manager
prior to making any adjustments - comments are
required to be included with the adjustment in
Operative IQ.

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
3 Determine a schedule for regular and
random inventory counts to ensure
accuracy and identify outages.

Implemented For narcotics, audits are conducted quarterly by two staff and the Medical Director conducts semi-annual
audits as well. In addition, narcotics are counted and
documented each time the safe is opened. For other
inventory items, the ALS Logistics Manager conducts
random audits of station ordering and warehouse
cycle counts.

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
4 Require supervisory approval of
inventory count adjustments and
document the cause of the variance.

Implemented The EMS division now conducts monthly cycle counts by the ALS Logistics Stores Clerks. Discrepancies found during a cycle count are reported to the ALS Logistics
Manager prior to making any adjustments - comments
are required to be included with the adjustment in
Operative IQ.

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
5 Develop a mechanism to track
discarded or expired medication.

Implemented Inventory and expiration dates are tracked through the Operative IQ system. Expired narcotics are returned
from fire stations to the logistics safe and discarded
through a DEA-approved process. For other
medications, expired supplies bins are provided at
each fire station to collect any expired medication and supplies. However, according to the Fire Department,
new processes where stores clerks check expiration
dates of inventory and ensure they are used first by
the fire stations has reduced potential waste.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
6 Develop a process to track actual
usage of supplies.

Partly Implemented No progress has been made on this recommendation during this follow-up period.

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
7 Work with the IT Department to
implement system access best
practices, including the concept of
“least privileges.”
Partly Implemented The ALS logistics coordinator manages the approval and removal of users based on department transfer
lists provided by human resources. A monthly role
security report is generated by Operative IQ and the
ALS logistics manager makes adjustments accordingly.

However, the logistics manager only has access to
certain permissions and staff access. Therefore, other
divisions that use Operative IQ should implement
similar processes to ensure access levels are
appropriate for all with access to the system.

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
8 Develop a formal process for
approving new user access and
changes to access levels.

Partly Implemented A formal process has not yet been established.

However, the ALS logistics coordinator manages the
approval and removal of users based on department
transfer lists provided by human resources. A monthly
role security report is generated by Operative IQ and
the ALS logistics manager makes adjustments
accordingly. However, the logistics manager only has
access to certain permissions and staff access.

Therefore, other divisions that use Operative IQ should implement similar processes to ensure access levels
are appropriate for all with access to the system.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Fire Department should
implement inventory
management best practices to
improve accountability and
accuracy
9 Perform ongoing reviews of system
access.

Partly Implemented The ALS logistics coordinator manages the approval and removal of users based on department transfer
lists provided by human resources. A monthly role
security report is generated by Operative IQ and the
ALS logistics manager makes adjustments accordingly.

Audit of Citywide Wireless Communications

Report #2014-03

Finding # Recommendation Status Update

Wireless Device Policies are
Insufficient
15 Submit a new wireless communication
device request form for all existing
employees with City-issued devices.

Partly
Implemented
According to the Information Technology Department,
the mobile request form and workflow is built in a
development environment and staff are testing out the
workflow and fixing bugs in the integration with the
vendor. Approver and justification will be stored with the telecom record in the Telecom Expense Management
System (TEMS). The TEMS is expected to go live in the
next recommendation follow-up period.

Inventory Records are
Incomplete and Inconsistent
18 Update inventory records and ensure
complete and up-to-date inventory is
maintained.

Partly
Implemented
According to the Information Technology Department,
service records with hardware information are imported
from Telecom Expense Management System (TEMS) into
IT Asset Management System (ITAM) on a scheduled
basis. Assets are periodically audited for accuracy. A
review and confirmation by the City Auditor's Office is pending and if confirmed, this recommendation will be
implemented in the next reporting period.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of the Department of Utilities Labor Reporting

Report #2016-04

Finding # Recommendation Status Update

Policies Can Be Improved and
Opportunities for Cost Savings
Through Renegotiation Exist
8 Review the existing employee user
access to pay types and restrict access
to only those pay types for which an
employee is eligible.

Started No progress was made during the reporting period.

Policies Can Be Improved and
Opportunities for Cost Savings
Through Renegotiation Exist
14 Review and update all Department of
Utilities internal policies related to
labor reporting.

Partly
Implemented
The Water Policies and Procedures Manual remains with
the Labor Relations Division for review. The Wastewater Policies and Procedures Manual was sent to the Labor
Relations Division for review during the period. The
Drainage Policy and Procedures Manual is being reviewed by Department of Utilities staff prior to being sent to Labor Relations for review. The department expects Labor Relations to complete their review of the Water,
Wastewater, and Drainage manuals by January 2024.

The Finance Department Uses
an Excessive Number of Time
Reporting Codes and Earn Codes
as well as Complex Calculation
Methodologies and Distribution
Methods for Supplemental Pay
that May Not Align with Labor
Agreements or Tax Laws
24 Review the labor agreements and
update the calculation methodology
for the appropriate supplemental pay
types so that they are compounded
correctly, if necessary.

Partly
Implemented
No progress was made during the reporting period. The
Payroll Division is awaiting renegotiation of some union contracts to implement potential changes.

The Finance Department Uses
an Excessive Number of Time
Reporting Codes and Earn Codes
as well as Complex Calculation
Methodologies and Distribution
Methods for Supplemental Pay
that May Not Align with Labor
Agreements or Tax Laws
25 Review and update which pay types
should have compounding pay
components.

Partly
Implemented
No progress was made during the reporting period. The
Payroll Division is awaiting renegotiation of some union contracts to implement potential changes.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Finance Department Uses
an Excessive Number of Time
Reporting Codes and Earn Codes
as well as Complex Calculation
Methodologies and Distribution
Methods for Supplemental Pay
that May Not Align with Labor
Agreements or Tax Laws
26 Establish written policies and
procedures for periodically reviewing
and updating the earn codes and time
reporting codes, checking for
duplicates and active earn codes that
should be deactivated.

Partly
Implemented
No progress made during the reporting period.

Audit of the City's Risk Management Division

Report #2016-05

Finding # Recommendation Status Update

The City May Reduce Risk and
Liability by Making
Improvements to Some
Programs and Policies
13 Consider monitoring the drivers’
licenses of all employees that drive City
vehicles or receive City vehicle
allowances.

Partly
Implemented
No progress made during this recommendation follow-up
period. The Transportation Policy has not yet been
implemented and is in the review process.

The City May Reduce Risk and
Liability by Making
Improvements to Some
Programs and Policies
16 Continue to work towards
implementing the updated draft of the
Transportation Policy to increase the
insurance requirement of employees
driving their personal vehicles for City
business.

Partly
Implemented
No progress made during this recommendation follow-up
period. The Transportation Policy has not yet been
implemented and is in the review process.

The City May Reduce Risk and
Liability by Making
Improvements to Some
Programs and Policies
17 Work together to develop a monitoring
mechanism to ensure employees
maintain the required minimum
insurance coverage when receiving a
vehicle allowance.

Implemented An assignment was sent through the City's learning management system to employees receiving a vehicle
allowance requiring them to confirm they have and will
maintain adequate vehicle insurance coverage in
September of 2022. This will be reassigned in September of this year and every September thereafter. This
assignment will take the place of a verification process as employees will be required to annually attest to their
having the required insurance.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of Fire Department Overtime Use

Report #2017-01

Finding # Recommendation Status Update

Negotiated Overtime and
Incentive Provisions May Have
Unintentionally Increased
Payroll Costs
6 Evaluate the necessity of Primary
Paramedic Pay.

Started The City is currently in negotiations with the Local 522 collective bargaining unit and has made a proposal to
address this issue.

The Fire Department Lacks
Sufficient Controls Over the
Administration and Use of
Overtime
7 Establish policies on the administration
and use of overtime.

Started No progress made during this recommendation follow up period.

The Fire Department Lacks
Sufficient Controls Over the
Administration and Use of
Overtime
8 Document the purpose for overtime
use in a consistent and retrievable
format.

Partly
Implemented
According to the Fire Department, the purpose of
overtime use is now consistently documented in
Telestaff. A review and confirmation by the City Auditor's Office is pending and if confirmed, this recommendation will be implemented in the next reporting period.

The Fire Department Lacks
Sufficient Controls Over the
Administration and Use of
Overtime
9 Document supervisory approval of
overtime use in a consistent and
retrievable format.

Partly
Implemented
According to the Fire Department, the purpose of
overtime use, including identifying the supervisor that approved the overtime, is now consistently documented
in Telestaff. A review and confirmation by the City
Auditor's Office is pending and if confirmed, this
recommendation will be implemented in the next
reporting period.

The Fire Department Lacks
Sufficient Controls Over the
Administration and Use of
Overtime
11 Develop, document, and enforce
system access controls for Telestaff
users.

Implemented The number of users with Advance Staffer access has been significantly reduced and access is only provided to those who are responsible for staffing. In addition, non- suppression staff now use eCAPS to enter and approve
time. Therefore, only 27 staff (battalion chiefs and
captains) that enter their time in Telestaff have access to Advance Staffer.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Fire Department Lacks
Sufficient Controls Over the
Administration and Use of
Overtime
12 Strengthen controls to monitor the use
of timecodes to prevent and detect
errors, fraud, and abuse.

Partly
Implemented
According to the Fire Department, a directive was sent
out a few years ago informing staff that they should not be entering their own overtime in Telestaff. In addition, access to the Advance Staffer level was cleaned up and
the number of individuals with the access declined
significantly. A review and confirmation by the City
Auditor's Office is pending and if confirmed, this
recommendation will be implemented in the next
reporting period.

Audit of the Department of Utilities Inventory

Report #2017-04

Finding # Recommendation Status Update

Strengthening the Physical
Security of Department of
Utilities Inventory Could Reduce
the Risk of Fraud, Waste, and
Abuse
3 Review the number and
appropriateness of employees with
access to the inventory warehouse and
formalize which positions can be
granted access to each warehouse in
the inventory policies.

Partly
Implemented
The final step in completing this recommendation is to
build out storage behind Building 18 to move and secure inventory that is currently outside Building 18. The draft site plan - with racking systems, storage containers, and covering solutions - has been developed and a potential supplier has been identified. The Engineering and Water Resources project manager is in the process of procuring 'conex' boxes (for storage), racking, and identifying
potential contractors to install the covering system once procured. The Department estimates the project will be
completed by January 2024.

Strengthening the Physical
Security of Department of
Utilities Inventory Could Reduce
the Risk of Fraud, Waste, and
Abuse
5 Establish a policy that prohibits
employees from borrowing City-owned
tools and equipment for personal use
and document employee
acknowledgement.

Partly
Implemented
No progress was made during the reporting period. The
draft Inventory Policy remains with Labor Relations for review

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

While the Department of
Utilities’ Inventory Count
Procedures Appear Robust, the
Execution Breaks Down
7 Develop a process to ensure all
warehouses are included in the
inventory counts.

Partly
Implemented
No progress was made during the reporting period. The
draft Inventory Policy remains with Labor Relations for review.

While the Department of
Utilities’ Inventory Count
Procedures Appear Robust, the
Execution Breaks Down
9 Formalize specific count methodologies
in a written policy.

Partly
Implemented
No progress was made during the reporting period. The
draft Inventory Policy remains with Labor Relations for review.

While the Department of
Utilities’ Inventory Count
Procedures Appear Robust, the
Execution Breaks Down
11 Formalize a procedure for accurately
recording inventory count adjustments
in a written policy.

Partly
Implemented
No progress was made during the reporting period. The
draft Inventory Policy remains with Labor Relations for review.

While the Department of
Utilities’ Inventory Count
Procedures Appear Robust, the
Execution Breaks Down
13 Add an additional step to the water
meter serial number count that
reconciles the Water Meter Receipt and
Issue Log with Cityworks.

Partly
Implemented
No progress was made during the reporting period. The
draft Inventory Policy remains with Labor Relations for review.

While the Department of
Utilities’ Inventory Count
Procedures Appear Robust, the
Execution Breaks Down
14 Review, update, and enforce inventory
policies related to the tracking of water
meters.

Partly
Implemented
No progress was made during the reporting period. The
draft Inventory Policy remains with Labor Relations for review.

The Department of Utilities
Lacks Formal User Access
Policies and Procedures
Regarding Their Inventory
Systems
22 Formalize logical access to the
inventory systems in a written policy.

Partly
Implemented
No progress was made during the reporting period. The
draft Inventory Policy remains with Labor Relations for review.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of Procurement for Services of $25,000 or Less

Report #2017-05

Finding # Recommendation Status Update

Procurement Guidance and
Training were Insufficient to
Ensure Employees Properly
Procured Services on Behalf of
the City
2 Update EBO policies, templates, and
other guidance for accuracy and
consistency.

Started The Procurement Division has re-engaged the City Attorney's Office (CAO) regarding the EBO policy. Current consensus is that City policies and City code will need to be updated to either reference state and federal law or to remove EBO altogether because all City contractors are
already required to follow all state and federal laws. The division will continue to follow up with the City Attorney's Office to determine a solution. However, a timeline is not currently available as a full update to the policy is
preferable to a singular update to EBO, which may take
more time.

Procurement Guidance and
Training were Insufficient to
Ensure Employees Properly
Procured Services on Behalf of
the City
3 Develop processes to ensure EBO
analysis and reports are completed as
required by City policy.

Started There is no current analysis of EBO or reporting as the policy suggests. With the anticipated revision to the policy and City code, these requirements will be dropped. The
Procurement Division is working with the City Attorney's Office on policy and City code updates.

Procurement Guidance and
Training were Insufficient to
Ensure Employees Properly
Procured Services on Behalf of
the City
4 Determine the City’s intent regarding
bid protests and update policies,
templates, and other guidance for
consistency.

Partly
Implemented
Bid protest directions have been clarified in updated
solicitation templates, which have been uploaded to the City's public website along with the Bid Protest
Procedure.

Procurement Guidance and
Training were Insufficient to
Ensure Employees Properly
Procured Services on Behalf of
the City
5 Define and publish specific roles and
responsibilities of procurement
stakeholders.

Partly
Implemented
The role of the Department Contract Administrator, a
procurement stakeholder within the City, has been
clarified and published in the Procurement Best Practice Manual, which is currently undergoing legal review.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Procurement Guidance and
Training were Insufficient to
Ensure Employees Properly
Procured Services on Behalf of
the City
12 Determine the intent and purpose of
purchase orders, and clarify their
requirements and use in City guidance
and templates.

Partly
Implemented
Purchase orders have been clarified and published in the Procurement Best Practice Manual, which is currently
undergoing legal review.

Audit of the Department of Parks and Recreation's Strategic Planning and Part-time Employee Benefits Management
Report #2017-08

Finding # Recommendation Status Update

The Department of Parks and
Recreation Has Not Updated
Key Strategic Planning
Guidance
1 Update the Parks and Recreation
Master Plan.

Started The “Parks Plan 2040” is scheduled to be completed by Spring of 2024. The schedule is dependent on the
City's approval of the 2040 General Plan. The Parks
Plan 2040 team is currently in the Policy and
Recommendation drafting phase of the process. The
administrative draft of the Parks Plan is expected to be circulated in October, 2023 with a Draft Parks Plan for public review in December, 2023.

The Department of Parks and
Recreation Has Not Updated
Key Strategic Planning
Guidance
6 Define when it is appropriate to use
the “General Info” or “Other” call
categories.

Partly Implemented YPCE continues to work with 311 on the appropriate use of the 'General' and 'Other' categories.

Developing a Formal Cost
Recovery Philosophy May Help
the Department of Parks and
Recreation Better Align Its
Pricing Practices with Its
Mission and Core Values
9 Develop department-specific policies
and procedures.

Started YPCE continues to work on drafting department
specific policies and procedures, to be reviewed and
approved by respective labor bargaining units and the
Department of Human Resources. Utilizing feedback
from class and comp study class specs to assist and
ensure policies specifically outline and align with
Department of Human Resources.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Developing a Formal Cost
Recovery Philosophy May Help
the Department of Parks and
Recreation Better Align Its
Pricing Practices with Its
Mission and Core Values
10 Define the department’s cost recovery
goals and objectives.

Started No progress was made on this recommendation
during this follow-up period.

Developing a Formal Cost
Recovery Philosophy May Help
the Department of Parks and
Recreation Better Align Its
Pricing Practices with Its
Mission and Core Values
11 Evaluate the department’s fees and
charges to determine if they are in
alignment with the department’s
mission, vision, and cost recovery
goals.

Started YPCE has put a pause on the comprehensive fees and charges study.

Developing a Formal Cost
Recovery Philosophy May Help
the Department of Parks and
Recreation Better Align Its
Pricing Practices with Its
Mission and Core Values
12 Comply with the Citywide Fees and
Charges Policy by establishing cost
recovery goals and identifying cost
recovery levels.

Started YPCE has put a pause on comprehensive fees and
charges study.

Developing a Formal Cost
Recovery Philosophy May Help
the Department of Parks and
Recreation Better Align Its
Pricing Practices with Its
Mission and Core Values
14 Consider updating the fee structure
for some programs and services to
include a non-resident fee.

Started According to YPCE, the department continues to make small updates to fee schedules as gaps are being
identified that are subsequently approved by internal
management before being elevated and approved by
council, through budget processes. A review and
confirmation by the City Auditor's Office is pending
and if confirmed, this recommendation will be
implemented in the next reporting period.

Nearly Half of the Supervisors
Responsible for Administering
and Monitoring Part-Time
Employee Hours and Benefits
Have Not Received Labor
Relations Training
18 Develop policies and procedures on
part-time employee reporting,
responsibility, and training.

Partly Implemented YPCE continues to work with Human Resources to strategize and develop procedures surrounding part
time employees. YPCE is working with Human
Resources to ensure the onboarding of seasonal part
time employees is comprehensive. YPCE is using the
City's Acumen software system to coordinate
onboarding training.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of the Department of Utilities Workplace Safety

Report #2018-02

Finding # Recommendation Status Update

The Department of Utilities
Lacks Sufficient Controls Over
the Administration and Use of
Safety and Personal Protective
Equipment
1 Review and update existing policies
and procedures concerning safety and
personal protective equipment to fill in
gaps and clarify its appropriate use.

Partly
Implemented
No progress was made during the reporting period. The
department is working to finalize the contract and
purchase order. The next step is to develop the schedule with the consultant.

The Department of Utilities
Lacks Sufficient Controls Over
the Administration and Use of
Safety and Personal Protective
Equipment
8 Perform periodic audits of gas
monitoring data to ensure employees
use gas monitors in accordance with
departmental policies.

Partly
Implemented
The Combined Atmospheric and Gas Monitor SOP has
been finalized by Gas Monitor Sub-Committee and is
being reviewed by upper management.

The Department of Utilities
Should Implement Health and
Safety Best Practices to Reduce
Risks and Improve
Accountability
21 Develop a formal management of
change process.

Partly
Implemented
No progress was made during the reporting period. The
draft Management of Change procedure remains with
Labor Relations for review.

The Department of Utilities
Should Implement Health and
Safety Best Practices to Reduce
Risks and Improve
Accountability
22 Review and update departmental
safety policies and procedures.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of On-Street Parking Meters

Report #2018/19-07

Finding # Recommendation Status Update

Improving Vehicle-Detection
Sensor Accuracy Rates and
Meter Battery Life Could
Reduce the Potential for
Erroneous Citations and Slow
the Rate of Incoming Citation
Disputes
1 Continue to work with the vendor to
achieve contracted vehicle-detection
sensor accuracy rates or consider
switching to a vendor that will meet the
desired standard.

Partly
Implemented
According to the Parking Division, after a thorough
evaluation of non-reporting dome sensors by our parking meter vendor, it was identified that the primary cause of non-reporting sensors was due to ongoing battery
degradation. Once the battery was replaced in a non-
reporting meter, it reported correctly. By August 31,
2023, the parking meter maintenance team will put in
place a comprehensive battery replacement schedule to
help keep up with ordering and replacing batteries. The Parking Division recently filled two open meter repair
worker positions and are currently training new
maintenance staff to begin an on-going battery
replacement program to get ahead of batteries in need of replacement.

Improving Vehicle-Detection
Sensor Accuracy Rates and
Meter Battery Life Could
Reduce the Potential for
Erroneous Citations and Slow
the Rate of Incoming Citation
Disputes
3 Address deficiencies identified with
parking meter sensor-accuracy and
battery life to improve the customer
service experience and reduce the
number of incoming citation disputes.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of Retiree Health Benefits

Report #2019/20-04

Finding # Recommendation Status Update

Recordkeeping of Retiree Benefit
Eligibility and Elections Could be
Strengthened
3 Work with the IT department to
identify and resolve eCAPS health
benefit report errors for retirees.

Started Human Resources and IT were unable to resolve this issue during the reporting period

Performing Dependent
Verifications Ensures Qualified
Dependents are Enrolled in City-
Sponsored Health Plans and
Could Save the City up to
$600,000 Annually
6 Establish a process to perform regular
dependent eligibility verification
reviews that includes procedures on
how to address instances of non-
compliance with verification requests.

Not Started No progress on this item during the reporting period.

Performing Dependent
Verifications Ensures Qualified
Dependents are Enrolled in City-
Sponsored Health Plans and
Could Save the City up to
$600,000 Annually
7 Review and address HMS’ active
employee dependent eligibility
verification results.

Not Started No progress on this item during the reporting period.

Performing Dependent
Verifications Ensures Qualified
Dependents are Enrolled in City-
Sponsored Health Plans and
Could Save the City up to
$600,000 Annually
8 Perform a retiree dependent
verification review for participants of
City-sponsored plans.

Started No progress on this item during the reporting period.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of the 911 Emergency Communications Center

Report #2019/20-05

Finding # Recommendation Status Update

Finding 1: Call Answer Times
Have Improved and Are
Exceeding State Standards
2 Consider improving the supervisor-to-
dispatcher ratio to provide better
supervisory coverage.

Partly
Implemented
City Council has included the requested dispatch FTE’s in the FY24 budget. The Police Department plans to spread
out the promotion and filling of these additional FTE’s throughout FY24 based on the speed in which the
Department can hire and train additional dispatchers to avoid further depletion of the line level dispatcher
staffing.

Finding 2: Quality Assurance and
Disaster Preparedness Could Be
Improved by Adopting Industry
Best Practices
7 Develop and document a continuous
quality assurance program based on
industry standards that includes
reviewing a percentage of all calls and
incorporates an evaluator calibration
process.

Audit of the Department of Utilities Vehicle Fleet

Report #2018/19-11

Finding # Recommendation Status Update

The Department of Utilities Can
Realize Cost Savings Through
Improved Management of Their
Vehicle Fleet
8 Formalize the Fleet Engine Idling Limit
Policy and post the policy on the City's
Policies and Procedures webpage.

Partly
Implemented
No progress was made during the period. The Fleet
Engine Idling Limit Policy was incorporated into the draft City Employee's Transportation Policy and Procedures
which remains with the Labor Relations Division for
review.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

System Access and Data Quality
Could Be Improved to Better
Enable Management to Perform
Analyses and Identify Trends
19 Review the data captured by the M5
system, determine key data fields, and
implement controls to ensure these
fields contain accurate and complete
information.

Partly
Implemented
During the reporting period, the Fleet Management
Division identified missing information in some key data fields; they are working on plan to correct this issue.

System Access and Data Quality
Could Be Improved to Better
Enable Management to Perform
Analyses and Identify Trends
20 Establish a process to verify the
accuracy of vehicle and GPS unit device
ID assignments in the GPS tracking
systems.

Partly
Implemented
No progress was made during the reporting period.

The City Can Mitigate Risk by
Better Documenting and
Tracking Employee Licensure,
Certifications, and Insurance
Information
24 Revise the City Employee's
Transportation Policy and Procedures
to require employees to provide proof
of licensure when using pool vehicles.

Partly
Implemented
No progress was made during the reporting period. The
policy is still with Labor Relations for review.

The City Can Mitigate Risk by
Better Documenting and
Tracking Employee Licensure,
Certifications, and Insurance
Information
26 Develop a detailed insurance
verification process for employees
receiving a vehicle allowance.

Dropped After detailed discussions, management has determined that the benefits of conducting detailed insurance
verifications do not outweigh the associated
administrative costs. Instead, management will rely on
annual employee attestations of compliance with
insurance requirements; these attestations will be
documented in the City's learning management system.

Audit of City-Owned and Leased Real Property

Report #2019/20-02

Finding # Recommendation Status Update

The City Has Potential Surplus
and Remnant Parcels That
Could Be Leveraged to Achieve
A Variety of City Goals
1 Review all City-owned property and
work with the City’s asset-managing
departments and divisions to identify
and track the City’s surplus
property.

Not Started According to the Real Estate Services Section, progress on this recommendation has not yet started due to staffing and project load. The Section did hire a new employee
who will be able to contribute in the future.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The City Has Potential Surplus
and Remnant Parcels That
Could Be Leveraged to Achieve
A Variety of City Goals
2 Develop policies and procedures to
provide guidance on how asset-
managing departments should ensure
all City-owned properties are
appropriately secured and maintained.

Not Started According to the Real Estate Services Section, progress on this recommendation has not yet started due to
continued staffing and project load.

The City Has Potential Surplus
and Remnant Parcels That
Could Be Leveraged to Achieve
A Variety of City Goals
3 Identify City-owned surplus and
remnant parcels and consider selling,
disposing, or re-purposing the parcels
to reduce liability and utility and weed
abatement costs.

Started Real Estate Services Section Completed sale of exempt surplus property located in Rice Alley between 5th St and 6th St for $35,000 via City Agreement #2023-0213.

Currently in escrow for sale of exempt surplus parcel on Freeport Blvd at 11th Ave. Anticipate closing sale in July 2023.

The City Has Potential Surplus
and Remnant Parcels That
Could Be Leveraged to Achieve
A Variety of City Goals
4 Work with the City’s asset-managing
departments to identify alternative
uses for the City’s undesirable or
unsellable surplus property.

Not Started According to the Real Estate Services Section, no progress has been made during this reporting period.

The City Has Potential Surplus
and Remnant Parcels That
Could Be Leveraged to Achieve
A Variety of City Goals
5 Consider selling some of the City’s
surplus property to generate onetime
revenue to achieve other City goals
Started The Real Estate Services Section completed the sale of exempt surplus property located in Rice Alley between
5th St and 6th St for $35,000 via City Agreement #2023- 0213.

The City Has Potential Surplus
and Remnant Parcels That
Could Be Leveraged to Achieve
A Variety of City Goals
6 Conduct a staffing analysis to
determine whether resources need to
be added to the Real Estate Services
Section to implement the
recommendations made in this report.

Not Started According to the Real Estate Services Section, no progress has been made during this reporting period.

The City’s Real Property
Management Is Decentralized
and Would Benefit from
Detailed Policy Development
7 Review the Lease Centralization Plan
and determine whether the Real Estate
Services Section should manage all real
property lease management as outlined
in the Lease Centralization Plan.

Started According to the Real Estate Services Section, no progress was made during this reporting period.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The City’s Real Property
Management Is Decentralized
and Would Benefit from
Detailed Policy Development
8 Work with the City Attorney’s Office to
create lease contract templates that
include key contract provisions to
ensure consistency in City lease
contracts.

Not Started According to the Real Estate Services Section, no progress was made during this reporting period.

The City’s Real Property
Management Is Decentralized
and Would Benefit from
Detailed Policy Development
10 Develop a process to regularly review
City-leased property to determine
whether it is an ongoing need and City-
owned property is available to use
instead.

Started According to the Real Estate Services Section, no progress was made on creating a process to regularly review City- leased property. During the reporting period, RESS
coordinated a memorandum of understanding between
the Department of Community Response (DCR) and the
Department of Public Works (DPW) so DCR could occupy
office space within a City-owned garage operated by
DPW.

The City’s Real Property
Management Is Decentralized
and Would Benefit from
Detailed Policy Development
11 Work with the Finance Department to
establish a uniform policy that provides
the process and steps required for
acquisition and disposition of City-
owned properties. Procedures should
include details regarding compliance
with Sacramento City Code and
California State Law, financial reporting
standards between the Real Estate
Service Section and the Department of
Finance, and the method of storing
documents and financial records.

Started According to the Real Estate Services Section, there has been no progress on this recommendation during the
reporting period.

Appropriate Management of
City-Owned and Leased Real
Property Is Required to Ensure
Financial Statements Comply
with the Government
Accounting Standards Board
15 Work with other City departments to
identify data elements that may be
helpful or necessary in decision making
or reporting purposes and develop a
process to collect and document the
new data elements in the Asset
Database.

Started According to the Real Estate Services Section, they met with staff from multiple agencies (DPW, DOU, YPCE and
IT) on June 26 2023. They discussed additional data fields related to maintenance responsibilities to be added to
OneMap asset database. The Real Estate Services Section will continue to work directly with IT to add a
maintenance data field.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Appropriate Management of
City-Owned and Leased Real
Property Is Required to Ensure
Financial Statements Comply
with the Government
Accounting Standards Board
16 Work with other City departments to
identify real property tracking needs
and utilize a Citywide software program
or develop another platform to
centralize the management of the City’s
real property
Started There has not been any change since the last reporting period, according to the Information Technology
Department

Appropriate Management of
City-Owned and Leased Real
Property Is Required to Ensure
Financial Statements Comply
with the Government
Accounting Standards Board
17 Centralize City lease inventory and
document clear processes for all City
departments to follow to standardize
maintenance of City lease inventory,
including utilizing the Asset Database or
new platform used for real property
inventory to ensure consistent tracking
and consolidation of Citywide lease
inventory.

Started According to the Real Estate Services Section, there has been no progress on this recommendation during the
reporting period.

Appropriate Management of
City-Owned and Leased Real
Property Is Required to Ensure
Financial Statements Comply
with the Government
Accounting Standards Board
18 Work with the City’s Finance
Department to develop policies and
procedures on lease revenue billing and
collection processes
Not Started According to the Real Estate Services Section, there has been no progress on this recommendation during the
reporting period.

Audit of the City's Green Efforts

Report #2020/21-04

Finding # Recommendation Status Update

Improved Monitoring and
Reporting of Sustainability Data,
Progress, and Outcomes Is
Essential for Tracking Impacts
and Realizing the Intended
Benefits
4 Require post-completion monitoring
for all applicable sustainability projects,
programs, and initiatives.

Partly
Implemented
The first draft of the Sustainability Dashboard has been released, which summarizes overall energy use and other measures at a high level. The City's sustainability staff is unlikely to require post-completion monitoring of projects due to limited staff resources and funding. Instead, staff anticipates using alternate top-down methods to track
performance.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Improved Monitoring and
Reporting of Sustainability Data,
Progress, and Outcomes Is
Essential for Tracking Impacts
and Realizing the Intended
Benefits
5 Develop a procedure that ensures
internal stakeholders are involved in or
made aware of relevant goals and
performance measures.

Partly
Implemented
The Office of Climate Action and Sustainability (OCAS)
continues to convene the Green Team to share
information on sustainability goals, projects, and
opportunities. Due to competing priorities and time-
sensitive deadlines, staff have been delayed in
implementation of the Task Force. Staff plan to convene the Task Force in the second half of 2023, for support in performance measurement and implementation.

Improved Monitoring and
Reporting of Sustainability Data,
Progress, and Outcomes Is
Essential for Tracking Impacts
and Realizing the Intended
Benefits
6 Develop and track performance
measures as they relate to published
sustainability goals.

Partly
Implemented
The team continues to maintain the Sustainability
Dashboard online. Development of performance measures
is ongoing and will be completed in conjunction with the Climate Action & Adaptation Plan, which was publicly
released in April 2023. The plan is scheduled for adoption in early 2024. The CAAP includes proposed performance
measures, and a strategy for monitoring and tracking
progress. The consultant team will prepare a monitoring tool in conjunction with finalization of the CAAP.

Improved Monitoring and
Reporting of Sustainability Data,
Progress, and Outcomes Is
Essential for Tracking Impacts
and Realizing the Intended
Benefits
7 Ensure sustainability reports
consistently track and report progress
over time.

Partly
Implemented
The sustainability team developed the first version of
department scorecards in late 2022, using the
Sustainability Dashboard. Initial scorecards have been
shared and presented to all key operational departments.

Revised versions of the scorecards will be developed with input from the Climate Action Task Force that the Office of Climate Action and Sustainability will launch in late 2023, with department and Green Team involvement.

Scorecards will be used as a way to track progress of key metrics for departments over time.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Improved Monitoring and
Reporting of Sustainability Data,
Progress, and Outcomes Is
Essential for Tracking Impacts
and Realizing the Intended
Benefits
9 Review the data captured by the GIS
streetlights system, determine key data
fields, implement controls to ensure
these fields contain accurate and
complete information, and reconcile
the various internal sources of
streetlight counts.

Dropped Staff will continue to update as streetlights are retrofitted or installed, but staff lack the resources to
comprehensively review data in the database for all
streetlights not yet retrofitted. The Department is
struggling to fill vacancies to maintain basic maintenance operations of infrastructure. Focus on this item would
require redirection away from those basic maintenance
functions, or new City funding to pay for consultant
support (currently unfunded). Staff unlikely to complete as recommended. Given the stated resource constraints, we
are dropping this recommendation.

Improved Monitoring and
Reporting of Sustainability Data,
Progress, and Outcomes Is
Essential for Tracking Impacts
and Realizing the Intended
Benefits
10 Develop and implement a process to
reconcile our internal streetlights
dataset with SMUD to ensure that the
City is correctly billed.

Dropped On-call maintenance staff completed the second, and final, phase of Post Top streetlight retrofits in March 2023.

In total 4,900 Post Top lights were retrofit to LED fixtures.

No new funding resources have been identified to
continue streetlight retrofits and the reconciliation
process that accompanies the work. Additional staffing
and funding resources are needed to make further
advancement. Additionally, retrofits trigger conversion to metered streetlight rates, which may result in higher costs over time. Staff unlikely to complete as recommended.

Given the stated resource constraints, we are dropping
this recommendation.

Started The Office of Climate Action and Sustainability (OCAS) continues to convene the Green Team and support
department efforts to advance sustainability and the City's climate action goals.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Centralized Management and
Oversight of the City’s
Sustainability Efforts May Better
Position the City to Establish
Sustainability as an
Organizational Priority and Core
Value
13 Establish a Citywide internal
communication strategy and
accountability mechanism for
sustainability goals and priorities.

Partly
Implemented
Staff plan to develop additional resources and tools with City staff through the forthcoming Climate Action Task
Force.

Centralized Management and
Oversight of the City’s
Sustainability Efforts May Better
Position the City to Establish
Sustainability as an
Organizational Priority and Core
Value
16 Review City projects that may have
immediate environmental savings and
cost avoidance that currently lack
funding, such as retrofitting the
remaining streetlights to LED, and
assist with identifying funding sources.

Partly
Implemented
Efforts to evaluate cost-avoidance opportunities are
ongoing.

Centralized Management and
Oversight of the City’s
Sustainability Efforts May Better
Position the City to Establish
Sustainability as an
Organizational Priority and Core
Value
17 Implement outreach efforts and
programs to City employees to improve
the City’s sustainability culture.

Started The Office of Climate Action & Sustainability continues to facilitate coordination across departments. Staff are
working with other departments to determine additional
tools and resources for sustainability trainings.

Centralized Management and
Oversight of the City’s
Sustainability Efforts May Better
Position the City to Establish
Sustainability as an
Organizational Priority and Core
Value
18 Assist other City departments and
offices with incorporating sustainability
into their department-level operations
through the creation, implementation,
and tracking of specific performance
goals.

Partly
Implemented
The Climate Action and Adaptation Plan includes proposed performance measures, and a strategy for monitoring and tracking progress. Staff will revisit these department
sustainability performance goals through the forthcoming Climate Action Task Force, after CAAP has completed
public and Council review.

Centralized Management and
Oversight of the City’s
Sustainability Efforts May Better
Position the City to Establish
Sustainability as an
Organizational Priority and Core
Value
19 Evaluate whether more formalized
Citywide green teams may be
beneficial for supporting the City’s
sustainability culture, programs, and
goals.

Partly
Implemented
Launch of the Task Force has been delayed, but staff is working to kick off the Task Force in the second half of 2023.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Awareness of and Compliance
with Sustainable Policies,
Procedures, and Plans Could Be
Strengthened
20 Develop a process for notifying City
employees of changes to Citywide
sustainability policies, procedures, and
plans and document their
acknowledgement of these changes.

Partly
Implemented
Work is ongoing. Staff will collaborate with the Green
Team, Task Force, and department staff to determine
additional tools and resources for training and
documentation.

Awareness of and Compliance
with Sustainable Policies,
Procedures, and Plans Could Be
Strengthened
23 Identify instances of non-compliance
with the Fleet Engine Idling Limit Policy
and hold employees accountable.

Partly
Implemented
Idling reports have been automatically sent each week to specified people in each department since February 2023.

Departments should use the reports to correct behavior
and coach staff that drive City vehicles.

Awareness of and Compliance
with Sustainable Policies,
Procedures, and Plans Could Be
Strengthened
24 Review and update the Sustainable
Purchasing Policy.

Partly
Implemented
The Sustainable Purchasing Policy has been updated and is undergoing final approval.

Awareness of and Compliance
with Sustainable Policies,
Procedures, and Plans Could Be
Strengthened
25 Develop a process for improving
accountability with the Sustainable
Purchasing Policy.

Partly
Implemented
The Sustainable Purchasing Policy (SPP) has been updated and is in the process of receiving final approval to post on City sites. The Procurement Division is using a program called Recyclist to track compliance with SB1383 and
solicitation templates are being updated with SPP
information and evaluation preference points to
encourage sustainable purchasing.

Awareness of and Compliance
with Sustainable Policies,
Procedures, and Plans Could Be
Strengthened
26 Consider working with applicable City
vendors to implement website controls
that encourage more sustainable
purchases.

Implemented The Procurement Division gained Citywide authority to spend on Amazon's cooperative agreement earlier this
year. The division has highlighted climate friendly items within the Amazon platform to encourage purchases of
sustainable materials. The City cannot mandate the
purchase of sustainable goods as, often times, the cost exceeds other options. However, by highlighting them and showing they are preferred items by the City, the division hopes to guide City staff in making more sustainable
choices when price and availability are comparable.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Contract Compliance Audits of the Roberts Family Development Center and Downtown Streets Team, Inc.

Report #2020/21-06

Finding # Recommendation Status Update

A Centralized Process for
Receiving Grant
Applications and
Aggregating Funding Data
Could Improve the City’s
Grants Management
Practices
19 Develop a centralized process for
receiving grant applications and
aggregating funding data.

Implemented The City's new grants management software has been deployed and is available online at
https://grants.cityofsacramento.org. The City anticipates publishing its first grant opportunities in August 2023.

Audit of the Cannabis Storefront Dispensary Permitting Process

Report #2020/21-09

Finding # Recommendation Status Update

Ownership of Cannabis
Dispensary Operating Permits
were Transferred Between
Individuals and Corporate
Entities as a result of
Ambiguity in the City Code
and an Evolving Regulatory
Environment
1 Seek direction from City Council to
determine whether dispensary
transfers should be allowed. The
Office of Cannabis Management in
conjunction with the City Attorney’s
Office should then propose a City
Code update that clearly articulates
the policy and legal goals of the City
Council, that are in conformance with
State law.

Partly Implemented As previously reported, OCM was directed to return to City Council with ordinances for adoption. OCM is
currently working with the City Attorney on development of ordinances. OCM will bring a package of code changes to L&L and City Council in Fall/Winter 2023.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The City Needs to Better
Define Ownership if it Expects
to Enforce City Code
Restrictions on Ownership
and Manage who is Truly
Behind its Permitted
Cannabis Related Businesses
3 Seek direction from City Council to
determine standards and definitions
of ownership of cannabis dispensaries
in the City. At minimum, these
discussions should include a
definition of clear ownership and
limits on ownership for all cannabis
dispensary owners. The Office of
Cannabis Management in conjunction
with the City Attorney’s Office should
then propose a City Code update that
articulates the ownership policy and
goals of the City Council, that are in
conformance with State law.

The City Needs to Better
Define Ownership if it Expects
to Enforce City Code
Restrictions on Ownership
and Manage who is Truly
Behind its Permitted
Cannabis Related Businesses
4 In consultation with the Attorney’s
Office, design and implement an
internal control framework over the
cannabis permit application and
renewal process based on best
practices. This should include
establishing an organizational
structure, segregate duties, and
assign responsibilities for the Office
of Cannabis Management to carry out
the program objectives. The internal
control system should also be
documented and communicated to
those responsible for performance
and training should be provided.

Partly Implemented OCM has an organizational structure, segregated duties, and defined roles and responsibilities assigned to carry out program objectives. Staff receives training to make sure employees understand their duties and
responsibilities. While these are important parts of an internal control system, OCM should align their internal control components to an established internal control
framework such as the COSO Framework or the GAO's
Standards for Internal Control in the Federal Government to ensure that their framework aligns with best practices.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Continuous Review of Cannabis Policymaking, Education & Community Outreach Report #2020/21-16

Finding # Recommendation Status Update

The Office of Cannabis
Management Could Enhance
Their Policymaking Process to
Ensure New Policies are
Effective at Addressing
Identified Issues.
2 Develop a formal process for policy
evaluation that considers whether the
policy achieved its intended
objectives and identifies unintended
consequences.

Dropped According to the Office of Cannabis Management
(OCM), they believe their informal approach to policy
evaluation is effective and that a formal approach to
policy evaluation would overly burden the office. We
acknowledge OCM’s position and have determined
that it is appropriate to drop this recommendation.

The Revenue Division Should
Expand BOT Compliance Audits
to Consider All Cannabis
Businesses in the City to Reduce
the Risk of Noncompliance.
12 Develop and implement a risk-based
approach to selecting cannabis
businesses for BOT compliance
audits.

Partly Implemented The Permits and Taxes team in the City's Revenue Division identifies Cannabis Business Operations Tax
(CBOT) audit subjects based on several factors that
includes, but not limited to, the magnitude of taxes
paid, potential problematic tax reporting history,
statute of limitations status, and (sometimes) random
selection. The selection of CBOT audit subjects is also done in conjunction with the City's contracted CBOT
auditor, Avenu Insights and Analytics, who also
recommends audit subjects. The selection of CBOT
audit subjects incorporates a risk-based component
as problematic businesses and businesses with
unexplained consistent tax reporting variances have a
higher probability of being selected for audit. Avenu
Insights and Analytics is currently conducting a round
of CBOT audits that had already been selected using
the previous method. For the next round of CBOT
audits, the process described above will be fully
implemented.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of the Sacramento Community Police Review Commission

Report #2021/22-06

Finding # Recommendation Status Update

The Lack of Clearly Defined
Roles and Responsibilities has
Led to Confusion and
Frustration
1 The City Council should clarify the
purpose, powers, and duties of the
Sacramento Community Police Review
Commission and how it interacts with
other City departments to achieve its
objectives. The City Council should
memorialize the specific purpose,
powers, and duties, through
resolution, ordinance, or codifying the
changes in the City Code.

Started Presentation of audit findings scheduled to be
presented at September 19, 2023 meeting of Law and
Legislation Committee.

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
2 The City Council should determine the
staffing needs and responsibilities, and
funding for the Sacramento
Community Police Review
Commission. The City Council should
memorialize the specific role of staff
provided, the funding source, and
what City office or department will
house the position, through resolution
or codifying the changes in the City
Code.

Started Presentation of audit findings scheduled to be
presented at September 19, 2023 meeting of Law and
Legislation Committee.

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
3 The City Council should determine the
training curriculum that SCPRC
Commissioners should be required to
complete and potential remedies if
training is not completed.

Started No reported progress has been made this period.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
4 The City Council should codify the
training requirements for the
Sacramento Community Police Review
Commission in, at minimum, City
Council ordinance. The Sacramento
Community Police Review Commission
also should include the training
requirements in its policies and
procedures.

Not Started No progress on this item during the reporting period.

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
5 Identify resources to provide the
Sacramento Community Police Review
Commission with an increased
internet presence.

Not Started No progress on this item during the reporting period.

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
6 Work with the Sacramento
Community Police Review
Commission, the City Manager’s Office
and City Council to develop policies
and procedures for communicating
with the public.

Not Started No progress on this item during the reporting period.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
7 Clarify whether the Sacramento
Community Police Review Commission
is responsible for issuing its own
annual report. The clarification should
specify the agency required to
complete the report, the frequency of
the report production and provide
direction on the information that
should be included in the report, such
as recommendations, plans for the
upcoming year, and information about
public outreach.

Started Council adopted new Council Rules of Procedures on November 29, 2022, that made changes for all City
boards and commissions. Chapter 17, section C of
Council Rules of Procedure outlines Advisory Body
Reports. In regards to frequency of reports, Chapter
17 section C(2)(b) state 'Each advisory body shall
provide an annual report for review by the Personnel
and Public Employees (P&PE) Committee.'
Additionally, in regard to direction on the information that should be included in the report, section C(2)(c)
states: 'The annual report shall be provided in a
format established by the city clerk and should include highlights and accomplishments from the prior year’s
work; proposed projects, priorities, and
recommendations for the upcoming year; and any
other information required of the advisory body
according to the Sacramento City Code.' The format
for these annual reports however has not been
finalized by the City Clerk's office and no advisory body to the City Council has yet gone through this process.

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
8 Identify key performance indicators to
gauge the effectiveness of the
Sacramento Community Police Review
Commission in meeting its purpose
and objectives.

Not Started No progress on this item during the reporting period.

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
9 Provide secure email accounts for
Sacramento Community Police Review
Commission Commissioners and
require the use of these email
addresses to conduct Commission-
related business.

Not Started No progress on this item during the reporting period.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
10 Develop and implement policies for
email use and provide training to the
Sacramento Community Police Review
Commissioners.

Not Started No progress on this item during the reporting period.

The Sacramento Community
Police Review Commission
Requires
Resources and Investment
from the City to Effectively
Achieve its Objectives.
11 Determine the level of access to
information across City government
needed by the Sacramento
Community Police Review Commission
to fulfill its City Code mandated duties.

The City Council should memorialize
the Sacramento Community Police
Review Commission’s access to
information in either resolution,
ordinance, or in the City Code.

Not Started No progress on this item during the reporting period.

The Sacramento Community
Police Review Commission is in
Need of a Recommendation
and Follow-Up Process to
Ensure the Recommendations
are Documented, Presented to
the City Council, and
Recommendations that are
Approved are Implemented by
the Relevant Department.
12 Determine an agreed-upon format for
Sacramento Community Police Review
Commission recommendations. The
format should direct the specific
information to be required in each
recommendation. Finally, the process
should be memorialized in City Council
resolution or ordinance.

Implemented The form is now in use and all prior recommendations have been transferred to the new format.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Sacramento Community
Police Review Commission is in
Need of a Recommendation
and Follow-Up Process to
Ensure the Recommendations
are Documented, Presented to
the City Council, and
Recommendations that are
Approved are Implemented by
the Relevant Department.
13 Determine whether the Sacramento
Police Department should provide
written responses to Sacramento
Community Police Review Commission
recommendations. This dialogue
should identify the form the response
will be provided in. Finally, the City
Council should consider memorializing
the process in resolution or ordinance.

Partly
Implemented
SPD has created a form that was approved by the City
Clerk. According to the City’s liaison to the
Commission, the Commission also approved the form.

The form is now in use.

The Sacramento Community
Police Review Commission is in
Need of a Recommendation
and Follow-Up Process to
Ensure the Recommendations
are Documented, Presented to
the City Council, and
Recommendations that are
Approved are Implemented by
the Relevant Department.
14 Determine whether the City Council
should vote on SCPRC
recommendations. This dialogue
should identify a process for the
presentation of the recommendations
and vote. Finally, the process should
be presented to City Council to be
memorialized in City Council
resolution or ordinance.

Not Started No progress on this item during the reporting period.

The Sacramento Community
Police Review Commission is in
Need of a Recommendation
and Follow-Up Process to
Ensure the Recommendations
are Documented, Presented to
the City Council, and
Recommendations that are
Approved are Implemented by
the Relevant Department.
15 Determine whether the City should
track and report on the
implementation status of Sacramento
Community Police Review Commission
recommendations. The City Council
should consider adopting a process to
track and report on the
implementation status of SCPRC
recommendations that includes the
department responsible. Finally, the
City Council should consider whether
to memorialize the requirement and
process in resolution or ordinance.

Started SPD has created a form that was approved by the City Clerk. According to the City’s liaison to the
Commission, the Commission also approved the form.

The form is now in use. Discussions are ongoing about
methods for tracking and reporting on the
implementation of recommendations.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

The Sacramento Community
Police Review Commission is in
Need of a Recommendation
and Follow-Up Process to
Ensure the Recommendations
are Documented, Presented to
the City Council, and
Recommendations that are
Approved are Implemented by
the Relevant Department.
16 Determine whether to provide
resources for making SCPRC
recommendation responses and
implementation status publicly
available in a transparent and timely
manner. The City Council should
identify additional funding for the
tracking process. Finally, the City
Council should consider whether to
memorialize the funding provision in
resolution or ordinance.

Not Started No progress on this item during the reporting period.

Vendor Audit of Wide Open Walls

Report #2022/23-01

Finding # Recommendation Status Update

Executing A Contract with the
Wrong Entity and Awarding
Funding Without Written
Agreements Compromised the
City’s Ability to Audit Wide
Open Walls and David Sobon
Events
1 Update the Grant Distribution Policy
to clarify that sponsorships should also
have written agreements
documenting the intended use of City
funds, the requirement for recipients
to document the appropriate use of
funds, and expectations that such
records will be made available to
assess compliance in a timely manner.

Partly
Implemented
Deployment of the Grants Management System was
delayed to June 2023. The American Rescue Plan Act
Grants Management Policy was adopted in May 2023,
which will serve as a basis for the next update to the
City's Grant Distribution Policy. The City Manager’s
office anticipates that the Grants Management Policy
will be updated in early 2024 to ensure all stakeholder feedback can be collected, synthesized, and
incorporated.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Language Access Gap Analysis, Survey Results, and Policy Recommendations Report #2022/23-05

Finding # Recommendation Status Update

Policy recommendations from
gap analysis
1 Establish and maintain robust
language access capabilities for
Spanish speaking LEP residents.

Started The City Manager's Office has drafted a Language Access Policy that states the City will specifically
expand and proactively translate documents into
Spanish, within reason and to the extent funding is
available. In addition, the policy states that phone
menus that offer to connect users to over-the-phone
interpreters will have a Spanish option for callers.

Policy recommendations from
gap analysis
2 Evaluate whether any department
programs serve a significantly higher
LEP population than that of the overall
City-wide population and apply more
robust language services towards
those programs.

Started The City Manager's Office has drafted a Language Access Policy that states an individual City department or office that services an LEP group whose population
differs substantially from the City-wide population
may elect to proactively translate content into
languages other than Spanish if they have reason to
believe that said group meets the threshold of a
substantial number of LEP individuals, or to achieve
departmental outreach objectives.

Policy recommendations from
gap analysis
3 The City should refer to the U.S.

Census and Language Link usage data
from the City’s 311 and 911
departments to regularly evaluate the
number and proportion of LEP
individuals and use this information in
assessing the sufficiency of the City’s
language access services.

Started The City Manager's Office has drafted a Language Access Policy that states the City will refer to the data provided by the U.S. Census Bureau, as well as usage
data from Language Link (or any other contractors the
City engages for providing language access), and data
from the City's 311 and 911 departments, to evaluate
the number and proportion of LEP individuals. The
policy further states that this collective information
will be used in assessing the sufficiency of the City's language access services.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Policy recommendations from
gap analysis
4 Provide guidance on whether
programs should perform additional
outreach to LEP persons to increase
the frequency of contact with LEP
language groups.

Started The City Manager's Office has drafted a Language Access Policy that states the City will appoint a
citywide LEP coordinator to ensure the effective
implementation of this policy and program and whose
duties will include developing guidance for City
departments to identify their vital documents and
determine areas where language access expansion can
occur, within reason and when funding allows.

Policy recommendations from
gap analysis
5 Provide guidance on whether
programs that interact frequently with
LEP individuals should provide
meaningful language access services at
a broader scale than departments who
have infrequent encounters.

Started The City Manager's Office has drafted a Language Access Policy that states an individual City department or office that services an LEP group whose population
differs substantially from the city-wide population may elect to proactively translate content into languages
other than Spanish if they have reason to believe that
said group meets the threshold of a substantial
number of LEP individuals, or to achieve departmental
outreach objectives.

Policy recommendations from
gap analysis
6 Evaluate whether funding for language
services is sufficient based on the
volume of LEP individuals that interact
with City departments or programs
and the relative importance of the
services they provide.

Started The City Manager's Office has drafted a Language Access Policy that states the City will appoint a
citywide LEP coordinator to ensure the effective
implementation of this policy and program whose
duties will include tracking the City's overall budget
and funding set aside for language services and
whether increased funding is needed.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Policy recommendations from
gap analysis
7 Train City staff on language access
procedures. This training may include
the process for arranging interpreters
where appropriate, the list of
providers the City currently contracts
with and what services they provide,
and the differences between
translation and interpretation services.

Started The City Manager's Office has drafted a Language Access Policy that states the City will ensure that
employees receive training for successful interactions
with LEP individuals. The policy states that staff
members who interact with LEP individuals directly
and management responsible for ensuring the
effective implementation of the policy will receive
training in areas such as understanding the policy,
notifying residents of the availability of language
access, determining that an individual is LEP and
offering assistance, and arranging for language
services.

Policy recommendations from
gap analysis
8 Provide guidance and train staff on
how to respond in situations where a
minor or family member is asked to
serve as an interpreter.

Started The City Manager's Office has drafted a Language Access Policy that states the City will take measures to ensure that minor children or other family members of
the LEP individuals are not used as interpreters in any situations that have the potential to affect the LEP
individual's rights, health, safety, or concern benefits or services that the individual is entitled to. The policy further states that if LEP individuals indicate that a
minor child, family member, or community member
who is not a qualified interpreter can serve as an
interpreter in situations that do not concern rights,
benefits, or health and safety, staff will train
employees to inform the LEP that free interpreters are
available and obtain consent from the LEP that they do
not want an interpreter.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Policy recommendations from
gap analysis
9 Provide direction on how and when
bilingual staff are used for translation
services and when professional
translators should be used for vital
documents, website content, and for
lengthy documents.

Started The City Manager's Office has drafted a Language Access Policy that states a professional interpreter will be utilized if there is any doubt that a bilingual staff member is sufficiently skilled in interpretation or
possesses the necessary knowledge of terminology.

The policy further states that bilingual staff not
certified through the Human Resources bilingual
services certification will not be used to translate vital documents but may be employed to translate
informal, community outreach content.

Policy recommendations from
gap analysis
10 We recommend the City leverage the
resources and best practices on the
LEP.gov website in developing the
Citywide language access policy, to
ensure the City’s websites are
accessible and that the use of machine
translation is accurate.

Started The City Manager's Office has drafted a Language Access Policy that states the City will provide
automated or machine-translated technologies to
translate the City's website. The policy further states the City will regularly engage with the LEP.gov federal website to ensure we leverage available resources and
stay informed about developing technologies that will
improve translation accuracy.

Policy recommendations from
gap analysis
11 Develop guidance for City
departments to identify their vital
documents and determine how to
provide robust language services for
those documents.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Policy recommendations from
gap analysis
12 Train City employees on how to
determine if an individual is LEP and
how and when to offer language
assistance.

Policy recommendations from
gap analysis
13 Employ additional means to
proactively notify LEP individuals of
the availability of language services.

Started The City Manager's Office has drafted a Language Access Policy that states the City may elect to employ
certain means to proactively notify individuals that
language services are available such as phone menus,
multilingual posters, multilingual notices of vital
documents, email and social medial campaigns,
website posts, 'I Speak' cards, and the use of the Office of Community Engagement to foster civic engagement
with LEP groups.

Policy recommendations from
gap analysis
14 Develop a mechanism that allows LEP
individuals to file a complaint to
provide feedback about the City’s
language access services.

Started The City Manager's Office has drafted a Language Access Policy that states the City will post a form on its website that allows LEP individuals to file a complaint concerning the City's provision of language services
and the form will also be posted on the City's website
and marketed. In addition, the citywide LEP
coordinator will investigate and respond to any
complaints the City receives regarding the provision of language access services.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Policy recommendations from
gap analysis
15 Consider providing on-going funding
for citywide language access
marketing, so that more community
members are aware of the language
access services provided by the City.

Policy recommendations from
gap analysis
16 Consider appointing a citywide LEP
coordinator or a working group of
individuals from different departments
to regularly monitor/update the
agency’s response to LEP needs.

Started The City Manager's Office has drafted a Language Access Policy that states the City will appoint a
citywide LEP coordinator to ensure the effective
implementation of the policy and program. The
coordinator's duties include reviewing and updating
the policy and citywide program as needed and
providing updates and ideas for ongoing
improvement.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Audit of the Cannabis Code Enforcement Unit

Report #2022/23-06

Finding # Recommendation Status Update

Two Cannabis Businesses Were
Not Being Regularly Inspected
and Some Inspections Were Not
Performed Timely.
1 Strengthen its controls over file
creation in CitizenServe to ensure that
all permitted businesses are inspected
by the CCEU.

Implemented To address the risk of a CitizenServe file not being created leading to a permitted business not being
inspected, CCEU developed a new Business
Operational Permit (BOP) Inspection Checklist that
requires the Citizenserve case number. The inspection
should not commence without the Citizenserve case
number. In addition, although a BOP number is not
available at the time the inspection is conducted
because the business is not yet permitted, there is a
BOP field in Citizenserve. The inspecting code officer is expected to populate the field in CitizenServe once the BOP number is issued. These steps will ensure that all
permitted businesses have Citizenserve cases and are
subject to regular inspections.

Two Cannabis Businesses Were
Not Being Regularly Inspected
and Some Inspections Were Not
Performed Timely.
2 Revise its inspection schedule to
include cannabis manufacturing
businesses.

Partly
Implemented
CCEU management has added cannabis manufacturing
business as a business type in Citizenserve.

Additionally, CCEU management has implemented a
tool within Citizenserve to automate scheduling of
subsequent inspections when an inspection activity is
completed. CCEU management is currently updating
policies and procedures to memorialize the inspection
schedule for all business types.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Two Cannabis Businesses Were
Not Being Regularly Inspected
and Some Inspections Were Not
Performed Timely.
3 Develop and implement a control
procedure designed to identify and
address untimely periodic inspections.

Implemented CCEU has implemented a performance metric in Citizenserve used by the Neighborhood Code Unit to
track inspections that are within the following
category: (1) 14 days or less (2) 15 - 30 days or less (3) 90 days or more. The metric tracks inspections that
are past due by the number of days listed in each
category above. These metrics can be found on the
homepage of each code enforcement officer assigned
to the CCEU. A list of cases can be found for each
category.

Inspection Processes Could be
Strengthened with the Use of
Checklists During the Inspection
and by Having Written
Standardized Practices.
4 Use a checklist in accordance with
policies and procedures when
conducting inspections to ensure all
applicable cannabis business
regulations are reviewed.

Implemented A policy was implemented requiring the use of an electronic tablet to complete the appropriate
inspection checklist as part of the standard inspection process. Each code enforcement officer has been
assigned an electronic tablet and has been trained on
complete inspections using the checklist. All of the
CCEU code enforcement officers have signed the
policy agreeing to follow the inspection requirements.

Inspection Processes Could be
Strengthened with the Use of
Checklists During the Inspection
and by Having Written
Standardized Practices.
5 Standardize and document its
procedures for conducting inventory
inspections including how products
are selected, what is reviewed, and
how results are documented.

Partly
Implemented
On July 27, 2023, we met with CCEU management to
discuss recommendations. As part of the discussion,
we provided clarification on the recommendation. In
our review of CitizenServe case files, we observed that inventory inspections are being documented more
completely. When CCEU management develops the
formal procedures for conducting inventory
inspections, we will close the recommendation.

Some Cannabis Code
Enforcement Data in
CitizenServe is Missing or
Inconsistent.
6 Update policies and procedures to
provide more specific guidance for
complete and accurate documentation
of cannabis business compliance files.

Implemented A policy setting standard for documentation and evidence gathering was implemented on July 19, 2023.

Additionally, training material was developed and is in use to ensure code enforcement officers assigned to
the CCEU are conducting thorough inspections, using
the required inspection checklists, following a format
when developing inspection reports and gathering
evidence to substantiate violations.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Some Cannabis Code
Enforcement Data in
CitizenServe is Missing or
Inconsistent.
7 Develop policies and procedures for
following up on enforcement actions
and establish a minimum standard for
documenting evidence of compliance.

Implemented A policy setting standard for documentation and evidence gathering was implemented on July 19, 2023.

Some Cannabis Code
Enforcement Data in
CitizenServe is Missing or
Inconsistent.
8 Develop a process to ensure
completed inspections are marked as
closed in CitizenServe.

Implemented IT created a report titled 'Activity - List of Activities with No Completion Date: By Assigned To Name'. The
report allows a supervisor to search all activities
assigned to a specific user and will provide a list of
activities that are not completed. The supervisor can
audit and review this report as frequently as
necessary.

Management Could Promote
Efficiency and Effectiveness
Through the Use of
Performance Metrics and
Documented Reviews.
9 Establish performance metrics to
evaluate the effectiveness of the
cannabis code enforcement program.

Started On July 27, 2023, we met with CCEU management to discuss recommendation follow-up. Based on our
discussions, CCEU management was provided
clarification on the recommendation. It is our
understanding that the CCEU is brainstorming
potential performance metrics to be used to evaluate
the program.

Management Could Promote
Efficiency and Effectiveness
Through the Use of
Performance Metrics and
Documented Reviews.
10 Formalize supervisory review
procedures in departmental policies
and procedures and ensure results of
supervisory reviews are documented.

Implemented The CCEU has developed the Supervisor Review and Auditing policy that formalizes CCEU supervisory
review procedures.

For interactive dashboards and copies of past reports, visit our website:
https://www.cityofsacramento.org/Auditor/Reports/Recommendation-Follow-Ups

Management Could Promote
Efficiency and Effectiveness
Through the Use of
Performance Metrics and
Documented Reviews.
11 Implement a formal method for
tracking equipment and safety gear to
ensure it complies with applicable
safety standards.

Implemented Employees assigned to the Code Cannabis
Enforcement Unit (CCEU) are provided a list of
equipment that is tracked by the Senior Code
Enforcement Officer. The equipment is inspected and
reviewed to ensure proper use, storage and reliability
every 3 months. Additionally, Code Compliance now
has a storage room with lockers inside that lock to
store additional equipment including PPE, safety
equipment, and supplies.

Sacramento City CouncilOctober 3, 2023

Sacramento City Council
October 3, 2023