City of Sacramento
Budget and Audit Committee Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2024-01418 9/24/2024 Consent Item 2.
City Auditor's Activity Report for the 4th Quarter of Fiscal Year (FY) 2023/24 File ID: 2024-01418
Location: Citywide
Recommendation: Pass a Motion: 1) accepting the City Auditor’s Activity Report for the 4th Quarter of FY2023/24; and 2) forwarding to City Council for approval.
Contact: Farishta Ahrary, Interim City Auditor, (916) 808-7266, [email protected], Office of the City Auditor
Presenter: None
Attachments:
1-Description/Analysis
2-City Auditor’s Activity Report for the 4th Quarter of FY2023/24 Description/Analysis
Issue Detail: According to the Council Rules of Procedure, 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 documents the City Auditor’s Activity Report for the 4th Quarter of FY2023/24.
Policy Considerations: The City Auditor’s Activity Report for the 4th Quarter of FY2023/24 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.
Sustainability: None.
Commission/Committee Action: None.
File ID: 2024-01418 9/24/2024 Consent Item 2.
Rationale for Recommendation: This staff report provides the Budget and Audit Committee with information that may be used to meet its responsibility to provide oversight and supervision of the City Auditor.
Financial Considerations: The costs of the projects listed in the Activity Report were funded out of the Office of the City Auditor Budget.
Local Business Enterprise (LBE): None.
April through June 2024 Report Number: 2024/25-03
Q U A R T E R L Y
A C T I V I T Y
R E P O R T
Fourth Quarter of Fiscal Y ear 2023/24
Reports Issued
T h e O f f i c e o f t h e C i t y A u d i t o r i s s u e d s e v e r a l r e p o r t s d u r i n g t h e f o u r t h q u a r t e r o f f i s c a l y e a r 2 0 2 3 / 2 4 .
D i v e r s i t y
R e v i e w o f C i t y
E m p l o y m e n t
A p p l i c a t i o n s ,
H i r e s , a n d
S e p a r a t i o n s :
F e b r u a r y 1 ,
2 0 2 1 t h r o u g h
J a n u a r y 3 1 ,
2 0 2 4
2 0 2 2 A u d i t o f
C i t y B o a r d ,
C o m m i t t e e ,
a n d
C o m m i s s i o n
D i v e r s i t y
Q u a r t e r l y
A c t i v i t y R e p o r t
f o r t h e p e r i o d
o f J a n u a r y 2 0 2 4
t h r o u g h M a r c h
2 0 2 4
Introduction
T h e Q u a r t e r l y A c t i v i t y R e p o r t h i g h l i g h t s t h e a c t i v i t i e s o f t h e O f f i c e o f t h e C i t y A u d i t o r f o r t h e f o u r t h q u a r t e r o f f i s c a l y e a r ( F Y ) 2 0 2 3 / 2 4 . T h i s r e p o r t a l s o i d e n t i f i e s t h e s t a t u s o f t h e C i t y A u d i t o r ' s F i s c a l Y e a r 2 0 2 3 / 2 4 W o r k P l a n p r o j e c t s .
C i t y A u d i t o r ' s
F i s c a l Y e a r
2 0 2 4 / 2 5 W o r k
P l a n
Other Highlights
T h e f o l l o w i n g h i g h l i g h t s o t h e r a c t i v i t i e s o f t h e O f f i c e o f t h e C i t y A u d i t o r f o r t h i s r e p o r t i n g p e r i o d .
S t a f f D e v e l o p m e n t
A u d i t s t a f f h a v e d e m o n s t r a t e d
t h e i r c o m p e t e n c y a n d
c o m m i t m e n t t o t h e p r o f e s s i o n
b y e a r n i n g t h e f o l l o w i n g
c e r t i f i c a t i o n s d u r i n g t h i s p e r i o d :
J o y c e C h i h - C e r t i f i e d
I n t e r n a l A u d i t o r
P a r i n a z N e j a t i e - C e r t i f i e d
F r a u d E x a m i n e r
A f t e r a c o m p e t i t i v e r e c r u i t m e n t , C h e v e l l e J a c k s o n w a s p r o m o t e d
t o S e n i o r F i s c a l P o l i c y A n a l y s t .
A d d i t i o n a l v a c a n c i e s a r e s t i l l g o i n g t h r o u g h t h e r e c r u i t m e n t
p r o c e s s .
W h i s t l e b l o w e r
H o t l i n e
S t a f f V a c a n c i e s
T h e O f f i c e r e c e i v e d a n u m b e r o f w h i s t l e b l o w e r a l l e g a t i o n s .
T h e O f f i c e c o n t i n u e s t o p a r t n e r w i t h M i s s i o n m a r k , I n c . t o d e v e l o p a u d i t s o f t w a r e t h a t w i l l
s t r e a m l i n e a u d i t p r o c e s s e s .
C o n t i n u o u s
I m p r o v e m e n t
S t a f f P r e s e n t a t i o n s
A u d i t s t a f f p r e s e n t e d a t v a r i o u s c o n f e r e n c e a n d t r a i n i n g e v e n t s d u r i n g t h i s r e p o r t i n g p e r i o d :
K e v i n C h r i s t e n s e n a n d
C h e v e l l e J a c k s o n p r e s e n t e d
t h e A u d i t o f t h e S a c r a m e n t o
P o l i c e D e p a r t m e n t ' s E v i d e n c e
a n d P r o p e r t y D i v i s i o n - S e x u a l A s s a u l t E v i d e n c e K i t s a t t h e
C a l i f o r n i a C o u n t i e s A u d i t
M a n a g e r s C o m m i t t e e
C o n f e r e n c e .
J o r d a n S w e e n e y p r e s e n t e d a t
t h e B a y A r e a L o c a l
G o v e r n m e n t A u d i t o r ' s
A u d i t i n g w i t h a n E q u i t y L e n s
t r a i n i n g e v e n t .
C h e v e l l e J a c k s o n p r e s e n t e d
a t t h e C i t y o f S a c r a m e n t o ' s
A s i a n P a c i f i c I s l a n d e r
e m p l o y e e r e s o u r c e g r o u p
m e e t i n g .
A u d i t I n i t i a t e d
T h e O f f i c e i n i t i a t e d t h e A u d i t o f D e p a r t m e n t o f U t i l i t i e s ' E n e r g y U s e .
D E I E f f o r t s
T h e O f f i c e ' s R a c i a l a n d G e n d e r E q u i t y A c t i o n P l a n ( R G E A P ) T e a m a t t e n d e d t h e C i t y ' s E q u i t y T e a m s C o n v e n i n g 2 0 2 4 .
O P S A I n t e r v i e w s
F a r i s h t a A h r a r y a n d J o r d a n
S w e e n e y a s s i s t e d t h e O f f i c e o f P u b l i c S a f e t y A c c o u n t a b i l i t y i n i t s r e c r u i t m e n t a n d i n t e r v i e w
e f f o r t s .
FY 2023/24 W ork Plan Assignments Completed
FY 2023/24 W ork Plan Assignments In-Progress
Assignments Completed Report Issuance
Date
Diversity Review of City Employment Applications, Hires, and Separations:
February 1, 2021 through January 31, 2024
June 2024
2022 Audit of City Board, Committee, and Commission Diversity May 2024 City's Homeless Response: Audit Scope Proposal March 2024 Preliminary Report on the City's Homeless Response February 2024 2023 National Community Survey February 2024
Audit of the Department of Utilities Supervisory Control and Data Acquisition (SCADA) System
February 2024
Assessments of Revenues and Expenses Associated with the City's COVID-19 Response - Report No. 5
December 2023
City Auditor's Baseline Funding Calculation for the Sacramento Children's Fund
December 2023
Audit of the Sacramento Police Department's Evidence and Property Division - Sexual Assault Evidence Kits
September 2023
A u d i t o f F i r e D e p a r t m e n t E m e r g e n c y M e d i c a l S e r v i c e s A l t h o u g h t h i s a u d i t i s n o t o n h o l d , p r o g r e s s d u r i n g t h i s r e p o r t i n g p e r i o d h a s b e e n s l o w e r t h a n a n t i c i p a t e d d u e t o d e p a r t m e n t a l r e s o u r c e c o n s t r a i n t s . T h e a u d i t i s c u r r e n t l y i n t h e R e p o r t W r i t i n g p h a s e , a n d a d d i t i o n a l a n a l y s i s i s b e i n g c o n d u c t e d t o i n c o r p o r a t e d a t a f r o m t h e m o s t r e c e n t f i s c a l y e a r .
A u d i t o f t h e C i t y ' s E t h i c s C o m m i s s i o n T h e a u d i t i s c u r r e n t l y i n t h e R e p o r t i n g W r i t i n g p h a s e o f t h e p r o j e c t . A d r a f t w a s p r o d u c e d a n d i s i n t h e p r o c e s s o f b e i n g c i r c u l a t e d i n o r d e r t o o b t a i n a n d r e p o r t t h e v i e w s o f m a n a g e m e n t c o n c e r n i n g t h e f i n d i n g s , c o n c l u s i o n s , a n d r e c o m m e n d a t i o n s .
D e p a r t m e n t o f U t i l i t i e s ' W a t e r a n d W a s t e w a t e r F u n d s R e v i e w
D u r i n g t h e l a s t q u a r t e r , s u b s t a n t i a l w o r k w a s d o n e b y t h e c o n s u l t a n t t o c o m p l e t e t h e f i r s t d r a f t o f t h e a n a l y s i s a n d r e p o r t . T h i s p r o j e c t i s c u r r e n t l y i n t h e R e p o r t W r i t i n g p h a s e w i t h t h e c o n s u l t a n t w o r k i n g t o u p d a t e t h e a n a l y s i s a n d r e p o r t b a s e d o n f e e d b a c k f r o m t h e C i t y .
T h e f o l l o w i n g i d e n t i f i e s c o m p l e t e d p r o j e c t s d u r i n g f i s c a l y e a r 2 0 2 3 / 2 4 .
T h e f o l l o w i n g h i g h l i g h t s t h e s t a t u s o f t h e F i s c a l Y e a r 2 0 2 3 / 3 4 W o r k P l a n a s s i g n m e n t s i n - p r o g r e s s .
FY 2023/24 W ork Plan Assignments In-Progress (Continued) A u d i t o f t h e T r a n s i e n t O c c u p a n c y T a x T h i s a u d i t h a s b e e n p l a c e d o n a t e m p o r a r y h o l d d u e t o d e p a r t m e n t r e s o u r c e c o n s t r a i n t s . T h e a u d i t i s c u r r e n t l y i n t h e F i e l d w o r k p h a s e , w i t h a s m a l l n u m b e r o f s u b - o b j e c t i v e s l e f t t o c o m p l e t e . W e a n t i c i p a t e r e s u m i n g t h i s a u d i t b y e a r l y 2 0 2 5 .
A u d i t o f t h e C i t y ' s H o m e l e s s R e s p o n s e - P a r t 1 U p o n a c q u i r i n g a p p r o v a l f o r o u r w o r k p l a n o n o u r t w o p r o p o s e d h o m e l e s s r e s p o n s e a u d i t p r o j e c t s , w e i n i t i a t e d a n d c o m p l e t e d t h e R i s k A s s e s s m e n t p h a s e f o r t h e f i r s t a u d i t p r o j e c t , w h i c h a d d r e s s e s C i t y w i d e a n d s y s t e m w i d e s t r a t e g y a n d c o o r d i n a t i o n . W e a l s o u s e d t h e r e s u l t s o f o u r r i s k a s s e s s m e n t t o c o m p l e t e o u r f i e l d w o r k a u d i t p l a n f o r t h i s f i r s t a u d i t p r o j e c t , w h i c h i s c u r r e n t l y i n t h e F i e l d w o r k p h a s e .
A u d i t o f t h e C i t y ' s A n i m a l C a r e S e r v i c e s O u r o f f i c e e n g a g e d a c o n s u l t a n t t o c o n d u c t a p e r f o r m a n c e a u d i t o f t h e A n i m a l C a r e S e r v i c e s D i v i s i o n . T h e c o n s u l t a n t i s n e a r i n g c o m p l e t i o n o f t h e P r e l i m i n a r y S u r v e y a u d i t p h a s e . T h e c o n s u l t a n t h a s b e e n e n g a g i n g i n i n t e r v i e w s a n d f a c i l i t y w a l k - t h r o u g h s , c o n d u c t i n g b e n c h m a r k i n g r e s e a r c h , a n d r e v i e w i n g d a t a .
A u d i t e d C a n n a b i s B u s i n e s s O p e r a t i o n s T a x A m o u n t f o r t h e S a c r a m e n t o C h i l d r e n ' s F u n d
D u r i n g t h e l a s t q u a r t e r , w e a s s e s s e d t h e s c o p e o f t h i s a u d i t a s p a r t o f r e s o u r c e p l a n n i n g . B a s e d o n t h i s a s s e s s m e n t a n d d i s c u s s i o n s w i t h t h e F i n a n c e D e p a r t m e n t , w e d e t e r m i n e d t h a t c o n t r a c t i n g t h i s a u d i t w i t h t h e e x t e r n a l a u d i t o r s w o u l d b e t h e m o s t e f f i c i e n t u s e o f r e s o u r c e s t o c o m p l e t e t h i s a u d i t . W e t h e n i n i t i a t e d t h e p r o c u r e m e n t p r o c e s s .
A u d i t o f t h e C i t y ' s H o m e l e s s R e s p o n s e - M o t e l S h e l t e r P r o g r a m
T h i s a u d i t i s a s u b s e t o f o u r f i r s t h o m e l e s s r e s p o n s e a u d i t p r o j e c t o n C i t y w i d e a n d s y s t e m w i d e s t r a t e g y a n d c o o r d i n a t i o n , s p e c i f i c a l l y a s p a r t o f t h e s e c o n d o b j e c t i v e o n e v a l u a t i n g g a p s i n a c h i e v i n g o u t c o m e s - b a s e d h o m e l e s s d a t a s y s t e m s a n d i n i d e n t i f y i n g r o a d b l o c k s t o p r o v i d i n g h o m e l e s s s e r v i c e s . D u e t o t h e m a g n i t u d e o f o u r a u d i t w o r k o n t h e C i t y ’ s h o m e l e s s r e s p o n s e a n d t h e h i g h r e l e v a n c e o f t h e M o t e l S h e l t e r P r o g r a m , w e d e d i c a t e d r e s o u r c e s t o s p e c i f i c a l l y r e v i e w i n g t h i s p r o g r a m , w i t h t h e i n t e n t i o n o f r e l e a s i n g t h i s a u d i t a s t h e f i r s t i n o u r s e r i e s o f h o m e l e s s r e s p o n s e a u d i t r e p o r t s . A s s u c h , t h i s a u d i t i s c u r r e n t l y i n t h e P r e l i m i n a r y S u r v e y p h a s e .
A u d i t o f S a c r a m e n t o P o l i c e D e p a r t m e n t M i l i t a r y E q u i p m e n t U s e P o l i c i e s a n d I n v e n t o r y P r a c t i c e s T h e a u d i t i s c u r r e n t l y i n t h e f i n a l s t a g e s o f t h e F i e l d w o r k p h a s e o f t h e a u d i t p r o c e s s . D u r i n g t h e l a s t q u a r t e r , c o n s i d e r a b l e w o r k h a s b e e n c o n d u c t e d o n u n d e r s t a n d i n g P o l i c e D e p a r t m e n t p r o c e s s e s f o r t r a c k i n g a n d r e p o r t i n g o f m i l i t a r y e q u i p m e n t i n v e n t o r i e s . A d d i t i o n a l l y , d u e t o a c t i v i t y i n t h e l e g i s l a t i v e p r o c e s s , s u b s t a n t i a l w o r k h a s b e e n c o m p l e t e d o n t r a c k i n g t h e p o l i c e d e p a r t m e n t c o m p l i a n c e e f f o r t s , i n c l u d i n g r e p o r t i n g t i m e l i n e s , c o m m u n i t y o u t r e a c h , a n d r e p o r t i n g o n e q u i p m e n t u s e d a t a .
FY 2023/24 W ork Plan Assignments In-Progress (Continued) w w w . c i t y o f s a c r a m e n t o . g o v / a u d i t o r A u d i t o f t h e D e p a r t m e n t o f U t i l i t i e s ' E n e r g y U s e T h i s a u d i t w a s i n i t i a t e d l a t e i n t h e q u a r t e r a n d i s c u r r e n t l y i n t h e e a r l y s t a g e s o f t h e P r e l i m i n a r y S u r v e y p h a s e . W e a r e c u r r e n t l y c o n d u c t i n g b a c k g r o u n d r e s e a r c h a n d l e a r n i n g a b o u t t h e p r o g r a m . A n e n t r a n c e c o n f e r e n c e w a s s c h e d u l e d w i t h t h e D e p a r t m e n t o f U t i l i t i e s t o k i c k o f f t h e a u d i t .
Projects Carried Over to the FY 2024/25 W ork Plan
T h e C i t y A u d i t o r ' s W o r k P l a n i s d e s i g n e d t o b e f l e x i b l e , a d j u s t i n g t o n e w r i s k s a n d c h a n g i n g p r i o r i t i e s . A n n u a l l y , w e r e v i e w a n d r e p r i o r i t i z e p r o j e c t s t o d e t e r m i n e t h e i r r e l e v a n c e f o r t h e u p c o m i n g y e a r . D u r i n g t h i s q u a r t e r , t h e C i t y C o u n c i l a p p r o v e d t h e C i t y A u d i t o r ' s F i s c a l Y e a r 2 0 2 4 / 2 5 W o r k P l a n . D u r i n g t h i s p r o c e s s , s o m e p r o j e c t s w e r e d e f e r r e d t o t h e n e x t y e a r ' s w o r k p l a n , w h i l e o t h e r s w e r e r e - a s s e s s e d a n d e x c l u d e d .
P r o j e c t s c a r r i e d o v e r t o t h e F i s c a l Y e a r 2 0 2 4 / 2 5 W o r k P l a n i n c l u d e :
A u d i t o f
P e d e s t r i a n
S a f e t y
A u d i t o f t h e
P l a n n i n g
D i v i s i o n
A u d i t o f
I l l e g a l
C a n n a b i s
C u l t i v a t i o n
A u d i t o f t h e C i t y ' s C o m p l a i n t I n v e s t i g a t i o n a n d R e s o l u t i o n P r a c t i c e s
T h i s a u d i t h a s b e e n p l a c e d o n a t e m p o r a r y h o l d d u e t o d e p a r t m e n t r e s o u r c e c o n s t r a i n t s . T h e a u d i t w i l l b e r e - i n i t i a t e d w h e n s u f f i c i e n t d e p a r t m e n t r e s o u r c e s a r e a v a i l a b l e .