Status of Open Audit
Recommendations as of
December 31, 2025
An update by the City Auditor
Issued March 2026
http://www.sanjoseca.gov/auditor
March 24, 2025, City Council item 3.5
Presented by:
Joe Rois, City Auditor
Michelle Mallari, Program Performance Auditor Office of the City Auditor, 1
Office of the City Auditor, 2
145 Recommendations
36 new recommendations made since last update
57 implemented or closed since last update
63 partly implemented, 25 not implemented
88% implemented / closed over the last 10 years
Summary of Results
Departments Implemented 57 Recommendations
Highlights of implemented recommendations in this period:
Animal Care & Services (ACS): Implemented or closed the remaining recommendations from the 2024 audit of ACS, including completing shelter capacity assessments; updating guidance around the daily care of animals, supervisory responsibilities, and data entry; and addressing other issues identified in the audit. Council Policy 1-18: The Administration proposed, and Council approved, updates the Operating Budget and Capital Improvement Program Policy to clarify guidelines on cost recovery, considerations of ratepayer impacts, and reserves and fund balance. Public Works: updated City Policy 1.8.1 to require departments to monitor fleet utilization and clarify guidelines for take-home vehicles.
Office of the City Auditor, 3
Departments Implemented 57 Recommendations
Highlights of implemented recommendations in this period (continued):
Housing: streamlined its performance measures and aligned them more consistently across reporting platforms.
Parks, Recreation and Neighborhood Services (PRNS): executed and updated agreements with the remaining school districts served by the San José Y outh Empowerment Alliance.
Retirement Services (ORS): established purchase orders with its remaining vendors to eliminate the use of nonstandard payment methods.
City Clerk’s Office: improved its performance management system and updated its Form 700 procedures to address non-filers and the assessment of late fines.
Office of the City Auditor, 4
T welve Priority Recommendations
Potential Budget Savings /
Revenue Generation:
Update time tracking guidelines and review cost
recovery calculations for environmental review
fees (Environmental Review for New
Developments, 2022) – New priority added
Renegotiate revenue sharing terms of the
Integration Agreement with Valley Water (South
Bay Water Recycling, 2016) – New priority added
Clarify maintenance responsibilities at interim
housing sites between service providers and the
City (Homelessness Coordination, 2025) – New
priority added
Operational Efficiency:
Identify vacant lands within the City’s real estate
portfolio and report on their intended use
annually (Real Estate Services, 2021)
Finalize and publish guidelines on the City’s
CEQA requirements and processes for
environmental consultants (Environmental
Review for New Developments, 2022)
Contract with outside service providers for spay
and neuter services (Animal Care and Services,
2024)
Office of the City Auditor, 5
T welve Priority Recommendations (…continued)
Citywide Security / Risk Mitigation:
Re-assess procurement policies to align the City’s
risk strategy with timely procurements
(Procurement, 2025) – New priority added
Separate critical duties for management of the
central supply of controlled substances (Fire
Inventory Controls Over Controlled Substances,
2025) – New priority added
Update policies to formalize central supply
oversight (Fire Inventory Controls Over
Controlled Substances, 2025) – New priority added
Improved Service Delivery:
Increase language translations of vital documents
and include translation options on SJpermits.org
(Residential Building Permits, 2023)
Update Animal Care and Services’ manual to align
with Association of Shelter Veterinarians
Guidelines (Animal Care and Services, 2024)
Incorporate all languages spoken by 5 percent or
more of the population into the SJ311 website
and mobile application. (Access and Use of
Neighborhood Blight Programs, 2024)
Office of the City Auditor, 6
Office of the City Auditor, 7
https://www.sanjoseca.gov/your-government/appointees/city- auditor/audit-recommendations
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