File #: 2022-0453   
Type: Informational Report Status: Agenda Ready
File created: 7/1/2022 In control: Finance, Budget and Audit Committee
On agenda: 9/14/2022 Final action:
Title: RECEIVE AND FILE Office of the Inspector General (OIG) Final Report on the Statutorily Mandated Audit of Miscellaneous Expenses for the Period of January 1, 2022 to March 31, 2022.
Sponsors: Finance, Budget and Audit Committee
Indexes: Audit, Budgeting, Informational Report, Payment, Purchasing
Attachments: 1. Attachment A - 23-AUD-01 Final Report on Misc. Expenses Jan-Mar '22, 2. Presentation
Date Action ByActionResultAction DetailsMeeting DetailsAudio
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Meeting_Body
FINANCE, BUDGET, AND AUDIT COMMITTEE
SEPTEMBER 14, 2022

Subject
SUBJECT: AUDIT OF MISCELLANEOUS EXPENSES FOR THE PERIOD OF JANUARY 1, 2022 TO MARCH 31, 2022

Action
ACTION: RECEIVE AND FILE

Heading
RECOMMENDATION

Title
RECEIVE AND FILE Office of the Inspector General (OIG) Final Report on the Statutorily Mandated Audit of Miscellaneous Expenses for the Period of January 1, 2022 to March 31, 2022.

Issue
ISSUE

The Office of the Inspector General (OIG) performed an audit of Metro miscellaneous expense transactions processed from January 1, 2022 to March 31, 2022. This audit was performed pursuant to Public Utilities Code section 130051.28(b) which requires the OIG to report quarterly to the Board of Directors on the expenditures of the Los Angeles County Metropolitan Transportation Authority (Metro) for miscellaneous expenses such as travel, meals, refreshments, and membership fees.

Background
BACKGROUND

All Metro expenditures are categorized into various expense accounts and recorded in Metro's Financial Information System (FIS). Metro employees have several options for seeking payment for miscellaneous expenses incurred, such as check requests, purchase cards, purchase orders, and travel & business expense reports. Each option has its own policies, procedures, or guidelines.

The Accounting Department's Accounts Payable Section is responsible for the accurate and timely processing of payment for miscellaneous expenses.

This audit covered a review of Metro miscellaneous expenses for the period of January 1, 2022 to March 31, 2022. For this period, miscellaneous expenses totaled $759,388 with 335 transactions. We selected 46 expense transactions totaling $328,800 for detail testing.

Discussion
DISCUSSION

Findings

The miscellaneous expenses we reviewed for the period of January 1 to March 31, 2022 generally complied with Metro policies and procedures, were reasonable, and were adequately supported by required documents. H...

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