Monitoring APA Reports - Virginia Department of Accounts

StatewideMonitoringof APA AuditReportsFiscal FundamentalsPhoto by Karl Steinbrenner

Audit ReportIssued by Auditor of Public Accounts (APA)includes:‣ An audit opinion‣ A management letter of findings and/ordeficiencies‣ Recommendations for improvement9/10/2008 Financial Reporting 2

Audit Findings/RecommendationsAddress weaknesses in internal controlsAddress instances of noncompliance withrules and/or regulations‣ State‣ Federal‣ Internal Policies & Procedures9/10/2008 Financial Reporting 4

Agency ResponsibilitiesDevelop a comprehensive response to any auditfindings and/or reported deficiencies.Include a Corrective Action Workplan (CAW) in theresponse.Provide written progress reports to the StateComptroller every 90 days until the findings and/ordeficiencies are corrected. Upon correction, theAgency Head must certify the correction in writingto the State Comptroller.9/10/2008 Financial Reporting 5

Audit Response ProceduresAgencies must send written response to State Comptrollerwithin 30 days after receiving final audit report.Response must include the CAW. The workplan should:‣ Summarize the audit findings (What)‣ Identify the proposed corrective actions (How)‣ Provides target dates for completion (When)‣ Names of the position or person responsible for implementingeach corrective action (Who)Transmit copies of the response to:‣ Director of Department of Planning and Budget‣ Appropriate Cabinet Secretary‣ Auditor of Public Accounts9/10/2008 Financial Reporting 6

Audit Response ProceduresDOA logs, tracks and evaluates the response.If DOA finds the response inadequate:‣ DOA will notify the agency.‣ Agency must send a revised response within 15 days.‣ Agency must send revised response to DPB Director, CabinetSecretary, and APA.Agencies must:‣ Submit status reports every 90 days on resolving comments,‣ Report the status of any outstanding questioned costs,‣ When a finding is corrected, the Agency Head must certifythe correction in writing to the State Comptroller.9/10/2008 Financial Reporting 7

DOA Monitoring Procedures‣ DOA receives copies of all APA reports‣ DOA tracks agency Responses and CAWs‣ DOA reports summaries of All Findings, RiskAlerts, and Efficiency Issues in the QuarterlyReport‣ DOA reports the Current Status of CorrectiveActions as Reported by Agencies in theQuarterly Report9/10/2008 Financial Reporting 8

Single Audit ReportContains a “Resolution of Prior Year AuditFindings” Section‣ Identifies all resolved and unresolvedfindings from all previous single auditsDOA includes agencies’ responses in theSingle Audit Report9/10/2008 Financial Reporting 9

CAPP Manual Topic‣10205, Agency Response to APA AuditCode Reference‣Code of Virginia Section 2.2-5004.B. – C.,Financial and Administrative ManagementStandards for Public Institutions of HigherEducationReferences9/10/2008 Financial Reporting 10

Contactsfinrept@doa.virginia.gov804-225-2257 – voice804-225-2430 – facsimileU. S. Mail:Financial ReportingVirginia Department of AccountsP. O. Box 1971Richmond, VA 23218-19719/10/2008 Financial Reporting 11