July 2016
The Library and Archives Commission (Commission) had processes and related controls in fiscal year 2015 and the first two quarters of fiscal year 2016 to ensure that it administered financial transactions in accordance with applicable statutes, rules, and Commission policies and procedures. However, it should improve certain controls over purchasing and asset management. It also should document and consistently follow its policies and procedures for some financial processes.
The Library and Archives Commission (Commission) had controls in place over its purchasing activities that were adequately designed to ensure compliance with applicable requirements. However, the Commission did not consistently (1) follow its processes related to required signatures and approvals and (2) retain required documentation to support compliance with purchasing requirements. In addition, the Commission had not fully documented its purchasing policies and procedures.
The Commission accurately reported historical, capital, and controlled assets in the State Property Accounting (SPA) system; however, it did not have documented policies and procedures related to inventory management and did not retain supporting documentation showing that it followed its processes for its annual physical inventory.
The Commission had processes to ensure that invoices for its shared library resources, records storage, and imaging services were accurate and supported.
In addition, the Commission set its rates for those services to ensure that it recovered costs as required. However, the Commission should document its methodology for establishing its rates for records management.
The Commission had controls in place that were adequately designed to ensure that it processed expenditures in accordance with applicable rules, statutes, and Commission policies. The Commission ensured that all expenditures tested were appropriately authorized, sufficiently supported by invoices and other purchasing documents, and complied with other applicable requirements. It also verified that goods and services were received prior to payment.