The Division had policies and procedures that addressed the key areas from the State of Texas Contract Management Guide related to contract closeout and liquidated damages.
Seven of the 23 projects tested were closed, and the Division obtained the required closeout review and approvals for 6 of those projects.
In addition, auditors tested the 11 construction and design contracts associated with the 7 closed projects to determine whether
the Division maintained documentation showing that it followed its contract closeout process. Auditors determined that:
The Division maintained applicable documentation (such as the final invoice, contract closeout routing slip, and certificate of final completion)
for all four of the six design contracts tested for which that requirement was applicable.
For 4 (80 percent) of the 5 construction contracts tested, the Division maintained all documentation (final invoice, performance summary report,
contract closeout routing slip, and certificate of final completion) necessary to support the final payment voucher.
For the five construction contracts discussed above, the Division had documentation showing that the contracts were completed within agreed-upon time frames.
Jump to Chapter 4