A Performance Audit
An Audit Report on a Selected Contract at the University of North Texas System
September 2018
Summary Analysis
The University of North Texas System (System) planned, procured, and formed its contract for the construction of the Interdisciplinary Research Building at the University of North Texas Health Science Center at Fort Worth in accordance with applicable statutes and its Contracting Handbook (2012).
The System performed monitoring activities to ensure compliance with contract terms and that payments to the contractor were accurate, allowable, and supported. However, certain aspects of its monitoring should be improved. Specifically, the System should ensure that: (1) dollar amounts paid to subcontractors reconcile with supporting documents; (2) all required bonds are received from the contractor; and (3) contractors use E-Verify to ensure subcontractors' eligibility to perform work.
Although the System reported contract notifications to the Legislative Budget Board (LBB) and posted certain contract documentation on its Web site, it should enhance its reporting process to ensure that it complies with statutes.
The University of North Texas System (System) complied with applicable statutes and its Contracting Handbook (May 2012) to plan, procure, and form the contract for the construction of its Interdisciplinary Research Building at the University of North Texas Health Science Center at Fort Worth.
The System performed monitoring activities to ensure compliance with contract terms related to construction of the Interdisciplinary Research Building. Additionally, payments to the contractor were accurate, allowable, and supported. However, it should improve certain monitoring activities, such as reconciling the dollar amounts paid to subcontractors with corresponding supporting documents, verifying that the contractor obtained all required bonds, and ensuring that the contractor used E-Verify.
The System implemented policies and procedures to address most of the applicable contract-related requirements in Texas Education Code, Section 51.9337, and Texas Government Code, Chapter 2261, Subchapter F. However, the System should ensure that it (1) continues to develop and approve policies related to the use of institutional resources and ethics training; (2) includes all significant contract components in its Contract Management Handbook; and (3) maintains documentation to support that all individuals involved in the contracting approval process received all required training.
Although the University of North Texas System (System) reported contract notifications to the Legislative Budget Board (LBB) and posted certain contract documentation on its Web site, it should enhance its reporting process to ensure that it complies with applicable statutes.
Graphics, Media, Supporting documents