June 19, 2007
Status:
Receive Internal Audit Report Audit of the Regional Athletic Facilities for Piper High School Project #1901-99-51; South Plantation High School Project #2351-21-01; and Cooper City High School Project #1931-21-01.
In accordance with the 2006-07 Audit Plan, the Office of the Chief Auditor has performed an audit of the Regional Athletic Facilities for Piper High School Project #1901-99-51; South Plantation High School Project #2351-21-01; and Cooper City High School Project #1931-21-01. The objective of this audit was to determine whether the current operations are being performed economically, efficiently, and are in compliance with applicable laws and regulations; determine whether contracts are being properly awarded, monitored and administered; determine the primary cause of identified cost overruns; ascertain whether internal controls are adhered to; and report recommendations to the administration, if needed.
There were six detailed audit observations/recommendations that were discussed with F&CM Division and Capital Budget staff.
In our opinion, the F&CM Division should: discontinue recommending award of construction documents for reuse before original design projects have been completed and properly analyzed for quality and completeness; ensure that the project specifications are established, documented, known and agreed upon prior to commencement of project design; pursue the appropriate reimbursement from Architecture Inc., for identified errors and omissions in the amount of $428,057 for change orders on the Regional Athletic Facility projects; discontinue the practice of adding scope to awarded projects in order to avoid costly change orders and contract amendments associated with un-bid scopes of work; strengthen filing, monitoring and tracking of Authorization to Proceed documents and ensure that contract provisions are complied with regarding the prompt payment for services rendered by consultants, and; identify all change orders, as percentage of the construction contract amount, to the School Board in the Agenda item summary section to notify Board Members when change orders have exceeded Rule 1, as defined in School Board Policy 7006.
The Audit Committee reviewed and approved this report for transmittal to the School Board during the Committees May 17, 2007 meeting.
The source of funds to perform the Internal Audit Report was the General Fund budget allocation for the Office of the Chief Auditor. There is no additional financial impact to the School District.
Requested Action
Receive Internal Audit Report Audit of the Regional Athletic Facilities for Piper High School Project #1901-99-51; South Plantation High School Project #2351-21-01; and Cooper City High School Project #1931-21-01.
Summary
In accordance with the 2006-07 Audit Plan, the Office of the Chief Auditor has performed an audit of the Regional Athletic Facilities for Piper High School Project #1901-99-51; South Plantation High School Project #2351-21-01; and Cooper City High School Project #1931-21-01. The objective of this audit was to determine whether the current operations are being performed economically, efficiently, and are in compliance with applicable laws and regulations; determine whether contracts are being properly awarded, monitored and administered; determine the primary cause of identified cost overruns; ascertain whether internal controls are adhered to; and report recommendations to the administration, if needed.
There were six detailed audit observations/recommendations that were discussed with F&CM Division and Capital Budget staff.
In our opinion, the F&CM Division should: discontinue recommending award of construction documents for reuse before original design projects have been completed and properly analyzed for quality and completeness; ensure that the project specifications are established, documented, known and agreed upon prior to commencement of project design; pursue the appropriate reimbursement from Architecture Inc., for identified errors and omissions in the amount of $428,057 for change orders on the Regional Athletic Facility projects; discontinue the practice of adding scope to awarded projects in order to avoid costly change orders and contract amendments associated with un-bid scopes of work; strengthen filing, monitoring and tracking of Authorization to Proceed documents and ensure that contract provisions are complied with regarding the prompt payment for services rendered by consultants, and; identify all change orders, as percentage of the construction contract amount, to the School Board in the Agenda item summary section to notify Board Members when change orders have exceeded Rule 1, as defined in School Board Policy 7006.
The Audit Committee reviewed and approved this report for transmittal to the School Board during the Committees May 17, 2007 meeting.
School Board Goals
| Goal 3 - All operations of the school system will demonstrate best practices while supporting student achievement. | ||
| Goal 4 - All stakeholders will work together to build a better school system. |
Financial Impact
The source of funds to perform the Internal Audit Report was the General Fund budget allocation for the Office of the Chief Auditor. There is no additional financial impact to the School District.
Source of Additional Information
Pat Reilly 754 321-8300
Associated File Attachments
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RegionalAthleticFacilityAudit (Files) | |
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ExecutedARF (Files) |