Warner Letter to Gary Blackmer City IC Audit Response Fina…

ƒ DATE: September 9, 2005 TO: Gary Blackmer, City Auditor FROM: Bruce A. Warner, Executive Director SUBJECT: PDC Internal Controls Audit Report Thank you for the opportunity to review and respond to the report on the Portland Development Commission (PDC) internal controls audit prepared by your office. PDC management recognizes the importance of having an effective system of internal controls and welcomes this report. The information contained within this audit will assist PDC in making improvements to our policies and business processes to increase efficiencies and minimize risks to PDC and the City. PDC’s response to the audit findings, including the actions we intend to take for each of the ten recommendations you made, are described within this correspondence. Overall, PDC agrees with your summary findings “that controls are largely in place and there is generally an appropriate level of oversight over the organization” and that “staff compliance could be improved.” As we have reviewed your findings further, we believe the majority of exceptions identified in the audit are a result of lacking readily available documentation and/or misunderstandings about a policy. These findings have not resulted in any material financial loss to the agency. With respect to the reported findings and PDC’s subsequent testing of our internal controls, you are being provided with additional background and clarification relative to ...