Audit of Procurement Final Report

Internal Auditor’s Office P.O. Box 3366 West Palm Beach, Florida 33402 Telephone: 561/659-8084 FAX: 561/659-8066 “The Capital City of the Palm Beaches” TO: Lois J. Frankel, Mayor FROM: Imogene Isaacs, CIA, CGFM, Internal Auditor DATE: July 21, 2004 SUBJECT: REPORT NO. 2004-01 AUDIT OF PROCUREMENT INTRODUCTION As approved in our fiscal year 2002/03 Audit Plan, we have performed an Audit of Procurement. The purpose of this audit was to evaluate City practices over carrying out the provisions of the Procurement Code. Specific audit objectives were to determine that City procurements were made consistent with the Procurement Code and Procurement Procedures and to determine that the system of controls over the procurement process from initiation through administration and monitoring were effective. The audit covered procurements City-wide with the exception of Procurement Card purchases. CONCLUSIONS AND SUMMARY OF FINDINGS Overall, the Procurement Code and Procurement Procedures provide an effective, efficient, and fair method of obtaining goods, services, and construction for the City. The process is comprehensive and, for the most part, followed. Practices were consistent with authorized budgets. Page 2 of 45 The Procurement Division is the focal point for City purchases. The Procurement Division has a dedicated, highly qualified staff and carefully ensures that the competitive bid ...