Audit of Selected Internal Controls at Inland Counties Legal Services, Inc.

The Interim Executive Director should ensure LSC unallowable costs are not charged to LSC funds.

The Interim Executive Director should enforce the stop payment policies of the Accounting Manual over lost checks or determine a cost-efficient alternative to prevent duplicate payments of disbursements.

The Interim Executive Director should revise the policies in the ICLS Accounting Manual to reflect new requirements included in 45 CFR §1630.6, effective December 31, 2017, to obtain prior approval from LSC for covered purchases of $25,000 or more.

The Interim Executive Director should ensure the duties of the person maintaining the master vendor file and the person making payments are segregated or consider having another authorized person review the master vendor list and all related edits and…

The Interim Executive Director should ensure that staff follow the methodology to allocate derivative income and attorneys’ fees as written in the grantee’s Accounting Manual.

The Interim Executive Director should ensure all sensitive equipment is appropriately tracked and fixed asset records and the general ledger are adjusted for those assets that have been retired.

The Interim Executive Director should ensure the practices used to allocate costs to funding sources are consistently applied and follow ICLS’s documented written policies by: (1) allocating administrative salaries and other salaries of positions that…

The Interim Executive Director should ensure that contract agreements are written, signed and maintained for business arrangements, especially those recurring in nature. The contracts should fully document the agreed upon terms, price, and payment terms…

The Interim Executive Director should ensure that the process for each contract action is fully documented in writing, such as sole source justification documentation of competition, if competitively bid.

The Interim Executive Director should ensure the centralized filing system for all contracts is maintained and contains all pertinent documents related to the solicitation of bids, including receipt and evaluation of bids, sole source justification,…

The Interim Executive Director should ensure written policies and procedures are included within the grantee’s Accounting Manual and that they adequately describe the processes and controls in sufficient detail, are in accordance with LSC’s Accounting…

The Interim Executive Director should ensure an annual budget is developed, documenting the assumptions, getting top management involved, and obtaining approval from the grantee's Board of Directors.

The Interim Executive Director should ensure the grantee's Accounting Manual is updated to reflect the reports prepared, and that all management reports required by the LSC Fundamental Criteria are prepared including Total Program Budget vs Actual,…

The Interim Executive Director should ensure all management reports are prepared timely after month-end.

The Interim Executive Director should ensure bank reconciliations are performed monthly, documented with a signature and date, and reviewed and approved by a responsible individual.

The Interim Executive Director should ensure grantee personnel adhere to the policy of investigating outstanding checks and management follows up to void or reissue any checks outstanding for more than six months as required by the grantee's policy.

The Interim Executive Director should ensure ensure that the requisite approval is obtained on all transactions prior to payment of the credit card statement.

The Interim Executive Director should ensure that adequate supporting documentation is attached for all transactions.