Compliance Review of Department of Transportation
DATE: August 28, 2018
TO: Seleta J. Reynolds, General Manager Department of Transportation
FROM: Georgia Mattera, Chief Deputy Controller Office of the Controller
SUBJECT: BANK ACCOUNTS NOT CONTROLLED BY THE OFFICE OF FINANCE
The Office of the Controller conducted a compliance review of the Los Angeles Department of Transportation’s (DOT) bank accounts not controlled by the Office of Finance. Our objective was to ensure expenditures are authorized, supported, and comply with the purposes for which these accounts were established.
Management of each City department must design, implement, and maintain a system that reasonably assures proper authorization and support for expenditures and that complies with established policies and regulations. The Office of the Controller assists management by performing periodic assessments of the effectiveness of departmental processes. These assessments complement, not replace, management’s assurance responsibilities.
After reviewing current practices related to the Petty Cash and Bail Refund Revolving Fund Bank Accounts, we concluded DOT followed applicable policies and procedures; though we identified areas for improvement related to the Bail Refund Account. The attached report includes our observations and recommendations. Further, based on our evaluation of DOT’s response, we now consider Recommendation 1 as Implemented, and Recommendations 2 and 3 as In Progress.
We appreciate your staff’s cooperation and assistance during this review.
cc: Sue Chen, Departmental Chief Accountant IV