| Public Release Date: August 2, 1996 | No. 96-29 |
The Gambling Control Board (board) is responsible for regulating lawful gambling. It has the authority to license organizations and personnel involved in lawful gambling operations, to audit lawful gambling organizations for compliance with statutes and rules, and to impose civil penalties against organizations found in noncompliance with the law.
The board's operations are financed through General Fund appropriations. By statutory and rule authority, the board collects licensing fees and fines. The board deposits license fees into the General Fund as nondedicated revenue.
Our audit scope covered the three years ended June 30, 1995 and included license and fine revenues, employee payroll, and administrative expenditures. Based on our audit of license and fine revenues, we concluded that the board needs to perform additional procedures to ensure that it collects the appropriate amount of license revenues for the number of licenses issued. For the license fees and fines deposited, the board assessed the proper amounts according to statute. The board deposited the fees promptly and recorded them accurately on the statewide accounting system.
For employee payroll, we concluded that the board established policies and procedures to ensure that payroll was properly authorized, except that controls over access to the payroll and personnel systems need improvement. The board accurately recorded payroll expenditures on the personnel and payroll accounting system. The board's staff were paid at the proper amounts according to applicable bargaining unit agreements.
We also concluded that the board properly and accurately processed and recorded administrative expenditures on the statewide accounting system. Administrative expenditures were reasonable, within the legal provisions of the appropriation, and complied with applicable finance related legal provisions.
