Report Summary
Minnesota Veterans Home at Luverne
Internal Controls and Compliance Audit
|
Financial Audit Division Report 13-23 |
Released September 27, 2013 |
Conclusion
The Minnesota Veterans Home at Luverne (home) generally had adequate internal controls to ensure that it safeguarded its financial resources, accurately paid employees and vendors in accordance with management’s authorizations, complied with finance-related legal requirements, and created reliable financial information. For the items we tested, the home generally complied with finance-related legal requirements for depositing cash receipts, calculating cost of care for its residents, processing certain payroll transactions, and executing contracts. However, the home had some internal control weaknesses and instances of noncompliance.
Findings
- The Minnesota Veterans Home at Luverne had not assessed and documented important financial and compliance risks to ensure that it had designed and implemented effective internal controls.
- The Minnesota Veterans Home at Luverne had not designed effective internal controls to mitigate the risk created by allowing some incompatible access to its accounting subsystem.
- The Minnesota Department of Veterans Affairs and the Minnesota Veterans Home at Luverne had not reported to the Office of the Legislative Auditor, as required by statute, when they had concerns about possible misuse of state resources.
Audit Objectives and Scope
| Objectives |
Period Audited |
- Internal Controls
- Compliance
|
July 1, 2011, through March 31, 2013 |
| |
| Audited Areas |
- Resident payments for care
- Resident money held in trust
- Gifts and donations
| - Payroll expenditures
- Administrative expenditures
- System security access
|
