Office of the Legislative Auditor - Financial Audit Division

Report Summary
Office of the Secretary of State
Internal Controls and Compliance Audit

Conclusion

The Office of the Secretary of State 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 provisions, and created reliable financial data. For the items we tested, the office generally complied with finance-related legal requirements. However, the office had some internal control weaknesses and instances of noncompliance.

Findings

• The Office of the Secretary of State’s review of payroll transactions did not ensure that salary increases were authorized or that some employee compensation was accurately paid.
• The Office of the Secretary of State did not perform physical inventories of its fixed assets.

Audit Objectives and Scope