|Financial Audit Division Report 14-15||Released June 5, 2014|
The Department of Human Rights is a state agency with the primary purpose to investigate and resolve charges of discrimination. It also ensures that businesses seeking state contracts are in compliance with equal opportunity requirements by issuing certificates of compliance to those businesses that have an affirmative action plan approved by the commissioner of Human Rights.
The department did not have adequate internal controls over fees paid by entities to obtain certificates of compliance for approved affirmative action plans. For its expenditures and other receipts, the department had generally adequate internal controls to ensure that its financial operations were appropriate1 and compliant with applicable legal requirements;2 however, it had some internal control weaknesses and instances of noncompliance in these areas.
1 Appropriate financial operations would provide reasonable assurance that assets are safeguarded, payments to employees and vendors are accurate and authorized, and financial transactions are accurately recorded in the entity’s accounting system.
2 Applicable legal requirements generally include state statutes and laws, statewide policies and procedures, contracts, and grant agreements.