Forensic Audit Services

The vendor is required to provide forensic audit services for include:
•    Reviewing and analyzing financial records: including but not limited to general ledgers, bank statements, investment accounts, payroll records, accounts payable and receivable, credit card statements and other relevant financial documentation.
•    Identifying and investigating potential irregularities: such as fraud, waste, abuse, misappropriation of funds, and non-compliance with applicable laws, regulations, and district policies.
•    Assessing internal controls: evaluating the effectiveness of the district's internal controls over financial reporting and identifying any weaknesses or deficiencies.
•    Tracing transactions: following the flow of funds to verify their proper authorization, recording, and reconciliation.
•    Conducting interviews: with relevant personnel to gather information and corroborate findings.
•    Preparing a detailed report: summarizing the audit findings, including any identified irregularities, internal control weaknesses, and recommendations for corrective action.
1. Procurement practices
•    Assess compliance with procurement laws, school board policy, and contract award processes.
•    Review vendor relationships, purchase orders, RFP processes, payment approval procedures and board oversight
2. Accounts payable and payroll
•    Examine accuracy, internal control, segregation of duties, and fraud detection systems.
•    assess whether proper verification and approval of payments and employee records exist.
3. Credit card usage
•    Review of usage and reconciliations of all district credit cards with particular review of potential fraud or misuse of funds including but not limited to personal use of credit cards.
•    Assess internal controls and fraud detection systems
•    Assess credit card usage policies and make recommendations
4. Travel expenses
•    Review travel expenditures across all levels of the district.
•    Assess internal controls, policy compliance and board approval of travel expenses assess use of awarded school improvement grants and school funds for international travel
•    Make policy recommendations for future travel
5. Revenue management
•    Review the receipt, classification, and use of funds from local, state, federal, and grant sources.
•    Assess internal controls over cash receipts, deposits, and reconciliations 
6. Policy and procedure enforcement
•    Determine the adequacy and enforcement of school board and administrative policies.
7. Document retention
•    Evaluate the district's document storage, destruction, and retrieval practices for compliance with applicable regulations.
8. Budget management and approvals
•    Review how budgets are prepared, approved, monitored, and amended. 
•    Evaluate controls over spending relative to budget authority.
9. Asset management
•    Review inventory and fixed asset tracking systems.
•    Evaluate accountability and disposition processes.
10. HR and payroll practices
•    Assess hiring practices, employee classification, time tracking, leave reporting, and payroll distribution
•    Evaluate any duplicate or ghost employee risks.
11. Finance department operations
•    Review internal controls, system access, segregation of duties, and compliance with governmental accounting standards.
•    Evaluate reporting and reconciliation processes.
12. Beard activity
•    Assess governance practices, oversight roles, board documentation, and financial accountability.
•    Evaluate school board responsiveness to audit findings and corrective actions 
13. Compliance reviews
•    Evaluate compliance with local, state, and federal regulations regarding use of funds, grants, and financial transparency, including but not limited to the use of Essers funds.