Cash and Internal Controls Audits, Countywide FY 2020-21 Cash Shortages and Overages

COUNTY OF SAN LUIS OBISPO BOARD OF SUPERVISORS AGENDA ITEM TRANSMITTAL (1) DEPARTMENT (2) MEETING DATE (3) CONTACT/PHONE Auditor-Controller- 8/10/2021 Mark Maier 805-781-4267 Treasurer-Tax Collector Kari Lekvold 805-781-4846 (4) SUBJECT Submittal of the Annual Cash Shortages and Overages Report and the Departmental Bank Accounts and Cash Funds Listings for the fiscal year ended June 30, 2021. All Districts. (5) RECOMMENDED ACTION It is recommended that the Board receive, review, and file the FY 2020-21 Cash Shortages and Overages Report and the Departmental Bank Accounts and Cash Fund Listings. (6) FUNDING SOURCE(S) (7) CURRENT YEAR FINANCIAL (8) ANNUAL FINANCIAL (9) BUDGETED? N/A IMPACT IMPACT Yes $0.00 $0.00 (10) AGENDA PLACEMENT { x } Consent { } Presentation { } Hearing (Time Est. _______) { } Board Business (Time Est.______) (11) EXECUTED DOCUMENTS { } Resolutions { } Contracts { } Ordinances { x } N/A (12) OUTLINE AGREEMENT REQUISITION NUMBER (OAR) (13) BUDGET ADJUSTMENT REQUIRED? BAR ID Number: N/A N/A { } 4/5th's Vote Required { x } N/A (14) LOCATION MAP (15) BUSINESS IMPACT STATEMENT? (16) AGENDA ITEM HISTORY N/A No { } N/A Date _8/18/2020___ (17) ADMINISTRATIVE OFFICE REVIEW Zachary A. Lute (18) SUPERVISOR DISTRICT(S) All Districts Page 1 of 4 COUNTY OF SAN LUIS OBISPO TO: Board of Supervisors FROM: James W. Hamilton, CPA, Auditor-Controller-Treasurer-Tax Collector DATE: August 10, 2021 SUBJECT: Submittal of the Annual Cash Shortages and Overages Report and the Departmental Bank Accounts and Cash Funds Listings for the fiscal year ended June 30, 2021. All Districts. RECOMMENDATION It is recommended that the Board receive, review, and file the FY 2020-21 Cash Shortages and Overages Report and the Departmental Bank Accounts and Cash Fund Listings. DISCUSSION The Board of Supervisors, Resolution Number 84-40 dated January 24, 1984, directs the County Auditor-Controller to perform certain functions of the Board pertaining to the approval of cash shortages, reporting of cash shortages and overages; and the establishment and discontinuance of cash funds including cash difference funds and revolving funds. The resolution also directs the County Auditor-Controller to make an annual report to the Board concerning the above matters. This report is rendered in accordance with the provisions of Government Code Section 29370.1 and Board of Supervisors' Resolution Number 84-40. The shortages listed have been reviewed and approved by the County Auditor-Controller-Treasurer-Tax Collector’s (ACTTC) Office. Approval of cumulative cash shortage replenishments during the 2020-21 fiscal year were as follows: Department Shortages Agricultural Commissioner $ 5.20 Auditor-Controller-Treasurer-Tax Collector 1,663.49 Golf 284.64 Regional Parks 106.50 Total Shortages $ 2,059.83 Page 2 of 4 Cash shortages primarily result from routine cash handling errors. Tax-Collector shortages are primarily from mail- in payments and department policy allows for the acceptance of shortages of up to $10 in order to avoid processing delays. Routine cash overages during the 2020-21 fiscal year were as follows: Department Overages Airports $ 2,306.38 Animal Services 154.49 Assessor 20.00 Auditor-Controller-Treasurer-Tax Collector 1,191.97 Clerk-Recorder 4,329.34 District Attorney 12.55 Golf 67.69 Library 0.03 Probation 1,180.49 Regional Parks 573.31 Total Overages $ 9,836.25 All cash overages were determined to be routine in nature. Cash overages to the Clerk-Recorder and the Tax- Collector are primarily from mail-in payments. Probation reported overages of $1,180.49 which is primarily due to overpayments of less than $10 on court-ordered debts. In these instances, department policy allows for acceptance of overages of up to $10 per transaction in order to avoid processing delays. In addition, Airports reported overages of $2,306.38 for FY 2020-21. This is primarily due to the inability of parking kiosks to give change. In addition to the cash overages and shortages, we are submitting complete listings of approved Departmental Bank Accounts and Cash Funds as of June 30, 2021, as required by Resolution Number 84-40. OTHER AGENCY INVOLVEMENT/IMPACT All County departments with imprest funds and/or bank accounts participate in the review of funds and the compilation of our report. FINANCIAL CONSIDERATIONS FY 2020-21 total cash shortages amounted to $2,059.83. The shortages were replenished from department budgets. Routine cash overages amounted to $9,836.25. RESULTS ACTTC unannounced cash counts, policies on cash shortages and overages, and annual reports help minimize cash handling errors, enhance accountability, and contribute to the County’s vision of a well-governed community. Page 3 of 4 ATTACHMENTS 1. County of San Luis Obispo Departmental Bank Accounts 6/30/2021 2. County of San Luis Obispo Cash Funds Summary 6/30/2021 Page 4 of 4 ATTACHMENT 1 COUNTY OF SAN LUIS OBISPO Departmental Bank Accounts 6/30/2021 Resolution/ Authorization Department Bank Name & Branch Account Purpose Authorized Amount Resolution Number Date Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Public Administrator Fiduciary Account N/A 83-267 11-Jul-83 Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Public Administrator Trust Account N/A 83-267 11-Jul-83 Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Public Administrator Revolving Account $5,000 78-317 05-Jun-78 Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Treasury Depository N/A 78-317 05-Jun-78 Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Treasury Credit Card Depository N/A N/A Treasurer Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Securities Custody Account N/A N/A Treasurer Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Electronic Funds Transfer N/A N/A Treasurer Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Social Services Direct Deposit N/A N/A Treasurer Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Deferred Compensation N/A N/A 23-Jul-02 Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Electronic Benefits Transfer N/A N/A 28-Aug-01 Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. U.S. Govt Loans Treas Account N/A N/A N/A Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Flexible Spending Acct N/A N/A N/A Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Elec Credit Card Payment Acct N/A N/A N/A Auditor-Controller-Treasurer-Tax Collector MUFG Union Bank, N.A. Controlled Disbursement Account N/A N/A N/A Auditor-Controller-Treasurer-Tax Collector Pacific Western Bank Treasury Depository (Cash and Check Concentration) N/A N/A Treasurer Auditor-Controller-Treasurer-Tax Collector Pacific Premier Bank PIMMA N/A N/A 20-Jul-12 Auditor-Controller-Treasurer-Tax Collector Pacific Western Bank PIMMA N/A N/A 10-Sep-12 Auditor-Controller-Treasurer-Tax Collector Five Star Bank PIMMA N/A N/A 14-Dec-16 Auditor-Controller-Treasurer-Tax Collector Five Star Bank Insured Cash Sweep Account N/A N/A N/A Child Support Services Union Bank Transfer account to the State of California SDU Transfer Acct. Auditor 2-Jan-07 District Attorney Union Bank Victim's Assistance Fund $1,000 Auditor 28-Oct-87 District Attorney Union Bank Imprest Cash Fund, Detection Crime, $5,000 80-407 10-Nov-80 Health Department Union Bank Public Guardian Revolving Account $1,500 Auditor 14-Apr-88 Health Department Union Bank Public Guardian Conservatorship Estates Trust Account 83-267 11-Jul-83 Health Department Union Bank Public Guardian Conservatorship (Revolving Account) Trust Account Auditor 14-Apr-88 Public Guardian sub acct of 100833185- clearing Health Department Union Bank account for direct deposits Trust Account N/A 23-Mar-11 Health Department Union Bank Public Guardian Representative Payees Trust Account N/A 05-Mar-13 Mental Health/ Behavioral Health Union Bank ACTS Assistance Fund $750 Auditor 15-Feb-90 Risk Management JP Morgan Chase Liability Payments Revolving Account Revolving Transfer Account 2004-238 20-Jul-04 Risk Management Union Bank Workers Compensation Claims Account Auditor Jun-15 Sheriff-Coroner Union Bank of California Custody Release (not an imprest acct) Auditor 03-Oct-08 Sheriff-Coroner Union Bank Civil Division - Revolving Account $6,000 Auditor 30-Apr-99 Sheriff-Coroner Union Bank GovPay Credit Card Transfer (not an imprest acct) Auditor 01-Jul-11 Social Services Union Bank Immediate Need Assistance Revolving Fund - W $50,000 Auditor 03-Oct-89 Social Services Union Bank Immediate Need Services Revolving Fund - G $50,000 Auditor 17-Oct-90 $119,250 Page 1 of 1 ATTACHMENT 2 COUNTY OF SAN LUIS OBISPO Cash Funds Summary Report 6/30/2021 Department Amount Fund Purpose Administrative Office $100 Change Fund Agricultural Commissioner $675 Change Fund & Petty Cash Airports $100 Change Fund Animal Services $700 Change Fund & Petty Cash Assessor $150 Change Fund & Petty Cash Auditor-Controller-Treasurer-Tax Collector $1,650 Change Fund, Petty Cash, & Shortage Reimbursement Fund Child Support Services $200 Change Fund & Petty Cash Clerk-Recorder $950 Change Fund & Petty Cash District Attorney $400 Change Fund & Petty Cash Health Agency $3,250 Change Fund & Petty Cash Information Technology $1,000 Petty Cash Law Library $100 Change Fund Library $1,100 Change Fund & Petty Cash Parks and Recreation $6,175 Change Fund Planning and Building $450 Change Fund & Petty Cash Probation $1,200 Change Fund & Petty Cash Public Works $400 Change Fund & Petty Cash Sheriff-Coroner $10,050 Change Fund, Petty Cash, & Investigative Fund Social Services $250 Petty Cash Veteran's Services $100 Petty Cash Total $29,000 Page 1 of 1