An Audit Report on Selected State Entities' Compliance with Requirements Related to the Historically Underutilized Business Program and the State Use Program
March 2011
Report Number 11-027
Overall Conclusion
Six of the eight state entities audited fully or substantially complied, overall, with the Historically Underutilized Business (HUB) program requirements tested. Specifically:
- The University of Texas Health Science Center at Houston fully complied, overall, with HUB program requirements.
- The following five state entities substantially complied, overall, with HUB program requirements:
- - Office of the Attorney General.
- - Department of Assistive and Rehabilitative Services.
- - Texas Lottery Commission.
- - Stephen F. Austin State University.
- - University of North Texas.
- The Texas Youth Commission and the Parks and Wildlife Department minimally complied, overall, with HUB program requirements.
Each of the eight state entities audited purchased goods and services from HUBs during fiscal year 2009. The eight state entities spent a combined total of approximately $130.6 million on goods and services provided by HUBs. In addition to determining overall compliance with all requirements tested, auditors determined the state entities' compliance with HUB program requirements in five areas: planning, outreach, subcontracting, reporting, and goal attainment.
State Use Program
Seven of the eight state entities audited were non-compliant, overall, with the Purchasing from People with Disabilities Program (State Use Program) requirements tested. The Office of the Attorney General was minimally compliant, overall, with State Use Program requirements tested. Seven of the eight state entities spent a combined total of approximately $6.5 million on goods and services purchased through the State Use Program for fiscal year 2009. Of the eight state entities audited, only the University of Texas Health Science Center at Houston did not make purchases through the State Use Program during fiscal year 2009.