Although Agency staff were in frequent communication with the Region 10 ESC and its subcontractor regarding work related to the TxVSN,
the Agency did not require sufficient supporting documentation to allow it to verify that services were received prior to payment and
expenditures were allowable. In addition, the Agency did not require Region 10 ESC to submit a monthly list of tasks and activities
performed with the invoice as required by the contract or provide other documentation allowing the Agency to tie the invoices to work performed related to contract deliverables.
As a result, auditors could not determine whether (1) the Agency verified that services had been received prior to payment, (2) the reimbursements were for allowable expenditures,
and (3) payments coincided with the Region 10 ESC and its subcontractor’s work on the deliverables. In addition, the Agency did not complete a risk assessment for the fiscal year
2015 TxVSN contract that could have helped ensure that the Agency adequately monitored the performance of the Region 10 ESC and its subcontractor, and it did not complete all
required documentation and procedures when renewing and closing out the fiscal year 2015 TxVSN contracts.
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