A Performance Audit
An Audit Report on The Office of Consumer Credit Commissioner: A Self-directed, Semi-independent Agency
The Office of Consumer Credit Commissioner (Office) has established controls and processes to accurately report financial and performance data and appropriately set fees and penalties. Specifically:
• Auditors did not identify significant errors in the Office’s fiscal year 2016 annual financial report. However, the Office should improve certain controls over its financial reporting process.
• The Office had an adequate process for setting fees and penalties that was based on the Office’s approved budget.
• The Office correctly calculated the performance measures tested and related controls were operating effectively.
Auditors did not identify significant errors in the Office of Consumer Credit Commissioner’s (Office) fiscal year 2016 annual financial report. However, the Office should improve controls over its financial reporting process to ensure that its accounting system fully supports its annual financial report and that it achieves separation of duties for users of Sage MIP (its internal accounting system) and the Uniform Statewide Accounting System (USAS).
The Office established sufficient controls to set fees and penalties in compliance with the Texas Administrative Code and the Texas Finance Code. Specifically, the Office established adequate controls to help ensure that it:
• Budgeted sufficient revenue and adjusted its licensing and regulatory fees, as appropriate, to cover its operating expenditures.
• Accurately calculated fees and penalties for the industries that auditors tested.
• Appropriately assessed and collected fees and penalties for the industries that auditors tested.
The Office correctly calculated the three performance measures tested for fiscal year 2016: (1) Percent of Written Complaints Resolved within 90 Calendar Days, (2) Average Processing Time (Days) for License Applications, and (3) Percentage of Examinations Reporting Acceptable Level of Compliance.
Auditors performed limited reviews of four of the Office’s information technology systems that the Office used to manage the data it reported and that were applicable to the audit objectives. Auditors determined that data the Office used for financial accounting, fee and penalty assessment calculations, and performance measure reporting was reasonably accurate and complete. However, the Office should strengthen certain information technology security controls. Auditors identified information technology weaknesses related to user access, change management, and policies and procedures that the Office should address.
Graphics, Media, Supporting documents