A Performance Audit
An Audit Report on Financial Processes at the Texas State Board of Dental Examiners
August 2018
Summary Analysis
The Texas State Board of Dental Examiners (Board) had adequate controls to help ensure that it generally processed revenues and expenditures in accordance with applicable statutes and rules. However, the Board should strengthen and enforce controls over certain revenue and expenditure processes and the information technology systems it uses to administer financial transactions. Specifically:
- The Board's processes ensured that the revenues collected through fees were received before the application was approved, correctly coded, and assessed a late fee if received after the date due. Additionally, the Board's processes ensured that revenues collected from fines were received in full and correctly coded in the Uniform Statewide Accounting System (USAS). However, the Board should strengthen controls to ensure that it collects accurate amounts for license fees, enters correct due dates for the fines it issues, and follows its Disciplinary Matrix when assessing fines.
- The Board's processes ensured that travel, pay actions, and other ($500 or more) expenditures were appropriately approved, correctly coded in USAS, and accurately paid. Additionally, pay actions were classified correctly in the Uniform Statewide Payroll/Personnel System (USPS), received all necessary approvals, and were supported. However, the Board should strengthen certain controls over its expenditure processes.
The Texas State Board of Dental Examiners' (Board) processes ensured that revenues collected through fees were received prior to application approval, correctly coded, and assessed a late penalty if the license fee was received after the date due. Additionally, the Board's processes ensured that revenues collected through fines were received in full and correctly coded in the Uniform Statewide Accounting System (USAS). However, the Board should strengthen controls to ensure that it collects accurate amounts for license fees, enters correct due dates for the fines it issues, and follows its Disciplinary Matrix when assessing fines. The Board developed its Disciplinary Matrix from criteria listed in the Texas Administrative Code and the Dental Practice Act.
The Board had processes and controls in place that ensured that longevity payments, pay actions, travel expenditures, and other ($500 or more) expenditures complied with state laws and regulations. From September 2016 through February 2018, the Board's expenditures totaled approximately $7.3 million. Of that amount, salaries and wages totaled $3.9 million and included $58,480 in longevity payments, $144,177 in travel expenditures, and $1,454,357 in expenditures of $500 or more. Additionally, 76 pay actions occurred for salary increases or one-time merit bonuses. These expenditures were appropriately approved, correctly coded in USAS, and accurately paid. Additionally, pay actions were classified in the Uniform Statewide Payroll/Personnel System (USPS) correctly, received all necessary approvals, and were supported. However, the Board should strengthen certain controls over its expenditure processes and document its policies and procedures related to those processes.
Graphics, Media, Supporting documents