SIGNIFICANT FINANCIAL AND OPERATIONAL WEAKNESSES
The Commission had weaknesses in its processes and safeguards including:
- The process for handling revenue received left cash, checks, and money orders unsecured and at a high risk of loss or theft.
- Inadequate safeguards over licensing, enforcement, and financial records that may contain agency-critical or otherwise confidential information, which allowed four former employees to access the Commission’s systems after leaving the agency.
- Insufficient documented guidance, operational policies and procedures, and training.
- Inaccurate coding of revenues in its accounting system, resulting in large discrepancies between its financial and licensing/enforcement systems, limiting the Commission’s ability to reconcile recorded revenue with deposits in the State Treasury.
- Missing or incomplete licensing and enforcement documentation, including licensing applications, records demonstrating that licensees met requirements, and documentation for penalty assessments.
