RD205 - Annual Report of the Auditor of Public Accounts


Executive Summary:
One of the most effective measures of an audit organization is its ability to affect change. Using this measure, this Office had a banner year. A number of our reports have resulted in both short and long term changes on how the government performs.

The following reports have led to changes in government:

Review of Deferred Maintenance in the Commonwealth - Interim Report

A statewide effort is underway to change how Virginia state government deals with maintaining its buildings and structure. Beginning with the 2006-2008 budget, any agency or institution requesting capital outlay funds must conduct a detailed facility assessment of the building for which it is requesting funding.

Review of the Commonwealth’s Capital Outlay Process

A statewide effort is underway to review the capital outlay process. A working group is undertaking a complete change in the capital outlay process including realizing that maintenance is an essential part of the asset.

Virginia Election and Registration Information System (VERIS)

The Board and Virginia Information Technology Agency has increased its oversight and monitoring of the Contractor’s performance on the new election and voter registration system.

Department of Transportation: Follow-up on the Special Review of Cash Management and Capital Budgeting Practices

Transportation has a more realistic six-year plan and has changed its operations to increase its planning and delivery system for new construction as well as for repairs and maintenance. The previous Commissioner indicated that the recommendations also assisted in improving on-time completion.

Jamestown-Yorktown Foundation

The Foundation has employed a consultant to develop an internal control plan and determine staffing levels. Additionally, the Foundation is improving its systems.

Department of Veterans Services and the Veterans Services Foundation

The agency has taken steps to improve and strengthen its accounting, purchasing, payroll and other fiscal operations.

Secretary of Natural Resources Agencies including the Department of Game and Inland Fisheries

The Game and Inland Fisheries Board is reasserting its control over the Department. The Board has realigned the duties of the Chairman and established a committee to oversee and set policy and key processes for the various operating sections.

Office of the Governor

For the first time in nearly four biennia, the Governor’s Office’s budget in the Appropriation Act reflects the actual cost of operating the Office. Additionally, there have been budget adjustments to several of the Cabinet Secretaries so their budgets reflect actual cost of operations.

A report we issued two years ago on fleet management has resulted in a new Executive Order governing the Commonwealth’s management of all of its motor vehicles; both within the central garage and under agency management. Additionally, the Department of General Services has purchased a new fleet management system that is available to all agencies that operate vehicles.

Since June 30, we have issued several reports that will affect the management and oversight of the automated administrative system implementations at Longwood University and Virginia State University. We have also suggested a consolidation of the administrative functions of the state supported museums to reduce their overhead and concentrate on providing services.

Reports from this Office serve not only to improve financial and asset management, but also serve as a safeguard or first alert of potential problems. Timely and active response to our reports allows the Commonwealth to have a strong system of internal controls that protect the Commonwealth’s assets.