State Auditor Kathy McGuiness issued, on March 18, a final report of an inspection into state purchasing credit card use.
PCards are designed to offer a cost-effective method to purchase and pay for small-dollar transactions. The auditors’ inspection found that not all state agencies and school districts were using PCards to their maximum capabilities. The auditors’ office provided this information and findings to the Financial Services section of Gov. John Carney’s Government Efficiency and Accountability Review Board.
“This inspection found that the state needs to do more to encourage the proper use of PCards which can potentially generate approximately $1.6 million from rebate opportunities,” said McGuiness. “We look forward to sharing the results of future inspections and audits with members of GEAR and the General Assembly that offer additional opportunities to save the state money.”
McGuiness’ office also made the recommendations to the GEAR Committee:
— Consider conducting a comprehensive study of people, process and technology to streamline PCard transaction and accounting.
— Related to the inherent risk of PCard transactions, consider emphasizing the key controls of authorization and independent receipt.
— Consider allocating a portion of the rebate to agencies so that PCard use will be aligned with their program goals.
To read the report, visit bit.ly/2Y5YwYa.