Bureau of Auditing Activity

The Bureau of Auditing (Bureau) performs audits in accordance with Section 17.03, Florida Statutes. This statute relates to the Chief Financial Officer's (CFO) responsibilities to settle the claims of the state using various methods. The Bureau also audits pursuant to the requirements of Section 215.971, Florida Statutes, for grant agreements funded with Federal and State monies. Audits on contractual services agreements are audited pursuant to Section 287.057(14), Florida Statutes and Section 287.058(1), Florida Statutes. The CFO also issues memorandums that also provide additional audit requirements.

Contract Reviews

The Bureau reviews contracts and grants valued at $1 million or more. The Bureau's review involves evaluation to determine the following:

• Does the agreement clearly establish the tasks to be performed by the provider? (Scope of Work)
• Does the agreement divide the contract into quantifiable, measurable, and verifiable units of deliverables that must be received and accepted before payment is made?
• Does the agreement specify the financial consequences that the agency must apply if the provider fails to perform in accordance with the contract?
• Does the agreement include the provisions required by CFO Memo No. 4 (05-06) if it is with a recipient or sub-recipient of state or federal financial assistance?
• Does the agreement reference or contain the other provisions of Section 287.058, Florida Statutes?
• Does the agreement reference or contain the provisions of Section 287.0582, Florida Statutes?
• Were the agency's contract management activities sufficient (Contract Management Reviews only)

Agency Contract Management Reviews

Because many of the deficiencies in agency contract and grant agreements stem from poor contract management and a lack of effective monitoring, the Bureau visits agencies and reviews contracts, along with the contract manager's files. In addition to reviewing the contract document, the Bureau evaluates the contract management function to determine if the agency is monitoring the contractor's performance and validating the actual delivery of goods and services. These audits result in written reports to the agency, with the agency providing a corrective action plan to address any deficiencies noted during the review.