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 #03  (14-15) 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)

Table 1: Contract/Grant Reviews

Fiscal Year	Number of Contracts Reviewed	Number of Contracts with Deficiencies	Contract Deficiencies Error Rate
2010 - 2011	445	157	35%
2011 - 2012	600	276	46%
2012 - 2013	898	494	55%
2013-2014	885	374	42%
2014-2015	1,150	413	36%
2015-2016	1,260	388	31%
2016-2017	1,489	298	20%
2017-2018	1,258	160	13%
2018-2019	458*	89	19%

*Year to date data - 07/01/2018 to 12/31/2018

Settlement Agreement Reviews

The Bureau reviews settlements that are obligations of the State or agency to expend state funds in order to discharge a debt due a person, entity or group of persons when the amount owed is in dispute, including but not limited to the following examples of disputes:

• Services were provided before or after the effective date of an executed agreement
• Services were provided without an executed agreement
• Additional services were provided that were not included in the executed agreement
• Amount(s) exceed the executed agreement amount
• An executed agreement has been breached, or other contract-related issues and disputes

Settlement Agreements by Agency

• Fiscal Year 2010-2011
• Fiscal Year 2011-2012
• Fiscal Year 2012-2013
• Fiscal Year 2013-2014
• Fiscal Year 2014-2015
• Fiscal Year 2015-2016
• Fiscal Year 2016-2017
• Fiscal Year 2017-2018

Agency Contract Management Reviews

The Contract Management Review Team within the Bureau of Auditing, as authorized by Sections 17.03, 215.971(3), and 287.136, Florida Statutes, audits State agencies to evaluate whether management has established and implemented contract deliverables monitoring processes that promote an appropriate level of oversight and control over the accomplishment and receipt of significant deliverables and the authorization of payments for invoiced deliverables. The audits result in a written report to the State agency, with the agency providing a response and a corrective action plan to address the reported findings and recommendations.