Report 2014-135R Recommendation 4 Responses
Report 2014-135R: Magnolia Science Academies: Although the Financial Condition of These Charter Schools Has Improved, Their Financial Controls Still Need to Be Strengthened (Release Date: May 2015)
Recommendation #4 To: Magnolia Educational and Research Foundation
To reduce the risk of misappropriation, the Foundation should ensure that it appropriately authorizes all of its expenditures and the academies' expenditures. It should also ensure that it includes sufficient supporting documentation for each expense, including documenting the purpose of each transaction.
6-Month Agency Response
The organization has reviewed the current policies and procedures in order to enhance the internal control process and to ensure that all supporting documentation and approvals are included.
The organization works with the back office service provider to ensure that all required controls are followed during all purchase transactions.
- Completion Date: October 2015
- Response Date: November 2015
California State Auditor's Assessment of 6-Month Status: Fully Implemented
60-Day Agency Response
The organization has been reviewing the current policies and procedures in order to enhance the current process and to ensure that all supporting documentation and approvals are included.
The organization is currently working with the back office service provider to ensure that all required controls are incorporated in the new payment process, and it is expected that the new controls and system will be implemented on or before September 30, 2015.
- Estimated Completion Date: 09/30/2015
- Response Date: July 2015
California State Auditor's Assessment of 60-Day Status: Pending
All Recommendations in 2014-135R
Agency responses received are posted verbatim.