Follow-Up of Sarasota County Area Transit (SCAT) Bus Pass Inventory and Revenue, December 2017

Closed Conditions and Follow-Up Results 2. Policies and Procedures for ordering and receiving bus pass inventory Current Status, Follow-Up Audit dated July 2017: SCAT has developed and implemented procedures for ordering and receiving bus pass inventory. The procedures include the reorder points by inventory type, who places the orders, who approves the orders, where delivery is to occur, and who signs for the deliveries. The procedures were approved by the SCAT Director on April 25, 2017. SCAT management provided a list of bus pass purchases that occurred between October 1, 2016 and May 30, 2017. The list indicated that four (4) purchases were made, including three (3) for change cards with no encoded value (all made prior to April 27, 2017) and one (1) for single rides with encoded value (Purchase Order dated May 30, 2017). Review of the May 30, 2017 purchase indicated that procedures for ordering inventory are functioning as intended. Original Audit Observation, Report dated September 2016: The current process for determining when bus pass inventory needs ordered is to on occasion, visually observe what is left of each type of pass in the secured cabinet. There are no set order points based on historical usage. Since there are no guidelines for when to order bus pass inventory, SCAT could experience insufficient or inappropriate inventory levels. SCAT management advised that deliveries of ordered bus pass inventory may be received and signed for by any SCAT employee and that the deliveries are most frequently made to the maintenance department. This does not allow for proper control of inventory, especially inventory that is already encoded with value. Original Recommendation, Report dated September 2016: To ensure safeguarding of County assets, policies and procedures should be developed and implemented for ordering and receiving bus pass inventory. These policies and procedures should include but are not limited to, order points by inventory type, ordering process (who can place an order and who approves), and receiving processes (where delivery is to occur and who can sign for the delivery). 14 | F o l l o w - u p o f S C A T B u s P a s s I n v e n t o r y a n d R e v e n u e D e c e m b e r 2 0 1 7