Audit Process

The decision to initiate an audit is determined by a combination of factors, including legislative requirements, the vulnerability of a program or agency to fraud, waste and abuse, and suggestions from residents and members of the D.C. City Council. While each audit is unique, most audits follow three basic phases: Survey, fieldwork, and reporting.

Survey...

The audit begins with an Audit Notification letter from the Auditor to the head of the agency. The Audit Notification letter includes a request for an introductory meeting between agency management and the Auditor. At the introductory meeting, the auditors who will be conducting the audit are introduced and the purpose, process, and timeline of the audit are explained. The audit team also addresses any concerns agency management may have regarding the audit and arrangements are made for access to information systems and key personnel.

During the survey phase, auditors conduct a general review of the operations of the agency or program. The audit team reviews all available information about the program. The audit team also reads relevant statutes, regulations, and professional literature about the program. Interviews are conducted with agency staff so the audit team can gain an understanding of agency operations and results of the program.

At the end of the survey phase, we develop questions to address during the Fieldwork phase.

Fieldwork...

During the fieldwork phase, auditors work to obtain an in-depth understanding of the issues. and answer questions that were raised during the survey phase.  At the end of fieldwork, auditors meet with agency management to discuss findings.

During each phase of the audit, the audit team keeps the agency apprised of the status of the audit. Through meetings, informal discussions and briefings the audit team works with the agency to clearly understand the facts and circumstances surrounding each finding and to correct misunderstandings and inaccuracies. The audit team also advises the audited agency of critical issues that require immediate resolution.

Reporting...

When field work is completed the audit team prepares the draft audit report. The audit report communicates the audit findings and recommendations. The audit report is carefully prepared and information validated.

To ensure the draft report is clear and accurate, the audit team offers to schedule an exit conference. The draft report may be revised in response to agency feedback and comments. The agency's formal written response is included in the final report.

The final audit report is a public document. The goal of the final audit report is to provide recommendations to improve the operation and efficiency of District agencies and programs. The audit report is presented to the Council of the District of Columbia and posted on the D.C. Auditor’s website.

After an agency has had sufficient time to implement the audit recommendations, the Auditor follows up with the agency to review how the agency implemented the audit recommendations.

Inside ODCA Frequently Asked Questions

Frequently Asked Questions

How do you choose what to audit?

The decision to initiate an audit is determined by a combination of factors, including, legislative requirements, the vulnerability of a program to fraud, waste and abuse, suggestions from members of the D.C. City Council, as well as concerns from residents.

If you have an audit suggestion, please contact the Auditor at odca@dc.gov If you suspect that any District of Columbia agency or employee is wasting, abusing or fraudulently profiting from District resources, please contact the Fraud Hotline at complaints.odca@dc.gov

What can the D.C. Auditor investigate?

The D.C. Auditor is authorized to investigate all of the accounts and operations of the government of the District of Columbia. You can read more about the duties of the D.C. Auditor here.

How big is your staff?

The Office of the D.C. Auditor employs 29 full-time positions. 23 of these positions are analysts and auditors; 6 are administrative and information technology specialists.

What is the budget for the Office of the D.C. Auditor?

For fiscal year 2012, the budget for the Office of the D.C. Auditor is $4.26 million.

What is a performance audit?

A performance audit is a comprehensive, detailed review of the operations of an agency or program to determine whether:

• Business processes are efficient;
• Policies and procedures are effective;
• Internal controls need to be improved; and
• Programs delivered the intended results.

Every audit we conduct includes specific recommendations for agency managers to improve the delivery of services, increase effectiveness, and to protect the resources of the District of Columbia.

Why does your Office conduct performance audits?

Performance auditing is a standard practice within government auditing. Every audit we conduct includes specific recommendations for city officials to address issues that we found during the audit. Performance auditing increases transparency, accountability, and effectiveness in District government.

What happens after an audit is completed?

After the audit is completed we prepare an audit report. The audit report is carefully prepared and information validated. The audit report communicates our findings and recommendations.

The audit team meets with agency managers to discuss the draft report, to insure that the information in the draft report is clear and accurate. We may change the draft report based on agency feedback and comments. In addition, we include the agency's formal written response in the final report.

The goal of the final audit report is to provide a fair, complete, and accurate picture of the audited area during the audit period. We provide members of the D.C. City Council, agency heads and others with copies of the final audit report. We also post the final report on our website: www.dcauditor.org

Our audits include recommendations to improve the efficiency of District government operations, increase accountability, and to save money. After the agencies have had time to implement our recommendations, we meet with the agency to review how well the agency implemented the recommendations.

During an audit, what is the relationship between your office and the audited agency?

An audit provides agencies with an opportunity to obtain valuable insight into their operations. We do not view audits as an adversarial process or a game of “gotcha”. The most effective audits are collaborations between the audit team and the agency. Our goal is to partner with agencies to understand their programs, and if necessary, develop recommendations to improve operations.

During each phase of the audit, the audit team keeps the agency apprised of the status of the audit. Through meetings, informal discussions, and briefings the audit team works with the agency to understand the facts and circumstances surrounding each finding. The audit team also advises the audited agency of critical issues that require immediate resolution.

At the conclusion of the audit, we schedule an exit conference with agency managers to discuss the draft report. The draft report may be revised in response to agency feedback and comments. The agency's formal written response is included in the final report.

In addition to working with agencies to improve their operations, it is important to highlight agency successes. Towards that end, we ask agencies to provide a summary of recent accomplishments. The agency summary of recent accomplishments is included in the final audit report.

To encourage agencies to address issues before an audit, we prepared an Agency Internal Control Self-Assessment. The agency self-assessment helps agencies review internal controls, evaluate the implementation of policies and procedures, and determine the extent of compliance with rules and regulations. This is a link to the Agency Internal Control Self-Assessment.

How do I know that I can trust your audits?

The Office of the D.C. Auditor follows government auditing standards that help ensure auditors have the competence, integrity, objectivity, and independence needed to plan, conduct and report on their work. Generally Accepted Government Auditing Standards (GAGAS) were developed by the U.S. Government Accountability Office. Our Office complies with GAGAS, commonly known as “the Yellow Book”. This is a link to the Yellow Book:

http://www.gao.gov/govaud/ybk01.htm

Users of audits that are conducted according to GAGAS can have confidence that the work is objective and credible. When evidence is acquired and evaluated according to

GAGAS it is more likely that audit work will lead to improved government management, decision making, oversight and accountability.