Alaska Legislative Auditor

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  • 08-30088-19
    SUMMARY OF: A Sunset Review of the Department of Commerce, Community, and Economic Development, Alaska Gasline Development Corporation Select Financial Issues Why DLA Performed This Audit The audit was requested to examine and report on the corporation’s appropriations, spending, and available balances. Additionally, auditors were asked to determine whether appropriated funds were spent in compliance with legislative restrictions and whether significant spending decisions were approved by the board of directors. Report Conclusions The audit addresses the Alaska Gasline Development Corporation’s (corporation) funding and spending in terms of its two gas development projects: the integrated interstate gas infrastructure project (AK LNG) and the small diameter in-state pipeline project (ASAP). Since establishment in May 2010, the legislature appropriated to the corporation a net total of $479.8 million for the two projects which earned an additional $5.7 million in interest. From these revenues, the corporation expended $433.3 million and, as of July 24, 2018, had an estimated available balance of $52.2 million.The corporation’s statutes and appropriation bills impose two main conditions on funding: (1) appropriations should be spent to carry out the corporation’s purposes, powers, and duties, and (2) funding for the two projects should not be comingled. The audit found that the corporation’s spending generally complied with these restrictions, with one exception. The audit identified $150,000 of ASAP costs that were incorrectly coded to the AK LNG fund. This error was corrected once identified by auditors. The audit also found the corporation’s procurement procedures lacked an Alaska veterans’ preference. (Recommendation 1)The audit evaluated ... read more
    Source: Alaska Legislative AuditorPublished on 2019-01-14
    3 months ago
  • 08-20114-19
    SUMMARY OF: A Sunset Review of the Department of Commerce, Community, and Economic Development, Big Game Commercial Services Board Why DLA Performed This Audit The audit’s purpose was to determine if there is a need for the council’s continued existence and whether its termination date should be extended. The council is set to sunset June 30, 2019, and will have one year from that date to conclude its administrative operations. Report Conclusions The audit concluded that the board served the public’s interest by conducting meetings in accordance with applicable laws, amending regulations to improve occupations under the board’s purview, and supporting changes by the Department of Law to improve the timeliness of the disciplinary process. Additionally, the board worked to eliminate the over $1 million deficit reported in the prior 2015 sunset audit.The audit also concluded that board licenses were not consistently supported by adequate documentation, a high number of investigations had unjustified periods of inactivity, and three board positions were vacant for an extended period.In accordance with AS 08.03.010(c)(9), the board is scheduled to terminate on June 30, 2019. We recommend that the legislature extend the board’s termination to June 30, 2025, which is two years less than the eight year maximum allowed for in statute. The reduced extension is mainly due to DCBPL staff failing to consistently issue licenses in accordance with laws and failing to conduct investigations in a timely manner. Findings and Recommendations The Division of Corporations, Business, and Professional Licensing’s (DCBPL) director should improve management oversight ... read more
    Source: Alaska Legislative AuditorPublished on 2019-01-14
    3 months ago
  • 08-20111-18
    SUMMARY OF: A Sunset Review of the Department of Health and Social Services, Statewide Suicide Prevention Council Why DLA Performed This Audit The purpose of this audit was to determine if there is a need for the board’s continued existence and whether its termination date should be extended. The board is set to sunset June 30, 2019, and will have one year from that date to conclude its administrative operations. Report Conclusions The audit concludes that the board operated in the public’s interest by effectively licensing and regulating dentists, dental hygienists, and dental assistants. The board monitored licensees and worked to ensure only qualified individuals practiced in Alaska. Furthermore, the board was active in amending regulations to improve the industry. In accordance with AS 08.03.010(c)(7), the board is scheduled to terminate on June 30, 2019. We recommend that the legislature extend the board’s termination date eight years to June 30, 2027. Findings and Recommendations The board president should take steps to correct a regulation error. DCCED’s Division of Corporations, Business, and Professional Licensing’s chief investigator, in consultation with the board, should implement controls to ensure the appropriate entities are notified when a licensee’s prescription authority is suspended or revoked. 2018 Languages: English Requirements: PDF Reader Category: DCCED Date: 2018 ... read more
    Source: Alaska Legislative AuditorPublished on 2018-12-13
    4 months ago
  • 06-20115-18
    SUMMARY OF: A Sunset Review of the Department of Health and Social Services, Statewide Suicide Prevention Council Why DLA Performed This Audit The audit’s purpose was to determine if there is a need for the council’s continued existence and whether its termination date should be extended. The council is set to sunset June 30, 2019, and will have one year from that date to conclude its administrative operations. Report Conclusions The audit found the council operated in the public’s interest by actively broadening the public’s awareness of suicide prevention, and coordinating the efforts of other suicide prevention entities including State agencies, regional groups, coalitions, and local communities. Additionally, the council fulfilled its statutory duty by issuing the 2018-2022 Suicide Prevention Plan and working closely with stakeholders to add and refine the plan’s strategies, resources, and indicators. The audit also concluded that administrative improvements were needed to ensure council meetings are adequately public noticed and the executive director is consistently evaluated on an annual basis. In accordance with AS 44.66.010(a)(7), the council is scheduled to terminate on June 30, 2019. We recommend that the legislature extend the council’s termination date to June 30, 2027. Findings and Recommendations The council’s executive director should develop and implement procedures to ensure public notices for meetings are published timely and accurately. The council chair should develop and implement written procedures to ensure performance evaluations are completed annually for the council’s executive director. 2018 Languages: English Requirements: PDF Reader Category: DHSS Date: 2018 ... read more
    Source: Alaska Legislative AuditorPublished on 2018-12-13
    4 months ago
  • 10-30092-18
    SUMMARY OF: A Sunset Review of the Department of Natural Resources, Matanuska Maid Select Property Disposal Why DLA Performed This Audit The purpose of the audit was to determine if applicable statutes, regulations, and best business practices were followed when disposing of the former MatMaid bottling property. The audit also determined whether sale proceeds were appropriately accounted for and reported. Report Conclusions The audit concludes that the Board of Agriculture and Conservation (board) and Division of Agriculture (division) staff adhered to the applicable laws when disposing of the MatMaid bottling property. Specifically, the board followed a public process and properly established terms and conditions for sale. Division staff maintained adequate property disposal files and department staff appropriately accounted for and reported the sale proceeds in the FY 17 Comprehensive Annual Financial Report. 2018 Languages: English Requirements: PDF Reader Category: DNR Date: 2018 ... read more
    Source: Alaska Legislative AuditorPublished on 2018-12-13
    4 months ago
  • 08-20113-18
    SUMMARY OF: A Sunset Review of the Department of Commerce, Community, and Economic Development, Board of Nursing Why DLA Performed This Audit The audit’s purpose was to determine if there is a need for the board’s continued existence and whether its termination date should be extended. The board is set to sunset June 30, 2019, and will have one year from that date to conclude its administrative operations. Report Conclusions Overall, the audit concluded the board served the public’s interest by conducting meetings in accordance with State laws, amending certain regulations to improve the nurse and CNA occupations, and effectively licensing nurses and CNAs. The audit also concluded that the board failed to serve the public’s interest by not adequately regulating the distance delivery of nursing services through technology, not adequately monitoring CNA training programs, and not notifying the appropriate entities when a licensee’s prescriptive authority was suspended, revoked, or surrendered. In addition, the audit found improvements were needed in the Division of Corporations, Business and Professional Licensing’s (DCBPL) investigative process. In accordance with AS 08.03.010(c)(14) the board is scheduled to terminate June 30, 2019. We recommend the legislature extend the board’s termination date six years to June 30, 2025, which is two years less than the eight year maximum allowed per statute. The reduced extension is mainly due to the failure of the board to regulate the distance delivery of nursing services through technology and the board’s re-approval of CNA training programs without adequate review. Additionally, the board failed to ... read more
    Source: Alaska Legislative AuditorPublished on 2018-12-13
    4 months ago
  • 08-20110-18
    SUMMARY OF: A Sunset Review of the Department of Commerce, Community, and Economic Development, Board of Barbers and Hairdressers Why DLA Performed This Audit The purpose of this audit was to determine if there is a need for the board’s continued existence and whether its termination date should be extended. The board is set to sunset June 30, 2019, and will have one year from that date to conclude its administrative operations. Report Conclusions The audit concluded that the board operated in the public’s interest by effectively licensing the various occupations under the board’s purview. The board monitored licensees and worked to ensure only qualified individuals practice in Alaska. In accordance with AS 08.03.010(c)(4), the board is scheduled to terminate on June 30, 2019. We recommend that the legislature extend the board’s termination date to June 30, 2027. 2018 Languages: English Requirements: PDF Reader Category: DCCED Date: 2018 ... read more
    Source: Alaska Legislative AuditorPublished on 2018-12-13
    4 months ago
  • 08-20112-18
    SUMMARY OF: A Sunset Review of the Department of Commerce, Community, and Economic Development, Board of Marine Pilots Why DLA Performed This Audit The audit’s purpose was to determine if there is a need for the board’s continued existence and whether its termination date should be extended. The board is set to sunset June 30, 2019, and will have one year from that date to conclude its administrative operations. Report Conclusions The audit concludes the board is serving the public’s interest by effectively licensing marine pilots and deputy marine pilots and approving trainees and apprentices. Board meetings were conducted in compliance with laws, investigations were processed timely, and the board actively changed regulations to improve the industry and better protect the public. The audit also concludes the board should improve the process for issuing foreign pleasure craft exemptions. Testing found exemptions were not consistently issued in accordance with regulations. Additionally, the audit found one pilot association was not appropriately tracking drug test notifications. In accordance with AS 08.03.010(c)(10), the board is scheduled to terminate on June 30, 2019. We recommend that the legislature extend the boards’ termination date to June 30, 2027. Findings and Recommendations The Board of Marine Pilots (board) should ensure all applicable documents are aboard foreign pleasure crafts in accordance with regulatory requirements. The board should ensure the Southeast Alaska Pilots’ Association improves procedures for tracking drug test notifications. ... read more
    Source: Alaska Legislative AuditorPublished on 2018-10-09
    6 months ago
  • 02-40018-18
    SUMMARY OF: State of Alaska, Single Audit for the Fiscal Year Ended June 30, 2017 Purpose of the Report This report summarizes our review of the State of Alaska’s basic financial statements and the State’s compliance with federal laws and regulations in the administration of approximately $4.4 billion of federal financial assistance programs. The audit was conducted in accordance with auditing standards generally accepted in the United States of America and Government Auditing Standards, issued by the Comptroller General of the United States. It also complies with the federal Single Audit Act Amendments of 1996 and the related United States Office of Management and Budget Uniform Guidance. The report contains an opinion on the basic financial statements of the State of Alaska for FY 17, recommendations on financial and compliance matters, auditor’s reports on internal controls and compliance, the Schedule of Expenditures of Federal Awards, and the Summary of Prior Audit Findings. Report Conclusions The basic financial statements for the State of Alaska are fairly presented in accordance with accounting principles generally accepted in the United States of America without qualification. With the exception of the Medicaid Cluster and the United States Forest Service Fire Suppression Program, the State has substantially complied with the applicable laws and regulations in the administration of its major federal financial assistance programs. The report does contain recommendations regarding material weaknesses and significant deficiencies in the State’s internal control over financial reporting and internal control over federal compliance. Findings and Recommendations This report contains 78 ... read more
    Source: Alaska Legislative AuditorPublished on 2018-07-12
    9 months ago
  • 08-30091-18
    SUMMARY OF: A Performance Audit of the Departmentof Commerce, Community,and Economic Development,Regulatory Commission of Alaska (RCA)FY 17 Annual Report Why DLA Performed This Audit In accordance with AS 24.20.271(11), the audit evaluates the accuracy of RCA’s FY 17 annual report concerning statutory timelines, timeline extensions, and performance measures. This audit does not evaluate the effectiveness of RCA’s decisions. Report Conclusions RCA’s FY 17 annual report data for dockets, tariff filings, and statutory extensions was materially accurate. An analysis of case management system data and hard copy files concluded that the commission accurately reported its compliance with timeline requirements for utility, pipeline, and regulatory dockets; tariff filings; and statutory extensions. The audit confirmed the performance measures relating to docket and tariff filing timelines, informal complaints, and consumer outreach were materially accurate. Findings and Recommendations The audit makes no recommendations. 2016 Languages: English Requirements: PDF Reader Category: DCCED Date: 2018 ... read more
    Source: Alaska Legislative AuditorPublished on 2018-07-12
    9 months ago
  • 04-30090-18
    SUMMARY OF: A Performance Review of the Department of Revenue, Alaska Mental Health Trust Authority Asset Management and Other Select Issues Why DLA Performed This Audit The audit was requested in response to allegations that the Alaska Mental Health Trust Authority (Authority) was not managing its assets and conducting its business in compliance with applicable laws. Report Conclusions The audit concluded that the Authority’s board of trustees violated State statutes and terms of the State v. Weiss settlement by diverting $44.4 million in cash principal from the Alaska Permanent Fund Corporation (APFC). Alaska statutes clearly and unambiguously command that cash principal be managed and invested by the APFC. Despite the requirement, the Authority’s board of trustees suspended transfers of cash principal to the APFC for almost 10 years. The board of trustees’ actions appeared to be well intentioned, driven by a desire to maximize revenue for use by beneficiaries. However, the actions did not comply with law and were contrary to the roles and responsibilities outlined in the settlement. Instead of transferring cash principal to the APFC for investment, $39.5 of $44.4 million was directly invested in seven commercial real estate properties (five located out-of-state) using the Trust Land Office (TLO) to facilitate the commercial real estate investment transactions and to manage the properties. Six of the seven properties were mortgaged and the proceeds were used, in part, for additional commercial real estate investments. The audit concluded that the TLO does not have the legal ... read more
    Source: Alaska Legislative AuditorPublished on 2018-06-05
    11 months ago