This week my office released an
Audit Recommendation Follow Up Report
. We worked closely with management to verify that the City has fully addressed 53 of the 108 open recommendations. Our office conducts audits and makes recommendations to strengthen accountability and improve the efficiency and effectiveness of City programs, however, it is up to City Management to implement those recommendations. Taking action on audit recommendations leads to increase revenues, cost savings, and operational improvements.
We would like to commend City Management on the progress they have made, which includes closing seven audits. The City’s Finance Department took action to increase collections by designing a process based on our audit recommendations. The Finance Revenue Collection team actively reviews delinquent accounts and reported to us that they successfully recouped $1.3 million in business license tax revenues as of October 2019, since adopting our recommendations.
In response to an audit on ambulance billing, which found $23 million in uncollected ambulance fees, the Berkeley Fire Department has contracted with a new billing service provider to actively reach out to patients and insurance companies who are delinquent on paying for ambulance services to offer payment extensions or payment plan options. This is expected to increase revenue needed for emergency response services.
I look forward to working with City management to close the balance of the open recommendations. The benchmark for closing recommendations is within two years.
I will present this report to City Council on December 10, 2019
