Audit of Revenue Collected by Parks, Recreation & Marine Department Released by City Auditor
2012-04-24 · By Editor
On Monday Long Beach City Auditor Laura Doud released an audit of revenue collection at several Parks, Recreation & Marine Department (Department) locations. The Department processes $6.6 million annually in revenue throughout 34 sites.
The audit shows that while the Department has been successful at providing recreational services to the community, the administrative structure that calculates, collects and safeguards these revenues was not thoroughly developed. As a result, the City has lost funds due to misappropriation and inconsistency in the collection of fees.
Over the past year, the Department’s new management has recognized the need to address the internal control issues surrounding revenue collection and have begun efforts to make corrections and/or changes at individual sites.
“We must act now and invest in making these recommended improvements to ensure we have the funding necessary to continue the quality of services and youth programs our Parks and Recreation Department is known to provide, “said City Auditor Doud.
The audit recommends that City management develop a Department-wide plan to ensure the design of a strong and secure revenue collection system which will meet the growing demands for Department services. In addition, the audit suggests the plan focus on centralizing the revenue collection process, increase the use of technology, and develop detailed cash handling training.
“It is imperative the City do all it can to safeguard the $6.6 million in revenue it currently collects and work diligently to further increase collection efforts,” said City Auditor Doud.
The audit has been agendized for the May 1 City Council meeting.