DOI’s Internal Controls For Purchase Cards And Fleet Cards
View full auditBackground
The audit was conducted to determine whether internal controls for the Integrated Charge Card Program (ICCP) are adequately designed and appropriately implemented to effectively deter fraud, waste or abuse.
Recommendations
The OIG provided 10 recommendations to help improve management and oversight of the ICCP, including:
- Develop internal controls and increase accountability actions so that cardholders and AOs review statements and attach supporting documents.
- Recover the cost of any illegal, improper or erroneous purchases.
- Conduct recurring management reviews of charge card transactions and clearly demonstrate actions taken when deficiencies are identified.
- Establish internal controls designed to identify purchases exceeding authorized limits.
- Issue final guidance on the professional services exemption from micro-purchase limits that reflects the Department of Labor regulations.
- Develop and implement internal control procedures needed to ensure purchase logs are properly documented, maintained and current.
- Instruct cardholders and AOs regarding the authorized uses of convenience checks and take appropriate actions for those who do not comply with policy.
- Close cardholder accounts before employees separate to prevent fraudulent use.
- Establish a department-wide systematic review process for assigning Merchant Category Codes (MCCs) restricted groups.
- Verify the accuracy of MCCs and verify that appropriate restrictions have been placed on purchase card accounts.
