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11 SUMARIO / INDICE DOS ANEXOS DOCUMENTAIS

12 RESUMEN / RESUMO DA TESE

The Audit Plan is reviewed and approved as follows:

 The UTRGV Executive Leadership – Audit plan approved on July 16, 2015.

 The UT System Audit Office – Audit plan presented on July 20, 2015.

The University of Texas Rio Grande Valley

FY 2016 Annual Audit Plan APPENDIX A

FY 2016 Audit Plan Engagements Financial Audits and Projects

FY 2015 Financial Statement Audit - Final Procedures 300 Required assistance to Deloitte (1st Quarter FY 16) on the FY 2015 AFR audit of UT System FY 2016 Financial Statement Audit Interim 125 Required assistance to Deloitte (4th Quarter FY 16) on the FY 2016 AFR audit of UT System THECB Peer Review Facilities Audit 100 Assess, verify, and improve data reported to THECB on the use of campus facilities and project funding NCAA Agreed Upon Procedures 300 Assist the UT System Audit Office with the required FY 2015 NCAA Agreed Upon Procedures for UTPA Review of Asset Management 300 Ensure UTB and UTPA assets were appropriately and accurately transferred to the UTRGV financial system. SAO Financial Portion of Statewide Audit 50 Assist the State Auditor's Office with the FY 2015 A-133 Audit for UTPA UTS 142.1 Certification 75 Perform audit work regarding account reconciliation, segregation of duties and other areas as required by UTS 142.1

Financial Subtotal 1250 10.7% Operational Audits and Projects

Medical School Consulting 800 Provide consulting services to the new medical school as they achieve accreditation and establish business processes Business Process Consulting 600 Perform analysis of UTRGV's new business processes to ensure that they have appropriate internal controls and include best practices UTShare PeopleSoft Consulting 700 Assist with the implementation of PeopleSoft for UTRGV

Student Academic History Consulting 200 Perform a review of student academic history data to ensure data was transferred accurately to UTRGV. Executive Travel and Entertainment 250 Audit of the UTRGV Executive Management travel & entertainment expenses President's Travel and Entertainment 50 Assist UT System Audit Office in conducting the audit of President's travel and entertainment expenses for UTB and UTPA Contract Administration 350 Perform an audit of contracting processes based on the requirements of Senate Bill 20

Operational Subtotal 2950 25.3% Compliance Audits and Projects

NCAA Compliance Audit 150 Review UTPA Athletics department for compliance with NCAA regulations over recruiting Endowments and Scholarship Awards 200 Perform an audit of endowments and scholarships to ensure awards follow donor/funding source intent for UTRGV Title IX 200 Ensure UTRGV has appropriate policies, processes and internal controls to comply with Title IX regulations Joint Admission Medical Program (JAMP) 100 Required FY 2015 financial audit of JAMP for UTPA

Benefits Proportionality by Fund 300

Legislative mandate to review the university's salary expenditures and associated employee benefits funded through the State of Texas general revenue appropriation to ensure compliance with the General

Appropriations Act for UTB and UTPA

Research Compliance 400 Perform an audit of UTRGV research activities to ensure compliance with federal regulations

Compliance Subtotal 1350 11.6% Information Technology Audits and Projects

Texas Administrative Code (TAC) 202 600 Perform an audit of information security to ensure compliance with TAC 202 Payment Card Industry Data Security Standards (PCI) 200 Perform an audit to ensure compliance with standards regarding payment card data security

BlackBoard 200 Perform an audit to ensure UTRGV BlackBoard has appropriate access controls

Continuous Audits of Pro-cards 200 Perform control and risk assessments on UTRGV procurement card data to identify potentially fraudulent transactions

Information Technology Subtotal 1200 10.3% Follow Up

Follow Up 100 Perform follow up on open UTRGV recommendations

Follow Up Subtotal 100 0.9% Percent of Total Original Budget Description 7

The University of Texas Rio Grande Valley

FY 2016 Annual Audit Plan APPENDIX A

FY 2016 Audit Plan Engagements Percent of Total Original Budget Description Development - Operations

UT System/SAO External Reporting 250 Reporting requests from System, State Auditor's Office, etc. Annual Audit Plan and Risk Assessment 150 Prepare audit plan for FY 2017 and make necessary changes to FY 2016 audit plan Internal Audit and other Committees 400 Conduct and prepare for Internal Audit Committee meetings and attend campus committees and other meetings with management Council Meetings 150 Attendance and presentations at UT System Internal Audit Council meetings TeamMate and audit software 100 Maintain and upgrade the Teammate audit program libraries and templates and implement the other modules Management of Audit Activity 400 Staff meetings to discuss updates/status of multiple audit projects

Internal Controls Training 200 Provide internal control training to UTRGV staff

Development - Operations Subtotal 1650 14.1% Development - Initiatives and Education

UT System Audit Office Initiatives 100 Staff's participation in System Audit Office Initiatives

Professional Organizations 200 Staff's activities associated with professional audit related associations

Continuing Professional Education 619 Training for professional staff

Assistance to other departments 200 Assistance to other departments

Internal Audit Office Organization and Strategy 200 Establish of UTRGV Internal Audit Office structure, update internal audit manual and procedures, and develop internal audit strategic plan

Development - Initiatives and Education Subtotal 1319 11.3% Reserve

Financial Reserve 500

Operational Reserve 800

Special Requests and Investigations 550

Reserve Subtotal 1850 15.9%

Total Budgeted Hours 11669 100.0%

Reserve to conduct audits, consulting, internal control reviews, investigations, and/or other assurance activities as requested from UTRGV management, UT System or other external sources

The University of Texas Rio Grande Valley

FY 2016 Annual Audit Plan APPENDIX B

Objective at Risk Detailed Risk Description Vulnerability Likelihood Impact Risk Score (CHML) UT System Taxonomy On the Plan? Audit Name

Medical School - Develop and open the UTRGV Medical School

Contracts with hospitals, providers and medical revenue management do not benefit UTRGV

HIGH HIGH HIGH CRITICAL

22.1.3. Strategic Planning Yes Medical

School Consulting Medical School - Develop and open the UTRGV

Medical School

UTRGV does not have an effective Practice

Plan HIGH HIGH HIGH CRITICAL

21. Practice Plan No

Medical School - Develop and open the UTRGV Medical School

The administrative organization is not ideal

for a medical school HIGH HIGH HIGH CRITICAL

22.1.3. Strategic Planning Yes Medical

School Consulting UTRGV Organization - Establish the

organizational structure and business processes for UTRGV

Lack of effective internal controls HIGH HIGH HIGH CRITICAL

1.2. Internal Audit Yes Business Process Reviews UTRGV Organization - Establish the

organizational structure and business processes for UTRGV

Lack of polices for coordinated business processes (not doing it the UTB or the UTPA way)

HIGH HIGH HIGH CRITICAL

1. Governance Yes Business

Process Reviews IT Security - Develop an Effective Information

Security Program

Lack of protection of confidential information

(access, mobile devices, cyber attacks...) HIGH HIGH HIGH CRITICAL

3.8.7. Information Security

Operations Yes TAC 202

Implementation of UTRGV ERP Systems Not having a working ERP that users know how to operate and get information HIGH HIGH HIGH CRITICAL 3.6. Business Applications Yes UTShare Consulting Implementation of UTRGV ERP Systems System is not configured effectively and

converted data is not accurate HIGH HIGH HIGH CRITICAL

3.6. Business Applications Yes UTShare Consulting Student Success - Maximize students' potential

for academic success

UTB and UTPA students degree plans consolidation and progress towards graduation not transferred properly

HIGH HIGH HIGH CRITICAL

3.6.3. Student Records

System (Banner) Yes Student

Academic History Campus Safety - To protect the life and property

of students, faculty, and staff of the University by providing a secure and safe environment

Non-compliance with Title IX with regard to

sexual assault offenses HIGH HIGH HIGH CRITICAL

12.5.1. Campus Security Yes

Title IX

Medical School - Develop and open the UTRGV Medical School

Medical school does not obtain LCME

accreditation HIGH MEDIUM HIGH HIGH

22.1.Medical Professions

Schools Yes Medical School

Consulting Medical School - Develop and open the UTRGV

Medical School Risks with Student/Residency program HIGH MEDIUM MEDIUM HIGH

22.1.2. Graduate

Education Yes Medical School

Consulting IT Security - Develop an Effective Information

Security Program

Lack of professional staff to develop and

maintain security program HIGH MEDIUM HIGH HIGH

3.8.1. Information Security

Leadership & Governance Yes TAC 202

Talent Management - Recruiting and hiring the

most talented employees Compensation not paid timely or accurately HIGH HIGH MEDIUM HIGH

5.2. Compensation Yes Business

Process Reviews Talent Management - Recruiting and hiring the

most talented employees

Lack of consistent business policies and

processes HIGH HIGH MEDIUM HIGH

5. Human Resources Yes Business Process Reviews Talent Management - Recruiting and hiring the

most talented employees

Not hiring enough people to conduct classes

and business processes HIGH HIGH MEDIUM HIGH

5.5. Recruiting Yes Business

Process Reviews Talent Management - Recruiting and hiring the

most talented employees Mismanagement of student employees HIGH HIGH MEDIUM HIGH

5. Human Resources No

Implementation of UTRGV ERP Systems

Lack of training so that users do not know how to operate the system, cannot retrieve information and may set up shadow systems

HIGH MEDIUM HIGH HIGH

3.6. Business Applications Yes

UTShare Consulting Student Success - Maximize students' potential

for academic success

Student may not be able to graduate due to

availability of classes HIGH HIGH MEDIUM HIGH

17.3.Student Retention and Graduation No

Campus Safety - To protect the life and property of students, faculty, and staff of the University by providing a secure and safe environment

Labs and other areas with hazardous materials are not adequately managed and secured

HIGH MEDIUM HIGH HIGH

10.4.Environmental Health and Safety No

Campus Safety - To protect the life and property of students, faculty, and staff of the University by providing a secure and safe environment

Ineffective management of risks unique to

the US-Mexico border HIGH MEDIUM HIGH HIGH

12.5.1. Campus Security No

Campus Safety - To protect the life and property of students, faculty, and staff of the University by providing a secure and safe environment

Clery Act reporting may be inaccurate or incomplete with the expansion of the reporting area for UTRGV

HIGH MEDIUM HIGH HIGH

12.5.1. Campus Security No

Student Success - Maximize students' potential for academic success

UTB and UTPA students degree plan consolidation and progress towards graduation not transferred properly

HIGH MEDIUM HIGH HIGH

3.6.3. Student Records

System (Banner) Yes Academic Student

History Financial Reporting - To provide accurate and

timely reporting of financial matters to the appropriate internal and external recipients.

Identification and transfer of all UTB and UTPA assets to UTRGV not properly conducted.

MEDIUM HIGH LOW HIGH

2.1. Financial Reporting Yes Review of

Asset Management Financial Reporting - To provide accurate and

timely reporting of financial matters to the appropriate internal and external recipients.

Identification and transfer of all UTB and UTPA research grants to UTRGV not properly conducted.

MEDIUM HIGH HIGH HIGH

4.1. Research

Administration Yes Research Compliance Development - Expand and enhance essential

philanthropic and other support for the university among alumni, faculty, staff, students, and friends throughout Texas, the nation, and the world

Scholarships are not awarded in compliance

with endowment requirements MEDIUM MEDIUM HIGH HIGH

14.4.Stewardship Activities Yes

Endowments and Scholarships Research - To maximize success in research and

innovation for faculty, students, and staff, as well as to comply with all required standards of research administration.

Grants from previous institutions may not be moved appropriately to the UTRGV financial and grant systems

HIGH MEDIUM HIGH HIGH

10.4.Environmental Health

and Safety Yes

Research Compliance

The University of Texas Rio Grande Valley

FY 2016 Annual Audit Plan APPENDIX B

Objective at Risk Detailed Risk Description Vulnerability Likelihood Impact Risk Score (CHML) UT System Taxonomy On the Plan? Audit Name

Research - To maximize success in research and innovation for faculty, students, and staff, as well as to comply with all required standards of research administration.

Risks of inaccurate effort reporting and non-

compliance with grant requirements HIGH MEDIUM HIGH HIGH

4.1. Research

Administration Yes Research

Compliance Facilities Management - To develop, operate,

and maintain high quality facilities.

New construction increases financial,

operational and compliance risks MEDIUM HIGH HIGH HIGH

6. Facilities Management No

Facilities Management - To develop, operate, and maintain high quality facilities.

Not adequately managing Environmental

Health and Safety risks including lab safety MEDIUM HIGH HIGH HIGH

10.4.Environmental Health and Safety No

Community Outreach - Creating, developing, and maintaining impactful community partnerships that advance the teaching and research mission while strengthening ties to the local and global community

Lack of management and oversight of programs that involve minors (summer camps)

MEDIUM MEDIUM HIGH HIGH

11.3.Community Outreach

Programs No

UTRGV Organization - Establish the organizational structure and business processes for UTRGV

Lack of internal audit and compliance

functions HIGH LOW HIGH MEDIUM

1.1. Organizational Structure & Accountability

UTRGV Organization - Establish the organizational structure and business processes for UTRGV

UTRGV does not receive SACS COC

accreditation HIGH LOW HIGH MEDIUM

18.1.Accreditation

IT Security - Develop an Effective Information Security Program

Risks associated with decentralized and

remote locations HIGH MEDIUM MEDIUM MEDIUM

3.3. IT Infrastructure

IT Security - Develop an Effective Information Security Program

Lack of integration between UTB and UTPA

systems, poor data consolidation HIGH MEDIUM MEDIUM MEDIUM

3.3. IT Infrastructure

Talent Management - Recruiting and hiring the most talented employees

Not recruiting most talented people due to nepotism or hiring people who are not eligible to work

HIGH MEDIUM MEDIUM MEDIUM

5.5. Recruiting

Talent Management - Recruiting and hiring the most talented employees

Not providing mandatory training and

ineffective on boarding procedures HIGH MEDIUM MEDIUM MEDIUM

5.6. Training

Campus Safety - To protect the life and property of students, faculty, and staff of the University by providing a secure and safe environment

Not providing students, faculty and staff with

a safe and healthy work environment HIGH MEDIUM MEDIUM MEDIUM

12.5.1. Campus Security

Student Success - Maximize students' potential for academic success

Ensuring compliance regarding international

students HIGH LOW HIGH MEDIUM

15. Enrollment Management

Financial Reporting - To provide accurate and timely reporting of financial matters to the appropriate internal and external recipients.

Identification and transfer of all UTB and UTPA endowments to UTRGV not properly conducted.

MEDIUM LOW MEDIUM MEDIUM

2.1. Financial Reporting

Development - Expand and enhance essential philanthropic and other support for the university among alumni, faculty, staff, students, and friends throughout Texas, the nation, and the world

UTPA and UTB endowments are not

transferred to UTRGV appropriately MEDIUM LOW MEDIUM MEDIUM

14.1.Gifts and Endowments

Research - To maximize success in research and innovation for faculty, students, and staff, as well as to comply with all required standards of research administration.

Increased level of research increases risks

of misconduct/ethics/conflict of interest HIGH MEDIUM MEDIUM MEDIUM

4.4. Research Compliance

Facilities Management - To develop, operate, and maintain high quality facilities.

Keys to UTB and UTPA buildings may not have been collected when employees that are not employed at UTRGV separated

MEDIUM MEDIUM MEDIUM MEDIUM

12.5.3. Facility Access

Community Outreach - Creating, developing, and maintaining impactful community partnerships that advance the teaching and research mission while strengthening ties to the local and global community

Event that negatively impacts the reputation

of the institution MEDIUM MEDIUM MEDIUM MEDIUM

11.3.Community Outreach Programs

Community Outreach - Creating, developing, and maintaining impactful community partnerships that advance the teaching and research mission while strengthening ties to the local and global community

Lack of local business support for UTRGV MEDIUM MEDIUM MEDIUM MEDIUM

11.3.Community Outreach Programs

Athletics - Developing and maintaining an Athletics program

Contracts and sponsorships will have to be

renewed or renegotiated under UTRGV MEDIUM MEDIUM MEDIUM MEDIUM

12.10. Athletics

Athletics - Developing and maintaining an

Athletics program NCAA compliance for Division I MEDIUM MEDIUM MEDIUM MEDIUM

12.10. Athletics

The University of Texas Rio Grande Valley

FY 2016 Annual Audit Plan APPENDIX C

CAE Management

Director Team Staff Total %

Audit Hours* 1,667 3,334 6,668 11,669 80%

Non-Audit Hours:

General Administration 125 250 500 875 6%

Holidays 128 256 512 896 6%

Vacation & Sick Leave 160 320 640 1,120 8%

Total Available Hours 2,080 4,160 8,320 14,560 100%

*Note: Audit hours now include Training/CPE hours, which was a separate row under General Administration in past years.

Total Holiday V/S Leave GA Projects

CAE 2080 128 160 125 1667 Director 2080 128 160 125 1667 Assistant Director 2080 128 160 125 1667 Senior Auditor II 2080 128 160 125 1667 Senior Auditor II 2080 128 160 125 1667 Senior IT Auditor 2080 128 160 125 1667 Senior Auditor I 2080 128 160 125 1667 14560 896 1120 875 11669 open position 50%

UTRGV has 8 FTE positions budgeted (gross) with 1 FTE vacancy, resulting in 7 net positions.

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