Report 2017-104 Recommendation 23 Responses

Report 2017-104: Montebello Unified School District: County Superintendent Intervention Is Necessary to Address Its Weak Financial Management and Governance (Release Date: November 2017)

Recommendation #23 To: Montebello Unified School District

To ensure that Montebello spends its funds for allowable and reasonable purposes, it should require employees whose salaries are funded by voter-approved bond proceeds to fill out detailed timesheets to demonstrate that they work on bond-related activities. Bond proceeds should only be used to pay the portion of the salary relating to bond-funded activities that is supported by the timesheet.

Annual Follow-Up Agency Response From October 2020

MUSD employees are required to fill out detailed timesheets that demonstrate the hours worked related to bond activities. The percentage of the salary that is paid by bond proceeds is reflected on the timesheets. This is tracked via the time accounting process.

California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented

Montebello's bond audits as of June 30, 2019 report that beginning November 2018 the district began using proper time accounting procedures that is based on actual work performed. To the extent that Montebello continues to use proper timekeeping practices, it will have addressed our recommendation.


Annual Follow-Up Agency Response From October 2019

MUSD employees are required to fill out detailed timesheets that demonstrate the hours worked related to bond activities. Only a portion of the salary is paid by bond proceeds and it is tracked via a time accounting process.

California State Auditor's Assessment of Annual Follow-Up Status: Pending

The bond audits for both Measure GS and Measure M note deficiencies related to payroll accounting and recommend that Montebello ensure that wages charged to the building fund be substantiated based on actual work performed on bond projects. Montebello should resolve the recommendations and demonstrate to us that it consistently requires employees to fill out detailed timesheets.


1-Year Agency Response

MUSD continues to work on identifying the positions that need funding source changed. Once identified, personnel requisition forms are generated to change the funding source. Meetings continue to take place to discuss the process between Maintenance, Operations and Facilities and the Finance Department. Documentation is included demonstrating the changes.

California State Auditor's Assessment of 1-Year Status: Pending

Bond proceeds should only be used to pay the portion of the salary relating to bond-funded activities that is supported by the timesheet. Montebello has not provided evidence that staff fill out detailed timesheets to demonstrate that they work on bond-related activities.


6-Month Agency Response

MUSD will continue to work on identifying the positions that need the funding source changed. Multiple meetings have taken place to discuss this process between Maintenance, Operations, and Facilities, and the Finance Department. Documentation will be submitted demonstrating that this change is taking place.

California State Auditor's Assessment of 6-Month Status: Pending


60-Day Agency Response

MUSD will continue working on requiring all employees whose salaries are funded by approved bond proceeds to fill out a detailed timesheet demonstrating the work associated with bond related activities.

California State Auditor's Assessment of 60-Day Status: Pending


All Recommendations in 2017-104

Agency responses received are posted verbatim.