FCA-2012-3600

The results of our audit disclosed deficiencies in internal control and/or instances of noncompliance or other matters that are considered reportable under Government Auditing Standards. State agencies spend, on average, approximately $242 million per month on contracted services. However, the Department's system of controls over the service contract review process does not provide reasonable assurance that all contracts over $1 million have been reviewed in accordance with G.S. 114-8.3. These items are described in the Audit Findings and Responses section of this report.