NEED TO UPGRADE STATE ACCOUNTING SYSTEM The
Comptroller's Office needs to make significant
upgrades to its CUSAS (Comptroller's Uniform
Statewide Accounting System) procedures to reduce
inefficiencies. CUSAS was developed in 1974 and
has been in need of revision for many years. The
CUSAS accounting system design and reporting
capabilities, and its computer, software and
telecommunications environment are now over
twenty years old. They are obsolete and
inefficient, and have, for a number of years,
been incapable of responding to all of the needs
of State government. The Comptroller has
acknowledged that the deficiencies and risks of
CUSAS constitute a material weakness in internal
fiscal and administrative controls. We have
recommended enhancements to CUSAS since 1984.
During fiscal year 1996, the Office processed
over 16,300,000 warrants or payments which
totaled over $36,635,000,000. Due to the
magnitude of the Office's accounting
responsibilities, there is a risk that a physical
breakdown of the accounting system would suspend
the Office's ability to perform its fiscal duties
and would have very serious consequences.
System inefficiencies we noted include the
extra costs necessary to process certain types of
expenditure documents. For example, multiple
invoice-vouchers have had to be prepared and
additional warrants processed when an expenditure
relates to multiple appropriation line items.
Also, a more efficient warrantless process is not
being utilized to settle obligations between
State agencies or to process agencies'
transactions with various State revolving funds.
In addition, the State has over 85 different
sets of accounting ledgers, since a majority of
the 110 State agencies, boards, and commissions
has its own. Each reporting division has
developed, implemented and maintained a separate
automated system because the existing CUSAS
system has not supported its needs. However, all
agencies have also participated in CUSAS,
requiring multiple data entry and paper
processing. This was necessary because data was
not electronically transferred to CUSAS, yet the
agencies' accounting systems have had to
reconcile to CUSAS. (Finding 1, page 9)
We recommend the Office continue its efforts
to modify or update the CUSAS Statewide
accounting system to correct its material
weaknesses and to reduce its technological
deficiencies so Statewide fiscal operations may
be improved.
Comptroller's officials stated that they agree
and on July 1, 1997, they plan to implement a new
Statewide Accounting Management System (SAMS).
This accounting information system is designed to
take advantage of more recent technology and
should replace the old Comptroller's Uniform
Statewide Accounting System (CUSAS). They feel
that implementation of the SAMS system will
demonstrate their Office's determination to
fulfill its statutory responsibilities and will
make great progress in resolving this audit
finding.
Comptroller's officials stated further that
SAMS will position the State's central accounting
system to respond to its changing role as defined
from time to time by the General Assembly and to
participate with the business community as new
practices are developed to be more efficient.
Mr. Michael Moody, Director of Internal
Audits, provided the Office response to our
finding and recommendation.
