An Audit Report on Selected State Entities' Compliance with Requirements Related to the Historically Underutilized Business Program and the State Use Program Page: 4 of 118
118 p.View a full description of this report.
Extracted Text
The following text was automatically extracted from the image on this page using optical character recognition software:
An Audit Report on
Selected State Entities' Compliance with Requirements Related to the Historically Underutilized
Business Program and the State Use Program
SAO Report No. 11-027
Six (75 percent) of the 8 state entities audited fully or substantially complied,
overall, with the applicable HUB program reporting requirements tested.
HUB program reporting requirements are related to how a state entity monitors
and reports its utilization of HUBs. Of the eight state entities audited, the Texas
Youth Commission and the Parks and Wildlife Department did not comply with the
applicable reporting requirements tested because they (1) did not maintain
progress assessment reports on their HUB subcontractors and (2) did not prepare
monthly HUB utilization reports.
Four (50 percent) of the 8 state entities audited substantially attained their HUB
utilization goals, overall, during fiscal year 2009.
A state entity's "goal attainment" reflects its reported utilization of HUBs
compared to its HUB utilization goals. Auditors reviewed the state entities'
attainment of HUB utilization goals related to heavy construction contracts,
building construction contracts, special trade construction contracts, professional
services contracts, commodities contracts, and other services contracts. Four
state entities audited minimally attained or did not attain their HUB utilization
goals, overall, during fiscal year 2009.
Seven (88 percent) of the 8 state entities audited were non-compliant, overall,
with the State Use Program requirements tested.
The state entities lacked processes and supporting documentation to show that (1)
staff checked the availability of goods and services from TIBH Industries' vendors
prior to making procurement decisions, (2) staff identified and reported all
exceptions, and (3) staff classified reported exceptions in accordance with State
Use Program requirements.
Opportunities exist for the Office of the Comptroller of Public Accounts
(Comptroller) to strengthen certain areas of the HUB program and State Use
Program.
HUB program rules concerning the development of HUB utilization goals by state
entities need to be clarified. Texas Government Code, Section 2161.123, requires
the State Auditor's Office to determine whether state entities developed a
methodology for establishing state entity-specific HUB utilization goals. While
Title 34, Texas Administrative Code, Section 20.15, directs state entities to Texas
Government Code, Section 2161.123, with regard to preparing a written plan for
utilizing HUBs, the Texas Administrative Code does not specify that state entities
must develop a process for creating their own HUB goals. This lack of clarity in
TIBH Industries was formerly known as Texas Industries for the Blind and Handicapped.iii
Upcoming Pages
Here’s what’s next.
Search Inside
This report can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Report.
Texas. Office of the State Auditor. An Audit Report on Selected State Entities' Compliance with Requirements Related to the Historically Underutilized Business Program and the State Use Program, report, March 2011; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth518058/m1/4/: accessed June 12, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting UNT Libraries Government Documents Department.