l . o~ COMMISSIONERS' COURT AGENDA REQUEST ~tolao6 t. a PLEASE FURNISH ONE ORIGINAL AND TEN COPIES OF THIS REQUEST AND DOCUMENTS TO BE REVIEWED BY THE COURT. MADE BY: Dave Nicholson MEETING DATE: June 12, 2006 OFFICE: Commissioner, Pct. 4 TIME PREFERRED: 9:15 a.m. SUBJECT: Receive and take appropriate action on a report of the audit of the Sheriff s Office payroll. EXECUTIVE SESSION REQUESTED: (PLEASE STATE REASON) NAME OF PERSON ADDRESSING THE COURT: Bill Beltrone, CPA/Commissioner, Pct. 4 ESTIMATED LENGTH OF PRESENTATION: IF PERSONNEL MATTER -NAME OF EMPLOYEE: Time for submitting this request for Court to assure that the matter is posted in accordance with Title 5, Chapter 551 and 552, Government Code, is as follows: THIS REQUEST RECEIVED BY: THIS REQUEST RECEIVED ON: All Agenda Requests will be screened by the County Judge's Office to determine if adequate information has been prepared for the Court's formal consideration and action at time of Court Meetings. Your cooperation will be appreciated and contribute towards your request being addressed at the eazliest opportunity. See Agenda Request Rules Adopted by Commissioners' Court. Meeting scheduled for Mondays: 5:00 P.M. previous Tuesday. KERB COUNTY COMMISSIONERS COURT AGREED UPON PROCEDURES FOR THE PERIOD OCTOBERI, 2003 TO APRIL 30, 2006 Wimberley Emergency Medical Service Systems, Inc. Table of Contents September 30, 2002 Page ACCOUNTANT'S REPORT ........................................................ ....................................... ] FINANCIAL STATEMENTS Statement of Financial Position .................................................. ....................................... 2 Statement of Activities ................................................................ ....................................... 3 r Statement of Functional Expenses .............................................. ....................................... 4 Statement of Cash Flows ............................................................ ....................................... 5 NOTES TO FINANCIAL STATEMENTS ................................... ....................................6-8 William J. Beltrone Certified Public Accountant r Green Hills Center 1006 C Junction Hwy. _ Kerrville, TX 78028 Phone: (830)792-4668 Email: beltrone(a~,kte.com Fax: (830) 895-0028 INDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED-UPON PROCEDURES To Kerr County Commissioners' Court: We have performed the procedures enumerated below, which were agreed to by the Kerr County Commissioner's Court, solely to assist you in evaluating the accompanying Grade/Step Schedules of Kerr ,_ County Sheriff s Office and to determine the extent of payroll errors and deficiencies caused by the use of those schedules for the period of October 1, 2003 through April 30, 2006. The Kerr County Commissioners' Court is responsible for the Grade/Step Schedules and the payrolls to which the agreed- upon procedures were applied. This agreed-upon procedures engagement was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of those parties specified in this report. Consequently, we make no representation regarding the sufficiency of the procedures described below .. either for the purpose for which this report has been requested or for any other purpose. A list of the agreed upon procedures are attached to this report. We were not engaged to, and did not, conduct an examination, the objective of which would be the expression of an opinion on the accompanying Grade/Step Schedules and payroll of Kerr County Sheriffls Office. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. Based on the procedures applied, the Grade/Step Schedules of the Kerr County Sheriffs Office for [he ,~, period of October I, 2003 through April 30, 2006 were properly applied and there were no payroll errors or deficiencies caused by the use of those schedules. This report is intended solely for the information and use of the Kerr County Commissioners' Court, the "- Kerr County Auditor's Office, the Kerr County Sheriff; The Kerr County Treasurer's Office and the Kerr County Attorney and is not intended to be and should not be used by anyone other than these specified parties. ,.., May 30, 2006 William J. Beltrone, CPA Kerrville, TX William J. Beltrone °- Certified Public Accountant Green Hills Center 1006 C Junction Hwy. Kerrville, TX 78028 Phone: (830)792-4665 Email: beltrone~N,ktc.com Fax: (830) 895-0028 Agreed Upon Procedures Kerr County Sheriff Department payrolls from 10/1/2003 through April 30, 2006 1. In regards to the 2003/2004 Schedules: 1.1. We recalculated the following Grade /Step Schedules based on Court Orders #28259, #28261, and #28262 which were approved by the Commissioners' Court on the 2nd day of September, 2003: 1.1.1. Dispatchers and Jailers were ordered to receive a 2.9% Cost of Living Allowance increase in their base salaries (here-after referred to as a COLA) plus an additional raise of ,_ $3,000 to each employee in that department. 1.1.2. Deputies were ordered to receive a 2.9% COLA plus a raise of $1,500 to each employee. 1.1.3. Nurses were ordered to receive a 2.9° o COLA. 1.2. We compared our recalculated schedules to the Grade /Step schedules in the 2003/2004 budget provided to us by the Kerr County Auditor. 2. In regards to the 2004 / 2009 Schedules: 2.1. We recalculated the following Grade/Step Schedules based on Court minutes obtained from Internet transcripts and from excerpts provided to us by the Sheriff: 2.1.1. The Dispatchers -Jailers were to receive a COLA of 3°io plus an additional raise of ~-- $1,500 to each employee in the department. 2.1.2. Deputies were to receive a 3.0°% COLA plus an additional $1,000 to each employee in the department. 2.2. We then compared our recalculated schedules for Dispatchers and Jailers and for Deputies to the schedules in the 2004/2005 budget provided to us by the Kerr County Auditor. 3. In regards to the 2005 / 2006 Schedules: °- 3.1. We recalculated the Grade/Step Schedule for Deputies based on Court minutes obtained from Internet transcripts. ... 3.2. We then compared our recalculated schedule to the scheduled provided to us by the Sheriff represented to be the schedule used for the 2005 / 2006 budgeted payrolls. The accompanying report is an integral part of these procedures Agreed Upon Procedures Kerr Countv Sheriff Department payrolls from 10/1/2003 through April 30.2006 _ Findings: The 2003/2004 Grade /Step Schedules prepared by us agreed with the schedules in the 2003/2004 budget. The 2004/2005 Grade /Step Schedules prepared by us agreed with the schedules in the 2004/2005 budget. The 2005/2006 Grade /Step Schedule prepared by us agreed with the schedule represented [o us to be the schedule used in the 2005/2006 budget. '- Based on these comparisons the Courts' orders and the motions approved by the Court were properly applied. Special Notes fo Findings: When the salary raises were given to the Deputies, the Dispatchers and the Jailers, in the form of a flat $ "' amount to each individual rather than an equal percentage increase and the Court's orders were properly applied, a new schedule was created in which each Step increased at a different percentage from what it had in the past. (SEE SUPPLEMENTAL SCHEDULE A) " A comparison was made against the current Grade/Step Schedule recalculated by us and the Grade/Step Schedule revised by the Sheriff s Office. The comparison involved the Grade/Step Schedule for the Jailers- Dispatchers for the fiscal year 2003/2004. Differences in pay rates and percentage differences are shown _ for [wo pay grades. (SEE SUPPLEMENTAL SCHEDULE B) The accompanying report is an integral part of these procedures a- 3 i 1 1 i i i I I i Kerr County Sheriff sOffice -Payroll SUPPLEMENTAL SCHEDULE A i 1 i 1 i I i 1 I i EXAMPLE OF CORRECT APPLICATION Step /Increase 1 2 3 4 5 2.50% 2.50% 2.50% 2.50% Original Base $10,000 $10,250 $10,506 $10,769 $11,038 COLA of 2.5% 250.00 256.25 262.65 269.23 275.95 10,250 10, 506 10, 769 11, 038 11, 314 Baselncrease 1,500 1,500 1,500 1,500 1,500 New Salary 11,750 12,006 12,269 12,538 12,814 Step to Step % 2.181 % 2.186% 2.197% 2.199% Actual % increase 17.500% 17 134% 16.778% 16.429% 16.089% Actual samples JAILERS/DISPATCHERS Percentage Increases from Prior Year Grade/Step 14.2 14.3 Salary 02-03 $ 20,821 $ 21,342 x COLA 2.5% 2.50% 21,342 21,876 + Merit Increase 3,000 3,000 24,342 24,876 Total $ Increase $ 3,521 $ 3,534 Total % Increase 16.91% 16 56% Step to Step % 2.194% 19.2 $ 26,651 2.5% 27,317 3,000 30,317 $ 3,666 13.76% 2.252% 19.3 $ 27,317 2.5% 28, 000 3, 000 31,000 $ 3,683 13 48% 21.7 21.8 $ 33,283 34115 2.5% 2.5% 34,115 34,968 3,000 3,000 37,115 37,968 $ 3,832 $ 3,853 11 51% 11.29% 2.298% JAILERSIDISPATCHERS 200312004 GRADE I STEP SCHEDULE Comparisons of schedules -Actual vs Sheriffs SUPPLEMENTAL SCHEDULE B PAY GRADE 14 STEP 1 STEP 2 STEP 3 STEP 4 STEP 5 STEP 6 STEP 7 STEP 8 STEP 9 STEP 10 STEP 11 STEP 12 Actua102103 $ 20,313 $ 20,821 $ 21,341 $ 21,875 $ 22,422 $ 22,982 $ 23,557 $ 24,146 $ 24,749 $ 25,368 $ 26,002 $ 26,652 Actua103104 $ 23,821 $ 24,342 $ 24,875 $ 25,422 $ 25,983 $ 26,557 $ 27,146 $ 27,750 $ 28,368 $ 29,002 $ 29,652 $ 30,319 Sheriffs 03/04 $ 23,821 $ 24,416 $ 25,027 $ 25,652 $ 26,294 $ 26,951 $ 27,625 $ 28,315 $ 29,023 $ 29,749 $ 30,493 $ 31,255 Variance 0.00 74.82 152.23 230.55 311.18 394.53 478.93 565.83 655.64 746.75 640.41 936.43 Actual Payroll Increase wlo $3,000 increase Sheriffs Increase wlo $3,000 increase PAY GRADE 21 STEP 1 STEP 2 STEP 3 STEP 4 STEP 5 STEP 6 STEP 7 STEP 8 STEP 9 STEP 10 STEP 11 STEP 12 Actua102103 $ 28,700 $ 29,418 E 30,153 8 30,907 $ 31,679 $ 32,471 $ 33,283 E 34,115 E 34,968 $ 35,842 $ 36,738 $ 37,657 Actua103104 $ 32,418 8 33,153 $ 33,907 $ 34,680 $ 35,471 $ 36,283 E 37,115 $ 37,968 $ 38,842 $ 39,736 $ 40,656 E 41,598 Sheriffs 03104 E 32,418 $ 33,228 $ 34,059 $ 34,910 $ 35,783 E 36,677 E 37,594 $ 38,534 $ 39,498 E 40,465 E 41,497 E 42,535 Variance 0.00 74.49 751.81 230.43 311.88 394.65 479.29 566.35 655.38 746.97 840.69 936.14 Ac[ual Payroll Increase wlo $3,000 increase Sheriffs Increase wlo $3,000 increase Note 1 The actual 03104 schedule used 200212003 rate times 2.5% COLA plus a$3,000 increase in pay across each step -Actual Note 2 The Sheriffs 03104 schedule used 200212003 times 2.5% COLA plus $3,000 increase for step 1 and applied 2.5°/ to each step