HomeMy WebLinkAboutResolution No. 2015-55COUNTY COUNCIL
COUNTY OF KAUAI
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e5jotutt"Otl No. 2015-55
RESOLUTION AUTHORIZING A PERFORMANCE AUDIT OF THE KAUAI
HUMANE SOCIETY, PURSUANT TO SECTIONS 3.12(B) AND 32.02(A)(2),
KAUAI COUNTY CHARTER
WHEREAS, Section 3.12(B) of the Kauai County Charter ( "Charter ")
authorizes the Council of the County of Kauai ( "Council ") to conduct performance
audits of any or all offices, agencies, departments, programs, and operations for
which the County is responsible, through the hiring of a qualified in -house auditor
or through the hiring of a qualified auditor or both; and
WHEREAS, Section 32.02(A)(2) of the Charter authorizes the Office of the
County Auditor to conduct or cause to be conducted, performance audits of the
funds, programs, and operations of any agency or operation of the County of
Kauai ( "County ") as requested by the Council by Resolution; and
WHEREAS, under the provisions of the Hawaii Revised Statutes ( "H.R.S. ")
Sections 143 -15 and 143 -16, the County is directed to contract with the Kauai
Humane Society for the seizure and impounding of all unlicensed dogs, and for the
maintenance of a shelter or pound for unlicensed dogs, and for lost, strayed, and
homeless dogs, and for the destruction or other disposition of seized dogs not
redeemed as provided under H.R.S. Chapter 143; and
WHEREAS, the County entered into Contract No. 9274 with the Kauai
Humane Society ( "Contract No. 9274 ") to meet the provisions of H.R.S. Chapter 143;
and
WHEREAS, the Council has been made aware of the excessive complaints
against the Kauai Humane Society, involving the unfair treatment of employees,
the existence of a hostile work environment, the policies governing euthanasia, and
the high turnover throughout the organization, including that of skilled and
experienced employees, as well as several Executive Directors; and
WHEREAS, the acts for which the Kauai Humane Society has been
publically scrutinized involve many services that are funded, either entirely or in
part, by the County; and
WHEREAS, Ordinance No. B- 2015 -796 relating to the Fiscal Year 2015 -2016
Operating Budget appropriates $150,000 for forensic auditors & other professionals,
which may be used for the purpose of conducting performance audits; now therefore,
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BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF KAUAI,
STATE OF HAWAII:
SECTION 1. Authorization. Pursuant to Sections 3.12(B) and
32.02(A)(2) of the Kauai County Charter, the Council of the County of Kauai
hereby authorizes the Office of the County Auditor to conduct a performance audit
of the funds, programs, and operations of the Kauai Humane Society for the
purpose of addressing and evaluating the overall contract, management, and use of
County funding for services pursuant to the terms of Contract No. 9274 and
H.R.S. Chapter 143.
SECTION 2. Process. Section 32.02(A)(2) of the Kauai County Charter
authorizes the Office of the County Auditor to conduct performance audits of the
funds, programs and operations of any agency or operation of the County as
requested by the Council by Resolution.
SECTION 3. Preliminary Scope of Work:
The overall purpose of the performance audit is to facilitate an objective and
systematic examination of the use of County funds for services provided by the
Kauai Humane Society under the terms of Contract No. 9274.
The independent audit shall be contracted and administered by the Office of
the County Auditor. The audit is to be conducted pursuant to Generally Accepted
Government Auditing Standards ( "GAGAS ").
As it relates to the services provided by the Kauai Humane Society under the
terms of Contract No. 9274, the following items should be addressed within the
general scope of the performance audit:
1. Provide an independent assessment of the Kauai Humane Society's
internal controls.
2. Identify deficiencies and material weaknesses of the Kauai
Humane Society's programs.
3. Ensure that County funds are being used exclusively towards
services required by the contract as evidenced by a separate
accounting of records and that no co- mingling of funds is occurring.
4. Provide recommendations or options as to how and whether the
services provided through the contract can be performed more cost
effectively in -house by the County of Kauai, with the possibility of
limiting the use of the Kauai Humane Society (i.e. only as an
animal shelter).
5. Recommend changes to the organization, the management, and
processes which will produce greater efficiency and effectiveness in
meeting the objectives of the programs or operations. -
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The performance audit shall include a final written report which shall be
filed with the Office of the County Clerk that will include its recommendations and
findings. The performance audit final report shall be made available to the County
Administration and deemed a public record, subject to applicable laws. The Council
shall not be compelled to fund, but shall also consider, any subsequent request by
County Councilmembers or the County Administration, to adopt any portion of the
audit recommendations as deemed appropriate and is found to be in the best
interest of the public.
BE IT FURTHER RESOLVED THAT copies of this Resolution be transmitted
to Bernard P. Carvalho, Jr., Mayor, Mauna Kea Trask, County Attorney, Ken M.
Shimonishi, Director of Finance, the Kauai Humane Society Board of Directors, and
Penny Cistaro, Executive Director of the Kauai Humane Society.
BE IT FINALLY RESOLVED THAT this Resolution shall take effect upon its
approval.
Introduced by:
V: \RESOLUTIONS \2014 -2016 TERM \Humane Society Audit CNT:aa
MEL RAPOZO
Certificate Of Z(boption
Ve berebp certify that Regolution moo. 2015 -55
bnag abopteb by the Councit of the County of Raua`i, -6tate of
30abnai`i, 111)u`e, Raua`i, j�abuai`i, on August 5, 2015.
Dateb 08 -06 -2015
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MEL RAPOZO
Certificate Of Z(boption
Ve berebp certify that Regolution moo. 2015 -55
bnag abopteb by the Councit of the County of Raua`i, -6tate of
30abnai`i, 111)u`e, Raua`i, j�abuai`i, on August 5, 2015.
Dateb 08 -06 -2015
3
L�A Cljairman & �-- ibing Officer