Report 2012-121.2 Recommendation 9 Responses

Report 2012-121.2: Department of Parks and Recreation: Flaws in Its Budget Allocation Processes Hinder Its Ability to Effectively Manage the Park System (Release Date: September 2013)

Recommendation #9 To: Parks and Recreation, Department of

To prevent unauthorized leave buyback transactions, the department should establish written policies and procedures requiring the personnel office's transactions unit to obtain documentation from managers who request leave buyback transactions. The documentation should specify the authority for the leave buyback and include appropriate authorizing signatures.

Annual Follow-Up Agency Response From September 2015

As indicated previously CalHR and DOF have written procedures of authorized leave buybacks. The Department has created an authorization form for all other forms of leave buyback i.e. per bargaining unit agreement. The form will specify the authority for the buyback and will include appropriate signatures.

Attachment I:

Leave Accounting Letter #12-016; Request for Leave Credit Cash Out; 2015 BU 2,7,9,10, 12 Vacation/Annual Leave Cash Out Program; 2015 BU 13; Vacation/Annual Leave Cash Out Program; 2015 Excluded Leave Buy-Back Program

California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented

The department has developed forms for staff to request a leave credit cash out that include the authority under which the leave buyback is being requested and authorizing signatures.


1-Year Agency Response

CalHR and DOF authorized the Leave Buyback Program for fiscal year 2013-14. The Department followed the procedures set up by CalHR Personnel Management Liaisons Memorandum (PML) 2014-008 and 2014-009). Detailed instructions were sent out to managers, supervisors, and affected employees. These procedures have changed each time CalHR and DOF authorize a Leave Buyback Program and therefore setting up our own procedures would not be appropriate. Parks must follow the statewide process.

California State Auditor's Assessment of 1-Year Status: No Action Taken

Although it discusses a leave buyback that was authorized by the Department of Human Resources and the Department of Finance, the department has not indicated whether it developed policies and procedures to require personnel office transaction unit staff to obtain documentation from managers who request leave buybacks under other circumstances, such as those authorized under bargaining unit agreements.


6-Month Agency Response

The Department issued a Cash Out/Buy Back of Leave Benefit Options memo to Personnel Section staff on January 9, 2014. This memo instructed and informed staff regarding rules and regulations regarding buyback transactions.

California State Auditor's Assessment of 6-Month Status: Partially Implemented

Although it developed a memo for personnel section staff regarding leave buyback transactions, the memo is very high level and does not provide detailed authority for when leave buyback transactions are allowed. For example, the memo does not specifically mention cadets whose bargaining unit agreement requires the department to reduce their compensating time off (CTO) balances when they graduate from the cadet training academy. Additionally, the department only provided its memo and has still not established written policies and procedures as we recommended.


60-Day Agency Response

The Department has written procedures that reiterate the conditions under which leave cash out can be approved and consequences for policy violations. These procedures will be used to update the applicable sections(s) of the Department Administrative Manual

California State Auditor's Assessment of 60-Day Status: Pending

Although it asserts that it has written procedures that reiterate the conditions under which leave cash out can be approved and consequences for policy violations, the department has not provided us with a copy of its procedures to substantiate its claim that the recommendation is fully implemented.


All Recommendations in 2012-121.2

Agency responses received are posted verbatim.