4 Miss. Code. R. 3-1.3 - Management of Funds Disbursement by Economic Development Project Category

(a) Category A: Super Project External Management, External Oversight:

These projects generally have external management and external oversight of construction in addition to MDA staff.

(1) Submission and Approval of Invoices:

(i) For a sample of invoices, document that the proper signatures are in place.

(ii) Document, for a sample of invoices which require pre-approval that the appropriate signatures have been obtained from the project engineer/architect prior to being submitted for payment to MDA.

(iii) Document the procedures which the Accounting Sr. Manager employs in the review of the invoices.

(iv) Document that any discrepancies observed were resolved as described by the Project Engineer.

(v) For a sample of invoices encompassing all accounts and expenditure classifications, ensure that each one paid bears the signature of the Project Director, the Executive Director and the Chief of Staff.

(2) Processing Payment of Invoices:

(i) Document that the Mississippi Major Economic Impact Act (MMEIA) invoice is attached to the approved invoice.

(ii) Document, on a sample basis, that the Accounting Auditor II's input follows guidelines set forth in the MS Agencies Accounting Polices and Procedures Manual and in MDA's internal accounting procedures manual.

(iii) Document, on a sample basis, that the Accounting Auditor II sends invoices requiring Purchase Orders to the Purchasing department.

(iv) Document that the payment vouchers are submitted with appropriate signatures and that the proper copies are submitted and filed in accordance with the procedure above.

(v) Document, on a sample basis, that the proper dates and warrant numbers are properly filed in the Vendor Files by alphabetical order.

(vi) Document the procedures performed and the results of the post audit review.

(vii) Obtain current copy of the asset spreadsheet and review for completeness on a sample basis from invoices to the spreadsheet for the recording of capital assets.

(viii) Obtain a copy of the spreadsheet maintained to track expenditures and to reconcile balances related to the project budget and test for clerical and formula accuracy.

(b) Category B: Regular Project - Local Management, External Oversight:

Company Expenditures and Process (Example: Mississippi Major Economic Impact Act (MMEIA) and Mississippi Business Investment Act (MBIA):

(1) Document, from a sample of invoices and requests for payment (RFPs) that each was authorized for payment by the above mentioned individuals. Also verify that none of the RFPs are for reimbursement of expenditures by the county or the company.

(2) Document, from a sample of RFPs that amounts requested are within budget guidelines for the expenditure type.

(3) Document that the budget was created in collaboration from the various individuals mentioned above. On a sample basis, perform independent research to ensure that, where possible, itemized budget amounts appear reasonable.

(4) Document that the Company has committed, in writing, to covering the cost of budget overruns, where applicable.

(5) The RFP package is then delivered to the Executive Director's Office for signature.

(6) Document that all paid RFPs bear the signature of the Executive Director or his/her proxy.

(7) Document for a sample of RFPs that the appropriate copies are in the above referenced locations.

(8) Document that the expenditures are tracked and that a running total of dollars expended for the project is available and accurate.

(9) Document from a sample of RFPs that the proper dates sent and paid are recorded by MDA.

(10) Document that a reconciliation of expenditures against the receipts is conducted monthly for a sample of months.

(11) Document, for a sample of RFP packages, that the proper stamps are in place to demonstrate authorization.

(12) Document, for a sample of RFP packages, that the check was received and mailed and that a copy of the check was attached to the check pending file.

(13) Document that the check payment date and the payment voucher number are recorded in the PV Log and that a copy of the RFP and the check is filed in the disbursement file for the proper and relevant budget component.

(14) For a sample of contracts, document that no contracts were entered into by the County with individual contractors except where provided by exception. From the selected sample, document that the state laws of procurement, advertising and awarding of contracts were followed sufficiently.

(c) Category C: MDA Multi-Project Category:

(1) Example I: Rural Impact Funds Request for Cash Process:

(i) Document that the Request for Cash (RFC) is completed by the applicant and that it is signed by the appropriate official or designated person.

(ii) Document the process by which the RFC is compared to the contract and on a sample basis, ensure that expenditures conform with the contract requirements.

(iii) Document that all invoices, on a sample basis, bear the approval of the Bureau Manager and that the original and three copies of the RFC are sent to Accounting.

(iv) Document that a sample of pending RFCs are located in the pending file.

(v) For a sample of RFCs, document that the files are properly maintained for paid RFCs. Recommendation. The utilization of invoices for all disbursements is recommended as the best practice for ensuring that payments are related to services rendered or goods provided. Such documentation provides a means of providing assurance as to the propriety of the expenditures.

(2) Example II: Land, Water, Timber Cash Disbursements Process:

Approval of fund disbursement is currently at the discretion of the Land, Water and Timber Board.

(3) Example III: All Other Multi-Project Categories:

All other "Multi-Project" programs (which are economic development related and which utilize State bond proceeds) will be reviewed and documentation tested and collected based on the defined procedures, regulations, and requirements defined by MDA. These programs include, but are not limited to Small Municipalities, Limited Population Counties Program, ACE Program, Mississippi Business Investment Act, etc.

Notes

4 Miss. Code. R. 3-1.3

Miss. Code Ann. § 7-7-211.