Backup Documents 06/10/2014 Item #16J2 16JZ
'.Qaunty of Collier
CLERK OF THE C RCUIT COURT
Dwight E. Brock COLLIER COUNTY OURTOUSE Clerk of Courts
3315 TAMIAMI TRAIL ST, S1 JITE#201 Accountant
Clerk of Courts NAPLES,FLORID 34112-5324 Auditor
Custodian of County Funds
June 4,2014
The Honorable Tom Henning,Chairman
Collier County Board of County Commissioners
3299 Tamiami Trail East;Building F, Suite 201
Naples,FL 34112
Commissioners:
Audit report 2014-8, Job Creation Investment Program: Animal Specialty Center of Florida, LLC, is
enclosed for your review.
Internal Audit has met with those involved and reviewed this report with management. We are issuing
this report to the Board today, June 4, 2014. The report becomes a public record today and will be
available on the Clerk of Courts website. Audit report 2014-8 is in the consent agenda of the June 10,
2014, Board of County Commissioners meeting. Staff is available to discuss any of the information
regarding this report at your convenience.Please contact Jim Molenaar at 252-2283.
Respectfully,
22xsteit___
D .Brock
Clerk o the Circuit Court
DEB/pb
Cc: Hon.Tim Nance, Vice Chairman
Hon. Donna Fiala
Hon. Georgia Hiller,Esq.
Hon. Fred Coyle
Mr. Leo Ochs
Mr.Jeff Klatzkow
Ms. Crystal Kinzel
Phone-(239)252-2745 Fax-(239) 252-2755
Website-www.collierclerk.com Email-collierelerk@clerkcollier.com
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covof'R COuiv
Internal Audit Department
� o
ENE CIR
Audit Report 2014-8
Job Creation Investment Program:
Animal Specialty Center of Florida,
LLC
Dwight E. Brock
Clerk of the Circuit Court
T�„�„�,,,,; .1.,a;, East
June 4 2014
Suite#402
Naples, FL 34112-5746
www.collierelerk.com
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Prepared by: James D. Molenaar, Internal Audit Manager
Patrick Blaney, Senior Internal Auditor
Report Distribution: Board of County Commissioners
Leo Ochs, Jr., County Manager
Bruce Register, Director, Business & Economic Development
Amy Patterson, Manager, Impact Fees & Economic Development
Cc: Dwight E. Brock, Clerk of the Circuit Court
Crystal K. Kinzel, Director of Finance & Accounting
Table of Contents
Summary 2
Objective ...2
Scope 2
Background .2
Management Response 3
Conclusion . 3
\\ 1,rS p,tpecr, ,uppc7rting the obyer\atioi3s noted within, thi.; report arc public: record and can he made d\
h been upon 1C:.t.r ±:.'�;t once the ei?4�.1s :::..!_.[. 3.,i..t�tt. :.�.d� ,7i,'t;Tl ,tiaile:(. �?��' !Ili'.`; i.tl? 1 4r<1te of ;i_z'."it t,th.ir(_.. 7..'1;1�tll1
t;OnlidCiiil::i and PPrt`nieeth°d tram public r t.on..k rK'.qlies during an ;tetiA e lw i under Hi I t!'1:.;.
l)( ' I a.-1 II_ .5' (? ,.lr-li I! Cm section i 1'071_ . { ,ot id ttlt'trte::°7.
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Internal Audit provided draft Audit Report 2014-8 to the Impact Fee Manager for management response on May 13,
2014. The Impact Fee Manager provided the management response on May 22, 2014.
Summary
This examination generated the following observations for the Job Creation Investment Program:
• Payroll records were reviewed for Animal Specialty Hospital. Names,job titles, hire dates, and pay rates were
recorded for all employees in created jobs. Rates of pay were averaged for all jobs created, and compared to the
minimum requirements of the Ordinance.No exceptions from the average wage requirements were noted.
• Site visits were conducted to vouch payroll record data to the personnel records of all employees filling created
jobs. The verified data consisted of employees' names,job titles,hire dates, pay rates and lawful US residency.
The procedures revealed no exceptions. These tests validated 28 jobs created at Animal Specialty Hospital.
Oh'ective
The objective of the engagement was to determine whether Animal Specialty Hospital remained eligible for
participation in the Job Creation Investment Program.
Sco I e
This examination consisted of validating jobs and wages, including,but not limited to,the following:
• Reviewing sections 125.045, 288.075, and 688.02,Florida Statutes;
• Reviewing Collier County Ordinances 2003-60, 2006-36, and 2008-46;
• Examining payroll and personnel records from Animal Specialty Hospital;
• Visiting Animal Specialty Hospital and interviewing management;
• Scheduling data from payroll records for all employees holding jobs claimed as created; and
• Tracing payroll data, such as names,job titles, hire dates, pay rates, and lawful US residency, to the personnel
records.
Internal Audit tested 100%of applicable payroll and personnel records for Animal Specialty Hospital.
Back • round
Internal Audit observed the Impact Fee&Economic Development Office's validation of jobs created in accordance
with the Job Creation Investment Program. This program is a performance-based Collier County initiative
authorized in Board of County Commissioners (BCC) Ordinance 2003-60, as amended. It provides general revenue
funding to local businesses for the creation of jobs that meet the criteria specified in the Ordinance. Those criteria,
which vary by geographic location within the county, include minimum numbers of new jobs at or exceeding
specific wage levels.
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Ordinance 2003-60 states that the program's purpose is"to promote and foster economic diversification through the
retention and creation of high wage jobs in targeted industry clusters." Ordinance 2006-36 defines jobs as "limited
to individual permanent legal residents of the United States who are employed in each new created position of
employment at a primary location in Collier County, and as applicable maintained, as a result of the program."
Ordinance 2003-60 originally terminated this program on October 1, 2008, but on September 9, 2008, the BCC
enacted Ordinance 2008-46,which extended the Job Creation Investment Program to October 1,2013.
To be eligible, businesses must apply to the County Manager prior to making the decision to locate or expand
within Collier County. The general fund pays $1,000 to $3,000 over a three year period to qualifying businesses for
each job created.
Management Response
"Staff appreciates the opportunity to work with the Clerk's Internal Audit Department on the annual job
verifications. As stated in prior Management Responses, the Department is thorough,professional and helpful in its
review of these matters.
The results from the monitoring process highlight a high level of cooperation between departments/agencies of
County government as well as the participating businesses."
Conclusion
Due to Animal Specialty Hospital's compliance with the requirements of the Job Creation Investment Program
Ordinances,there are no adverse observations to report.
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