PURPOSE This policy creates procedures and guidelines for the operation and management of the commissary and inmate bank accounts.

Transcription

1 DEPARTMENT OF MANAGEMENT SERVICES ADMINISTRATIVE POLICY TITLE: Commissary and Inmate Bank Accounts at Private Correctional Facilities EFFECTIVE: February 1, 2017 REVISED: POLICY NUMBER Bureau of Private Prison Monitoring PURPOSE This policy creates procedures and guidelines for the operation and management of the commissary and inmate bank accounts. SCOPE This policy applies to private correctional facilities and their employees under contract with the State of Florida s Department of Management Services Bureau of Private Prison Monitoring (bureau) and the bureau s employees. AUTHORITY State/Federal Statutes: Chapter 957 Correctional Privatization Chapter Money or Other Property Received for Personal Use or Benefit of Inmate; Deposit; Disposition of Unclaimed Trust Funds Chapter Inmate Welfare and Employee Benefit Trust Funds Contract References: Article 5.2 Fiscal Operations Article 5.3 Maintenance and Operation of Funds Article 5.4 Operation of Inmate Bank Article 5.5 Privately Operated Institutions Inmate Welfare Trust Fund Article 5.6 Inmate Commissary Account and Vending Services Article 5.7 Auditing of the Commissary and Inmate Bank Account Article 12.9 Copies of Documents Article Access to Records Page 1 of 7 DMS Policy No. Private Prison Monitoring

2 RESPONSIBLE OFFICE Private Prison Monitoring DISTRIBUTION The following individuals should be notified of this policy, its procedures and forms Contractors and/or letter Bureau of Private Prison Monitoring Meeting Method of Notification and/or interoffice memo Staff meeting DEFINITIONS Bureau of Private Prison Monitoring (bureau): The Department of Management Services Bureau of Private Prison Monitoring oversees the contractual requirements for the private correctional facilities. Bureau Chief: The chief of the Bureau of Private Prison Monitoring. Commissary Account: An account established at a local financial institution for the purpose of the operation of the inmate commissary/canteen. Contract Manager: The bureau employee who is primarily responsible for management and oversight of the contract and evaluation of the contractor's performance of its duties and obligations pursuant to the terms of the contract. The contract manager is currently the bureau chief. Contractor: The vendor or vendors under contract with the Florida Department of Management Services Bureau of Private Prison Monitoring to operate and manage a private correctional facility. FDC: The Florida Department of Corrections. DMS or Department: The Florida Department of Management Services. Generally Accepted Accounting Principles (GAAP): A widely accepted set of rules, conventions, standards and procedures for reporting financial information, as established by the Financial Accounting Standards Board. Inmate Bank Account: An account established with a local financial institution for the purpose of depositing the funds received for the benefit of inmates. Page 2 of 7 DMS Policy No. Private Prison Monitoring

3 Management Services Agreement or Contract: The operation and management services contract, including all attachments, exhibits, amendments and modifications, between the department and the contractor. On-site Contract Monitor: The employee or employees of the bureau who monitor the daily operations of the facility for contract compliance and who coordinate actions and communications between the Department of Corrections, the department and the contractor. The on-site contract monitor is designated by the bureau and is the official liaison between the bureau and the contractor on all on-site matters pertaining to operation and management services of the facility. Privately Operated Institutions Inmate Welfare Trust Fund (POIIWTF): A trust fund required by section , Florida Statutes, derived from the net proceeds from operating inmate canteens, vending machines, inmate telephone commissions and similar sources. An appropriation, subject to the Legislature, is authorized on an annual basis; the appropriations can be approved for the benefit and welfare of inmates incarcerated in private correctional facilities. POLICY The contractor shall comply with all of the following requirements concerning fiscal operations of the commissary and inmate bank accounts, including, but not limited to, the proper maintenance of accounting records of financial information in accordance with all auditing requirements as specified within this policy and with the operations and management service contract (contract). PROCEDURE The contractor shall maintain operation of its books and records in accordance with GAAP. 1. Commissary Account 1.1. In order for inmates to have access to a commissary to purchase goods, the contractor will provide an inmate commissary and vending or a commissary for use by inmates visitors in the visiting park. The contractor will establish a commissary account for this purpose The contractor shall ensure proper accounting and internal control of the receipts and expenditures of the funds from the commissary account The contractor shall maintain commissary funds separate and apart from other funds and must abide by the FDC s and the department s rules, policies and procedures regarding the same As required by section , Florida Statutes, the net proceeds derived from operating inmate canteens, vending machines used primarily by inmates, receipts from telephone commissions, interest earned on the account and similar sources shall be sent to the FDC and deposited monthly in the POIIWTF. Page 3 of 7 DMS Policy No. Private Prison Monitoring

4 1.5. The funds generated from telephone, canteen and vending operations and deposited into the POIIWTF will be disbursed exclusively: For the contractor to purchase items for resale at the inmate canteens or vending machines maintained at the correctional facilities; For the benefit and welfare of inmates incarcerated in private correctional facilities and shall not include any program contemplated in the contract The cost incurred by the contractor for maintenance and internal or external audits of the commissary account are allowable expenses Monies collected from employee activities will not be processed through the commissary account All documentation relative to purchases of furnishings and equipment, to include replacements, will be maintained by the contractor for the term of the contract The contractor shall provide POIIWTF (commissary) Bank Fund statements to the department by the 15 th of each month for the previous month The contractor shall provide to the bureau an electronic monthly statement in spreadsheet format on Attachment A Monthly Statement of Commissary Revenues and Expenditures. This statement must do the following: Detail all revenue and expenditure categories with supporting documentation: Revenues and expenditures will be provided on Attachment A Reports are provided for all revenues Receipts are provided for all expenditures Receipts are provided for all deductions A copy of the deposit transmittal sent to FDC to be deposited in the POIIWTF; Include a memo confirming the accuracy and completeness of the revenue and expenditure receipts; Be filed no later than the 15 th day of the following month or the first business day thereafter; Include supporting documentation that is clear and legible Deposits or reports that are sent past the 15 th or ones that contain incorrect or illegible information will be considered not in compliance with this policy or with the contract The bureau will verify the monthly revenues and expenditures Supporting documentation of revenues and expenditures shall be clear and legible. Page 4 of 7 DMS Policy No. Private Prison Monitoring

5 Telephone commissions shall clearly show the commission and utilization rates that reflect the rates of the contractor s sub-contract agreement and shall be easily verifiable Verification should show that the deposit was received by FDC Deposits will be made by the contractor on a monthly basis for all revenue categories Deposits not including all revenue categories of telephone commissions, canteen commissions and vending commissions will be considered not in compliance with this policy or with the contract If contractors are unable to deposit the full amount due to the fund by the 15 th as result of extenuating circumstances, A memo detailing the circumstances and course of remedy by the vendor shall be submitted to the department electronically by the same due date as the deposit and monthly report; and The department reserves the right not to accept the memo and therefore hold the contractor not in compliance. 2. Inmate Bank Account 2.1. The contractor shall establish an inmate bank account to accept and administer money received for the personal use or benefit of inmates housed in private correctional facilities The contractor shall ensure proper accounting and internal controls of the deposit and withdrawal of the funds from the inmate bank account The contractor shall maintain inmate bank funds separate and apart from other funds and must abide by the FDC s and the department s rules, policies and procedures regarding the same The contractor shall provide monthly Inmate Bank Fund statements that show all activity to the department by the 15 th of the month for the previous month All backing paperwork must be clear and legible Reports that are sent past the 15 th or ones that contain incorrect or illegible information will be considered not in compliance with this policy or with the contract. 3. Reports 3.1. The contractor must compile on a fiscal year basis beginning July 1 and ending June 30 a report that documents the actual receipts and expenditures from this trust fund for the previous fiscal year, in accordance with GAAP. The report should be provided to the bureau Reports must clearly detail expenditure categories, programs and all expenses. Page 5 of 7 DMS Policy No. Private Prison Monitoring

6 Reports must clearly show all revenue categories as distinct and separate lines, including, but not limited to, telephone, vending and canteen commissions This report is due by July 31 each year for the previous year The contractor shall have an independent audit conducted on the annual financial statements (fiscal year) for the Inmate Bank Fund and POIIWTF (commissary), in accordance with GAAP. The financial statements shall include the statement of financial position, the statement of operations, the statement of retained earnings and the cash flow statement for the POIIWTF trust fund. The audited financial reports shall be submitted to the department by October Record Retention 4.1. The contractor will retain all records, financial records, supporting documents, statistical records and any other documents (including electronic storage media) pertaining to this contract for a period of five years The contractor shall maintain complete and accurate record-keeping and documentation as required by the bureau and the terms of the contract Copies of all records and documents shall be made available for the bureau All documentation must be clear and legible for audit purposes All documentation must be retained by the contractor at the facility for the duration of the contract. Any records not available at the time of an audit will be deemed unavailable for audit purposes. Violations will be noted and forwarded to the department s Inspector General for review The contractor must retain all documentation at the contractor s primary place of business for a period of five years following termination of the contract, or if an audit has been initiated and audit findings have not been resolved at the end of the five years, the records shall be retained until resolution of the audit findings The contractor shall cooperate with the bureau to facilitate the duplication and transfer of any said record or document during the required retention period The contractor shall advise the bureau of the location of all records pertaining to the contract and shall notify the bureau by certified mail within 10 days if/when the records are moved to a new location. 5. Public Records Access 5.1. The contractor agrees to maintain, in accordance with GAAP, books, records and documents (including electronic storage media), which should sufficiently and properly reflect all revenues, expenditures, deposits and withdrawals of Page 6 of 7 DMS Policy No. Private Prison Monitoring

7 funds provided by the bureau in conducting activities in accordance with the terms of the contract. RESPONSIBILITIES Individual or Group Responsibilities Contractor Maintain complete and accurate records. Keep all financial and operational records for a minimum of five years. Submit reports timely. Deposit funds in the POIIWTF. Conduct an independent annual audit and submit the audit to the bureau. On-site Contract Receive and review monthly reports. Monitor Budget Receive and review monthly reports. Operations & Track revenue and expenditures deposited in the POIIWTF. Management Consultant II Receive the annual independent audit. ASSOCIATED FORMS Attachment A Monthly Statement of Commissary Revenues & Expenditures Page 7 of 7 DMS Policy No. Private Prison Monitoring

8 Facility Name FY POIIWTF Monthly Statement of Commissary Revenues and Expenditures November 2016 Revenue Source Company Actual Month of Revenues Revenue Amount Telephone IC Solutions Commissary Keefe Vending Sunshine Vending MP3 Players Access Corrections Rebates Keefe Photos Fiscal YeartoDate Totals July 1 June 30 Other SecurePak Access SecurePak Less Than 1 Confiscated Currency Recycling Cosmetology JPay Less Expenditures Commissary Salaries Supplies Audits Bank Charges TOTAL DMS Policy No. Private Prison Monitoring Attachment A Monthly Statement of Commissary Revenues and Expenditures