|
1
|
- Central Oversight of Disbursed Locations
- October 9, 2002
- Christine M. Searle, CIA, CFP
- Audit Senior, American Red Cross Audit Services
|
|
2
|
- Chartered by national headquarters.
- Led by volunteers.
- Stand alone business providing Red Cross services.
- Separate employer status due to varying state regulations and laws.
- Accountable locally and to the national organization.
|
|
3
|
- Effective September 14, 2002 there are 987 chapters in the Red Cross
system.
- Largest chapter had $38 million in expenses in fiscal year 2001. Smallest was less than $10K in
expenses.
- 175 chapters (18%) represent 80% of overall chapter expenses.
|
|
4
|
- Periodic charter review and renewal.
- Annual financial and service delivery reporting.
- Annual external audit or independent review, depending on chapter size.
- Internal audit of 100 to 140 chapters annually, based on risk
assessment.
|
|
5
|
- Little guidance for the four oversight offices to monitor compliance.
- Inconsistent follow-up on reported data, resulting in a lack of
consistent remedial action.
- Few useful benchmarking tools.
- Performance data not used proactively to mitigate business risk.
|
|
6
|
- Centralize compliance function for more consistent remedial assistance
and enforcement.
- Enhance coordination between data gathering and analysis.
- Include community market data in chapter performance analysis to
facilitate benchmarking.
|
|
7
|
- Restructure service delivery units to enhance economies of scale.
- Expand training programs and written guidance.
- Focus on chapter’s potential in relation to available community
resources.
|
|
8
|
|
Notes
