Whistleblower Program Update Review of Activities and Initiatives - - PowerPoint PPT Presentation

Whistleblower Program Update

Review of Activities and Initiatives

Presentation to Citizens’ General Obligation Bond Oversight Committee November 15, 2016 City & County of San Francisco Office of the Controller

1

Whistleblower Program Authority

The authority for Whistleblower Program investigations is derived from statute and regulation:

– California Government Code, Section 53087.6 – San Francisco Charter, Appendix F – San Francisco Campaign and Governmental Conduct Code, Article IV

2

Matters Appropriate for Investigation

The Whistleblower Program shall investigate or

• therwise attempt to resolve complaints concerning:

– The misuse of city funds – Improper activities by city officers and employees. – Deficiencies in the quality and delivery of government services – Wasteful and inefficient government practices

3

Referral of Certain Complaints

The Whistleblower Program shall refer complaints that: – Another city department is required by federal, state, or local law to adjudicate – May be resolved through a grievance mechanism established by bargaining unit or contract – Involve violations of criminal law – Are subject to an existing investigation – Allege violations of governmental ethics laws

4

Whistleblower Program Importance and Benefits

• A fraud hotline is a critical internal control that is often

noted as an operating and credit rating strength when well implemented by a municipality

• The Whistleblower Program allows complaints to be

submitted anonymously and confidentially

• Whistleblower Program investigations:

– Stop improper conduct and prevent further violations – Reveal relevant facts so that management can make a fully informed decision on how best to proceed

5

Fiscal Year 2015-16 Complaint Activity

53

• Complaints Open at July 1, 2015

325

• Complaints Received in Fiscal Year 2015-16

309

• Complaints Closed in Fiscal Year 2015-16

69

• Complaints Open at July 1, 2016

6

Complaints Received By Quarter

7

79 73 80 77 103 63 51 73 72 72 79 68 75 77 89 95 101 50 100 150 200 250 300 350 FY12-13 FY13-14 FY14-15 FY15-16 FY16-17 Q4 Q3 Q2 Q1

Fiscal Year 2015-16 Disposition of 309 Closed Complaints

8

221 31 26 23 8 50 100 150 200 250 Investigated and closed Referred to department with Charter jurisdiction Closed without investigation; unable to investigate with the information given Merged with previous complaint under

• riginal tracking

number Outside of Whistleblower Program jurisdiction

Fiscal Year 2015-16 Investigated and Closed by Department

9

Fiscal Year 2015-16 Age of 309 Complaints Closed

10

113 121 51 13 6 5 20 40 60 80 100 120 140 30 Days or Less 31-90 Days 91-180 Days 181-270 Days 271-360 Days More Than 360 Days

Fiscal Year 2015-16 Complaint Dispositions

• Of the 221 complaints investigated and closed, 81

(37 percent) led to a corrective or preventive action

• Whistleblower Program investigations resulted in:

– The proposed termination of an employee who abused their supervisory authority, intimidated other employees, and engaged in a pervasive pattern of making discriminatory comments. – A ten-day suspension of an employee who participated in decisions involving family members. – The resignation of an employee who directed customers to use and make cash payments to a family member’s business.

11

Fiscal Year 2015-16 Age of 69 Complaints Open at July 1, 2016

12

40 18 9 1 1 30 Days or Less 31-90 Days 91-180 Days 181-270 Days 271-360 Days

Fiscal Year 2015-16 Initiatives

The Whistleblower Program published bulletins to make employees aware of the red flags associated with the costly occupational frauds of payroll schemes, inventory theft, and bid rigging:

13

Fiscal Year 2015-16 Initiatives

As part of the effort to publicize and promote itself to city employees and residents, the Whistleblower Program published an on-demand outreach video. The video is available on YouTube. The Whistleblower Program asked departments to incorporate the video in their new employee orientation programs.

14

Fiscal Year 2015-16 Initiatives

In fiscal year 2015-16 the Whistleblower Program hosted webinars featuring speakers from the: – City of San Diego (Marketing Your Fraud Hotline) – City of Austin (How Audits Become Investigations) – County of Los Angeles (Bid Rigging in the Government Sector) – U.S. Government Accountability Office (Using GAO’s Fraud Risk Management Framework)

15