Springfield audit office outlines FY26 plan, committee asks for earlier council input

The Office of Internal Audit presented its fiscal year 2026 annual audit plan to the Springfield City Audit Committee on May 22, laying out staffing, time allocations and a risk-based approach to selecting audits for the year.

The audit plan presentation was led by Director Young Ngo of the Office of Internal Audit. "I have 2 reports that I'd like to present to the audit committee. 1 being the annual audit plan for fiscal year 26, and the other a performance audit at the parks department," Ngo said as he opened the discussion on the FY26 plan.

The audit plan describes an office of three employees—Ngo, Cecilia Goulet and Erica Wallace—and allocates staff time roughly as 50% to performance audits and audit activities, 30% to training and administration, and 20% to administering the fraud hotline. Ngo told the committee the office uses a risk assessment model that weights factors such as financial exposure (25% weight in the model) and public impact (7% weight) to prioritize auditable entities.

Why it matters: the audit plan guides which city operations receive formal, independent review and creates opportunities to identify financial or operational weaknesses. Committee members pressed for more engagement with councilors before the plan is finalized so elected officials can suggest items for the office to consider.

Key planned audits and follow-ups described by Ngo include student activities audits (on a three‑year rotation required by the state education agency), quarterly investment compliance reviews, a cybersecurity review at Springfield Public Libraries, a carryover street maintenance performance audit, a street light repair and maintenance audit, a procurement review at the Springfield Empowerment Zone (a school partner), a review of protocols for handling seized cash and a planned review of Springfield Police Department investigative funds and the police evidence/property room. Ngo also said the office has 400 hours reserved for special requests from city management, council or the public.

Committee members asked about timing. Ngo said street maintenance work will start in summer to capture seasonal activity, street lights work was expected in December, the Empowerment Zone procurement review in late summer before school starts, and the police evidence room review in late fall or early winter. He said the follow-up review of the school transportation contract is scheduled for early summer and was a priority.

Councilors sought greater council input on audit selection and earlier notice when specific items requested by councilors are added to the draft plan. Councilor Tim Allen suggested a pre-presentation meeting so councilors could discuss items and offer suggestions before the plan reaches full council. Ngo acknowledged the suggestion and said he would reach out to committee members and the council earlier in the process; he also reminded the committee that the annual audit plan must be approved by city council and that council can amend it by vote.

Details and clarifications captured during the meeting: - The audit office reported approximately 5,270 staff-hours for the department (three employees) in a year, with portions allocated to audits, administration/training and fraud hotline work. - The office follows international auditing standards and uses a formal risk assessment model to score potential auditees. - The student activities audit is on a three-year cycle, with the external auditors covering a different year in the cycle.

No formal committee vote to approve the plan was recorded at the meeting; Ngo will present the plan to full city council for approval and the committee asked for more pre-presentation consultation.

Looking ahead: Ngo said he will solicit input from the audit committee and city council before finalizing the plan for council approval and will report back on prioritized follow-up items such as the school transportation contract once those reviews are completed.