MUNICIPAL POLICE EMPLOYEES' JUNE 30. 2015 · Clifford J. Giflin, Jr., CPA AJ. Dtiplantier, ......

MUNICIPAL POLICE EMPLOYEES' RETIREMENT SYSTEM

AGREED UPON PROCEDURES JUNE 30. 2015

MUNICIPAL POLICE EMPLOYEES' RETIREMENT SYSTEM

AGREED UPON PROCEDURES

INDEX

PAGE

CITY OE MANDEVILLE -Agreed Upon Procedures Report 1 - 3

CITY OE SEIDELL-Agreed Upon Procedures Report 4-6

CITY OE BATON ROUGE -Agreed Upon Procedures Report 7-9

CITY OE NEW ORLEANS -Agreed Upon Procedures Report 10 - 14

DHHM certified public

accountants

Williaiu G. Stainm, CPA

Lindsay .!. Caliib, CPA, LLC

Giiy L. Duplantier, CPA

Michelle H. Ciiniiingiiam, CPA

Dennis W. Dillon, CPA

Grady C. Lloyd, 111 CPA

Heatlier M. Jovanovicli, CPA

Terri L. Kitto, CPA

Michael J. O'Roiirke, CPA

David A. Biirgard, CPA

Clifford J. Giflin, Jr., CPA

AJ. Dtiplantier, Jr., CPA (1919-1985)

Felix !• Hrapinaun, Jr., CPA (1919-1990)

William R. llogaii, Jr., CPA (1920-1996)

James Maher, Jr., CPA (1921-1999)

New Orleans 1615 Poydras Street, Suite 2100 New Orleans, LA 70112 Phono: (504) 586-8866 Fax; (S04) 525-5888

Northshore 1290 Seventh Street Slideli, LA 70458 Phono: (985) 641-1272 Fax: (985) 781-6497

Honnia 247 Corporate Drive Hoiiina, LA 70360 Piioiie: (985) 868-2630 Fax: (985) 872-3833

Napoleonville S047 Highway 1 P.O. Box 830 Napoleonville, LA 70390 Phone: (985) 369-6003 Fax: (985) 369-9941

Duplantier Hrapmann Hogan & Maher, LLP

INDEPENDENT ACCOUNTANT'S REPORT ON APPLYING AGREED UPON PROCEDURES

CITY OF MANDEVILLE

December 15,2015

Board of Trustees Municipal Police Employees' Retirement System of Louisiana 7722 Office Park Blvd., Suite 200 Baton Rouge, LA 70809-7601

We have performed the procedures enumerated below which were agreed to by Municipal Police Employees' Retirement System of Louisiana (the System), solely to assist you in evaluating the completeness and accuracy of the census data records of the City of Mandeville for the year ended June 30, 2015. The Municipal Police Employees' Retirement System of Louisiana's management is responsible for the completeness and accuracy of the census data. This agreed-upon procedures engagement was conducted in accordance with the attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of those parties specified in the report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested or for any purpose.

Our procedures and findings are as follows:

1) We reviewed the applicable revised statutes to obtain an understanding of the contribution rates for employees and employer, eligible compensation on which contributions are based, and the eligibility criteria for membership in the System.

We applied the procedure above, documenting the laws surrounding membership eligibility, eligible compensation, employer contribution rates and employee contribution rates.

www.diiliiiicpa.com

Members American Institute of

Certilled Public Accomitants Society of LA CPAs

Board of Trustees Municipal Police Employees'

Retirement System of Louisiana December 15, 2015

2) We obtained an understanding of the processes and controls used by the System to support the completeness and accuracy of the census data that is provided to the actuary. We also obtained an understanding of the processes and controls over the significant elements of census data at the City of Mandeville and determined the extent of testing required.

We applied the procedures above, documenting the processes and controls surrounding the census data process of the System and the City of Mandeville.

3) We obtained the latest available monthly employer payroll journal and agreed total contribution wages and total employer contributions to the general ledger.

No findings were noted as a result of applying the procedure above.

4) We obtained the latest available monthly employer payroll journal and agreed contribution wages, employee contributions, and employer contributions to the System's records.


5) We scanned the latest available monthly employer payroll journal for employees who appeared eligible and were not enrolled in the System to ensure that employees were properly not enrolled in the Municipal Police Employees' Retirement System.

No findings were noted as a result of applying the procedure above

6) We performed the following procedures on the City of Mandeville payroll and personnel records for a representative sample of employees:

a. determined the employee was eligible for participation in the retirement system; b. traced the employee's gross salary from the payroll journal to the general ledger; c. traced hours worked per the payroll journal to a time card or time sheet; d. traced pay rate per the payroll journal to authorized pay rate in the personnel file; e. recomputed wages based on hours worked and authorized pay rate; f. recomputed employee and employer contributions based on eligible wages; and g. traced employee eligible wages, employee contributions and employer contributions

to the remittance report submitted to the System.

No findings were noted as a result of applying the procedures above.

7) We obtained the relevant participant data from the sample of eligible employees' personnel files chosen in step 6 and agreed to the System's records and data provided to the actuary. Participant data tested consisted of birth date, gender and hire date.


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We were not engaged to, and did not conduct an audit, the objective of which would be the expression of an opinion on the participant data. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.

This information is intended solely for the information and use of Municipal Police Employees' Retirement System of Louisiana and is not intended to be and should not be used by anyone other than those specified parties.

Duplantier, Hrapmann, Hogan & Maker, LLP

New Orleans. Louisiana

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accountants

Heather M. Jovaiiovich, CPA

Terri 1-. KiUo, CPA

Michael J. O Roiirke, CPA

David A. Btirgard, CPA

Clifford J. Giffin, .Ir., CPA

A.|. Diipiaiitier, Jr., CPA (1919-1985)

Felix 1. Ilrapitianii. Jr., CPA (1919-1990)

William R. Megan, Jr., CPA (1920-1996)

James Maher, Jr.. CPA (1921-1999)

New Orleans 161.5 Poydras Street, Suite 2100 New Orleans, LA 70l 12 Phone; (504) 586-8866 Fax; (504) .525-5888

Northshore 1290 Seventh Street Slideli, LA 70458 Phone: (985) 641-1272 Fax; (985) 781-6497

Iloiima 247 Corporate Drive lloiima, LA 7036O Phone; (985) 868-2630 Fax: (985) 872-3833

Naiioieotiville 5047 Highway 1 P.O. Box 830 Napoleoiiville, LA 70390 Phone: (985) 369-6003 Fax; (985) 369-9941


William G. Stainin, CPA

Lindsay J. Cahib, CPA, LLC

Guy L. Duplantier, CPA

Michelle H. Cunningham, CPA


Grady C. Lloyd, III CPA


CITY OF SEIDELL

December 15,2015

Board of Trustees Municipal Police Employees' Retirement System of Louisiana 7722 Offiee Park Blvd., Suite 200 Baton Rouge, LA 70809-7601

We have performed the procedures enumerated below which were agreed to by Municipal Police Employees' Retirement System of Louisiana (the System), solely to assist you in evaluating the completeness and accuracy of the census data records of the City of Slideli for the year ended June 30, 2015. The Municipal Police Employees' Retirement System of Louisiana's management is responsible for the completeness and accuracy of the census data. This agreed-upon procedures engagement was conducted in accordance with the attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of those parties specified in the report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested or for any purpose.




w^vw.dlihiiicpa.coiii

Members American Institnte of

Certified Public Accoiiiitauts Society of LA CPAs



2) We obtained an understanding of the processes and controls used by the System to support the completeness and accuracy of the census data that is provided to the actuary. We also obtained an understanding of the processes and controls over the significant elements of census data at the City of Slidell and determined the extent of testing required.

We applied the procedures above, documenting the processes and controls surrounding the census data process of the System and the City of Slidell.

3) We obtained the latest available monthly employer payroll journal and agreed total contribution wages and total employer contributions to the general ledger.






6) We performed the following procedures on the City of Slidell payroll and personnel records for a representative sample of employees:

a. determined the employee was eligible for participation in the retirement system; b. traced the employee's gross salary from the payroll journal to the general ledger; c. traced hours worked per the payroll journal to a time card or time sheet; d. traced pay rate per the payroll journal to authorized pay rate in the personnel file; e. recomputed wages based on hours worked and authorized pay rate; f. recomputed employee and employer contributions based on eligible wages; and g. traced employee eligible wages, employee contributions and employer contributions to

the remittance report submitted to the System.


7) We obtained the relevant participant data from a sample of eligible employees' personnel files and agreed to the System's records and data provided to the actuary, which consisted of birth date, gender and hire date.

As a result of the testing performed, four employees have service credit that needs to be adjusted for leave without pay. The excess service credit received for each employee ranges

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between 1 to 2 days. One employee was also found to have the wrong hire date listed by the actuary, the System will have the actuary correct this date.





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accountants

William G. Stamm, CPA

Lindsay J. Cahib, CPA, LLC

Guy L. Diiplaiitier, CPA

Miciielle IL Cunningham, CPA


Grady C. Lloyd, HI CPA

Heatlier M. Jovanovich, CPA

Terri L. Kitto, CPA

Michael J. O'Roiirke, CPA

David A- Biirgard, CPA

Clifford j. Gifnn,Jr., CPA

A.L Diipiantier, Jr., CPA (1919-1985)

Felix |. Hrapniaiin, Jr., CPA (1919-1990)

William R. Hogan, Jr., CPA (1920-1996)


New Orleans 1615 Poydras Street, Suite 2100 New Orleans, LA 70112 Phone: (504) 586-8866 Fax; (504) 525-5888

Northshore 1290 Seventh Street Slidell, LA 70458 Plioiie: (985) 641-1272 Fax: (985) 781-6497

llounia 247 Corporate Drive Hoimia, LA 70360 Phone: (985) 868-2630 Fax: (985) 872-3833

Napoleonville 5047 Highway 1 P.O. Box 830 Napoleonville, LA 70390 Phone; (985) 369-6003 Fax: (985) 369-9941



CITY OF BATON ROUGE

December 15,2015

Board of Trustees Municipal Police Employees' Retirement System of Louisiana 7722 Office Park Blvd., Suite 200 Baton Rouge, LA 70809-7601

We have performed the procedures enumerated below which were agreed to by Municipal Police Employees' Retirement System of Louisiana (the System), solely to assist you in evaluating the completeness and accuracy of the census data records of the City of Baton Rouge for the year ended June 30, 2015. The Municipal Police Employees' Retirement System of Louisiana's management is responsible for the completeness and accuracy of the census data. This agreed-upon procedures engagement was conducted in accordance with the attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of those parties specified in the report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested or for any purpose.




www.dliluncpa.coiu


Certined Public Accountants Society of I,A CPAs



2) We obtained an understanding of the processes and controls used by the System to support the completeness and accuracy of the census data that is provided to the actuary. We also obtained an understanding of the processes and controls over the significant elements of census data at the City of Baton Rouge and determined the extent of testing required.

We applied the procedures above, documenting the processes and controls surrounding the census data process of the System and the City of Baton Rouge.


No findings were noted as a result of applying the procedure above



5) We performed the following procedures on the City of Baton Rouge payroll and personnel records for a representative sample of employees:

a. determined the employee was eligible for participation in the retirement system; b. traced the employee's gross salary from the payroll journal to the general ledger; c. traced hours worked per the payroll journal to a time card or time sheet; d. traced pay rate per the payroll journal to authorized pay rate in the personnel file; e. recomputed wages based on hours worked and authorized pay rate; f. recomputed employee and employer contributions based on eligible wages; and g. traced employee eligible wages, employee contributions and employer contributions to


As a result of our testing performed, it was noted that six employees of the City of Baton Rouge hired subsequent to the merger were reporting overtime wages in addition to contributing on overtime wages. This resulted in an overstatement of wages reported in addition to an over payment of employee and employer contributions.

6) We obtained the relevant participant data from a sample of eligible employees' personnel files and agreed to the System's records and data provided to the actuary, which consisted of birth date, gender and hire date.

It was noted that the hire dates of three employees did not agree to either the System or the actuary records.


accountants

William G. Staumi, CPA

Lindsay ). Caliib, CPA, LLC

Guy L. Diiplaiitirr, CPA

Michelle H. Ciimiingham, CPA


Grady C. Lloyd, III CPA

Headier M. Jovanovich, CPA

Terri L. Kitto, CPA

Michael J. O'Ronrke, CPA

David A. Biirgard, CPA

Clifford J. Giffiii,Jr., CPA

A.|. Diiplantler, Jr., CPA (l'919-1985)

Felix I. Hrapuiaiin, Jr., CPA (1919-1990)

William R. Began, Jr., CPA (1920-1996)


New Orleans 1615 Poydras Street, Suite 2100 New Orleans, L.\ 70112 Phone: (504) 586-8866 Fax: (504) 525-5888

Northshore 1290 Seventh Street Slidell, LA 70458 Phone: (985) 641-1272 Fax: (985) 781-6497

lloiima 247 Corporate Drive Homna, LA 70360 Phone: (985) 868-2630 Fax: (985) 872-3833

Napoleonville

5047 Highway 1 P.O. Box 830 Napoleonville, LA 70390 Phone: (985) 369-6003 Fax: (985) 369-9941



CITY OF NEW ORLEANS

December 15,2015

Board of Trustees Mimieipal Police Employees' Retirement System of Louisiana 7722 Office Park Blvd., Suite 200 Baton Rouge, LA 70809-7601

We have performed the procedures enumerated below which were agreed to by Municipal Police Employees' Retirement System (the System), solely to assist you in evaluating the completeness and accuracy of the census data records of the City of New Orleans for the year ended June 30, 2015. The Municipal Police Employees' Retirement System of Louisiana's management is responsible for the completeness and accuracy of the census data. This agreed-upon procedures engagement was conducted in accordance with the attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of those parties specified in the report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested or for any purpose.


1) We reviewed applicable revised statutes to obtain an understanding of the contribution rates for employees and the employer, the eligible compensation on which contributions are based, and the eligibility criteria for membership in the System.

We applied the procedures above, documenting the laws surrounding membership eligibility, eligible compensation, employer contribution rates and employee contribution rates.

www.dlilmicpa.coui


Certified Public Accoimtauts Society of LA CPAs


Retirement System December 15, 2015

2) We obtained an understanding of the processes and controls used by the System to support the completeness and accuracy of the census data that is provided to the actuary. We also obtained an understanding of the processes and controls over the significant elements of census data at the City of New Orleans and determined the extent of testing required.

We applied the procedures above, documenting the processes and controls surrounding the census data process of the System and the City of New Orleans.

3) We obtained the latest available monthly employer payroll journal and agreed total contribution wages and total employer contributions to the amounts recorded by the City of New Orleans.






6) We performed the following procedures on the City of New Orleans payroll and personnel records for a representative sample of employees (sixty):

a. determined the employee was eligible for participation in the retirement system; b. traced the employee's gross salary from the payroll journal to the general ledger; c. traced hours worked per the payroll journal to a time card or time sheet; d. traced pay rate per the payroll journal to authorized pay rate in the personnel file; e. recomputed wages based on hours worked and authorized pay rate; f. recomputed employee and employer contributions based on eligible wages; g. traced employee eligible wages, employee contributions and employer contributions to


We noted the following findings when performing the above procedures:

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A. From a sample of 240 timecards tested the following items were noted:

a. One weekly timecard for one employee reported hours worked or type of pay that did not agree with the hours worked or type of pay reported on the gross wages report. All information noted on the timecard should agree with the gross wages report.

B. From a sample of 60 employee tested, thirty three employees did not have support for their date of birth. Employee files should contain documentation to support their date of birth that is reported to the System.

C. From the sample of 60 employees selected for testing for the month of May 2015 we noted the following:

a. For one employee the City did not report and remit employee or employer contributions for the first pay period of May 2015 even though he had eligible contribution wages. Employee and employer contributions should be paid for all eligible wages.

b. For one employee the City did not report and submit the correct amount of contribution wages, employee contributions or employer contributions to the System based on eligible wages reported on the payroll register. The City should report the correct amount of wages and submit the proper amount of employee and employer contributions based on eligible wages.

c. For one employee the City over reported state supplemental pay to the System. The maximum amount of state supplemental pay allowed per month is $500; however, the City report S633 of supplemental pay with contribution wages. The City should ensure that only the maximum allowable monthly amount of state supplemental pay is included with contribution earnings.

d. One employee received workmen's compensation pay and leave without pay during the month of May 2015 and received credit for a full month of state supplemental pay. In addition, the employee's contribution earnings included workmen's compensation pay, when it should only be used to calculate member service time. The City should pro-rate state supplemental pay when calculating contribution wages and should not include workmen's compensation pay when calculating contribution wages.

e. Two employees received leave without pay during the month of May 2015 and received credit for a full month of state supplemental pay. The City reported the employees' salary with the full month of state supplemental pay instead of prorating state supplemental pay when calculating contribution wages.

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f. One employee had workmen's compensation pay during the month of May 2015 and received credit for a full month of state supplemental pay. In addition, the employee's contribution earnings included workmen's compensation pay, when it should only be used to calculate member service time. The City should prorate state supplemental pay when calculating contribution wages and should not include workmen's compensation pay when calculating contribution wages.

g. One employee had workmen's compensation pay during the month of May 2015 and received credit for a full month of state supplemental pay. The employee's contribution earnings also included workmen's compensation pay, when it should only be used to calculate member service time. In addition, this employee had credit for injured while on duty pay on the payroll register, but the hours could not be located on his timesheet. The City should pro-rate state supplemental pay when calculating contribution wages and should not include workmen's compensation pay when calculating contribution wages. The City should also ensure that information on time cards agree to information on the payroll register.

h. One employee had contribution wages on the May 2015 contribution report that could not be reconciled to wages from the two payroll registers in the applicable period. The City should ensure that the correct amount of contribution wages, employee contributions and employer contributions are included on the monthly contribution report submitted to the System.

Over/(Under) Reporting Finding Conttibution Employee Employer Number Waaes Contributions Conttibutions

a $ (1,807.86) $ (180.79) $ (569.49) b (96.38) (9.64) (30.34) c 133.00 13.30 41.85 d 2,420.69 242.07 762.54 e 218.84 21.89 68.86 f 2,549.13 254.91 802.94 g 2,756.57 275.66 868.27 h 604.26 60.43 190.34

S 6 778 25 S 677 83 S 2. 134 97

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7) We obtained the relevant participant data from the sample of eligible employees' personnel files chosen in step 6 and agreed to the System's records and data provided to the actuary, which consisted of birth date, gender and hire date. The following findings were noted:

It was noted that the hire dates of ten employees did not agree to the actuary or System's records.





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MUNICIPAL POLICE EMPLOYEES' JUNE 30. 2015 · Clifford J. Giflin, Jr., CPA AJ. Dtiplantier, ......

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