HomeMy WebLinkAboutAudit Reports - Public - Fire Asset Management Performance Audit - 12/13/2023City of Glendale, Arizona
Fire Asset Management Performance Audit
Presented to the Audit Committee December 13, 2023
Table of Contents
Page
Executive Summary ...................................................................................................... 1
Acknowledgements .................................................................................................................... 1
Overview and Introduction ........................................................................................... 2
Objectives, Scope and Methodology .......................................................................................... 2
Professional Standards Applied to the Performance Audit ......................................................... 2
Are physical assets safeguarded, maintained, and properly accounted for?.................. 3
Methodology ............................................................................................................................. 3
Summary of Observations .......................................................................................................... 3
Conclusions, Findings and Recommendations ............................................................................ 8
Does the Department have an effective replacement plan for physical assets and is it
implemented? .......................................................................................................... 15
Methodology ........................................................................................................................... 15
Summary of Observations ........................................................................................................ 16
Conclusions, Findings and Recommendations .......................................................................... 24
City of Glendale, Arizona
Fire Asset Management Performance Audit
Executive Summary
We provide this Executive Summary of the results of the performance audit for your consideration. The
performance audit was more limited in scope than would be necessary to express an opinion or provide
any other assurance on internal controls of the City. The focus of the performance audit was on Fire
Asset Management. A significant part of the audit included reviewing the Fire Department’s
(Department) use of its asset management system, PSTrax, which was recently implemented in 2021.
The purpose of the PSTrax system is to assist the Department to track equipment and apparatus and
document periodic inspections more efficiently.
Below is a summary of the performance audit objectives, conclusions, and related findings. Additional
detail including our recommendations and management’s responses are presented in the following
sections of the report.
Objective: Are physical assets safeguarded, maintained, and properly accounted for?
Conclusion: Fire assets are safeguarded, maintained, and properly accounted for. We identified
opportunities to improve the tracking and inspections of fire assets within the PSTrax system.
Additionally, we identified opportunities to improve controls over capital assets and access controls to
the PSTrax system.
Objective: Does the Department have an effective replacement plan for physical assets and is it
implemented?
Conclusion: The Department has in place an effective replacement plan for fire assets, and it has been
sufficiently implemented.
Acknowledgements
We would like to thank the City’s Internal Audit Program Manager, Fire Department, Finance and Budget,
and Fleet Management staff for their assistance in completing the Fire Asset Management Performance
Audit.
Page 1
City of Glendale, Arizona
Fire Asset Management Performance Audit
Overview and Introduction
Objectives, Scope and Methodology
On April 26, 2022 the City Council approved the fiscal year 2023 audit plan, which included the Fire Asset
Management Performance Audit. The objective of the performance audit was to review the processes
and controls in place over tracking and managing fire assets including acquisition, utilization,
maintenance, and replacement. In July 2022, the City contracted with Heinfeld Meech to perform the
Fire Asset Management Performance Audit.
The Heinfeld Meech team met with the City’s Internal Audit Program Manager on July 27, 2022 to further
gain an understanding of the audit objectives and the impetus for the performance audit. On March 30,
2023 the audit team met with the Internal Audit Program Manager along with representatives from the
Fire Department to gain an understanding of fire asset management and solidify the performance audit
objectives. The performance audit objectives were approved by the Fire Department and the Internal
Audit Program Manager at the end of April 2023. The objective of the performance audit was to answer
the following two questions about fire asset management:
1.Are physical assets safeguarded, maintained, and properly accounted for?
2.Does the Department have an effective replacement plan for physical assets and is it
implemented?
Each task is reported in separate sections within the report with detailed discussions of the performance
audit objectives, scope, methodology, observations, conclusions, findings, and recommendations.
Professional Standards Applied to the Performance Audit
We conducted this performance audit in accordance with generally accepted government auditing
standards. Those standards require that we plan and perform the audit to obtain sufficient, appropriate
evidence to provide a reasonable basis for our findings and conclusions based on our audit objectives.
We believe that the evidence obtained provides a reasonable basis for our findings and conclusions
based on our audit objectives.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Are physical assets safeguarded, maintained, and properly
accounted for?
Methodology
We performed the following to determine whether physical assets were safeguarded, maintained, and
properly accounted for.
•Conducted interviews with staff to develop an understanding of asset management.
•Reviewed asset management policies and procedural documentation. Additionally, assessed
training of staff on policies and procedures. The following areas were reviewed in detail:
•Segregation of duties over asset management
•Receiving and inspecting assets when delivered
•Tagging and tracking assets
•Safeguarding assets from theft, misuse, and adequately insuring against loss
•Asset maintenance
•Inventory and reconciliation
•Assets acquired with federal monies for compliance with Uniform Guidance (UG)
•Reviewed workflow in PSTrax and other documentation available to substantiate policies and
procedures are implemented.
•Sampled transactions to ensure policies and procedures were implemented, including physically
inspecting assets on the City’s asset listings, and sampling assets on the premises and reconciling
those to asset listings. We sampled a total of 39 assets from four different fire stations.
Summary of Observations
Department Policies and Training of Staff
A.Policies
Formal Fire Department policies are established through issuing a General Order (GO). When General
Orders are created or revised it goes through an approval process including final approval by the Fire
Chief. The General Orders are then posted to the Fire web page and emailed to staff. The Department
provided several General Orders to the audit team relevant to this audit including Protective Clothing
GO #102.02, Lost Stolen or Damaged City Property GO #102.11, Storm Trucks GO #105.01,
SCBA/Facepiece Inspection/Cleaning GO # 105.04, Apparatus Weekly Inventory and Reference Book GO
#105.08, and Fire Station Facilities GO #109.02. In addition to the Fire Department’s General Orders, we
reviewed Finance and Administrative Policies over Fixed Assets and Grant Application and
Administration.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
It should be noted that during the audit, the Fire Department was in the midst of overhauling its policies
and procedures. The City entered into a contract with Lexipol to assist with the policy development.
Lexipol offers best practices and policies for fire and police departments. During the course of the audit
we ensured the City’s formal policies were implemented. Any deviations from those policies are noted
in our findings.
B.Training
Training on policies and procedures is performed in person and through the Target Solutions software.
The Target Solutions software tracks trainings scheduled and completed. We reviewed a sample of
required trainings pertaining to asset use and maintenance and reviewed a listing of employees and the
classes taken, and hours logged for calendar year 2022 and the first quarter of 2023.
Segregation of Duties
We reviewed whether duties over asset management were appropriately segregated to ensure
misappropriation of fire assets are prevented or detected in a timely manner. Generally, organizations
should segregate duties and responsibilities over custody, authorization, and record keeping. During our
review of asset procurements, receiving, custody, inventory, and disposal we noted duties were
appropriately segregated or compensating controls were in place to detect asset misappropriation.
Asset Receiving, Inspecting, Tagging, Placing into Service
Apparatus and vehicles are delivered to Fleet and equipment is delivered to the warehouse. If an asset
meets the capitalization requirements, Budget and Finance is notified and then sends asset tags to the
Fire Department. Typically, tags are not sent to the Department until well after the asset is placed in
service. When assets are received, Resource Management compares the assets received to the packing
list and what was ordered. Assets are inspected for defects upon receipt, and where applicable, vendor
reports of asset tests are reviewed.
Fleet assigns apparatus and vehicles numbers, and maintains an apparatus and vehicle listing. Apparatus
is also tracked in Munis for financial reporting purposes. Furthermore, apparatus is tracked in PSTrax.
The PSTrax system is used to track the station assignment, unit number, and whether the apparatus is
in service and active. The vehicles tracked in PSTrax are only those that are mission critical such as front‐
line and reserve fire trucks.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
The City tracks self‐contained breathing apparatus (SCBA), which includes cylinders, masks, packs, and
RIT packs in PSTrax. The City also tracks personal protective equipment (PPE), which includes jacket,
boots, pants, gloves, and hood; and other critical assets such as blowers, chainsaws, heart monitors,
narcotics refrigerators, mobile radios, portable radios, thermal imaging cameras, and iPads in PSTrax. A
PSTrax identification number is given to each asset. The City is maintaining the following data in PSTrax:
serial number, asset identification, description, status, and assignment. The assignment field is attached
to an employee, or asset such as a truck/station, or identified as unassigned. The assignment of
equipment is handled by the Resource Management Division.
Safeguarding Assets
A.Physical Safeguards
During walkthroughs of the City’s fire stations we noted they were secured with locked gates and doors.
When employees start with the City they are issued a key card to access their assigned areas. The City is
in the process of having cameras installed throughout the stations. When employees separate from the
City the employee’s key card and City property are collected.
B.Insurance Coverage
The City has adequate insurance coverage provided by Alliant Property Insurance Program (APIP). The
property policy provides coverage for damage to city assets up to $800 million with varying sub‐limits. A
separate general liability policy protects the operations at Glendale Regional Public Safety Training
Center (GRPSTC). This facility partners with four public entities including City of Surprise, City of Peoria,
City of Avondale, and Maricopa County Community College District. The partners use and share the costs
of the facility based upon their agreements with the City. In May of each year the City seeks approval
from the Risk Management Trust Fund Board for property and liability insurance levels.
C. Asset Losses
The Department requires a “Lost or Damaged Equipment Report” or a “Lost or Stolen City Owned
Property Report” to be completed and attached to property loss claims filed in the Risk Management
claims system. We reviewed the Property Loss Run Report provided by Risk Management, noting 20
claims were filed between FY21‐FY23. Additionally, we noted that damaged equipment was logged in
the PSTrax system and appropriately addressed by Resource Management.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Asset Maintenance
The Department uses PSTrax to document inspections and maintenance of equipment and apparatus.
The frequency of the inspections and the detailed checklists are based on National Fire Protection
Association (NFPA) standards. The checklists were reviewed in PSTrax and appear to be comprehensive.
When personnel identify issues with equipment such as damage, it is logged in the system. PSTrax
automatically generates a notification to Resource Management to address the reported damage or
equipment problem.
A. Apparatus and Vehicles
Fleet maintains fire apparatus and vehicles. Fire has two civilian employees who coordinate repairs with
fleet. At the end of each month Fire is sent a listing of maintenance performed and the applicable
charges. The maintenance and billings are reviewed by Resource Management for propriety.
The Department has also setup daily and weekly checks of apparatus in PSTrax. The system is not setup
to automatically alert management of daily or weekly checks that are completed or not completed
timely. Alternatively, the Department does not have a routine to run reports of maintenance/inspection
reports to identify late checks.
B. Facilities
Fire stations are maintained by Facilities. Routine preventative maintenance is performed by Facilities
staff and documented in Facilities’ CentralSquare system. Corrective maintenance is often logged in
PSTrax and then administrative staff takes the corrective maintenance request and enters it into
CentralSquare for facilities to address. It was noted that pictures of building deficiencies were sometimes
captured in PSTrax, which is helpful to Facilities in appropriately responding to work orders. The status
of work orders were also reflected in PSTrax, with references to work order numbers.
C. Equipment
The Department checks cylinder PSI as part of daily apparatus checks and has a separate weekly SCBA
checklist for the SCBA stored on the trucks. Every year the SCBA pack is submitted for its annual
inspection and is tested. The cylinders are hydrostatic tested every five years. All test results are entered
into PSTrax as logged events. Finally, PPE cleanings and inspections and the calibration of heart monitors
are logged in PSTrax. As part of out testwork we sampled 20 PPE inspections, and reviewed the testing
records for SCBA and heart monitors in PSTrax.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Asset Inventory
A physical inventory of capital assets is performed every year by the departments. Federal equipment is
inventoried on an annual basis as part of the annual inventory of Fixed Assets. Finance sends to the
departments the prior year audited listing, along with instructions, an asset form, disposal form, and
transfer form to assist in conducting the inventory. These are typically sent in February and requested
back in April. It’s expected that departments fill out an asset form, disposal form, and transfer form for
every applicable asset and return all forms and the completed inventory to Finance which reviews and
updates the capital asset listing. Additionally, Finance performs a physical inventory on a sample of
assets every year. We reviewed the annual inventory email sent to Fire along with the completed
inventory returned to Finance during fiscal year 2023. We also reconciled PSTrax and fleet apparatus
records to Munis fixed asset records to ensure consistency. Finally, the accuracy of the asset records was
tested during a sampling of 39 assets from four fire stations.
The Fire Department also inventories items not on the capital assets listing including SCBA and PPE.
These are inventoried periodically as part of inspections and annual cleanings. Apparatus and equipment
on the apparatus are inventoried as part of daily and weekly checks. This was observed for Engine 154,
157, and 159. Additionally, we reviewed SCBA and PPE inspection and maintenance records in PSTrax.
There were several instances of required checks not being completed or not completed timely. When
assets are moved from one station or truck to another, the asset record is updated in PSTrax.
Assets Acquired with Federal Monies
When a capital purchase is made a Glendale Fire Department Checklist if completed. The checklist notes
the funding source and requires grant manager approval. The approval asserts the grant guidance has
been reviewed, purchase approved, and City policies followed. Assets are identified as federal in PSTrax
and Munis. The City inventories and maintains the assets in accordance with Uniform Guidance. We
corroborated our understanding of assets acquired with federal monies through review of PSTrax and
Munis asset listings. Additionally, we sampled two procurements: thermal imaging cameras and a vehicle
purchased with federal grants.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Conclusions, Findings and Recommendations
Fire assets are safeguarded, maintained, and properly accounted for. We identified opportunities to
improve the tracking and inspections of fire assets within the PSTrax system. Additionally, we
identified opportunities to improve controls over capital assets and access controls to the PSTrax
system. See recommendations below.
Findings and Recommendations:
Finding #1:
During our review of asset records in PSTrax we noted some critical fire assets are not being
tracked. Additionally, we noted some asset record fields in PSTrax were incomplete. See below
for additional details.
Hoses are not tracked in PSTrax. Hose inspections are tracked in excel by the hose
manager; however, the City does not keep an inventory listing of hoses or track their
specific location.
We noted some assets at the fire stations are not tracked in PSTrax including non‐front
line and reserve vehicles, trailers, saws, and generators.
During our review of asset records in PSTrax we noted some asset fields were not
completed including description, serial number, asset identification, cost, City of Glendale
asset number, and expiration date. Also, for the PPE listing; the manufacturer date, in
service date, and condition were not completed. The assets which are unassigned don’t
have a location listed in the asset record.
The Department does not have a policy or procedures for entering asset data into PSTrax
likely resulting in the inconsistencies.
Recommendation:
It is recommended that hoses be added to PSTrax to track critical information such as their
location, age, and inspections. The Department should reexamine post implementation of the
software to determine if it is tracking all appropriate assets in PSTrax. If an asset is mission critical,
requires inspection, or needs to be tracked for replacement or some other purpose, the asset
should be added to the PSTrax system. Furthermore, it is recommended that policies and
procedures are developed for entering assets into PSTrax to ensure uniformity and quality of
data. Finally, it is recommended that the expected life field is used for all significant categories of
assets to assist in asset retirement and budgeting for replacement.
Management Response:
The Fire Department does not have a policy or procedure for entering asset data into PSTrax. The
Fire Department will develop and implement policies and procedures for entering assets into
PSTrax.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
The proper location is PSTrax for hose information and data. The Fire Department will transfer
the hose data and information into PSTrax.
Currently, vehicles that are in PSTrax include all‐hazard and response vehicles with a check list
that require a daily or weekly inspection and are assigned to stations or personnel. Staff vehicles
and other over the road equipment that are not designated to have a daily or weekly check are
not entered as assets in PSTrax. All vehicles are tagged and monitored by Fleet Management. The
Fire Department will evaluate current criteria for tracking apparatus, vehicles and other over the
road equipment in PSTrax, and determine if current Fire Department criteria for tracking
apparatus, vehicles, and other over the road equipment in PSTrax is acceptable. Additionally, the
Fire Department will evaluate inventory of equipment on apparatus and vehicles to establish
criteria to identify which assets need to have data entered and tracked in PSTrax. The Fire
Department will utilize information from the evaluation process to either continue with current
practices or develop and implement new criteria and processes.
Some Personal Protective Equipment (PPE) items do not have some information entered in
PSTrax. Some of these PPE items were entered into PSTrax prior to the current organizational
structure of having a service worker dedicated to PPE. From the time of the organizational
structure change of having a dedicated service worker, entering information such as
manufacturer date, in‐service date and condition has improved. It was determined that entering
dates into PSTrax for boots and gloves was not beneficial. They are replaced as needed based on
requests from the person that the PPE has been issued to. PPE is assigned to an individual and
not a location. PPE that the Fire Department has in inventory does not have a location, because
location is not a criterion used by the Fire Department to track PPE. The Fire Department will
continue current practices of entering data for PPE in PSTrax as new PPE is issued or when an
event is logged for a specific piece of PPE. Finally, the Fire Department will continue with current
practices used to track unassigned PPE.
Contact Person: Eric Keppler, Deputy Fire Chief
Planned Corrective Action and Anticipated Completion Dates:
1. Develop policies and procedures for entering assets into PSTrax by 6/30/24.
2. Hoses entered in PSTrax by 6/30/24.
3. Apparatus, vehicles, and other over the road equipment tracked in PSTrax by 9/30/24.
4. Inventory evaluation to create a list of assets that need to be in PSTrax by 12/31/24.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Finding #2:
Asset inspections and maintenance are not always documented in the PSTrax system. See below
for additional details.
Daily apparatus inspections required by General Order #105.08 are not documented in
PSTrax or elsewhere.
Weekly inspections of apparatus and SCBA required by General Order #105.08 were not
always documented in the PSTrax system. Additionally, many of the inspections were
performed late. See below for the results of our sample of weekly inspections for engines
154, 157, and 159 during fiscal year 2023. It should be noted that some of the weekly
checks may not have been completed due to the engine being out of service, which is
indicated below.
Unit Check Completed Completed % Completed on
Time %
Weeks out of
Service
Engine 154 Apparatus 29 56% 50% 8 weeks
Engine 154 SCBA 13 25% 23% 8 weeks
Engine 157 Apparatus 11 21% 30% 3 weeks
Engine 157 SCBA 1 2% 0% 3 weeks
Engine 159 Apparatus 11 21% 18% 4 weeks
Engine 159 SCBA 3 6% 0% 4 weeks
Semi‐annual PPE cleaning completed at the fire stations is rarely documented in the
PSTrax system, which is required per General Order #102.02. There was a total of 29
logged cleanings for 10 firefighters for the entire fiscal year. The City has issued 264
firefighters PPE according to PSTrax records.
There are inconsistencies in how PPE cleaning and inspections are documented. In some
instances, they are noted on each issued piece of PPE and others are documented on one
piece of equipment, most commonly jackets.
For two of 20 PPE inspections reviewed, the PPE was not inspected timely in accordance
with General Order #102.02.
Per review of SCBA hydrostatic testing records as of 9/26/23, 82 of 298 active cylinders
were late on their hydrostatic test.
Recommendation:
The Department should consider performing daily apparatus inspections in PSTrax to maintain
documentation of their completion and to ensure a complete inspection is performed.
Additionally, the Department should apply a consistent approach to documenting PPE
inspections. Finally, the Department should set alerts in the PSTrax system or run reports of late
inspections to ensure maintenance/inspections are completed and documented in PSTrax timely.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Management Response:
General Order 105.08 (GO105.08) Apparatus Weekly Inventory and Reference Book indicates
apparatus should be checked and inspected daily, but it does not indicate that the daily check
should be documented. GO105.08 describes the process for performing the weekly inventory
and inspection. GO105.08 does not reflect current practices accurately and needs to be reviewed
and updated.
Semi‐Annual cleaning of PPE is in General Order 102.02 Protective Clothing (GO102.02). The Fire
Department has not properly monitored or enforced this part of the policy. A majority of
employees are assigned two sets of PPE. PPE is issued as an A‐set and B‐set. The PPE Turnout
Coat is used as the primary reference point for PPE. The inspection and cleaning of the other PPE
components is documented in the Turnout Coat Events section of PSTrax for PPE that are
inspected and cleaned and there are no deficiencies noted or identified that need to be
addressed. Instances when a PPE item has a specific repair or anomaly identified, that event will
be entered specifically for that specific PPE component. There are approximately 3,700 pieces of
PPE issued to employees in the Fire Department. This process is used to improve time
management. Resource Management has a schedule created for PPE Inspection and Cleaning.
There are various factors that impact the ability for PPE to be inspected and cleaned within the
12‐month time frame. Some of the factors are related to employee compliance with preparing
and turning PPE in for inspection and cleaning and workload encumbered by Resource
Management staff.
Tracking locations of individual SCBA Bottles is a difficult task to accomplish due to SCBA bottles
moving around the Fire Department due to incidents, training, and maintenance. Another
contributing factor is vendor turnaround time for hydrostatic testing is approximately 1 month.
Contact Person: Eric Keppler, Deputy Fire Chief
Planned Corrective Action and Anticipated Completion Dates:
1. Review GO105.08 and revise as necessary to ensure Fire Department goals and objectives
pertaining to daily and weekly apparatus/vehicle checks and inspections are identified;
and that GO105.08 contains the proper processes for documenting daily and weekly
checks. These corrective action items will be completed by 6/30/24.
2. Utilize PSTrax reporting capabilities to obtain timely information related to completion of
apparatus/vehicle checks and inspections by 6/30/24.
3. Determine if current practices used for tracking PPE in PSTrax is an acceptable standard
for the Fire Department by 12/31/24.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
4. Review GO102.02 to ensure it accurately reflects current business practices of the Fire
Department pertaining to cleaning and inspecting PPE and properly documenting events.
The Fire Department will continue to utilize current PPE inspection and cleaning schedules
as well as continuing to utilize a third‐party independent service for inspections and
cleaning to ensure PPE is inspected and cleaned in the 12‐month period. The Fire
Department will provide continuing education to employees as it relates to cleaning and
inspecting PPE and the process to record the cleaning and inspection in PSTrax. These
corrective action items will be completed by 12/31/24.
5. Review daily and weekly checklists for apparatus, vehicles and SCBAs. Explore the
capabilities in PSTrax to improve the ability to track the location of SCBA bottles to
improve on‐time completion rates of hydrostatic testing for SCBA bottles. These
corrective action items will be completed by 12/31/24.
Finding #3:
Capital asset tags are held by Finance and not issued to Fire until the end of the fiscal year for
assets placed in service during the year. This practice does not allow for proper control of assets,
and it is inefficient to tag assets after they have been placed in service.
Recommendation:
It is recommended the warehouse or Fire tag the assets when placed in service to ensure proper
control over assets and for efficiency purposes. It should be noted that Finance made an
exception this year for the large radio purchase and issued Fire a roll of tags. At a minimum, it is
recommended the City continue this practice for high volume purchases.
Management Response:
Contact Person: Levi D. Gibson, Director Budget and Finance; Megan Ellgen, Controller
Planned Corrective Action:
The Budget and Finance Department concurs with the observations noted in the audit finding.
To rectify this, we have implemented the following corrective action plans:
Revised Tagging Procedures ‐ We will work with our business partners within the Fire
Department to implement changes to when and how asset tags are provided to the Fire
Department to ensure a timely tagging of capital. Asset addition forms and invoices are
required before asset tags are disbursed. We will work with our partners at the Fire
Department to more efficiently transmit these items to Budget and Finance staff.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Enhanced Training Programs ‐ The Budget and Finance department will work with our
partners at the Fire Department to provide training and implement changes to our
process to provide asset tags in advance to ensure that assets are tagged upon receipt at
the warehouse.
Streamlined Communication Channels ‐ We have established more efficient
communication channels between departments involved in the tagging process to
minimize delays and ensure swift identification and tagging of newly acquired assets.
We believe these measures will not only address the current finding but also contribute to a more
effective and timely capital asset tagging process in the future.
Anticipated Completion Date: 8/31/24
Finding #4:
The City’s Storm Truck Policy General Order #105.01 is not reflective of current practices. The
City has not designated any trucks as Storm Trucks. The Department is maintaining bins in
Resource Management in a locked area with storm truck supplies. If a storm truck is activated
the bins can be placed on the truck.
Recommendation:
The Department should update the Storm Truck Policy to align with current practices and ensure
bins are being appropriately inventoried periodically, especially after they are accessed, and all
inventories are documented in the PSTrax system.
Management Response:
GO105.01 does not reflect current business practice of the Fire Department as it relates to
utilization and deployment of the Storm Truck. There is a high probability of eliminating or
inactivating GO105.01. Volume 2 M.P. 201.02A Emergency Deployment provides guidance on
deployment of resources for situations that create a peak demand. Off‐Duty employees can be
called to staff apparatus and vehicles such as Ladder Tenders, Brush Trucks, Medical Response
Units (MRUs) and Low Acuity (LA) Units.
Contact Person: Eric Keppler, Deputy Fire Chief
Planned Corrective Action and Anticipated Completion Date:
Review GO105.01 to determine if it is relevant and models current business practices of the Fire
Department by 6/30/24.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Finding #5:
During our review of information technology controls over the PSTrax system, we noted 61 active
accounts not connected to a current employee. Additionally, we noted there is not a documented
policy and process for providing and removing access to the PSTrax system.
Recommendation:
It is recommended the Department adopt a policy and process that governs providing and
removing access to the PSTrax system. The system administrator should periodically check user
listings to ensure staff have appropriate levels of access to the system and terminated employees
have their access revoked in a timely manner.
Management Response:
Users are assigned to various designations in PSTrax. Examples for users are active, inactive or
users can be deleted. Users are typically assigned to one of these user groups. Resource
Management has not done an internal audit of the users assigned in PSTrax.
Contact Person: Eric Keppler, Deputy Fire Chief
Planned Corrective Action and Anticipated Completion Date:
Conduct internal audit of the users in PSTrax to determine if each user is appropriately assigned
to the correct category. Conduct user audits regularly. Revise user list to ensure employees are
appropriately assigned. Develop process for assigning users appropriately. Develop specific policy
for assigning and removing users from PSTrax or explore option to have a policy in the Fire
Department that addresses users and their proper assignments or categories in all the platforms
utilized by the Fire Department. These corrective action items will be completed by 6/30/24.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Does the Department have an effective replacement plan for
physical assets and is it implemented?
Methodology
We performed the following to determine whether the Department has an effective replacement plan
for physical assets, and whether is it implemented.
• Conducted interviews with staff to develop an understanding of the Department's asset
replacement plans and the asset replacement process.
• Reviewed asset replacement policies and procedural documentation. The following areas were
reviewed in detail:
• Replacement schedules and asset useful lives
• Asset utilization tracking
• Budget policies for equipment replacement
• Procuring replacement assets
• Surplus property procedures, including those for federally acquired assets for compliance
with Uniform Guidance (UG)
• Reviewed workflow in PSTrax and other documentation available to substantiate policies and
procedures were implemented.
• Sampled transactions to ensure policies and procedures were implemented.
• Created a survey with the assistance of the Department to gather asset replacement policies
from fire departments of other municipalities or fire districts to compare and make comparisons
to the City's policies and practices.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Summary of Observations
Asset Replacement
Asset replacement decisions are based on City policy, manufacturer recommendations, National Fire
Protection Association (NFPA) standards, historical experience, and technological obsolescence.
Department committees are established that meet periodically to discuss equipment needs which
informs replacement decisions. The Department places the expected life of assets in PSTrax, typically
based on either manufacturer recommendations or NFPA standards.
A. Equipment
The Department strives to keep equipment uniform to ensure firefighters are familiar with and well
trained on equipment City‐wide. This is especially important due to firefighters being staffed at various
stations across the city. To achieve uniformity, the City replaces all its equipment at one time. This was
evidenced when reviewing a procurement of thermal imaging cameras. The following table presents the
most significant pieces of equipment in use by the Department. Each piece of equipment has a
replacement budget and the timeline for replacement appears to be in alignment with expected useful
lives.
B. Apparatus
The City identifies apparatus as either front‐line apparatus, reserve apparatus, or academy apparatus.
Once a vehicle can no longer be used as a reserve apparatus or academy apparatus it is retired. Fleet
manages the replacement of apparatus in conjunction with the Department. Fleet does not replace
apparatus solely based on age or mileage but evaluates other factors such as wear and tear on the
apparatus, and results of independent annual inspections. Fleet is accelerating replacement plans for
apparatus due to ordering delays. Apparatus builds which used to take 14‐18 months now take 36
months. Currently, there are a total of nine trucks, six engines and three ladders that are ordered and
awaiting delivery. Fleet’s replacement schedule calls for the acceleration of appropriations in the fiscal
year 2025 CIP budget to account for the ordering delays.
Equipment #
Total Acquisition
Cost
Average Cost
Average
Years in
Service
Budgeted
Replacement
Fiscal Year
Budgeted
Average Age at
Replacement
Thermal Imaging Cameras 33 222,421$ 6,740$ 1.0 285,000$ FY30 7.06
Heart Monitors 37 992,340$ 26,820$ 5.4 2,232,682$ FY24 5.41
Narcotics Refrigerators 31 270,113$ 8,713$ 0.2 300,000$ FY31 7.16
Radios 425 2,463,258$ 5,796$ 5.7 2,422,500$ FY31 12.66
SCBA ‐ Airpack 166 1,333,675$ 8,034$ 5.3 935,000$ FY33 14.26
Source : FY24 CIP Budget, City asse t re cords
Note: Other non‐capital equipment is budgeted for in the supplemental operating budget as well as additional SCBA in the amount of
$122,000 not accounted for above.
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City of Glendale, Arizona
Fire Asset Management Performance Audit
The apparatus replacement schedule maintained by Fleet is comprehensive and includes the following
elements:
All front‐line, reserve, and training apparatuses.
Documents in service dates, service lives, and mileage.
The budget for replacement is based on either the contracted price if ordered, or the most
recently contracted price plus a 3% rate of inflation per year.
The budget includes an upfitting cost for each engine and ladder being replaced to make
upgrades to the existing engines which will be more serviceable and ready for duty in reserve
status.
The budget incorporates an additional ladder truck in fiscal year 2026, which could be needed if
a West Glendale Station is built. The new station is budgeted for in fiscal year 2028, which is
synchronized with a 2–3‐year delay for delivery of apparatus.
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City of Glendale, Arizona Fire Asset Management Performance Audit The following table presents the City’s apparatus and plan for replacement. The City is appropriately budgeting for replacement of apparatus based on expected lives of fire apparatus. Some vehicles are aged beyond guidelines; however, this is a result of the ordering delays. Fire Apparatus #Total Acquisition Cost Average CostAverage Years in ServiceAverage Mileage as of 5/5/23 Budgeted ReplacementHeavy Rescue Vehicle 1 506,923$ 506,923$ 3.7 30,894 $609,778 in FY31. Ladder Truck 3 2,601,046$ 867,015$ 15.6 37,896 All three are on order at a total budgeted cost of $5.7 million. Ladder Tender 3 1,316,621$ 438,874$ 1.6 16,198 All three are budgeted for replacement in years 2029‐2031 at a total cost of $1.8 million. Fire Engine9 4,681,935$ 520,215$ 8.4 94,729 Six engines are currently on order at a budgeted cost of $5.8 million. Another three are budgeted for replacement in FY25 at a budgeted cost of $3.3 million. Hazmat/Utility Truck 2 1,206,883$ 603,442$ 13.3 89,568 Budgeted for replacement in FY25‐FY26 at a cost of $1.9 million. Fire Engine ‐ Reserve 5 2,135,523$ 427,105$ 16.7 175,351 The City moves front line apparatus to reserve when they are replaced. Additionally, the City is budgeting for upgrades to reserves to ensure they are operational when front line apparatus are out of service. Fire Training 3 1,159,341$ 386,447$ 19.2 194,119 The City generally moves reserves to training when replaced. No additional budget for upgrades. Source: FY24 CIP Budget, City asset recordsPage 18
City of Glendale, Arizona Fire Asset Management Performance Audit C. Apparatus Survey We worked with Fire to compile a list of survey questions to benchmark the City’s apparatus and replacement plans to like sized cities and fire districts in Maricopa County. The survey was sent to fire departments with six providing responses. The returned surveys from City of Goodyear, City of Mesa, Town of Gilbert, City of Chandler, City of Surprise, and Arizona Fire and Medical Authority were compiled, and the data for fiscal year 2023 is presented below. Comparison of Size, Incidents, and Response Time The average size of the comparison departments is similar to the City of Glendale in terms of population and sworn personnel. The Arizona Fire and Medical Authority (294 square miles) and City of Goodyear (191 square miles) are two outliers, which significantly increase square miles for comparison departments. Additionally, Mesa rooftops of 229,095 is significantly higher than the City of Glendale and comparison departments. City of Glendale has reported higher incidents than comparison departments. Response times are nearly identical to the comparison department average. Based on the analysis below, the comparison departments are similar in size and other measurers to make meaningful comparisons to the City of Glendale. MeasureCity of GlendaleOther Departments Difference %Population 277,486 267,656 9,830 4%Total square miles 67 145 (78) ‐115%Total rooftops 73,387 97,265 (23,878) ‐33%Total sworn personnel 256 233 23 9%Number of discreet incidents within municipal or district boundaries regardless of responding agency 33,228 26,894 6,334 19%Number of incidents responded to inside and outside of municipal or district boundaries41,272 30,858 10,414 25%Average response time for code 3 incidents5:50 5:51 0:01 0%Note: Other departments include the average of all six comparison departments.Source: City provided data, completed surveys from six other departments, and MAG population estimate as of 7/1/22Page 19
City of Glendale, Arizona Fire Asset Management Performance Audit Comparison of Apparatus to Size and Number of Incidents The following analysis is comparing City of Glendale’s apparatus to the comparison departments’ apparatus and ratios of square miles, rooftops, and incidents to apparatus. The incident figures presented are those for incidents responded to inside and outside of municipal or district boundaries. We also made separate comparisons between the City of Glendale and City of Chandler and Town of Gilbert as those municipalities are the most similar in size to the City of Glendale. The number of apparatus is consistent with City of Chandler and Town of Gilbert but less than that of all departments. City of Mesa heavily impacts the average for comparison departments with a total of 61 apparatus. The City of Glendale has more coverage per square mile in both comparisons, likely due to higher population density. Source: City provided data, completed surveys from six other departments. Notes: 1) Other departments include the average of all six comparison departments. 2)City of Chandler and Town of Gilbert is the average of the two departments. ApparatusCity of GlendaleCity of Chandler, Town of GilbertAll Other Departments Square Miles/ Apparatus Square Miles/ Apparatus Square Miles/ Apparatus Difference Difference % %Total Engines, Ladders and Ladder Tenders 15 13 20 4.49 5.30 7.20 0.81 2.70 18% 60%All Apparatus 18 18 28 3.75 3.94 5.15 0.19 1.41 5% 38%Page 20
City of Glendale, Arizona Fire Asset Management Performance Audit The City of Glendale rooftops per apparatus is comparable to the comparison departments. Source: City provided data, completed surveys from six other departments. Notes: 1) Other departments include the average of all six comparison departments. 2) City of Chandler and Town of Gilbert did not provide number of rooftops. The City of Glendale has greater geographic coverage than other departments; however, this coverage is due to higher demand (number of incidents). Comparing the ratio of number of incidents to apparatus, the City responds to more incidents per apparatus than the comparison departments. As a result, the City may experience more wear and tear on their apparatus compared to other departments. Source: City provided data, completed surveys from six other departments. Notes: 1) Other departments include the average of all six comparison departments. 2)City of Chandler and Town of Gilbert is the average of the two departments. ApparatusCity of GlendaleAll Other DepartmentsRooftops/ ApparatusRooftops/ Apparatus Difference %Total Engines, Ladders and Ladder Tenders 15 20 4,892 4,823 69 1%All Apparatus18 28 4,077 3,453 624 15%ApparatusCity of GlendaleCity of Chandler, Town of GilbertAll Other Departments Incidents/ Apparatus Incidents/ Apparatus Incidents/ Apparatus Difference Difference % %Total Engines, Ladders and Ladder Tenders 15 13 202,751 2,310 1,530 441 1,221 16% 44%All Apparatus18 18 282,293 1,716 1,096 577 1,197 25% 52%Page 21
City of Glendale, Arizona Fire Asset Management Performance Audit Comparison of Apparatus Replacement The City is comparable to other departments in that replacement decisions are based on quantitative and qualitative factors. The City’s replacement timeframes are comparable but indicates more frequent replacement is likely due to higher usage of apparatus. City of Glendale City of Goodyear City of Mesa Town of Gilbert City of Chandler City of SurpriseArizona Fire & Medical AuthorityReplace engines and ladder tenders every 7 years or 100k miles and ladders every 10 years or 100k miles. Fire does not replace vehicles solely based on age or mileage, but looks at other factors such as wear and tear on apparatus and results of independent annual inspections. The Goodyear fleet department works with logistics division of the fire department to determine the correct replacement cycle. They use repair history, mileage and age. The fleet replacement program is funded at the start of each budget year. At the current time the City is ordering engines 3 years prior to their replacement dates due to the current build times for apparatus. MFMD’s replacement schedule : Pumpers: 15 years or 150k miles for frontline; 5 years or 200k miles for reserve.Ladders: 8 – 10 years or 150k miles for frontline; 2 ‐5 years or 175k miles for reserve.This schedule is fluid as cost, safety, configuration, and availability all come into play.10 years front‐line, 15 years reserveEngines ‐ 12 years/150,000 milesLadders ‐ 15 years/100,000 miles.Repair costs are also evaluated when considering replacement.Replaced vehicles get used in reserve capacity for approximately another 10 years beyond their front‐line lifespan.Fire Engines are replaced every 10 years or 100,000 miles. This translates to 7 years front line service with 3 years of use as a reserve truck. Ladder Trucks are replaced every 15 years or 100,000 miles.Front line suppression apparatus (engines, ladder trucks and tenders) will be evaluated for replacement after 10 years of service or when the mileage exceeds 125,000 miles. Evaluation by the Support Services Section will be made annually to determine whether continued use of the apparatus on the frontlines is feasible or whether the apparatus should be moved to reserve status for additional service in a back‐up capacity.Source: City provided data and completed surveys from six other departments. Page 22
City of Glendale, Arizona
Fire Asset Management Performance Audit
D.Vehicle Replacement
Non‐apparatus vehicle replacement is budgeted for in the Vehicle Replacement Fund. The City
contributes $2‐3 million per year into the fund to replace vehicles City‐wide. There is also an inflation
factor of 8% per year on the budgeted amounts. The process of whether to keep or replace is the same
as the process described above for apparatus. The following table represents the Department’s non‐
apparatus vehicles in‐service. The Department’s vehicle fleet is not significantly aged and is not over
utilized.
E.Facilities
Facilities Management is responsible for developing a CIP plan for Fire facilities. The City recently
commissioned a Resource Deployment Analysis to examine fire stations and apparatus to ensure the
City can adequately meet demand.
We noted several facilities projects budgeted for including Fire Station #153 replacement, Fire Station
#154, 155, 156, 157 renovations, roof replacements, and GRPSTC parking lot renovation. These projects
are projected to be financed with general obligation bond proceeds. The City ensures sufficient general
obligation authority exits to finance the projects and attempts to align the useful life of the projects with
the maturity of the bonds. In addition to building replacement and renovations, the City is budgeting for
a new Western Area Fire Station, which is consistent with the Infrastructure Improvement Plan (IIP). A
significant portion of the fire station will be financed with impact fee revenues.
Asset Utilization
Generally, call volumes are the best indicator of asset utilization and wear and tear placed on assets.
Fleet tracks vehicle miles which are considered when deciding to repair or replace. All significant fire
assets are assigned to a specific firefighter or apparatus. Reports can be run in PSTrax to determine the
length of time in service. When assets are not being utilized, they are placed in reserve status or
unassigned status. This was observed in the PSTrax system. Fleet also monitors the utilization of
apparatus and availability of apparatus by reviewing a daily report of operational vehicles.
Vehicle Type #
Total
Acquisition
Cost Average Cost
Average Years
in Service
Average
Mileage as of
5/5/23
Light Duty 33 1,105,427$ 33,498$ 5 38,412
Medium Duty 24 910,491$ 37,937$ 9 59,117
Other ‐ (Utility Vehicles) 20 349,256$ 17,463$ 14 1,027
Trailers 30 524,520$ 17,484$ 13 N/A
Source: City asset records
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City of Glendale, Arizona
Fire Asset Management Performance Audit
Procurement of Replacement Assets
Before capital assets are purchased, the Department submits a budget request to Finance and Budget.
If approved, it is placed in either the CIP budget or in the supplemental operating budget. Once Council
has appropriated funds for the project, the scoping of the project begins. The department has a Labor
Management Group, Research and Development Committee and an Apparatus Committee that meet
periodically. These committees play a significant role in identifying the appropriate equipment and
apparatus the City should procure to replace existing assets.
The Department works with Finance to issue a procurement. Most capital purchases are made through
a formal procurement or a cooperative purchase using a linking agreement. The Department favors using
linking agreements as this shortens the time of the procurement and generally results in better pricing.
The Department documents all steps of the procurement and the appropriate approvals on the Glendale
Fire Department Project Checklist. When evaluating vendors, the Department ensures the equipment
procured meets the National Fire Protection Association (NFPA) standards. We corroborated our
understanding of the procurement process through sampling the two largest purchases during fiscal year
2022 for thermal imaging cameras and a replacement fire engine.
Surplus Property
Disposals are documented on a disposal form and sent to Finance and the warehouse. Materials
Management handles the auction of equipment. The form requires a department head to authorize the
disposal. When assets are auctioned, the proceeds from auction are placed in the fund the asset was
purchased from. If the proceeds are from grant acquired equipment and the proceeds are more than
nominal, the City checks with the agency that provided the funding for instructions. When assets are
transferred within the City, a transfer form must be completed. We reviewed support for the trade‐in of
thermal imaging cameras during fiscal year 2022 noting the disposal process was followed. During our
review of fire asset disposals, we did not identify any disposals of federally acquired equipment in the
last three fiscal years.
When assets are disposed, asset listings are appropriately updated in PSTrax and Munis. We scanned the
asset listing in PSTrax noting the asset listings appear to be updated for disposals. Additionally, we cross
referenced Munis asset disposals for equipment that is tracked in PSTrax.
Conclusions, Findings and Recommendations
The Department has in place an effective replacement plan for fire assets, and it has been sufficiently
implemented.
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