Drafter
Clerk 08/26/2025
Title
AN ORDINANCE relating to contract management and compliance monitoring protocols for the department of community and human services; and amending Ordinance 11955, Section 5, as amended, and K.C.C. 2.16.130.
Body
PREAMBLE:
1. On August 25, 2025, the King County auditor's office produced an audit report titled Department of Community and Human Services Needs to Strengthen Financial Stewardship, outlining the department's contract management practices for youth programs from 2022 to 2025.
2. The department has awarded more than $1.5 billion in grant funding in 2023 and 2024 combined, up from $22 million in 2019 and 2020.
3. Amid rapid growth in grant funding, the department of community and human services took on greater financial risk as a strategy to reduce contracting barriers among organizations with limited government experience.
4. The auditor's office found that the department could do more to manage its financial risk of these programs by applying internal controls more consistently.
5. The audit report revealed gaps in several areas including enforcement of contract terms, validation of invoices, and communication of expectations to staff and grantees.
6. The report noted that the department runs its own procurement processes to award these funds, resulting in contracts known as community grants. Unlike other contracts, community grants are outside the scope of King County's central procurement group, limiting independent oversight. In this environment, the department of community and human services faces a higher risk of fraud, waste, and abuse as it allocates public funds.
7. The King County council is dedicated to supporting the department of community and human services's' commitment to safeguarding public resources, by creating legislation that will provide more tangible measures to strengthen that work.
8. Ten recommendations were mentioned in the county auditor's report that highlight where improvements can b...
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