HR Audits for Fiscal Year 2023


Effective Date: Expiration Date: Chapters:
Nov. 3, 2022 Sept. 30, 2023 1   3   4   8   12   19   36  


To minimize financial liability and decrease government waste, and in accordance with federal and local statutes and regulations, the District of Columbia Department of Human Resources (DCHR) performs audits of agency human capital programs. This issuance explains the audit process to subordinate agencies and independent agencies and identifies the upcoming audits for Fiscal Year 2023.

Note: This instruction supersedes Electronic-District Personnel Manual (E-DPM) Instruction No. 2021-35, HR Audits for Fiscal Year 2022, dated October 17, 2021.

Audits’ Purpose

DCHR conducts audits to decrease financial liability, eliminate government waste, and improve operational efficiencies. Depending on the nature of an audit, DCHR conducts its audits annually, semiannually, or quarterly. Each audit addresses one or more of the following areas:

Strategic Management

Audits are designed to review employee engagement in relation to the agency’s mission. These audits assess vision statements, employee engagement programs, and talent.  

Human Resources Transactions

Audits involving reviews of Personnel Action Records (PAR) and pay practices. These audits include a review of all corresponding records and information and focus on compliance with the District Personnel Manual (DPM) and the District of Columbia Municipal Regulations (DCMR).

Legal Compliance

Audits focused on practices regulated by laws such as the Affordable Care Act (ACA), Americans with Disabilities Act (ADA), Family Medical Leave Act (FMLA), Fair Labor Standards Act (FLSA), Immigration and Nationality Act (INA), and the equal employment opportunity statutes. These audits will review practices, including processing, records management, and suitability analysis.

Audit Process

DCHR audits occur through a series of phases, which include research, engagement, evaluation, reporting, and follow-up.


During this initial phase, the audit team gathers preliminary information specific to the audit requirements, which may include documents, records, and interviews.


The team communicates the nature of the audit to the impacted agency by engaging in conversations with the agency’s Human Resources Officer and, if necessary, the General Counsel. Any supplemental or clarifying information is obtained at this time. The audit team may coordinate with administrations within DCHR for logistical support.


The team conducts an evaluation of the assembled data to determine whether programs and operations are functioning as intended.


The audit team develops and drafts an internal report. If needed, the team will share the draft with the relevant Deputy Mayor and Agency Head and schedule meetings to discuss the audit findings. Once approved, DCHR issues the final report to the necessary parties or entities.


The audit team follows up within 60-90 days of issuing the report to verify that the audited agency has taken the agreed-upon actions and corrected any deficiencies effectively.

FY2023 Audit Highlights

DCHR plans various audits for each fiscal year that reflect the areas discussed previously. For FY2023, the planned audits, in order of priority, are as follows:

  1. Overtime. This annual audit determines whether agencies provide overtime pay consistent with governing laws and regulations by analyzing agency usage and approvals.
  2. Drug Policies. This annual audit evaluates whether subordinate agency-level drug policies comply with controlling regulations and Mayoral Orders.
  3. Annual Suitability Designations. This annual audit ensures the correct suitability designation for positions.
  4. I-9 Verifications. This annual audit confirms the accurate and thorough completion of I-9 Employment Eligibility Verification forms with appropriate supporting documentation. This audit also confirms reverifications of employment authorization and documentation prior to expiration when applicable.
  5. Suitability Recertification. This annual audit ensures that employees subject to enhanced suitability maintain compliance.
  6. Licensing and Certification (including Attorney Verifications). This annual audit confirms that persons in positions that require licenses or certifications are current with those requirements. This audit also verifies that attorneys are in good standing with the D.C. Bar.
  7. Emergency and Essential Designations. This annual audit verifies agencies’ essential and emergency designations (positions and employees).
  8. Voluntary Leave Transfer Program. This annual audit verifies how much leave was donated and received.
  9. Suitability Report H-1, H-2. These semiannual audits verify the suitability of District personnel in safety, protection, and security sensitive positions.
  10. Compensation. This audit will verify, assess, and compare the compensation rate of employees throughout the District.
  11. Residency. This annual residency audit verifies the residency of employees subject to the District residency preference and the residency requirement.
  12. Pay Increases and Local Environmental Pay (LEP). This semiannual audit verifies pay increases, promotions, and transfers as detailed in Chapter 11 of the DPM. This audit also ensures that the LEP rules are properly applied.
  13. Leave Usage. This audit will assess annual, restored, and universal leave to determine whether District staffing levels will result in leave abuse or burnout.
  14. Affordable Care Act (ACA) Compliance. This quarterly audit confirms that subordinate agencies offer medical insurance to employees compensated for an average of 30 hours/week or 120 hours/month.
NOTE: More details relating to each audit and their processes are linked in the References below.


The provisions of this issuance apply to all subordinate agencies of the Mayor and independent agencies.


For additional information regarding the topics and requirements for some of the HR Audits for FY23, please refer to the following EDPM sections, issuances, and statutes.   

  1. Reporting and Agency Policies, 6-B DCMR § 441
  2. I-12-59 Emergency and Essential Employees
  3. Voluntary Leave Transfer Program, D.C. Official Code § 1-612.32
  4. License, registration, or certification required, D.C. Official Code § 3–1205.01 (a)(1); D.C. Official Code § 47–2853.02(a) 
  5. Certificate of Good Standing filing requirement for Executive Branch attorneys, D.C. Official Code § 1–608.81
  6. Proof of Residency Prior to Appointment, 6-B DCMR § 303
  7. Periodic Verifications, 6-B DCMR § 305
  8. Records and Reports, 6-B DCMR § 1908

Issued by Interim Director E. Lindsey Maxwell II, Esq., D.C. Department of Human Resources on Nov. 3, 2022, 11:01 a.m.