AMANDA audit exposes shortfall within municipal corporations
Published:Wednesday | February 21, 2024 | 12:05 AMAvia Collinder/Business Writer
THE APPLICATION management and data automation (AMANDA) system, the management process for planning and development projects in municipalities and associate agencies -- including the National Environment and Planning Agency (NEPA) -- is bedevilled by human error and limited usage, says a recent report by the auditor general.
The system was implemented between 2007 and 2015 at a cost of $85.9 million.
In 2007, the Jamaica Chamber of Commerce, with the USAID, initiated a project identifying impediments to development. Among them was the long approval process for development projects.
One solution was AMANDA, which allows tracking and monitoring of development projects from the stage of application in local municipalities to progress through other agencies.
In a review completed between 2016 and 2021, only 51 per cent of applications were actually closed out or completed on the system. Some municipalities had worse records than others.
Overall, applications completed within the 90-day period were less than 40 per cent of the limited number entered on the development approval system.
In the case of NEPA, the absence of a disaster recovery plan to regain lost data was highlighted as well, while cybersecurity risks were also reviewed.
The AMANDA software was first implemented in the local authorities (municipalities) throughout the island in 2009 through the collaborative work of the Cabinet Office, the Ministry of Local Government and Community Development (MLGCD) and NEPA.
In the report published in late 2022, it was pointed out, “The audit revealed that the AMANDA system controls were lacking, as key data inputted were not validated to ensure the accuracy and completeness of system records.”
The auditor general’s office also said, “We also determined that the AMANDA software was not fully utilised in the processing of development applications. In addition, general IT controls relating to backup, logical access and cybersecurity were designed, but in some instances were ineffective.”
The purpose of the audit was to check for effective control efficiency and information processing to meet user requirements.
The first findings were weak controls over the completeness and accuracy of AMANDA information. Applicants’ data such as name, contact details and address and Taxpayer Registration Number were captured on a standard form before inputting.
However, there were no manual or automated controls in place to ensure the accuracy of the information. Accordingly, inaccurate, incomplete and contradictory records were identified, reflecting the circumvention of critical due diligence steps in the development approval process.
The report also said that the efficiencies expected were not realised in the AMANDA software. It was discovered that the system -- created to achieve development approval in 90 days -- was not being fully utilised due to administrative and technological challenges, leading to manual processes being used concurrently.
A review of the system as used between January 2016 to December 2021 revealed that 24,718, or 73 per cent of 34,043 applications reportedly received, were entered, while only 12,710, or 51 per cent, were closed out or completed on the system.
“We found that Portmore, St Catherine and Westmoreland municipal councils least used the system, with only five, 27 and 40 per cent of applications being entered, respectively, into the system.”
Close-out rates were even lower, with records of two, seven and 23 per cent, respectively. Entry rates were highest for St Ann, Hanover and St Mary, as the total number of applications received as well as applications from prior years were entered.
The audit determined that only 9,599 applications, or 39 per cent of 24,718 applications entered, were completed in the 90-day period.
The auditor general’s report said, “Of note, of the 12,710 applications closed in AMANDA, 76 per cent were closed in the 90-day period. Municipal councils with the highest degree of closed applications in less than 90 days were Trelawny, St Thomas and Manchester, with completion rates of 86, 83 and 61 per cent, respectively.”
Analysis showed that St Elizabeth, St Mary and Westmoreland had the lowest closure rates on AMANDA with 52, 47 and 19 per cent, respectively, of closed applications completed within 90 days.
The auditor general’s report said that due to underutilisation, the expected benefits of AMANDA were not being realised.
The report also called for improvements in disaster management planning.
It was expected that as a host of the software, NEPA would have a disaster recovery plan (DRP).
“We expected NEPA to have a documented DRP to maintain the continuity of the development approval process, and its backup policy was not approved by management. In addition, the backup plan was outdated and needed updating, and identification of responsible personnel. A time lapse in backup might result in delays in the restoration process,” it was noted.
The report also highlighted cybersecurity risks, noting that with increasing reliance on digital and technology systems, there is a need to deploy cybersecurity and risk- management strategies to prevent and detect unauthorised access. The review identified security vulnerabilities, which, the report said, if exploited, may result in cyberattacks and unauthorised disclosure.
The auditor general commented that an efficient development approval process is required for increased foreign direct investment flows, ease of doing business, and economic development.
It was noted that stakeholders had started the implementation of controls to reduce this risk.
Queries sent to the office of the auditor general in 2023 asking for feedback on other mitigating measures implemented since the release of the report were not answered, as the office said that the information could not be disclosed.