Audit 375179

The District does not possess sufficient personnel to propely segregate all financial functions to reduce risks of financial reporting objectives and provide safeguards for the organization's assets. The District's management and current organizational structure cannot separate duties sufficiently to reduce risks of financial reporting objectives and provide safeguards for the organizatoin's assts. Effective internal control over financial reporting should include control activities developed and maintained at various levels of the organization to reduce the risk to achieve financial reporting objectives and provide safeguards over the organization's assets. Management should continue to evaluate the current organizational structure and determine the cost/benefit to the organization to implement additional safeguards. The District agrees with the finding and the recommended procedures are being monitored on an onoing basis to evaluate and determine the most cost effective way to provide safeguards to the organization's assets and the related financial reporting objectives.