Finding 1146543 (2024-001)

2024-001. SEGREGATION OF DUTIES Criteria The concentration of duties and responsibilities in a limited number of individuals is not desirable from an internal accounting control point of view. Condition Due to the limited number of personnel within the City’s administration office, the segregation of accounting functions necessary to ensure adequate internal accounting control is not possible. Effect Because of the weakness in segregation of duties, the City has not provided adequate internal control over transactions. Cause This occurred because of staffing limitations caused by fiscal constraints. Recommendations Officials and management of the City should constantly be aware of this condition, attempt to segregate duties as much as possible, and provide oversight to partially compensate for this deficiency. Views of Responsible Officials and Planned Corrective Action Management agrees with the audit finding. The City Clerk-Treasurer will continue to monitor transactions and the City’s administration will structure the duties of office personnel to help ensure as much segregation of duties as possible within the City’s staffing limitations and funding constraints.