Finding 12854 (2022-001)

Significant Deficiency Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2023-09-24

AI Summary

  • Core Issue: The District lacks enough staff to properly segregate accounting duties, leading to a significant deficiency in internal controls.
  • Impacted Requirements: Proper internal controls require segregation of accounting functions to safeguard assets, which is currently not met.
  • Recommended Follow-Up: Involve both the Treasurer and Superintendent in daily financial tasks, including reviewing monthly ledgers and bank reconciliations.

Finding Text

Findings 2022-001 Segregation of Duties Statement of Condition: Significant Deficiency - The District does not have sufficient staff base to properly segregate accounting functions. Criteria: Proper internal controls over accounting transactions would include the ability to segregate certain accounting functions in order to protect assets. Effect: The results of our tests revealed no questioned costs or material misstatements. Cause: The Treasurer records all financial transactions. Recommendation: Both the Treasurer and the Superintendent should be involved in the daily financial affairs of the District to include monthly ledgers, financial statements, bank statements and bank reconciliations. Views of Responsible Officials and Corrective Action: The District will strive to segregate as many accounting functions as practical with the limited staff available.

Corrective Action Plan

Views of Responsible Officials and Corrective Action: The District will strive to segregate as many accounting functions as practical with the limited staff available.

Categories

Internal Control / Segregation of Duties Significant Deficiency

Other Findings in this Audit

  • 12855 2022-002
    Significant Deficiency Repeat
  • 589296 2022-001
    Significant Deficiency Repeat
  • 589297 2022-002
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
10.766 Community Facilities Loans and Grants $1.14M