Finding 36248 (2022-001)

- Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2023-09-25

AI Summary

  • Core Issue: The Housing Authority of the City of Greeley lacks proper segregation of duties, particularly in payroll, bank reconciliations, and journal entries.
  • Impacted Requirements: This situation violates internal control standards outlined in the green book.
  • Recommended Follow-Up: Implement checks and balances in accounting functions to enhance oversight and prevent errors.

Finding Text

2022-001 Inadequate Segregation of duties CURRENT CONDITION: The Housing Authority of the City of Greeley did not utilize staff to adequately segregate duties. Internal controls have not been designed to allow for preparation processes and then segregated review processes. Specifically, segregation of duties was not present for the payroll functions, bank reconciliations and journal entries. 2022-001 Inadequate Segregation of duties (continued) CFDA#: 14.871 CRITERIA: The green book requires internal control and segregation of duties. CAUSE: The Authority had personnel changes during covid and did not distribute functions with adequate review and oversite. EFFECT: The Authority has experienced mistakes in accounting functions. RECOMMENDATION: The Authority should put procedures in place to require checks and balances in the accounting personnel functions. VIEWS OF RESPONSIBLE OFFICIALS: We will comply with the Auditor?s recommendation. DISCUSSED WITH: Tom Teixeira, September 15, 2023

Corrective Action Plan

We will comply with the auditor's recommendation.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $6.17M
14.850 Public and Indian Housing $212,575
14.872 Public Housing Capital Fund $188,639