Finding 398613 (2023-001)

Lack of segregation of duites - siginficant deficiency - Condition: Lack of segregation of duites over financial processes Criteria: The lack of segregation of duties exists within the Authority as a whole over all of its accounting and reporting functions. This is a common circumstance in governments of similar size. Effect: Errors or misappropriations could occur and go undetected for a period of time . Questioned Costs: not applicable Cause: Limited number of staff available to appropriately divide duties. Recommendation: The Authority's board members need to be cognizant of the issue and provide appropriate oversight. Such oversight includes careful review of bank activity as well as general ledger and journal entries. The board members should also periodically perform on site inspections of assets and financial records. Views of Responsible Officials and Corrective Actions: The Authority agrees with the reocmmendations and has approved a corrrective action plan addressing additional oversight measures.