Finding 400117 (2023-003)

- Repeat Finding
Requirement
A
Questioned Costs
-
Year
2023
Accepted
2024-06-06
Audit: 308222
Organization: City of Muldraugh (KY)
Auditor: Sk Lee CPAS Psc

AI Summary

  • Answer: The City missed the deadline for submitting the Data Collection Form.
  • Trend: This oversight occurred because the City was unaware of its single audit status.
  • List: To avoid future issues, the City must ensure timely completion of the Data Collection Form by the due date.

Finding Text

2023-003 Late Submission of Data Collection Form Condition:The City is required to submit its Data Collection Form by March 31, 2024. Criteria:The City did not submit its required report by its due date. Cause:The oversight was due to the City not knowing they were single audit. Effect:Noncompliance with filing requirements. Recommendation:The City should complete their Data Collection Form by the required date. Views of Responsible Officials:Management agrees with recommendation.

Corrective Action Plan

CORRECTIVE ACTION PLAN May 10, 2024 Department of Local Government The City of Muldraugh respectfully submits the following corrective action plan for the year ended June 30, 2023. SK LEE CPAS, P.S.C P.O. Box 958 Berea, KY 40403 The findings from the June 30, 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS-FINANCIAL STATEMENT AUDIT MATERIAL WEAKNESS 2023 - 001 Financial Statement Preparation Recommendation: Management should continue to engage the audit firm to prepare a draft of the financial statements including the notes to the financial statements, or hire an accountant to perform these services. Action taken: Management concurs with the finding, however, due to limited economic resources cannot hire an accountant at this time and will continue to engage the audit firm to draft the financial statements including the notes to the financial statements. 2023- 002 Segregation of Duties Recommendation: The lack of segregation of duties is a common deficiency in cities the size of Muldraugh Action taken: Management concurs with the finding, however, due to limited economic resources cannot hire staff to properly segregate the duties required of the City.   NON - COMPLIANCE 2023 - 003 Late Submission of Data Collection Form Recommendation: The City should complete their DCF by the required date. Action taken: Management concurs with the finding and will have the data collection form completed by the required date. If the Department of Local Government has questions regarding this plan, please call Anthony Lee at (502) 942-2824. Sincerely yours, _____________________________________________________________ Anthony Lee, Mayor of Muldraugh, Kentucky

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $1.82M
21.027 Coronavirus State and Local Fiscal Recovery Funds $131,748