Finding Text
Criteria or Specific Requirement ? Segregation of duties is an essential element of the internal control structure. Condition ? The District has internal control weaknesses with respect to segregation of duties over cash receipts and disbursements. Context ? As a small rural hospital, the District has limited personnel resulting in limitations on their ability to segregate duties. Cause ? Due to limited personnel, the District has been unable to achieve adequate segregation of duties. Effect or Potential Effect ? The lack of adequate segregation of duties causes the District to be more susceptible to misappropriation of assets. Questioned Costs ? There are no questioned costs. Recommendation ? We recommend that the District implement procedures to mitigate its segregation of duty weaknesses as much as possible including review processes by the Chief Executive Officer and/or Chief Financial Officer. Views of Responsible Officials and Planned Corrective Actions ? Management agrees with the finding and will consider controls such as review processes that will mitigate its segregation of duty weaknesses.