Finding 572050 (2024-007)

Significant Deficiency
Requirement
ABCGHI
Questioned Costs
-
Year
2024
Accepted
2025-07-28
Audit: 363166
Organization: East Franklin Township (PA)
Auditor: Jmallc

AI Summary

  • Issue: Lack of proper segregation of duties in the Clean Water State Revolving Fund project increases the risk of errors and fraud.
  • Trend: Similar issues have been noted in past audits, indicating a recurring problem with internal controls.
  • Recommendation: Implement clear role definitions and checks to ensure duties are appropriately divided among team members.

Finding Text

Segregation of Duties - Clean Water State Revolving Fund Non-Equivalency Project

Corrective Action Plan

The Township recognizes that the limited number of staff adds to the risk associated with the daily operations. To mitigate this risk, the Supervisors need to be more actively involved in reviewing and approving all disbursements. The Township is not in a financial position to hire additional accounting staff to segregate all duties.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 572048 2024-005
    Material Weakness
  • 572049 2024-006
    Material Weakness
  • 572051 2024-008
    Significant Deficiency
  • 1148490 2024-005
    Material Weakness
  • 1148491 2024-006
    Material Weakness
  • 1148492 2024-007
    Significant Deficiency
  • 1148493 2024-008
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
66.458 Clean Water State Revolving Fund $1.41M