Finding 605128 (2022-001)

Material Weakness Repeat Finding
Requirement
ABFGLN
Questioned Costs
-
Year
2022
Accepted
2023-02-02

AI Summary

  • Core Issue: The accounting department has a lack of sufficient segregation of duties, with one person handling all key functions.
  • Impacted Requirements: This centralization increases the risk of errors and fraud due to inadequate checks and balances.
  • Recommended Follow-Up: Implement changes to distribute accounting tasks among multiple employees to enhance oversight and accountability.

Finding Text

"Material Weakness Finding 2022-001 There is not sufficient segregation of duties within the District?s accounting department. Observation We found that all facets of accounting are currently centralized with one person which includes invoicing, cash receipts functions, posting of deposits, preparation of deposits, and all payable functions. Recommendation We recommend, to obtain basic segregation of duties, that the District update its current accounting functions to minimize the amount of accounting duties performed by one employee. "

Categories

Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 28683 2022-001
    Material Weakness Repeat
  • 28684 2022-002
    Significant Deficiency
  • 28685 2022-003
    Significant Deficiency
  • 28686 2022-001
    Material Weakness Repeat
  • 28687 2022-002
    Significant Deficiency
  • 28688 2022-003
    Significant Deficiency
  • 605125 2022-001
    Material Weakness Repeat
  • 605126 2022-002
    Significant Deficiency
  • 605127 2022-003
    Significant Deficiency
  • 605129 2022-002
    Significant Deficiency
  • 605130 2022-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
20.106 Airport Improvement Program $22,000