Finding Text
Finding 2022-002 Bank Reconciliations Condition: During our audit, we noted the bank reconciliations for the District?s checking, savings and ISJIT accounts were completed but not compared to the general ledger balance on a monthly basis to investigate and resolve any variances in a timely manner. Criteria: When performed timely and accurately bank reconciliations provide support for the cash position of the District and allow users a higher degree of confidence in the amount of cash reflected on the financial statements. Cause: It does not appear the District has established procedures to require bank reconciliations for checking, savings and ISJIT accounts be reconciled to the general ledger each month. Effect: Inadequate performance of bank reconciliations could adversely affect the District?s ability to prevent or detect and correct misstatements, errors, or misappropriation on a timely basis by employees in the normal course of performing their assigned functions. Recommendation: The District should ensure bank reconciliations are being prepared and compared to the general ledger balance each month to investigate and resolve any variances in a timely manner. Views of Responsible Officials and Planned Corrective Actions: In the future, we will perform bank reconciliations and compare to the general ledger each month.