Luallen Releases Audit of See the audit report for Full Details |
Crit Luallen |
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(Frankfort - August 18, 2008)
State Auditor Crit Luallen today released the audit of the 2007 financial statement of the Adair County Sheriff, Ralph Curry. State law requires the Auditor to annually audit the accounts of each county sheriff. In compliance with this law, the Auditor issues two sheriff’s reports each year: one reporting on the audit of the sheriff’s tax account and the other reporting on the audit of the fee account used to operate the office.
The audit found that the Sheriff’s financial statement presents fairly the revenues, expenditures, and excess fees of the Adair County Sheriff in conformity with the regulatory basis of accounting. As part of the audit process, the Auditor must comment on non-compliance with laws, regulations, contracts and grants. The Auditor must also comment on material weaknesses involving the internal control over financial operations and reporting. The audit contains the following comment: the Sheriff’s office lacks adequate segregation of duties. The bookkeeper posts all items to the fee receipt and disbursement ledgers, makes deposits, prepares and signs all checks, performs monthly bank reconciliations, and prepares the financial statements. The payroll clerk also posts all items to the payroll receipt and disbursement ledgers, makes deposits, prepares and signs all checks, and performs monthly bank reconciliations for the payroll account. Adequate segregation of duties would prevent the same person from having a significant roll in the receiving, processing, recording, and reporting of receipts and disbursements. The Sheriff should strengthen internal controls by either segregating the duties or by implementing and documenting compensating controls. Examples of compensating controls include, but are not limited to, routinely reviewing daily checkout procedures for accuracy, performing bank reconciliations and ensuring that financial statements are accurate. He could document his review process by initialing reports and supporting documentation. The Sheriff’s responsibilities include collecting property taxes, providing law enforcement and performing services for the county fiscal court and courts of justice. The Sheriff’s office is funded through statutory commissions and fees collected in conjunction with these duties. |
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