Auditor Logo Tom Schweich

Report No. 2012-01
January 2012

Complete Report
Findings in the audit of Madison County


Prosecuting Attorney
Prior audit reports have identified inadequacies in the Prosecuting Attorney's office procedures, and significant weaknesses still exist. The duties of receiving, recording, and depositing monies, and reconciling bank accounts were not adequately segregated or reviewed, providing less assurance all transactions were accounted for properly. The office did not maintain a complete record of monies received, receipts were only issued for monies paid in person, and these were manual receipts which were not always issued in numerical order.

The Prosecuting Attorney's office did not deposit monies timely and intact and could not account for $12,284 received during the 2 years ended December 31, 2010. As of July 19, 2011, the current Prosecuting Attorney had located 20 undeposited money orders totaling $1,973. The office also did not maintain adequate records to document monies disbursed to victims or merchants. Our review uncovered $4,502 which had not been disbursed, and the current Prosecuting Attorney found another $2,033 in checks which had been written to victims or merchants, but neither voided nor mailed.

Formal bank reconciliations were not documented for the three bank accounts, and liabilities were not identified and reconciled with cash balances, making it unlikely errors would be detected and corrected timely. The Prosecuting Attorney's office did not adequately monitor court ordered restitution due from defendants and only tracked amounts due by making notes on copies of money orders instead of maintaining a complete accounts receivable list.

Sheriff Inmate and Commissary Monies
The Sheriff's Department did not adequately segregate the duties of receiving, recording, and depositing inmate and commissary monies, and the Sheriff did not perform a detailed supervisory review to ensure all monies received were properly deposited or placed in the respective inmates' cash envelopes. The Sheriff did not maintain a receipt log or issue prenumbered receipt slips for inmate monies, so there was no assurance all monies were accounted for properly. Likewise, the Sheriff did not maintain centralized records of commissary sales and receipts, and commissary receipts were not deposited timely and intact, increasing the risk of theft or loss. Similar conditions were noted in our prior audit report.

Public Administrator
The Public Administrator is the court appointed personal representative for wards and decedent estates of the Associate Circuit Court, Probate Division. The Public Administrator signed blank checks for a ward's caretaker to purchase groceries, increasing the risk of misuse, and did not ensure the payees on these checks were accurately reported on the annual settlement. Cash advances were provided to three wards without adequate supporting documentation to show the wards received the monies. In addition, the Public Administrator had not petitioned the court for fees to be paid to the county General Revenue Fund from applicable wards and estates.

Recorder of Deeds
The Recorder of Deeds did not prepare formal bank reconciliations or maintain a book balance and was unaware the book balance was negative $934 at the end of August 2011. The Recorder of Deeds identified receipts which had been recorded and disbursed twice and was able to resolve the negative balance. The Recorder of Deeds did not ensure the composition of receipts matched the composition of deposits, making it difficult to ensure all monies were properly recorded and deposited.

Computer Controls
Electronic programs and data files in the offices of the County Collector, County Assessor, and Recorder of Deeds are at an increased risk of unauthorized access, because employees are not required to periodically change their passwords, the number of incorrect log-on attempts allowed is not limited, and the computers do not lockout after a certain period of inactivity.

Closed Minutes
The county did not always comply with the Sunshine Law. Reasons for closing meetings, and the corresponding vote to do so, were not always documented, and some topics discussed in closed session were not allowed.

In the areas audited, the overall performance of this entity was Fair.* However, the audit revealed serious shortcomings with the Prosecuting Attorney.

American Recovery and Reinvestment Act 2009 (Federal Stimulus)
The Madison County Council for the Developmentally Disabled received $3,977 under Title V, Section 5001 of the Recovery Act for Medicaid expenditures reported between October 1, 2008, and December 31, 2010.

*The rating(s) cover only audited areas and do not reflect an opinion on the overall operation of the entity. Within that context, the rating scale indicates the following:

Excellent:
The audit results indicate this entity is very well managed. The report contains no findings. In addition, if applicable, prior recommendations have been implemented.

Good:
The audit results indicate this entity is well managed. The report contains few findings, and the entity has indicated most or all recommendations have already been, or will be, implemented. In addition, if applicable, many of the prior recommendations have been implemented.

Fair:
The audit results indicate this entity needs to improve operations in several areas. The report contains several findings, or one or more findings that require management's immediate attention, and/or the entity has indicated several recommendations will not be implemented. In addition, if applicable, several prior recommendations have not been implemented.

Poor:
The audit results indicate this entity needs to significantly improve operations. The report contains numerous findings that require management's immediate attention, and/or the entity has indicated most recommendations will not be implemented. In addition, if applicable, most prior recommendations have not been implemented.

Complete Audit Report
Missouri State Auditor's Office
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