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YELLOW SHEET
Office of the State Auditor of Missouri
Claire McCaskill
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Report No. 2000-104
September 26, 2000
IMPORTANT:� The Missouri State Auditor is required by
Missouri law to conduct audits only once every four years in counties, like
Linn, which do not have a county auditor.�
However, to assist such counties in meeting federal audit requirements,
the State Auditor will also perform a financial and compliance audit of various
county operating funds every two
years.� This voluntary service to
Missouri counties can only be provided when state auditing resources are
available and does not interfere with the State Auditor�s constitutional
responsibility of auditing state government.
Once
every four years, the State Auditor�s statutory audit will cover additional
areas of county operations, as well as the elected county officials,� as required by Missouri�s Constitution.��
This
audit of Linn County included additional areas of county operations, as well as
the elected county officials.� The
following concerns were noted as part of the audit:
- Linn County has no
county jail.� Therefore, the
Sheriff�s Department must board its prisoners in surrounding jails.� In February 1999, Linn County entered
into a contract with Livingston County to provide accommodations for up to
seven prisoners for a daily rate of $210.�
The boarding rate is $35�
per day for each prisoner in excess of seven.� A review of the February 1999 through
July 2000 monthly board bills determined there were less than seven
prisoners at the Livingston County jail 436 days out of the possible 547
days with an average of less than five prisoners per day.� During this time period prisoners were
also boarded in other counties. The county would have spent approximately
$23,500 less had it paid only for prisoners actually boarded in Livingston
County at the normal daily boarding rate of $35.� A formal cost-benefit analysis was not performed to
determine the best and most economical means of obtaining prisoner
boarding services prior to entering into this contract.� Additionally, the contract with
Livingston County was renewed for 2000 with no changes in contract terms
and the county could provide no documentation to demonstrate they had
further reviewed the contract arrangement and related costs.
- As noted in the prior
audit, budgets were not prepared for various county funds for the years
ended December 31, 1999 and 1998.� The lack of budgetary information for these funds is a significant
omission from the county�s financial statements.� Receipts which were not budgeted totaled more than $195,000
and $280,000 in 1999 and 1998, respectively.� Disbursements which were not budgeted totaled more than
$198,000 and $274,000 in 1999 and 1998, respectively.
- The county does not
have a procedure in place to track federal financial assistance for the
preparation of the schedule of expenditures of federal awards.� The county�s schedule contained
numerous errors and omissions.� An
accurate schedule of expenditures of federal awards is necessary to ensure
federal financial activity is audited and reported in accordance with
federal audit requirements.
Also included in the audit are recommendations to
improve the county�s expenditure procedures, computer controls, and property
tax system records.� Additionally, it
was noted that the Sheriff�s department deputies and reserve deputies maintain
a checking account outside the county treasury to handle donations and
fundraising proceeds, and sponsor programs for area youth.� The audit found that some monies deposited
into this account represent county monies and should have been deposited into
the county treasury.
Complete Audit Report
Missouri State Auditor's Office
moaudit@mail.auditor.state.mo.us
Webmaster: auditor@mail.auditor.state.mo.us