Office of the State Auditor of Missouri
The city did not retain vendor invoices or supporting documentation for some expenditures.� The city does not have a formal bidding policy and did not enter into written contracts for some services including sewer work and legal services.� Procedures have not been established to ensure restricted revenues are expended only for their intended purpose and expenditures are properly allocated among the various funds benefiting from the expenditure.� Additionally, the board minutes only make a general reference that invoices are approved for payment and timesheets are not always prepared or reviewed properly.
Several revenue bond covenants pertaining to sewer improvements are not being met.� The Debt Service Reserve Account and the Depreciation and Replacement Account are both under funded by approximately $6,325.� In addition, the city does not have an annual audit performed of sewer operations, which is required by the bond covenants.
The Board of Aldermen has not followed the adopted ordinances regarding delinquent sewer bills and service disconnections, nor does the city perform monthly reconciliations of total billings, payments received, and delinquent amounts for sewer services.
The City Clerk is responsible for all record keeping duties of the city and the Mayor indicated there are no reviews of the City Clerk's work.� Receipt slips are not issued for some monies received,� receipts were not always deposited intact daily, and checks are sometimes signed in advance by the Mayor.�
The city has not established a complete financial accounting system.� Property tax records and procedures are not adequate to account for and collect delinquent amounts due to the city.�
Board minutes are signed by the City Clerk but not the Mayor and do not always include sufficient detail of matters discussed and actions taken.� Improvement is needed in the organization of the city's ordinances.
Several current and former board members were compensated for performing services for the city in 2000 and 1999.
Also included in the audit are recommendations related to budgets and financial reporting, fixed assets, and a street maintenance plan.
Complete Audit Report