YELLOW SHEET Office of the State Auditor of Missouri Claire McCaskill

• The city needs to improve its accountability over gaming monies.� A fund has not been formally established to account for and budget gaming monies, and a long-range plan has not established for the future use of these funds.� In addition, the city did not adequately monitor the agreements with Mark Twain Casino, LLC.
  
  
• Significant weaknesses were identified in the city's budgeting, planning, and financial reporting.� The city's budgets were not prepared in accordance with state law; actual expenditures exceeded budgeted amounts in the General Fund; and the monthly financial reports were not complete and/or accurate.
  
  
• The city needs to improve its banking and investment policies and procedures.� In addition, the duties of cash custody and record keeping are not adequately segregated; monies received are not deposited intact or on a timely basis; and a monthly reconciliation of the bank balances to the accounting records is not performed.
  
  
• There was no evidence on how some subjects discussed allowed for a closed meeting.� Also, minutes are not signed and the city does not have a formal policy regarding public access to city records.
  
  
• The city's procurement polices and procedures need to be improved.� In addition, the city gave subsidies to various entities, and it is unclear if the services provided by the entities represent a governmental purpose.
  
  
• The city has made little tangible progress regarding the upgrading and/or replacement of its sewer system.� In addition, water and sewer rates have not been reviewed since 1990.� The city's audited financial statements show an operating loss of approximately $54,000 in the Water and Sewer Funds for the year ended April 30, 2002.

The audit also includes recommendations related to accounting controls, council records, the police department, real estate transactions, property records, and the city charter.

Complete Audit Report