YELLOW SHEET Office of the State Auditor of Missouri Claire McCaskill

Report No. 2006-75

December 2006

IMPORTANT:  The Missouri State Auditor is required by state law to conduct audits once every 4 years in counties, like Dent County, that do not have a county auditor.  In addition to a financial audit of various county operating funds, the State Auditor's statutory audit covers additional areas of county operations, as well as the elected county officials, as required by Missouri's Constitution.

Reconciliations of the county�s accounting records are not adequate.   The County Clerk and Treasurer reconcile computer records with the Treasurer�s manual fund ledger for General Revenue Fund, Special Road and Bridge Fund, Assessment Fund, and 911 Emergency Fund disbursements.  However, the County Clerk does not perform reconciliations between the manual ledger and the computer system for other funds which are entered into the system by the County Treasurer.  Reconciliations would provide a more effective check-and-balance system, increase the likelihood of timely detection of errors and omission, and improve financial reporting.

The Juvenile Office budget did not include all anticipated revenues and expenditures, and cash balances were not reflected.  In addition, the Juvenile Office Fund budget was not filed with the State Auditor�s Office, and actual expenditures exceeded budgeted amounts.

Various county procedures are in need of improvement including tracking federal awards, ensuring passwords are periodically changed and remain confidential, and ensuring all equipment is recorded on the fixed asset listing.  In addition, the county�s annual published financial statements did not include information for the Juvenile Office Fund and included only those amounts that passed through the County Treasurer for the Health Center Fund and the Developmental Disabilities Fund.  Finally, documentation was not maintained to support property tax rollback calculations or 911 expenses incurred by the LEST Fund.

Controls over the property tax system could be improved including the verification of the delinquent tax books and amounts reported for property tax additions.  In addition, reporting errors on the County Collector�s annual settlements may have been identified more timely had a thorough review of the settlements been performed. 

The Circuit Clerk Office accounting procedures could be improved by adequately segregating duties, following-up on old outstanding checks, and depositing more timely.  In addition, differences between the bank reconciliation and the monthly fee report were not always resolved in a timely manner for the Ex Officio Recorder of Deeds account.

There is no independent review to ensure manual receipt slips issued by the Associate Circuit Division were properly entered into the computer system.  In addition, official pre-numbered receipt slips should be obtained and used when manual receipt slips are necessary.

The Health Center Fund budget reported inaccurate amounts for cash, revenues, and expenditures.  In addition, accounting duties are not adequately segregated for the Cardio Vascular Wellness Program and receipt slips are not issued for some sales.

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