Auditor Logo Susan Montee

Report No. 2010-25
February 2010

Complete Audit Report

The following findings were included in our audit report on Daviess County.

Unauthorized disbursements totaling $24,700 were made by the former Treasurer of the Developmentally Disabled Board to herself, and were not detected timely due to poor oversight by the Board and a lack of controls over the disbursement process. The fraudulent transactions occurred between 2005 and 2008. Charges were filed and the former Treasurer pled guilty to felony stealing and forgery in the Daviess County Circuit Court in November 2008, and was sentenced to probation and 90 days in prison, and ordered to pay restitution totaling $24,700. Monthly financial reports were either not prepared or were not presented to the Board for review at Board meetings consistently, and bank reconciliations were not performed. No record of the cash balance available was maintained and bank statements were not reviewed by the Board. The Board did not always ensure bids were solicited or retain bid documentation for purchases. In addition, adequate documentation is not retained to support some disbursements.

Physical inventories of capital assets owned by the county are not performed annually. The county does not have formal procedures for disposing of county owned property. In addition, the road and bridge department and the Sheriff's office do not maintain any records of vehicle or equipment usage/mileage or fuel and maintenance costs. Individual fuel tickets are not submitted to the County Clerk's office for comparison to the vendor billings before payments.

The Prosecuting Attorney does not adequately perform bank reconciliations, no book balance is maintained, and a liabilities list is not prepared and reconciled to the available cash balance in the checking account. In addition, monies received are not always deposited timely, and the composition of receipts slips issued is not compared to the composition of bank deposits.

Accounting duties are not adequately segregated in the Sheriff's office, and adequate controls over seized property have not been established.

The Central Dispatch Emergency Services Board approved incentive payments totaling $700 and $590 to employees during December 2008 and 2007, respectively. In addition, employee timesheets are not approved and signed by employee supervisors, and property tags are not affixed to some assets and all information applicable to an item is not included in the records.

Complete Audit Report
Missouri State Auditor's Office