Auditor Logo Tom Schweich

Report No. 2011-110
December 2011

Complete Report
Findings in the audit of Pulaski County


Prosecuting Attorney Procedures
Although prior audit reports identified inadequacies in the Prosecuting Attorney's procedures, improvements have not been made and significant weaknesses still exist. Some receipts were not recorded in the accounting system or deposited timely, and money orders are not restrictively endorsed immediately. These weaknesses increase the risk of loss, theft, or misuse of funds. Fifty-nine receipts, totaling $8,034, were not deposited or recorded in the accounting system. Auditors were eventually able to account for 40 of these receipts. However, the disposition of 19 receipts, totaling $2,777, could not be verified.

Accounting duties are not adequately segregated, and the Prosecuting Attorney does not conduct a detailed review to ensure all monies are accounted for properly. The Prosecuting Attorney's office lacks an adequate system to account for the disposition of bad check complaint forms, and the auditors identified two complaint forms for which no collection actions had begun. The Prosecuting Attorney's office did not timely perform bank reconciliations and did not follow up on unreconciled differences or outstanding checks. The county owes the Missouri Office of Prosecuting Attorneys $17,754 for fees collected on bad check cases dating back to June 2006.

Sheriff Procedures
The Sheriff's department lacks adequate controls and oversight for managing inmate monies. The cash on hand for inmates was $200 less than the amount shown on inmate account logs. Accounting duties for civil service, inmate monies, and conceal and carry monies are not adequately segregated or reviewed. Receipt slips are not always issued, some receipt slips are unnumbered, and the numerical sequence of numbered receipt slips is not accounted for properly. Civil service fee receipts and conceal and carry permit fee receipts are not deposited timely and intact, increasing the risk of loss, theft, or misuse of funds. The Sheriff's department did not promptly return monies held in trust to released inmates and did not turn certain monies over to the County Treasurer as required by state law. The Sheriff's department should close two old inactive bank accounts with a total balance of over $3,500. Our prior audit reports contained findings similar to most of the findings in this report.

Property Tax System
As noted in our prior audit report, the property tax system lacks adequate internal controls and procedures. Neither the County Clerk nor the County Commission reviews the activities of the County Collector or verifies the County Collector's monthly or annual settlements. Annual settlements do not include tourism taxes, and the County Clerk does not prepare or review the tax books. In addition, various aggregate abstract reports were not consistently prepared as required by state law.

County Procedures
The County Commission meeting minutes did not provide sufficient details to show how some issues discussed in closed meetings were allowable under the Sunshine Law. Outstanding checks are not adequately followed up.

The 2011 county budget understated the principal balance of the Neighborhood Improvement District bonds by nearly $50,000.

Additional Comments
Because counties are managed by several separately-elected individuals, an audit finding made with respect to one office does not necessarily apply to the operations in another office. The overall rating assigned to the county is intended to reflect the performance of the county as a whole. It does not indicate the performance of any one elected official or county office.

In the areas audited, the overall performance of this entity was Fair.* However, the audit revealed several shortcomings within the Prosecuting Attorney's office and the Sheriff's department.

American Recovery and Reinvestment Act 2009 (Federal Stimulus)
During the 2 years ended December 31, 2010, the county was awarded the following Federal Stimulus funds:

A $288,921 Recovery Act-Assistance to Rural Law Enforcement to Combat Crime and Drugs: Enhancing Rural Corrections, Detention and Jail Operations grant, of which $99,527 was received. The county spent $97,475 for jailor's salaries and other payroll-related expenses and $2,052 for training.

A $170,502 Recovery Act-Assistance to Rural Law Enforcement to Combat Crime and Drugs: Improving Rural Law Enforcement Investigations grant, of which $64,862 was received. The county spent $60,963 for dispatcher and evidence technician salaries and other payroll-related expenses and $3,899 for a barcode reading program.

A $58,610 Recovery Act-Edward Byrne Memorial Justice Assistance Grant Program Local Solicitation grant, of which $57,309 was received and expended for rifles, ammunition and other equipment.

The Senate Bill 40 Board received $12,396 under Title V, Section 5011 of the Recovery Act which provided additional funding through the Medicaid Federal Medical Assistance Percentage grant and the Targeted Case Management Case grant for Medicaid expenditures and case management services.

*The rating(s) cover only audited areas and do not reflect an opinion on the overall operation of the entity. Within that context, the rating scale indicates the following:

Excellent:
The audit results indicate this entity is very well managed. The report contains no findings. In addition, if applicable, prior recommendations have been implemented.

Good:
The audit results indicate this entity is well managed. The report contains few findings, and the entity has indicated most or all recommendations have already been, or will be, implemented. In addition, if applicable, many of the prior recommendations have been implemented.

Fair:
The audit results indicate this entity needs to improve operations in several areas. The report contains several findings, or one or more findings that require management's immediate attention, and/or the entity has indicated several recommendations will not be implemented. In addition, if applicable, several prior recommendations have not been implemented.

Poor:
The audit results indicate this entity needs to significantly improve operations. The report contains numerous findings that require management's immediate attention, and/or the entity has indicated most recommendations will not be implemented. In addition, if applicable, most prior recommendations have not been implemented.

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Missouri State Auditor's Office
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