Determine whether Town officials designed appropriate internal controls over fuel inventory to adequately safeguard Town assets.
- We found that 733 out of 840 (87 percent) fuel usage documents were not completed or kept up to date by Highway Department personnel.
- Of the 43,632 gallons of fuel (gasoline and diesel) used, valued at $93,324, Town officials were only able to account for 12,571 gallons (29 percent), valued at $23,325.
- The fuel access keys were not kept locked or in a controlled environment. Nine of the 26 fuel keys were unsecured inside the vehicles assigned.
- Ensure accurate fuel delivery and inventory records are maintained and periodic fuel inventory reconciliations are performed, documented and reviewed.
- Implement policies and procedures for tracking fuel usage to ensure fuel is used for Town purposes.
- Ensure fuel keys are kept locked in a secure environment.
Town officials agreed with our findings and recommendations and indicated they plan to take corrective action.