Determine whether the Town of Ephratah (Town) Town Supervisor (Supervisor) maintained complete, accurate and timely financial records and reports.
In 2017, OSC issued an audit report1 that included findings that the Town’s accounting records and reports were incomplete, inaccurate and could not be relied on to make financial decisions. The Supervisor has continued to not maintain the Town’s accounting records and reports in a complete, accurate, up-to-date or timely manner. Without reliable accounting records, the Board cannot make sound financial decisions.
- The general fund balance was understated by $34,270 and the highway fund balance was understated by $60,948.
- Bank reconciliations were not performed in a timely manner.
- Annual Update Documents (AUDs) from 2015 through 2020 were filed with the Office of the State Comptroller (OSC) between 296 and 2,092 days late.
- The Board did not annually audit the Supervisor’s records.
- Develop policies and procedures to ensure the accounting records are properly maintained.
- Complete bank reconciliations on a timely basis.
- File AUDs as required.
- Annually audit the Supervisor’s records.
Town officials generally agreed with our recommendations and have initiated, or indicated they planned to initiate corrective action.
1 Town of Ephratah Supervisor’s Records, Reports and Deposits (2016M-311)