Determine whether the Board provided adequate oversight to ensure Village funds are properly accounted for and safeguarded.
- The Board did not adequately segregate financial duties and did not provide sufficient oversight or compensating controls such as designating someone to review bank reconciliations and other supporting documentation.
- The Treasurer, Clerk and a Board member shared passwords accessing the computerized central accounting records and the water and sewer program.
- The Board did not annually audit the Treasurer’s books and records.
- Segregate the Clerk’s and Treasurer’s financial duties or implement compensating controls such as periodic reviews of bank reconciliations, payrolls, trial balances, and water and sewer adjustment reports.
- Assign separate usernames and passwords and restrict user access to only those individuals needing access to perform their job duties.
- Annually audit the Treasurer’s records.
Village officials generally agreed with our recommendations and indicated they planned to initiate corrective action.