Determine whether the Village of Sidney (Village) Board of Trustees (Board) and Clerk-Treasurer properly monitored selected financial activities.
The Board and Clerk-Treasurer did not properly monitor selected financial activities. As a result, total general fund balance for fiscal year-end 2021-22 was overstated by $571,719, the transparency of Village financial operations was compromised, and taxpayers were not assured the Board was effectively monitoring airport operations and financial condition. Specifically:
- For the past five years, the total airport operating deficits exceeded $293,000.
- Delinquent taxes totaling $575,182 date back to fiscal year 2011-12 and officials cannot identify which taxpayers owe $60,452 of that total.
- General fund assets were overstated by $288,510 and liabilities by $434,929 in fiscal year 2021-22.
- Two capital project funds and three community development funds have negative fund balances that may require a transfer from the general fund to pay remaining liabilities. About $700,000 of the Village’s $1 million fund balance may be needed to satisfy the liabilities.
- Analyze the airport’s revenues and expenditures to determine whether revenues are adequate to cover expenditures and take appropriate action as needed to help ensure the airport is self-sufficient.
- Collect delinquent real property taxes.
- Maintain proper accounting records and provide the Board with adequate reports to make financial decisions.
Village officials generally agreed with our findings and indicated they plan to initiate corrective action.