[read complete report – pdf] 

Audit Objective 

Determine whether the Village of Madison (Village) Clerk-Treasurer recorded and deposited all collections accurately and timely. 

Key Findings 

The Clerk-Treasurer accurately recorded collections. However, the collections were not always recorded and deposited in a timely manner and the Board of Trustees (Board) did not establish adequate controls for collections. 

• The Clerk-Treasurer did not make timely deposits for 247 collections totaling $120,743 and did not record 27 water fund collections totaling $4,120 in a timely manner. 
• Officials did not receive any reports from a third-party vendor (billing company) showing ambulance billings, collections, write-offs and unpaid balances. 
• Officials did not perform reconciliations of water and ambulance receivable accounts and the Board did not approve adjustments and write-offs. 
• The Board did not audit the Clerk-Treasurer’s records and reports. 

Key Recommendations 

• Record and deposit collections in a timely manner. 
• Develop written policies and establish procedures for the cash collection process. 
• Ensure water and ambulance receivable control accounts are maintained and periodically reconciled. 
• Provide adequate oversight of the Clerk-Treasurer’s activities and annually audit the Clerk-Treasurer’s records and reports. 

Village officials agreed with our recommendations and indicated they planned to initiate corrective action.