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"Page 3 <br /> was certified as being in agreement with the accounting records which it was not <br /> due to the posting error of $200,000.00. The purpose of this certification is to <br /> insure that controls over the Town Treasurers s handling of cash are being main— <br /> tained and it is certainly obvious that at this point they were not. <br /> The primary assets to be controlled by maintaining ledgers are cash and <br /> investments, taxes receivable, tax titles and possessions, and other assets <br /> receivable. My preliminary inquiries into these areas indicated that controls <br /> were being maintained however my audit showed that they were not. Taxes <br /> receivable are recorded in a separate account for each type of tax and year <br /> committed. The Collector of Taxes is responsible for collecting these taxes <br /> and determining that only those collected or properly abated are removed from <br /> the records. The Town accounting department is responsible for maintaining a <br /> control of these taxes through the accounting records and for determining <br /> at regular intervals that the total value of the unpaid tax bills held by the <br /> collector is in agreement with the controls. There is no procedure currently <br /> An effect in the town for maintaining such a control. It is my feeling from <br /> observing the operations of the departments involved that the reason for not <br /> making these controls work is lack of definitive responsibilities and a central <br /> authority that sets responsibility and requires reporting of compliance with <br /> instructions. I recommend that in order to provide assurance that the assets <br /> of the town are properly protected through efficient record keeping and that <br /> reports prepared by or certified by the accounting department be based on <br /> completed records that the following procedures be initiated. <br /> That the board of selectmen or a committee or person designated by them <br /> prepare a schedule of duties of the accounting department and a time schedule <br /> for completion of various duties. The board should then give definitive <br /> authority to such a committee to determine at regular intervals that such <br /> duties are being performed by examination of supporting records and reconciliations. <br />