1992-1998-FISCAL AUDITS - Laserfiche WebLink

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i CURRENT YEAR ISSUES ' i 1. IMPROVE CAPITAL PROJECT CASH FLOW PROJECTIONS The Town undertook short-term borrowing (bond anticipation notes) for road c. improvement projects during fiscal year 1995 that were based on cash flow projections that proved to be inaccurate both in timing and cash require- ments. This resulted in the Town borrowing more funds than were ultimately required. The resulting excess interest cost will be passed on in the form of increased betterments. We recommend that, at the departmental level, more accurate cash flow projections be prepared based on the timing and cash requirements that capital project will require. More accurate cash flow forecasting for capital projects will minimize short-term borrowing requirements and the associated costs. 2. MAINTAIN/RECONCILE AMBULANCE RECEIVABLE DETAIL The Town's general ledger reflects an ambulance receivable balance of $ 135,968; however, the Fire Department was unable to provide us with a detailed list to support the balance. In addition, no reconciliation of the accounts receivable was performed between the Fire Department and the Town's general ledger. We were able to perform a reconciliation of the ambulance receivables to the Town's general ledger using records at the Fire Department. We recommend, in order to strength internal controls, that detailed receiv- able lists be maintained by the Fire Department and be regularly reconciled to the Town's general ledger. 3. OTHER ISSUES We also identified the following items that are described briefly. We will be available to discuss them with the Board of Selectmen in more detail. I Police Escort - We recommend that a police escort be present when person- nel from the Treasurer's Office make bank deposits. This will provide added security for both Town receipts and Town personnel. 3