News Talk 94.1/AM 1600 Where The Upper Cumberland Talks
Financial firm Carr, Riggs, & Ingram (CRI) presented Algood City officials with a clean audit report during Monday’s Council work session.
Auditor Carlie Ezzle said the firm did find some minor mistakes typically found with smaller communities, including issues involving cash disbursement.
“We tested 25 and there was one where the general ledger system… the check number listed there did not agree to the check number that was actually used to pay the invoice,” Ezzle said. “That’s just a tracking issue, and that happened in August 2017. I think that management feels like we’ve resolved that. We don’t anticipate this being a problem in the future.”
CRI also discovered what they considered to be “lack of internal control over general ledgers” and “lack of segregation of duties.”
Ezzle explained although the issues aren’t major, additional oversight would help eliminate those problems altogether. However, Ezzle notes bringing in additional oversight isn’t always feasible for small communities.
“Assuming that you’re not going to do that, and we would not expect that, that’s not something you would probably get rid of,” Ezzle said. “I know when I have looked back at other years of cities’ audits, that has been on there for many years. Basically, all of the cities that we do that are this size, that is going to be a finding.”
The audit conducted by CRI covers financial records from the 2017-2018 fiscal year.
