Findings: Material Weakness 3-2013
Criteria: Each cash account for the County is a custodian of should have a reconciliation to the General Ledger performed on it each month. Some accounts by their very nature of inactivity only received a bank statement on a quarterly basis and should be reconciled accordingly.
Condition: Thirty-one bank accounts do not have a reconciliation performed on them and if they do they are not reconciled to the General Ledger.
Context: The audit plan and programs require the auditor to look at the assets of the entity to satisfy specific assertions such as an account balance being a right of the County and that it is valued properly. REPEAT FINDING
Cause: The. County does not currently have a period end close procedure that would identify recurring issues and ensure the financial reporting framework in accurate. (sic)
Effect: Without the inclusion of the cash balances on the a Government-wide Statements and the fund financial statements , the assets and the corresponding net position/ fund balances are understated.
Recommendation: A defined close schedule should be developed and adhered to thing establishes a routine schedule based upon a set number of business days to accomplish specific task in order to effectively close an accounting period.