Purpose of Audit

The purpose of our audit was to evaluate the internal controls established over the Court’s financial activities for the period January 1, 2012, through April 1, 2013.

Background

The Town of Conesus is located in Livingston County and is governed by an elected Town Board, which comprises four Council members and the Town Supervisor. The Town collected approximately $16,800 in fines and surcharges during the 2012 fiscal year.

Key Findings

Our audit identified deficiencies in providing adequate oversight of Court operations including depositing, recording, reconciling, and reporting.

• The Justices did not sufficiently segregate the Clerk’s duties or establish adequate procedures for reviewing her work.
• The Justices also failed to reconcile their bail records to the Clerk’s accounting records, or review the information the Clerk entered into the Court’s database system.
• The Justices did not ensure that all money received was deposited and recorded in a timely manner, or that monthly reports were submitted to the Justice Court Fund (JCF) within the time allowed.
• Because the Board failed to conduct annual audits of the Court’s financial records, no one can be certain that all Court money was accurately reported and accounted for.

Key Recommendations

• Adequately segregate financial duties in Court operations, or implement compensating controls.
• Ensure that the bail records agree with the balances shown in the accounting records, and that any differences are resolved.
• Ensure that all money is deposited in a timely manner, as required, and promptly recorded in the accounting records. Submit the monthly reports to the JCF in a timely manner, as required.
• Perform timely annual audits of the Justices’ books, and document evidence indicating the audit steps performed, the records reviewed, and the results in the Board minutes.