Purpose of Audit

The purpose of our audit was to review the Town’s financial operations for the period January 1, 2013 through January 29, 2014.

Background

The Town of Tuxedo is located in Orange County and has a population of approximately 3,600. The Town is governed by an elected five-member Town Board. Budgeted appropriations for 2014 totaled approximately $9.5 million for all funds, including special districts.

Key Findings

• The Supervisor did not maintain complete and up-to-date accounting records and did not provide the Board with detailed monthly financial information.
• The certified public accountant’s audits did not ensure that financial records were complete and did not properly account for justice court revenue.
• The bookkeeper has the ability to perform all aspects of the disbursement process without oversight.

Key Recommendations

• Ensure that accounting records are complete and accurate and provide appropriate monthly financial information to the Board to help it manage Town finances and evaluate financial condition.
• Review previous accounting for justice court revenues and make any necessary adjustments.
• Ensure that the bookkeeper’s duties are adequately segregated and establish compensating controls as necessary.