Purpose of Audit

The purpose of our audit was to review the Town’s financial management and budgeting practices for the period January 1, 2013 through November 13, 2014.

Background

The Town of Ira is located in Cayuga County and has a population of approximately 2,200. The Town, which is governed by a five-member Town Board, includes a portion of the Village of Cato in its boundaries. Budgeted appropriations for 2014 totaled approximately $1.1 million.

Key Findings

• The Board has not developed policies and procedures to govern budgeting practices and the level of unexpended surplus funds, resulting in a significant amount of unexpended surplus funds in the Town’s operating funds.
• The Board did not develop comprehensive multiyear financial and capital plans.

Key Recommendations

• Adopt budgets with realistic estimates of anticipated revenues for the Town’s operating funds and use the unexpended fund balances in a manner that benefits taxpayers.
• Develop long-term financial and capital plans that project operating and capital needs and financing sources for a three-to-five year period.