Purpose of Audit

The purpose of our audit was to determine whether the Town Board effectively monitored the Town’s financial condition for the period January 1, 2016 through December 31, 2017.

Background

The Town of Franklin is located in Delaware County and has a population of approximately 2,400. The Town is governed by an elected five-member Town Board. Budgeted appropriations for 2018 total approximately $1.7 million.

Key Findings

• Since 2014, the town-outside-village (TOV) Highway fund balance decreased by 59 percent to $87,500, or 13 percent of expenditures.
• The Town Supervisor did not provide the Board with complete financial reports or file annual financial reports (AUDs) with the Town Clerk or OSC.
• The Board did not audit the records or reports of the Supervisor.

Key Recommendations

• Reduce the Town’s reliance on TOV Highway fund balance as a financing source for recurring expenditures.
• The Supervisor should provide the Board with accurate balance sheet reports and complete a timely AUD each year, file it with OSC and provide a copy to the Clerk and Board members.
• The Board should annually audit the records and reports of the Supervisor.