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Audit Objective

Determine whether the Town of Springfield’s (Town) Board ensured credit card purchases were adequately supported, for legitimate purposes and approved before payment.

Key Findings

The Town Board (Board) did not ensure credit card purchases were adequately supported, for legitimate purposes or approved before payment.

• Credit card statements were mailed to the prior Supervisor and not provided to the Board or always reconciled with supporting documentation before approval.
• 116 credit card purchases totaling $18,014 did not have adequate supporting documentation.
• We were unable to determine the appropriateness of an online shopping membership totaling $420 and were unable to locate a ladder purchased for $585.
• Credit card reward points worth at least $1,250 were redeemed during the audit period. We were unable to determine whether these points were redeemed to benefit the Town.

Key Recommendations

• Establish a written credit card policy and avoid unnecessary interest charges or late fees.
• Require adequate supporting documentation and reconcile credit card claims to the credit card statements before approving payment.

Town officials agreed with our recommendations and have initiated or indicated they planned to initiate corrective action.