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Audit Objective

Determine whether the Town Clerk (Clerk) recorded, deposited, remitted and reported all collections received in a timely and accurate manner.

Key Findings

The Clerk did not:

• Record all collections received in a timely and accurate manner.
• Deposit all collections timely and intact. As of October 31, 2018, $843 in recorded cash collections had not been deposited and were unaccounted for.
• Prepare accountability analyses.

The Board did not:

• Annually audit or obtain an audit of the Clerk’s records and reports.

Based upon our audit findings and subsequent investigation, the Clerk was arrested on April 29, 2021 and charged with falsifying business records in the first degree, corrupting the government in the fourth degree and official misconduct. On December 14, 2021, the Clerk pleaded guilty to Attempted Falsifying Business Records in the second degree.

Key Recommendations

• Record receipts for all collections received in the Clerk’s software in a timely and accurate manner.
• Ensure accountability analyses are prepared monthly, whereby known liabilities are reconciled to available cash.
• Take appropriate action to recover any money due the Town.
• Annually audit, or cause to be audited, the Clerk’s financial records and reports.

Town officials generally agreed with our recommendations and indicated they planned to initiate corrective action.