Audit Objective 

Determine whether the Town of Lincoln (Town) Town Clerk (Clerk) properly accounted for, deposited, reported and remitted collections.

Key Findings 

The former Clerk did not properly account for, deposit, report or remit collections. When receipts are not accurately and promptly recorded or deposited, officials do not have assurance that all collections are accounted for, and money could be lost or misappropriated. For example, as of April 13, 2022, the former Clerk could not account for cash totaling $3,869.The former Clerk also did not: 

• Deposit $4,038 in cash collections recorded from January 1, 2018 through April 13, 2022.
• Maintain complete records for all cash collected. For example, Town officials found $622 in cash in her office with no supporting records showing the source of the funds.
• Record 44 checks totaling $4,320 in the accounting system, and improperly voided other receipts totaling $769.These unrecorded receipts and voids enabled the former Clerk to conceal cash collections that were recorded but not deposited.

The Town Board (Board) did not perform an annual audit of the former Clerk’s records, as required.

In July 2023, the former Clerk was arrested on charges of petit larceny for stealing nearly $4,000 from the Town. In February 2024, she pled guilty to the theft, paid full restitution of $3,869 and received a one-year conditional discharge.

Key Recommendations 

• Perform an annual audit of the Clerk’s records.
• Promptly deposit and record collections.

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