Audit Objective 

Determine whether the Town of Throop (Town) Board (Board) and the Highway Superintendent (Superintendent) provided adequate oversight of the Highway Department’s (Department) financial activities. 

Key Findings 

The Board and Superintendent did not provide adequate oversight of the Department’s financial activities. The Board and Superintendent did not: 

• Prior to 2021, agree, in writing, to expenditures for highway repair and improvement as required. As a result, the Board’s ability to sufficiently plan and budget for long-term road maintenance was diminished.
• Enter into written shared service agreements for projects conducted with surrounding towns or maintain records to track the costs related to these services to ensure taxpayer equity. 

The Superintendent did not: 

• Maintain a complete and up-to-date equipment inventory. As a result, the Board may not be able to sufficiently plan and budget for the replacement of highway equipment and there is an increased risk of equipment loss and misuse. 
• Retain documentation related to scrap metal sales or account for sales totaling $1,277. 

Key Recommendations 

• Annually agree, in writing, on highway repair and improvement expenditures. 
• Maintain a complete, accurate and up-to-date inventory of all Department assets. 
• Establish written policies and procedures to safeguard cash receipts. 

Town officials agreed with our recommendations and indicated they were initiating corrective action.