Audit Objective 

Determine whether Village of North Haven (Village) officials ensured collections were properly collected, recorded and deposited. 

Key Findings 

Village officials did not ensure collections were properly collected, recorded and deposited in a timely manner. As a result, the Village has an increased risk that funds could be lost, misused or misappropriated. We reviewed 922 collections totaling $1.4 million and identified 486 collections totaling $829,694 that had one or more discrepancies, as follows: 

• 72 collections totaling $238,032 did not indicate the form of payment (cash or check). Therefore, officials and OSC auditors could not determine whether the deposits were deposited in the same form and amount as collected (intact). 
• 358 collections totaling $537,175 did not indicate the date of receipt. Therefore, officials and OSC auditors could not confirm whether the collections were deposited in accordance with Village Law Section 4-408. 
• 48 collections totaling $53,722 were not deposited in a timely manner, and 69 collections totaling $57,426 were not recorded on a timely basis, increasing the risk for errors or misappropriations. 

In addition, officials did not properly segregate the duties of, or review the work performed for, collecting, recording and depositing of collections. Furthermore, building department records were not properly maintained, and independent reviews and reconciliations were not performed. As a result, errors and irregularities were not detected and corrected. 

Recommendations 

The audit report includes eight recommendations, which, if implemented, will improve the Village’s collections process. 

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