YELLOW SHEET
Office of the State Auditor of Missouri
Claire McCaskill
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YELLOW SHEET Office of the State Auditor of Missouri |
Report No. 2004-63
August 30, 2004
IMPORTANT: The Missouri State Auditor is required by state law to conduct audits once every 4 years in counties, like Macon, that do not have a county auditor. In addition to a financial and compliance audit of various county operating funds, the State Auditor's statutory audit covers additional areas of county operations, as well as the elected county officials, as required by Missouri's Constitution.
This audit of Macon County included additional areas of county operations, as well as the elected county officials. The following concerns were noted as part of the audit:
The county's schedule of expenditures of federal awards, which includes health center programs, contained numerous errors and omissions. Five grants were omitted for one or both of the years ended December 31, 2003 and 2002. Omitted expenditures totaled approximately $42,000 and $60,000, respectively. In addition, ten grants were misstated by a total of approximately $135,000 and $125,000 for the years ended December 31, 2003 and 2002, respectively.
The county has not conducted a formal analysis of the factors involved when selecting from which quarry to purchase rock, including cost per mile per ton for hauling, size, and quality and cost of rock. The county paid approximately $140,000, $52,000, and $161,000 to three respective quarries during the year ended December 31, 2003.
The county has not adequately followed-up on the mid-term salary increases of approximately $7,580 given to the Associate Commissioners in 1999. On May 15, 2001, the Missouri Supreme Court handed down an opinion that challenged the validity of Section 50.333.13, RSMo, which allowed county salary commissions in 1997 to provide mid-term salary increases for associate county commissioners. The Supreme Court held this section of law violated Article VII, Section 13 of the Missouri Constitution, which specifically prohibits an increase in compensation for state, county and municipal officers during the term of office. The County Commission In June 2001, the county sent each of the prior Associate Commissioners a letter requesting payment of $16,320 for the salary overpayment plus social security benefits. However, a response was not received and no additional action has been taken.The Prosecuting Attorney frequently reduces charges filed on traffic tickets by requiring the defendants to make a "donation" to the General Revenue Fund as a condition of reducing the charges. The Prosecuting Attorney disagrees that there is a "requirement" that anyone donate to the General Revenue Fund, but noted that he does consider amending speeding tickets when a donation is made. There appears to be no authority for this practice. In addition, the "donations" are credited to the General Revenue Fund rather than the School Fund. A bad check log and a summary listing of court ordered restitution was not maintained, receipts were not always deposited or transmitted timely, and there were several old outstanding checks.
Expenditures exceeded budgeted amounts of the Health Center Fund by $17,640 for the year ended December 31, 2003. Program costs were not adequately tracked for the Comprehensive Family Program during the period March 2002 through December 2002. Health Center Board minutes are not signed and a $300 expenditure to purchase gift certificates as Christmas gifts to health center employees was authorized. Finally, the Health Center does not have a policy for recording and maintaining general fixed assets.
During the audit period, expenditures to a small engine repair business owned by the Presiding commissioner totaled approximately $1,200 annually. According to the Presiding Commissioner, he abstains from voting when his business is a party to the transaction; however, state law prohibits and county commissioner from doing business with the county.
Some annual settlements are not filed in a timely manner by the Public Administrator. In addition, one settlement filed covered a three year period.