Report No. 2011-91
October 2011
Complete Report
Findings in the audit of Dunklin County
Emergency Cash Withdrawal
The Presiding Commissioner withdrew $50,000 cash after a severe ice storm left the area without electrical service for several days. Although he obtained approval from the Associate Commissioners, this withdrawal resulted in taxpayer monies not being properly secured or disbursed, and authorization for the withdrawal was not documented. The Collector-Treasurer was not notified of the transaction, the Presiding Commissioner was not bonded, and there was inadequate support for the use of the monies.
One-Time Salary Payments
Instead of making cost of living adjustments, the county made one-time payments to employees based on year-end funds available, which may have violated the Missouri Constitution. In addition, these payments violated state statutes requiring all elected officials salary increases to be the same percentage and the prosecuting attorney's compensation to be equal to an associate circuit judge.
Sheriff Accounting Controls
The Sheriff's office does not adequately pursue collection of delinquent court-ordered board bills (prisoner housing costs). As of March 2011, the county is owed over $375,000 and some bills date as far back as 2003. There are many old inmate commissary accounts and the Sheriff should attempt to return these monies to the former inmates and dispose of any remaining monies in accordance with state law. The Sheriff's office does not reconcile a list of liabilities to the remaining cash balance in the Sheriff's fee account at the end of each month.
Property Tax and County Collector-Treasurer Procedures
The County Collector-Treasurer does not complete annual settlements of property taxes promptly and accurately, as is required by state law. The County Collector-Treasurer does not reconcile a list of liabilities to the bank account balance each month, and the amount by which the bank account exceeds liabilities has grown by almost $10,000 since 2007. The County Clerk does not maintain an adequate account book, and neither the County Clerk nor the County Commission verifies the accuracy of the County Collector-Treasurer's monthly settlements. We had similar findings in our prior audit report (2007-40).
Prosecuting Attorney Accounting Controls and Procedures
The Prosecuting Attorney does not reconcile a list of liabilities to the bank account balance each month, and the account contains nearly $37,000 of unidentified monies. The Prosecuting Attorney does not routinely follow-up on outstanding checks, and $7,764 had been outstanding in the bad check and restitution account for over one year, with some dating back to 2003. We had similar findings in our prior audit report.
Lease Revenue
Although state law requires contracts of political subdivisions be in writing, the county was unable to produce any current lease agreements with the county's tenants and could not provide any documentation to show the county is charging an appropriate amount for rent on these properties.
Capital Assets
As noted in our prior audit report, the county does not adequately protect its capital assets. The County Clerk lacks procedures to identify property purchased and disposed of during the year, and assets susceptible to theft are not always tagged for identification or included on the inventory list.
Additional Comments
Because counties are managed by several separately-elected individuals, an audit finding made with respect to one office does not necessarily apply to the operations in another office. The overall rating assigned to the county is intended to reflect the performance of the county as a whole. It does not indicate the performance of any one elected official or county office.
In the areas audited, the overall performance of this entity was Fair.* However, the audit revealed several shortcomings in the office of the Collector-Treasurer.
American Recovery and Reinvestment Act 2009 (Federal Stimulus)
During the two years ended December 31, 2010, the county was awarded:
A $208,261 Recovery Act: Assistance to Rural Law Enforcement to Combat Crime and Drugs: Enhancing Rural Corrections, Detention and Jail Operations grant. In 2010, $84,279 was received and expended to hire three additional full-time correction officers. The county is not required to maintain these positions after the grant period ends on July 31, 2011.
The Dunklin County Senate Bill 40 Board received a $51,318 Medicaid Federal Medical Assistance Percentage grant which it used for general operations.
*The rating(s) cover only audited areas and do not reflect an opinion on the overall operation of the entity. Within that context, the rating scale indicates the following:
Excellent:
The audit results indicate this entity is very well managed. The report contains no findings. In addition, if applicable, prior recommendations have been implemented.
Good:
The audit results indicate this entity is well managed. The report contains few findings, and the entity has indicated most or all recommendations have already been, or will be, implemented. In addition, if applicable, many of the prior recommendations have been implemented.
Fair:
The audit results indicate this entity needs to improve operations in several areas. The report contains several findings, or one or more findings that require management's immediate attention, and/or the entity has indicated several recommendations will not be implemented. In addition, if applicable, several prior recommendations have not been implemented.
Poor:
The audit results indicate this entity needs to significantly improve operations. The report contains numerous findings that require management's immediate attention, and/or the entity has indicated most recommendations will not be implemented. In addition, if applicable, most prior recommendations have not been implemented.
Complete Audit Report
Missouri State Auditor's Office
moaudit@auditor.mo.gov
