An audit from the office of State Auditor Nicole Galloway has identified concerns with county government operations in Wayne County.
Responses from county officials indicated many issues have been resolved or are being handled.
The audit, released Monday, gave Wayne County a rating of “fair.” Reports produced from the state auditor’s office rate government entities on a four-tiered scale with “fair” as the second-lowest score possible and “excellent” the highest.
County clerk Kent Sisco noted that on the two previous audits, the county received a “poor” rating.
“We are making improvements,” Sisco said. "All of the (issues) from my office and the commissioners have been handled."
Sisco also said the county expects to see more audits over the next two years as part of requirements for receiving and spending large federal disbursements through the CARES Act and American Rescue Plan.
“Government officials are responsible for safeguarding taxpayer dollars,” Galloway said in a statement. “In Wayne County, our audit found several instances where safeguards were not in place, putting those resources at risk.”
Many findings in the audit originated from the County Collector’s Office. The audit found the collector did not prepare and file an annual settlement for the years ended Feb. 29, 2020, and Feb. 28, 2021, as required by state law. Because the annual settlements were not filed, the county commission cannot verify the collector’s accounts.
In a response, the county stated that, “There are no instructions for the annual settlement form and the prior county collector removed all previous records, which would have provided an example to follow. I have consulted with another county collector’s office to obtain training in the preparation of this form and plan to file the year ended Feb. 29, 2020, and the year ended Feb. 28, 2021, annual settlements soon, and file annual settlements timely in the future.”
Among others, the audit also found the following weaknesses in County Collector’s Office procedures: monthly bank reconciliations were not prepared adequately or timely, accurate book balances were not maintained for all bank accounts, distributions to political subdivisions were not always timely in accordance with state law.
A daily reconciliation worksheet has been developed to reconcile accounting and bank records, Wayne County officials told auditors. This worksheet is now completed by personnel and reviewed by the county collector on a daily basis, they said.
Other reconciliation procedures have been updated and monthly lists of liabilities are being prepared, with any difference in reconciliation investigated and resolved, they further reported.
According to a release from Galloway’s office, the audit also found the county clerk does not maintain an account book or other records summarizing property tax charges, transactions and changes.
“Since the audit, we have taken action to implement procedures to maintain an account book that we now reconcile with the County Collector’s office on a monthly basis,” the county clerk’s office reported. “Action will be taken to implement a process to verify the accuracy of the tax books and maintain documentation.”
In addition, the audit reported the offices of the sheriff and prosecuting attorney need to improve accounting controls and procedures.
“Daily deposits are now reviewed by two people to ensure deposits are correct and deposits (cash and checks) are compared for accuracy,” Wayne County officials reported to auditors. “Bank records are received monthly and documented by signature by the sheriff. A control sheet is reviewed by either the Sheriff or other office staff for accuracy of disbursements.”
Other recommendations from auditors are in the process of being implemented, officials said, including monthly control sheets for liabilities and a physical inventory of all commissary items.
“As of June 2021, the prosecuting attorney’s office has been issuing computer-generated receipts of all payments,” officials further reported. “All money orders made out to the prosecuting attorney’s office are endorsed upon receipt as well.”
The report also found controls over computers in some county offices were not sufficient. The county also has not developed records management and retention policies regarding electronic messaging in compliance with established guidelines, according to the release from Galloway’s office.
The county commission provided the following response to auditors, “Action has been taken to require ALL employees to have distinct/individual passwords to access their computer, and to change their passwords periodically.
The prosecuting attorney also said that beginning Aug. 19, passwords are required to be updated every 90 days.
The elected officials and their compensation paid for the year ended Dec. 31 (except as noted) are, according to the audit: Brian M. Polk, Presiding Commissioner $28,400; Bill Hovis, Associate Commissioner 26,400; Chad Henson, Associate Commissioner 26,400; Cindy Stout, Recorder of Deeds 40,000; Kenton E. Sisco, County Clerk 40,000; Michael J. Anderson, Prosecuting Attorney 47,000; Dean Finch, Sheriff 44,000; Amber Sturgeon, County Treasurer 40,000; Gary Umfleet, County Coroner 12,000; Donna Eads, Public Administrator 40,000; Rhonda Cates, County Collector, year ended Feb. 28, 40,000; and Francis K. Huitt, County Assessor, year ended Aug. 31, 40,000.
See a copy of the Wayne County audit at www.auditor.mo.gov/AuditReport/ViewReport?report=2021109&token=4484943614.