City of Valley Springs

City of Valley Springs

_____ Notice of audit _____

Of the Fiscal Affairs of the

Municipality of Valley Springs 

Notice is hereby given that the records and books of account of the Municipality of Valley Springs, South Dakota, have been audited by Schoenfish & Co., Inc., Certified Public Accountants of Parkston, South Dakota for the two years ended December 31, 2018.  A detailed report thereon, containing additional information, is filed with the Municipality of Valley Springs and the Department of Legislative Audit in Pierre, South Dakota for public inspection.

The following finding and recommendation referred to in the report are hereby listed in accordance with the provisions of SDCL 4-11-12.

CURRENT AUDIT FINDING AND RECOMMENDATION

Finding:

A material weakness in internal controls was noted due to lack of proper segregation of duties for the revenues.  This is the first consecutive audit in which a similar deficiency has been reported. 

Recommendation:

We recommend that the Municipality of Valley Springs officials be cognizant of this lack of segregation of duties for revenues and attempt to provide compensating internal controls whenever, and wherever, possible and practical.

Management’s Response:

The Municipality of Valley Springs Mayor, Carl Moss, is the contact person responsible for the corrective action plan for this comment.  This comment is due to the size of the Municipality of Valley Springs, which precludes staffing at a level sufficient to provide an ideal environment for internal controls.  We are aware of this problem and are attempting to develop a policy to provide compensating controls. 

RUSEELL A. OLSON, AUDITOR GENERAL 

DEPARMENT OF LEGISLATIVE AUDIT

Published twice at a cost of $33.78

August 19 & 26, 2020