The Missouri State Auditor’s office of Nicole Galloway has released the official state audit of the City of Monroe City. The audit, which was requested by concerned citizens of Monroe City, along with some of the Alderman in 2018 shows results of a poor rating. Upon request, several elected officials explained the request would give the City a clean slate and allow them to see areas of needed improvement.
The poor rating is the lowest rating a city can receive. The audit results indicate the city 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.
The audit included a Management Advisory Report identifying findings in the following areas: water and sewer systems contract; restricted assets; utilities; written contracts; real estate transactions and economic incentives; accounting controls and procedures; procurement procedures; fire service billing and collection procedures; payroll controls and procedures; closed meetings; budgets and ordinances; and electronic data security.
The audit also included a letter addressed to the Honorable Mayor and members of the Board of Alderman. The letter stated, “In the areas audited the office identified deficiencies in internal controls, noncompliance with legal provisions and the need for improvement in management practices and procedures.” The objectives of the audit were to evaluate the city’s internal controls over significant management and financial functions, to evaluate the city’s compliance with certain legal provisions and evaluate the economy and efficiency of certain management practices and procedures, including certain financial transactions.
Several recommendations were included in the State Audit for the Board of Alderman to take into consideration. The City’s response included corrections, including several which had already been implemented.