Friday, June 20, 2003
Town responds to auditor's advice
Sullivan & Rogers & Company, LLC, Carlisle's new audit firm, has sent the town a management letter, containing suggestions to strengthen the town's financial management. The Selectmen created an audit response group to evaluate the letter and make recommendations. Town administrator Madonna McKenzie explained that prompt response was important be-cause Moodys will read the manage-ment letter as part of the next review of Carlisle's bond rating.
The audit response group included McKenzie, Selectmen Doug Stevenson and Tony Allison, and Finance Committee member Larry Barton. They also asked temporary Treasurer/Tax Collector Linda Boucher and Town Clerk/Accountant Sarah Andreassen for their input. Stevenson presented the group's preliminary findings at the June 10 meeting of the Selectmen. They felt the following recommendations from the auditor were most important:
· Regain full staffing in the Treasurer / Tax Collector's office. Ann Vandal resigned in December of 2002 and a replacement has not yet been hired.
· Clarify procedures for cash reconciliation.
· File required reports to the state on time. The particular reports cited were the Quarterly Treasurer's Reports and Schedule A. McKenzie said that the town has frequently filed state forms a bit late over the years, but that deadlines slipped significantly last year. In the past the state has not penalized Carlisle for late filings, but McKenzie worried that the new governor might enforce the deadlines.
· Implementing the new Government Accounting Standards Board #34 (GASB 34,) for the fiscal year 2003 audit. This new state requirement includes tracking town assets and their depreciation. Along with vehicles and equipment, it will include assets such as buildings and streets. The selectmen have hired a consultant to work this summer installing necessary software, and help the town prepare the first GASB 34 report.
The audit response group will work on a formal response to the auditor's management letter in the coming weeks. The group also recommended creating an ongoing audit committee.
© 2003 The