STANWOOD — The state auditor has issued recommendations for the city to fix a flawed system for handling cash, according to an audit completed in October and released Thursday.
The audit focused on cost allocation, bidding, cash receipting and billings handled by the city in 2012 and 2013.
In an Oct. 23 letter to the city, the auditor noted that Stanwood does not have written policies in place for handling cash receipts, which totaled about $6.4 million in the past two years combined. Two cashiers share a drawer, making accountability difficult, and the city has been inconsistent in keeping some documents, according to the report. Mail is opened and lists prepared without supervision. Cash received at the police department is not always deposited within the 24-hour period required by state law.
The city has said it will solve the problems.
The auditor recommends formal written policies, clear duties for staff handling cash, increased supervision and daily deposits.
“We want to help local governments be good stewards of public funds, including internal control over cash,” state auditor Troy Kelley said in a statement Thursday. “I trust the city will follow our audit recommendations.”
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.