County of Fayette IllinoisLocal Government

Finding 2021-001 ? Controls Over Financial Statement Preparation Criteria Fayette County is responsible for designing, establishing, implementing, and maintaining internal controls relevant to the preparation and fair presentation of its financial statements in accordance with accounting principles generally accepted in the United States of America. Condition and Context While Fayette County maintains controls over the processing of its accounting transactions, management has requested us to prepare a draft of the County?s financial statements, including disclosures, as part of the audit. Management reviewed, approved, and accepted responsibility for the financial statements and disclosures prior to their issuance; however, management did not prepare the financial statements and disclosures. Cause The additional expense that would be incurred if County personnel prepared the financial statements and disclosures in accordance with accounting principles generally accepted in the United States of America would take away from the resources available to provide services for County residents. Effect or Potential Effect The deficiency in design of internal control over financial statement preparation is considered a material weakness in internal control because Fayette County does not have policies and procedures in place to allow for management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. Recommendation As part of its internal control over the preparation of its financial statements and disclosures, Fayette County should implement a comprehensive plan to ensure that preparation of its financial statements and disclosures are complete, accurate and timely. Responsible Official?s Response Management is aware of and agrees with the deficiency, but has decided not to correct the issue. See the corrective action plan.

Finding 2020-001 ? Controls Over Financial Statement Preparation Criteria Fayette County is responsible for designing, establishing, implementing, and maintaining internal controls relevant to the preparation and fair presentation of its financial statements in accordance with accounting principles generally accepted in the United States of America. Condition and Context While Fayette County maintains controls over the processing of its accounting transactions, management has requested us to prepare a draft of the County?s financial statements, including disclosures, as part of the audit. Management reviewed, approved, and accepted responsibility for the financial statements and disclosures prior to their issuance; however, management did not prepare the financial statements and disclosures. Cause The additional expense that would be incurred if County personnel prepared the financial statements and disclosures in accordance with accounting principles generally accepted in the United States of America would take away from the resources available to provide services for County residents. Effect or Potential Effect The deficiency in design of internal control over financial statement preparation is considered a significant deficiency in internal control because it adversely affects the County?s ability to report financial data accurately and timely in accordance with accounting principles generally accepted in the United States of America. Recommendation As part of its internal control over the preparation of its financial statements and disclosures, Fayette County should implement a comprehensive plan to ensure that preparation of its financial statements and disclosures are complete, accurate and timely. Responsible Official?s Response Management is aware of and agrees with the deficiency, but has decided not to correct the issue. See the corrective action plan.

Finding 2019-001 ? Controls Over Financial Statement Preparation Criteria Fayette County is responsible for establishing and maintaining internal controls, including monitoring, and for the fair presentation of its financial statements in accordance with accounting principles generally accepted in the United States of America. Condition and Context While Fayette County maintains controls over the processing of its accounting transactions, management has requested us to prepare a draft of the County?s financial statements, including related notes to the financial statements, as part of the audit. Management reviewed, approved, and accepted responsibility for the financial statements prior to their issuance; however, management did not prepare the financial statements and related notes. Cause The additional expense that would be incurred if County personnel prepared the financial statements in accordance with accounting principles generally accepted in the United States of America would take away from the resources available to provide services for County residents. Effect or Potential Effect The deficiency in design of internal control over financial statement preparation is considered a significant deficiency in internal control because it adversely affects the County?s ability to report financial data accurately and timely in accordance with accounting principles generally accepted in the United States of America. Recommendation As part of its internal control over the preparation of its financial statements, including disclosures, Fayette County should implement a comprehensive plan to ensure that preparation of its financial statements, including disclosures, are complete, accurate and timely. Responsible Official?s Response Management is aware of and agrees with the deficiency, but has decided not to correct the issue. See the corrective action plan.