EIN: 416005401
UEI: GSA_MIGRATION
Audited by: OBERLOH & OBERLOH, LTD.
Oversight agency: 66 [Environmental Protection Agency]
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Data as of September 7, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on June 13, 2022. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by December 13, 2022 (1366 days ago).
What is a management decision? →The City's personnel prepare periodic financial information for internal use that meets the needs of management and the City Council. However, the City does not have internal resources to identify all journal entries required to maintain a general ledger and prepare full-disclosure financial statements required by generally accepted accounting principles for external reporting. The City is aware of this significant deficiency, and obtains our assistance in the preparation of the City's annual financial statements. Cause: The City does not have the internal expertise needed to handle all aspects of the external financial reporting. Effect or Potential Effect: The City's management is aware of the deficiency and addresses it by reviewing and approving the adjusting journal entries and completed statements prior to distribution to the end users. Questioned Cost: None. Context: During our audit, adjustments were made to the trial balance to prepare financial statements. Repeat of Prior-Year Finding: 2020-001 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to prepare the financial statements and maintain a working knowledge of the required disclosures."
Show full finding ▾Hide full finding ▴"Criteria: The City does not have the internal resources to identify all journal entries required to maintain a general ledger and to prepare the full-disclosure financial statements in conformity with generally accepted accounting principles. Condition: The City's personnel prepare periodic financial information for internal use that meets the needs of management and the City Council. However, the City does not have internal resources to identify all journal entries required to maintain a general ledger and prepare full-disclosure financial statements required by generally accepted accounting principles for external reporting. The City is aware of this significant deficiency, and obtains our assistance in the preparation of the City's annual financial statements. Cause: The City does not have the internal expertise needed to handle all aspects of the external financial reporting. Effect or Potential Effect: The City's management is aware of the deficiency and addresses it by reviewing and approving the adjusting journal entries and completed statements prior to distribution to the end users. Questioned Cost: None. Context: During our audit, adjustments were made to the trial balance to prepare financial statements. Repeat of Prior-Year Finding: 2020-001 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to prepare the financial statements and maintain a working knowledge of the required disclosures."
"Auditor Prepared Financial Statements Name of Contact Person: Michael Schulte, City Administrator Correction Action: The City Administrator will continue to review GASB pronouncements and GASB disclosure checklists to ensure he is aware of financial statement requirements and new pronouncements. Proposed Completion Date: The City Council will implement the above procedures immediately."
2020-001
The City does not have adequate segregation of accounting duties. Cause: There are a limited number of office employees. Effect or Potential Effect: The lack of adequate segregation of accounting duties could adversely affect the City's ability to initiate, record, process and report financial data consistent with the assertions of management in the financial statements. Questioned Cost: None. Context: During our audit, we noted the City does not maintain proper separation within the accounting function of the City to ensure proper segregation of accounting duties. Repeat of Prior-Year Finding: 2020-002 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal control that supports the adequate segregation of duties. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to maintain proper segregation of duties."
Show full finding ▾Hide full finding ▴"Criteria: Internal control that supports the City's ability to initiate, record, process and report financial data consistent with the assertions of management in the financial statements requires adequate segregation of accounting duties. Condition: The City does not have adequate segregation of accounting duties. Cause: There are a limited number of office employees. Effect or Potential Effect: The lack of adequate segregation of accounting duties could adversely affect the City's ability to initiate, record, process and report financial data consistent with the assertions of management in the financial statements. Questioned Cost: None. Context: During our audit, we noted the City does not maintain proper separation within the accounting function of the City to ensure proper segregation of accounting duties. Repeat of Prior-Year Finding: 2020-002 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal control that supports the adequate segregation of duties. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to maintain proper segregation of duties."
"Segregation of Duties Name of Contact Person: Michael Schulte, City Administrator Correction Action: The finance related tasks will be separated as much as possible and alternative controls will be used to compensate for the lack of separation. The City Council will become more involved in providing some of these controls. Proposed Completion Date: The City Council will implement the above procedures immediately."
2020-002
FAC accepted this audit on June 22, 2021 — management decision was due December 22, 2021.
The City's personnel prepare periodic financial information for internal use that meets the needs of management and the City Council. However, the City does not have internal resources to identify all journal entries required to maintain a general ledger and prepare full-disclosure financial statements required by generally accepted accounting principles for external reporting. The City is aware of this significant deficiency, and obtains our assistance in the preparation of the City's annual financial statements. Cause: The City does not have the internal expertise needed to handle all aspects of the external financial reporting. Effect or Potential Effect: The City's management is aware of the deficiency and addresses it by reviewing and approving the adjusting journal entries and completed statements prior to distribution to the end users. Questioned Cost: None. Context: During our audit, adjustments were made to the trial balance to prepare financial statements. Repeat of Prior-Year Finding: 2019-001 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to prepare the financial statements and maintain a working knowledge of the required disclosures.
Show full finding ▾Hide full finding ▴Criteria: The City does not have the internal resources to identify all journal entries required to maintain a general ledger and to prepare the full-disclosure financial statements in conformity with generally accepted accounting principles. Condition: The City's personnel prepare periodic financial information for internal use that meets the needs of management and the City Council. However, the City does not have internal resources to identify all journal entries required to maintain a general ledger and prepare full-disclosure financial statements required by generally accepted accounting principles for external reporting. The City is aware of this significant deficiency, and obtains our assistance in the preparation of the City's annual financial statements. Cause: The City does not have the internal expertise needed to handle all aspects of the external financial reporting. Effect or Potential Effect: The City's management is aware of the deficiency and addresses it by reviewing and approving the adjusting journal entries and completed statements prior to distribution to the end users. Questioned Cost: None. Context: During our audit, adjustments were made to the trial balance to prepare financial statements. Repeat of Prior-Year Finding: 2019-001 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to prepare the financial statements and maintain a working knowledge of the required disclosures.
Auditor Prepared Financial Statements Name of Contact Person: Michael Schulte, City Administrator Correction Action: The City Administrator will continue to review GASB pronouncements and GASB disclosure checklists to ensure he is aware of financial statement requirements and new pronouncements. Proposed Completion Date: The City Council will implement the above procedures immediately.
2019-001
The City does not have adequate segregation of accounting duties. Cause: There are a limited number of office employees. Effect or Potential Effect: The lack of adequate segregation of accounting duties could adversely affect the City's ability to initiate, record, process and report financial data consistent with the assertions of management in the financial statements. Questioned Cost: None. Context: During our audit, we noted the City does not maintain proper separation within the accounting function of the City to ensure proper segregation of accounting duties. Repeat of Prior-Year Finding: 2019-002 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal control that supports the adequate segregation of duties. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to maintain proper segregation of duties.
Show full finding ▾Hide full finding ▴Criteria: Internal control that supports the City's ability to initiate, record, process and report financial data consistent with the assertions of management in the financial statements requires adequate segregation of accounting duties. Condition: The City does not have adequate segregation of accounting duties. Cause: There are a limited number of office employees. Effect or Potential Effect: The lack of adequate segregation of accounting duties could adversely affect the City's ability to initiate, record, process and report financial data consistent with the assertions of management in the financial statements. Questioned Cost: None. Context: During our audit, we noted the City does not maintain proper separation within the accounting function of the City to ensure proper segregation of accounting duties. Repeat of Prior-Year Finding: 2019-002 Recommendations: For entities of the City's size, it generally is not practical to obtain the internal control that supports the adequate segregation of duties. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation that it is not cost effective for the City to maintain proper segregation of duties.
Segregation of Duties Name of Contact Person: Michael Schulte, City Administrator Correction Action: The finance related tasks will be separated as much as possible and alternative controls will be used to compensate for the lack of separation. The City Council will become more involved in providing some of these controls. Proposed Completion Date: The City Council will implement the above procedures immediately.
2019-002
Data source: This information comes from the Federal Audit Clearinghouse, the official repository of Single Audit data. All data is public domain. Verify this organization's audit history at fac.gov.
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