The City of Brighton has been given a series of procedure recommendations from the Office of Auditor of State.
Auditor Mary Mosiman released an agreed-upon procedures report for the period of July 1, 2016 through June 30, 2017. Segregation of duties like cash, investments, receipts, and payroll was recommended as well as independent reviews of bank reconciliations documented by the signature and date of the reviewer. Mosiman found that while the city attempted to reconcile monthly utility billings, the beginning balance didn’t always agree with the prior month’s ending balance. A city council member or independent person designated by the council should review the reconciliations and monitor delinquent accounts.
It was calculated that the city is charging proper sewer and water rates but didn’t keep documentation of their calculation of the current rates, and the gas rates weren’t approved by city ordinance as required by state code. Mosiman recommends the city review their ordinances and revise them to more clearly document sewer and water rates. The rates should be approved as a dollar amount instead of a percentage increase, and the gas rates should be established by ordinance as required. To read the full procedures report click here.
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