Iowa State Auditor Rob Sand released an audit report on the City of Sigourney last week for the year ending June 30, 2023. Included in the report were six findings related to the receipt and disbursement of taxpayer funds.

Auditor Sand’s findings address issues such as a lack of segregation of duties and a lack of review of utility reconciliations. The lack of segregation of duties stems from a limited number of employees, yet the City will follow the recommendation from Sand and review its control procedures. In regards to utility reconciliations, the City Clerk’s office will reconcile the utility billings, collections, and delinquent accounts monthly, and have the Mayor or a council member sign or initial to document the review.

A potential conflict of interest was noted on a business transaction of more than $6,000 that was not competitively bid. The City received electrical work from Atwood Electric Inc., which is owned by the brother of a council member, in the amount of $32,836. This is the second year that the City has done business with this company without a competitive bid. Following the Auditor’s recommendation, the City will consult legal counsel regarding this matter.

To view the complete audit report for the City of Sigourney, click here.