‘Significant deficiencies’ found in Carter County audit for 2nd year in a row
CARTER COUNTY, Tenn. (WJHL) — Carter County received its second consecutive poor audit from The Tennessee Comptroller of the Treasury.
On Tuesday, the Comptroller’s Office announced its annual audit for the fiscal year ending June 30, 2023 found material weaknesses, significant deficiencies and noncompliance within the Office of the Finance Director within Carter County.
The audit included 10 findings, six of which were reported in the 2022 audit report that had not been corrected, the Comptroller’s Office stated.
PREVIOUS: State audit finds Carter County finances in ‘disarray’
Two of the findings were related to the Comptroller’s Office investigations of Carter County Schools and Carter County Solid Waste departments.
According to findings in the audit, Carter County did not comply with its policy to develop a balanced budget for the 2023 fiscal year. The county reportedly budgeted to use fund balance instead of current revenues to support its operations.
Auditors noted the following noncompliances within The Office of Finance Director:
Failed to maintain accounting records
Failed to hold spending within the limits authorized by the county commission
Had deficiencies in the posting of journal entries
Did not maintain capital asset records properly
Did not properly place amounts withheld from contractor payments in an escrow account
“Carter County officials should recognize that these audit results are not acceptable,” Comptroller of the Treasury Jason Mumpower said. “The county had 11 findings last year and 10 this year, which is significantly more than the average Tennessee county. County Commissioners, the Financial Management Committee, and the Audit Committee should exercise their authority to provide oversight and accountability.”
To view all Tennessee county audit reports, click here.
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