The DeKalb city council recently received and filed its fiscal 2019 Comprehensive Annual Financial Report (CAFR) along with the auditor’s letters and communications to council and management. Although the audit was problematic, the council did not talk about the issues, so we will do it here. First, to summarize:
- The auditor detected material misstatements in the financial statements.
- The auditor found deficiencies in internal controls that are supposed to prevent and detect material misstatements.
- The auditor reported that findings from fiscal 2018 were not corrected in 2019, including mismatches between fee rates charged and the actual rates authorized by ordinance.
- For the second year in a row, the city has failed to review and properly adjust accounts at year’s end.