Taylor Declares Allen County Schools Health Benefit Plan “Unauditable”

Thursday, March 12, 2009

Allen County -

Auditor of State Mary Taylor today declared the Allen County Schools Health Benefit Plan “unauditable” for fiscal years 2007 and 2008. An unauditable designation means that records and documents necessary to conduct a routine financial audit are missing, incomplete or inaccurate.

“Plan officials must maintain proper records of their financial activity in accordance with state law and established record-retention schedules.” Taylor said. “The failure to do so increases the potential of misspending or theft of public funds.”

In a letter sent to plan officials on March 4, 2009, Taylor indicates that her office was unable to obtain the following financial information:

  • Balanced bank reconciliations
  • A complete listing of all financial transactions

Plan officials can contact the Auditor of State’s Local Government Services (LGS) section for assistance record keeping deficiencies.

The letter also states that the Auditor of State reserves the right to pursue legal action if officials fail to revise financial records and provide information necessary to complete the audit.

The benefit plan will remain unauditable until all financial documents are obtained and the final audit report is released publicly.