El Dorado County Grand Jury
• 2003-2004
• Agency Response
Trust Funds Reason for the report
⚠️ Translation Notice: This content has been automatically translated. The original English text is the official version. Translation may contain errors.
⚠️ Este contenido ha sido traducido automáticamente. El texto original en inglés es la versión oficial. La traducción puede contener errores.
Findings and Recommendations 6 findings
F1
Page 1
Department heads are not required to reconcile trust fund accounts. As of 6/30/03, five departments had 15 unreconcilable trust fund accounts totaling $156,733.
Related Recommendations (1)
R1
Maintenance and reconciliation of each trust fund account must be reviewed by each department and justified to the CAO on an annual basis.
F2
Page 1
As of 6/30/03, there existed 387 open trust fund accounts totaling $111,153,594.
Related Recommendations (1)
R2
Page 1
County must establish definitive schedules for the expenditure of funds in trust accounts.
F3
Page 1
There are 47 open trust fund accounts with a zero balance.
Related Recommendations (1)
R3
Page 1
County must review the need for trust fund accounts that have zero balance and close those whose need cannot be justified as to remaining open.
F4
Page 1
California and Federal grant trust accounts generally have expenditure closing dates. Not all County trust fund accounts have closing dates.
Related Recommendations (1)
R4
Page 2
Unjustified or unused balances must be transferred (escheated) to the general fund.
F5
Page 1
The County does not have written procedures for authorizing, reconciling and closing trust fund accounts.
Related Recommendations (1)
R5
Page 2
County must write procedures to include requirements for the authorization, reconciliation, and closure of trust fund accounts.
F6
Page 1
The Auditor-Controller tracks receipts, expenditures, and balances for each individual trust fund account. Findings 1. Department heads are relied upon, but not required, to reconcile their department trust fund accounts. Response to Finding 1: The respondent agrees with the finding. The Auditor/Controller, in compliance with changes in accounting standards, is in the process of reclassifying many trust funds to special revenue funds. This change will be effective July 1, 2004. The special revenue funds will be reflected in the FY 2004/05 Adopted Budget for the first time. This entails establishing the trust funds’ fund balance, amount of revenue anticipated to be received, amount of funds to be expended, and remaining fund balance. During the Summer of 2004, Departments were asked to review the trust fund database to identify all active trust funds as well as the trust funds’ statutory requirements.
No recommendations for this finding