Beach gets clean audit report yet again
For the third year in a row, the Town of Colonial Beach was given a clean opinion on the audit of town finances. An unqualified, or clean, opinion says that the financial statements give an accurate and fair picture of a locality and that they comply with accepted accounting standards.
Brown, Edwards & Company’s auditor, Billy Robinson, delivered the opinion at the November 21 town council work session. Robinson told the council that while the opinion was clean, there were areas that could use improvement.
One of the areas that was mentioned is separation of duties (SOD). In financial terms, SOD means the sharing of a single task by more than one individual. This is used as an internal control in order to help prevent errors or fraud.
This is often an issue in smaller companies or localities as there are fewer employees to do all the work. SOD not only helps protect finances, but also the employees from an appearance of misdeeds.
In response to the SOD issue, Robinson said, “We recognize that with the size of the town and the size of the school board, that ultimately you can only do so much.”