An audit for the City of Guthrie for the fiscal year ending June 30, 2021, was approved last week by city council members.
The audit was completed by Baldwin CPAs, PLLC, out of Richmond, Kentucky, and in the report there were eight material weaknesses and one violation of state law identified.
The law violated – KRS 66.480(1)(d) – which deals with Deposit and Investment Security. The audit stated the city “did not have adequate policies and procedures in place to ensure compliance with state laws and regulations.”
The law states “certificates of deposit or other interest-bearing accounts issued through a bank or savings and loan institution having a physical presence in Kentucky which are insured by the Federal Deposit Insurance Corporation or similar entity or which are collateralized.”
The audit added the city had $967,056 in funding that was uncollateralized on June 30, 2021. City Clerk Alison Blumel told council members the issue had been addressed and was corrected before the complete audit was released.
The complete audit report can be found here.
