2003-253A - Laserfiche WebLink

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Control Over Checks Received In the Vero Beach Office of the Samaritan Center when checks are received the program administrator copies the checks and forwards the originals to the bookkeeper for endorsement and preparation of the deposit slip . The bookkeeper should not have access to checks received unless they have been endorsed for deposit only in the name of the organization. Accordingly, we recommend that when the checks are received that they be promptly endorsed for deposit only by someone not having any record keeping function. Management 's Response: The administrative assistant at the Samaritan Center will endorse the checks for deposit only before the checks are turned over to the bookkeeper. She is not involved in the deposit or record keeping duties. Authorized Signatures The Organization requires one authorized signature for all checks written. The Organization should consider adding a second signature on expenditures over a certain amount. Management 's Response: The Finance Committee has been reviewing the authorized signature procedures, and will have a revised policy, including second signatures, based on dollar amounts by 12/31/2002. Disaster Recovery The Organization has contingency plans for alternative processing in the event of loss or interruption of the information technology function. However, the Organization should test these plans periodically. Management 's Response: Management has in place a backup system. To further strengthen this policy, management will arrange for safer storage, out of the building if necessary. Also, locate, offsite, a place to test run the backup information on a regular basis. These systems are to be in place by 12/31/02. They will be reviewed to see if any further plans need to be made. The Organization can review the testing procedures to see if they are adequate. PRIOR YEAR COMMENTS Accounting System Constraints The accounting system is not capable of generating the reports needed to produce financial statements . The system is not able to produce combining statements of activities or a statement of functional expenses . The current method of manually entering the account balances into an offline spreadsheet to produce the statement numbers can