State Auditor Mike Harmon has released the audit of the financial statements of the Clinton County Fiscal Court for the fiscal year ended June 30, 2022. State law requires annual audits of county fiscal courts.

Auditing standards require the auditor’s letter to communicate whether the financial statement presents fairly the receipts, disbursements and changes in fund balances of the Clinton County Fiscal Court in accordance with accounting principles generally accepted in the United States of America. The fiscal court’s financial statement did not follow this format. However, the fiscal court’s financial statement is fairly presented in conformity with the regulatory basis of accounting, which is an acceptable reporting methodology. This reporting methodology is followed for 116 of 120 fiscal court audits in Kentucky.

As part of the audit process, the auditor must comment on noncompliance with laws, regulations, contracts, and grants. The auditor must also comment on material weaknesses involving internal control over financial operations and reporting.

The auditor noted no instances of noncompliance. The auditor also noted no matters involving internal control over financial reporting and its operation that were considered to be material weaknesses.

The audit report can be found on the auditor’s website.

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The above summary of the state audit report marks a unique rarity for any government office, considering Clinton County has now received two consecutive “perfect” audits.

The report prompted Clinton County Judge/Executive Ricky Craig to praise his office staff and others for the feat, also asking the employees who made it possible to comment on how the perfect audit came about, not once, but twice in a row.

County Treasurer Cindy Thrasher said during a brief interview on Monday afternoon that the auditor who conducted Clinton Fiscal Court’s 2021-22 year audit had said that of all the counties he had audited, he had never seen such a good report two years in a row.

Thrasher, in relaying some reasons for obtaining the goal of a clean audit said, “Never let your guard down or take anything for granted (in figures that are checked).”

She added that figures aren’t assumed correct until office staff and the judge check behind each other, referring to Administrative Assistant Kelly Abston, Occupational Tax Administrator Virginia Conner, Judge Craig and herself.

“We have eight eyes on the numbers and documents that go through this office,” Judge Craig added.

Thrasher said she and the rest of the staff stay focused on the numbers balancing. She added there had been a few personnel changes in the new term (since the start of this year) and she plans to inform all parties how to use correct procedures to follow, i.e. in invoicing, purchasing, etc. and “hope we can continue to have a perfect audit in years to come.”

Administrative Assistant Abston said the spotless audits could not have been done without “teamwork.” “It takes a lot of long hours and focus,” she said, adding they were in their fifth year and have gotten to know each other procedures well.

Judge Craig said, “We have each others back. I appreciate these ladies so much and everything they do for this county.”

“We have come a long way over the past few years,” said Craig.

The county treasurer summarized the “county was the first priority” and its well-being comes first.

Abston inserted it wasn’t just a few people they worked for to obtain success, such as the state, fiscal court and staff, but the entire county.

State auditors conduct a thorough search of all monies spent, revenues received are disbursed correctly, contracts signed, assuring federal and state grant funds are used properly and much more.

Magistrates, including two new members this year who joined the make-up of the fiscal court, were also credited with helping make the audit spotless by the judge and his staff.

Thrasher noted that all fiscal court members received and reviewed all numbers, reports and documents related to county finances before officially signing off on them via an open vote at fiscal court meetings.

“They have the prior knowledge of what is in their packets. They are a good group and have an understanding of the budget and know the finances are being taken care of,” said Thrasher.

Finally, she thanked all of the department heads, who are responsible for turning in timely and accurate information for their employees, such as work times, invoices, and other documentation the state requires.

A majority of county offices, especially smaller counties, receive audit reports that, at minimum, note a deficiency in “segregation of duties” due to low budgets and not being able to afford extra help in separating job duties.

Although Clinton County Fiscal Court is definitely not the only county to receive a perfect audit, it is one of the few in the state, and definitely being perfect it is a rare occasion when any county reaches perfection two years in a row.

Last year, three offices that are audited under state law–the Clinton County Fiscal Court, Clinton County Clerk and Clinton County Sheriff’s Office–all received the “perfect” distinction on their prior year audit reports.

(The Auditor of Public Accounts ensures that public resources are protected, accurately valued, properly accounted for, and effectively employed to raise the quality of life of Kentuckians. Call 1-800-KY-ALERT or visit their website to report suspected waste and abuse.)