The security of the Ralls County property tax system and poor controls and procedures in its sheriff’s office led Missouri Auditor Nicole Galloway to give a “fair” rating in a recent audit.
“Our audit found several areas where improvements would help ensure greater accountability for the taxpayers of Ralls County,” Auditor Galloway said in a statement. “I encourage county officials to implement the recommendations of this report for more efficient and effective government.”
“Fair” is the second-lowest of four possible ratings and indicates the entity needs to improve operations in several areas.
“The report contains several findings, or one or more findings that require management’s immediate attention, and/or the entity has indicated several recommendations will not be implemented,” the audit states.
Ralls County, located in northeast Missouri, has a population of approximately 10,300, according to a 2020 report from the U.S. Census Bureau. The county collector processed property tax collections of approximately $16 million during the year ending Feb. 28, 2021, according to the audit.
The audit found inadequate restriction of access to the county’s property tax system, giving County Collector Tara Comer and personnel in her office the ability to change individual tax records.
“There is no independent review of changes made to individual tax records in the system,” the audit stated. “The County Collector indicated she does not make changes to individual tax records and is unsure why she has this access. Because the County Collector is responsible for collecting tax money, the ability to alter tax records represents a significant weakness in internal controls.”
The audit also found the county commission and county clerk don’t adequately monitor the entry of property tax additions and abatements into the property tax system. It also found the commission and clerk;
- don’t review individual court orders approving additions and abatements or review detailed listings of changes made to the property tax system;
- don’t perform reconciliations of approved changes to actual changes made in the system;
- don’t adequately review the financial activities of the county collector.
The audit also found the county clerk doesn’t prepare or verify the accuracy of current or delinquent tax books.
In their response to the finding, the Ralls County Commission and County Clerk stated it had used the property tax system for several years.
“This program is what the county can afford,” they wrote in response. “To upgrade this system, it would cost several thousand dollars.”
The audit also found the county hasn’t developed electronic records management and retention policies in compliance with state guidance.
The audit found better procedures for receipts and deposits were needed in the Sheriff’s office. The report also found no written agreements with surrounding counties for the boarding of prisoners, therefore there were no details on the housing rate to be paid, services provided or any required notification for emergency or non-routine situations.
“The majority of boarding costs paid were to two nearby counties,” the audit stated. “The Sheriff indicated the arrangements with the counties were based on previous verbal agreements, but the details of these verbal agreements have not been documented. During the year ended Dec. 31, 2020, the county paid $96,864 to other counties for boarding prisoners.”
The Sheriff’s office responded that it’s working on getting memorandums of agreement with all jails utilized by the department.
