STATE OF MISSISSIPPI OFFICE OF THE STATE AUDITOR PHIL BRYANT State Auditor RAMONA HILL, CPA Director, Financial and Compliance Audit Division ED YARBOROUGH, CPA, CIA, CFE, CGFM Director, County Audit Section_part6 doc

JEFFERSON COUNTY
Schedule of Findings
For the Year Ended September 30, 1997
47
County Administrator.
97-8. Finding
As reported in the prior two years= audit reports, the Internal Revenue Service (IRS) erroneously sent
the county two refund checks in the amounts of $57,000 and $55,222. The county deposited the
checks and subsequently used the money to pay current obligations, even though the money did not
belong to the county. In March, 1998, the county reimbursed the IRS for the $55,222 check but has
not reimbursed the IRS for the other $57,000 received in error. Failure of the county to reimburse
this money to the IRS could lead to penalties and interest being assessed against the county.
Recommendation
The funds should be returned to the IRS, and the county should refrain from depositing and expending
funds received in error.
County Administrator=s Response
This matter is being corrected. No funds will be expended when received in error.
Auditor=s Note
The IRS is aware of this matter.
97-9. Finding
As reported in the prior two years= audit reports, backup procedures for electronic data processed
records do not include off-site storage of files, programs and documentation of transactions. The risk
of losing all electronic data processed records in the event of an on-site disaster is greater when
backups are not stored at an off-site location.
Recommendation
The county should make arrangements to have backups of all electronic data processed records stored
at an off-site location.
County Administrator=s Response
A safe deposit box is now in use for storage of backups of electronic data.
JEFFERSON COUNTY
Schedule of Findings

For the Year Ended September 30, 1997
48
Circuit Clerk.
97-10. Finding
Section 7-7-211, Miss. Code Ann. (1972), gives the Office of the State Auditor the authority to
prescribe accounting systems. As reported in the prior three years= audit reports, we noted that a
control account for accounts receivable was not maintained as required by the prescribed accounting
system contained in the Mississippi County Financial Accounting Manual.
Failure of the Circuit Clerk to comply with the prescribed accounting system could result in
undetected errors in the cash journals and improper or incomplete settlements being made to the
county.
Recommendation
The Circuit Clerk should comply with the accounting system prescribed in the Mississippi County
Financial Accounting Manual. A control account for accounts receivable should be established and
maintained on a daily basis so that the Circuit Clerk knows the amount of uncollected judgments at all
times.
Circuit Clerk=s Response
I am not aware of the Mississippi County Financial Accounting Manual and have never seen one. I
am aware of the accounting system as taught by the State Department of Audit. I have endeavored to
comply with the Audit Department=s system of accounting and will continue to endeavor to comply
with the system. I further agree that failure to comply will result in undetected errors that will affect
both the county and myself. I have no intentions of making improper or incomplete settlements to the
county.
Tax Assessor/Collector.
97-11. Finding
Section 7-7-211, Miss. Code Ann. (1972), gives the Office of the State Auditor the authority to
prescribe accounting systems. As reported in the prior year audit report, the legislative tag credit
receivable was not posted to the cash journal.
Recommendation
The Tax Collector should ensure that the cash journal is properly maintained as prescribed by the

Office of the State Auditor.
Tax Assessor/Collector=s Response
The Tax Collector chose not to respond.
JEFFERSON COUNTY
Schedule of Findings
For the Year Ended September 30, 1997
49
Sheriff.
97-12. Finding
Section 7-7-211, Miss. Code Ann. (1972), gives the Office of the State Auditor the authority to
prescribe accounting systems. As reported in the prior two years' audit reports, we noted the
following deviations from the prescribed accounting system contained in the Mississippi County
Financial Accounting Manual:
a. Deposits were not made timely.
b. Bank statements were not reconciled to the checkbook or the cash journal.
Failure of the Sheriff to comply with the prescribed accounting system could result in undetected
errors in the cash journal and improper or incomplete settlements being made to the county.
Recommendation
The Sheriff should make deposits on a daily basis and reconcile bank statements to the checkbook and
cash journal on a monthly basis.
Sheriff=s Response
a. Since our audit, we have started to make regular deposits to comply with
Section 7-7-211, Miss. Code Ann. (1972).
b. Bookkeeper Marilyn Jones will reconcile all bank statements to the cash journal.
$ The findings listed below in Sections B and C are not required to be reported under Government Auditing
Standards.
B. Finding - Independent Auditor's Report on Central Purchasing System, Inventory Control System and Purchase
Clerk Schedules
Purchase Clerk.
1. Finding

Sections 31-7-103 and 31-7-109, Miss. Code Ann. (1972), require purchase requisitions, purchase
orders and receiving reports to accompany all claims for payment. As reported in the prior two year=s
audit reports, some purchase transaction documents appeared to have been prepared after the fact as
indicated by the dates on the documents.
Recommendation
The Purchase Clerk should ensure the purchase orders are properly completed and issued after
receiving a purchase requisition.
JEFFERSON COUNTY
Schedule of Findings
For the Year Ended September 30, 1997
50
Purchase Clerk's Response
I will never issue a purchase order after the purchase has been made again, and I will make sure that
all documents are issued in the proper order.
C. Findings - Independent Auditor's Report on Compliance With State Laws and Regulations
Board of Supervisors.
1. Finding
Section 27-39-321, Miss. Code Ann. (1972), limits the collection of ad valorem taxes to within 110%
of the previous year's collections. Tax collections exceeded the legal maximum. Credit for new
property was not taken into account because this information was not supplied by the Tax
Assessor/Collector.
Recommendation
The Board of Supervisors should reduce the subsequent year's tax levy to offset the excess collections.
Board of Supervisors' Response
The Board of Supervisors will make every effort to offset the excess collections. The Tax Collector
will be informed to give the auditors the new growth information for 1997.
2. Finding
Section 49-19-23, Miss. Code Ann. (1972), requires the county to send one half of all National
Forestry Reserve funds received by the county to the county schools. As reported in the prior three
years' audit reports, none of the National Forestry Reserve funds received by the county during fiscal

year 1994 was sent to the county schools.
Recommendation
The Board of Supervisors should send one half of the National Forestry Reserve funds received by the
county during fiscal year 1994 to the county schools.
Board of Supervisors' Response
The Board of Supervisors will pay one half of the National Forestry Reserve funds for fiscal year
1994 to the schools.
Chancery Clerk.
3. Finding
Section 27-39-323, Miss. Code Ann. (1972), requires the Chancery Clerk to deposit into a special
account excess ad valorem tax collections over and above the 110% cap authorized by Section 27-39-
320, Miss. Code Ann. (1972). Ad valorem tax collections for the current year exceeded the prior year
collections by 21.43%, but no special account was established.
Recommendation
JEFFERSON COUNTY
Schedule of Findings
For the Year Ended September 30, 1997
51
The Chancery Clerk should deposit, out of the following year's tax collections, the excess amount of
$164,115 into an escrow account. The excess funds should be calculated into the budget of the
county for the next fiscal year, and taxes imposed for the year should be reduced by the amount of the
excess funds available. No allowance for new property was allowed in determining the excess
amount because this information was not made available by the Tax Assessor/Collector.
Chancery Clerk's Response

We are in the process of making every effort to address the excess collections and make available to
the auditors the information concerning the growth for 1997.
4. Finding
Section 19-3-27, Miss. Code Ann. (1972), states that it is the duty of the Clerk of the Board of
Supervisors to keep and preserve a complete and correct record of all proceedings and orders of the

board. As reported in the prior year audit report, several of the older minute books of the Board of
Supervisors cannot be located and are not available for inspection by the public as required. Minutes
reflect the official actions of the Board of Supervisors and, therefore, should be carefully preserved.
Recommendation
The Chancery Clerk should make every effort to locate the minute books and ensure these records are
preserved as required by law.
Chancery Clerk's Response
The Chancery Clerk will make every effort to locate the minute books.
Circuit Clerk.
5. Finding
Section 25-7-13(2)(m), Miss. Code Ann. (1972), allows the Circuit Clerk to be paid by the county
$30 a day for himself and each necessary deputy allowed by the court for each day's "attendance upon
the circuit court term." As reported in the prior year audit report, the Circuit Clerk, upon orders
signed by the Circuit Court Judge, claims himself and two deputies (for a total of $90) each day that
he files a document in the Circuit Court minute book.
Recommendation
The Circuit Clerk should receive the $30 attendance fee for himself and necessary deputies only
during a regularly scheduled or vacation court term. The Circuit Clerk should not receive the $30
attendance fee when court is not actually in session. The number of days claimed by the Circuit Clerk
appears excessive.
JEFFERSON COUNTY
Schedule of Findings
For the Year Ended September 30, 1997
52
Circuit Clerk's Response
I am entitled to the fee whenever the Judge is conducting business of the court and the Circuit Clerk is
assisting in the performance of court work and performing acts for the court. Further, the fee is
authorized by the Judge. Measures have been discussed concerning the $30 per diem for necessary
deputies.
Tax Assessor/Collector.

6. Finding
Section 27-29-11, Miss. Code Ann. (1972), requires the Tax Collector to settle all taxes collected by
the twentieth of the next month following the month of collection. Timely settlements were not always
made to the county.
Recommendation
The Tax Collector should settle all county taxes by the twentieth of the next month following
collection.
Tax Collector's Response
The Tax Collector chose not to respond.
7. Finding
Section 27-49-1, Miss. Code Ann. (1972), requires the Tax Collector to present to the Board of
Supervisors at its meeting on the first Monday of October in each year, a report of all insolvent and
delinquent taxpayers in the county, with the amount due from each. The required report was not
presented to the board in either the current audit year or in the prior two years.
Recommendation
The Tax Collector should present to the Board of Supervisors the report of insolvent and delinquent
taxpayers.
Tax Collector's Response

The Tax Collector chose not to respond.
8. Finding
Sections 27-49-1 and 27-49-9, Miss. Code Ann. (1972), specify the actions to be taken for the sale of
property, real or personal, of business taxpayers who are either insolvent or delinquent. We found no
evidence in either the current year audit or the two prior years= audits that the Tax Collector seized
and sold property in order to collect delinquent business taxes.
Recommendation
The Tax Collector should make a concerted effort to collect delinquent business taxes through
following the procedures specified in the law pertaining to the seizure and sale of property.
JEFFERSON COUNTY
Schedule of Findings

For the Year Ended September 30, 1997
53
Tax Collector's Response
The Tax Collector chose not to respond.
Sheriff.
9. Finding
Section 19-25-13, Miss. Code Ann. (1972), requires the Sheriff to settle all collections of fees and
charges to the county on a monthly basis. As reported in the prior year audit report, settlements of
collections were not always made monthly.
Recommendation
The Sheriff should settle all collections monthly.
Sheriff's Response
All collections will be settled monthly.