(A) Reporting to Clerk-Treasurer. If an elected official, appointed official or employee discovers any material irregular variances, losses, shortages, or thefts of cash or other assets, the official or employee will immediately report the irregularity or theft to the mayor and to the Indiana State Board of Accounts.
(B) Discovery of irregularities by Clerk-Treasurer. If the Clerk-Treasurer discovers any material irregular variances, losses, shortages, or thefts of cash or other assets, the Clerk-Treasurer will immediately report the irregularity or theft to the Mayor and to the Indiana State Board of Accounts.
(C) Procedure. Upon receipt of a report of any material irregular variance, loss, shortage, or theft, the Clerk-Treasurer must:
(1) Maintenance of record. Log all reports into a spreadsheet permanently maintained by the city;
(2) Confirmation. Confirm the dollar amount of the variance, loss, shortage, or theft;
(3) Definition of materiality. For this policy, the term MATERIAL means a variance, loss, shortage, or theft of cash which exceeds $2,000 and a variance, loss, shortage, or theft of any other (non-cash) asset which exceeds $2,000;
(4) Investigation. Investigate the cause of any variance, loss, shortage, or theft and document all findings;
(5) Corrective action. Document and implement corrective actions or internal control procedures to correct the causes of the variance, loss, shortage, or theft; and
(6) Record keeping. Maintain copies of all documentation, resolution of incidents, and any report to the State Board of Accounts in a centralized folder.
(D) Duty of public officials to report misappropriation of public funds. All public officials with actual knowledge of, or reasonable cause to believe, there has been a misappropriation of public funds must immediately send written notice of the misappropriation to the State Board of Accounts and the prosecuting attorney under I.C. 5-11-1-27(I) and to the Mayor under this policy.
(Ord. 21-2017, passed 7-10-17)