§ 37.40 MONITORING ACTIVITIES.
   (A)   Management establishes and operates monitoring activities to monitor the internal control system and evaluate the results. Town Administration monitors and evaluates compliance with internal control policies. Separation of duties, layered approval systems, and monthly reports allow management to both review and evaluate control systems. The Clerk-Treasurer shall implement a system of monitoring that includes:
      (1)   Periodic checks to determine if controls are in place and working effectively;
      (2)   Reviewing control activities to determine if the actual activities are in compliance with established procedures; and
      (3)   Documenting deficiencies in the internal control processes and remediating them quickly.
   (B)   (1)Management remediates identified internal control deficiencies on a timely basis. Breaches of internal controls are subject to significant levels of review. If informed of a material breach of internal controls, the Clerk-Treasurer will report to the Human Resources Department and Town Attorney to actively investigate.
      (2)   The Clerk-Treasurer will address said breach and adjust policies and procedures to prevent such breaches in the future. Once breaches are identified and investigated, a formal or informal corrective action plan will be developed.
(Ord. 2016-07, passed 12-19-2016)