Comptroller’s Office Fixes Mistakes in Shelby County Clerk’s Office
New Revenue Numbers Should Help County Adopt Budget
The Tennessee Comptroller’s Office has issued a report and is making several recommendations to improve the fiscal and operational management of the Shelby County Clerk’s Office.
This follows a three-week effort to correct and reconcile the monthly revenue reports the Clerk’s Office had been submitting to the Shelby County Trustee’s Office since July 2023. The reports have now been corrected through February 29, 2024; however, unless the Comptroller’s recommendations are adopted and implemented, it is likely that problems will persist.
A team of auditors from the Comptroller’s Division of Local Government Audit began their work in Shelby County on March 4, 2024. In addition to reconciling the revenue reports, they determined the portion of the revenue collected as a result of the new $25 wheel tax increase; obtained an understanding of how transactions are processed in the clerk’s office; and examined internal controls within the office.
Auditors found the clerk’s office has access to the same computer system that is found in all Tennessee clerks’ offices to record financial transactions, but the Shelby County Clerk’s Office is not utilizing the software to its full capabilities. The clerk’s office also lacks an understanding of its software system, and it should reach out to its vendor, BIS, for assistance.
Auditors also noted issues with reconciliations not being performed, a signature stamp being used on checks, employees deleting their own transactions without authorization, and a failure to properly track how much money is owed the county after bad checks are written by customers.
The Comptroller’s Office has also recommended the clerk’s office reach out to the County Technical Assistance Service (CTAS) to help implement the recommendations made in the auditors’ report.
“While I’m pleased with the results of our work, I recognize there are still many operational deficiencies within the clerk’s office,” said Comptroller Mumpower. “The Shelby County Clerk must improve operations to gain the confidence of citizens. I hope the Clerk will be receptive to additional training that will only improve the function of this important government office.”
To view the auditors’ final report, click here.
If you suspect fraud, waste, or abuse of public money in Tennessee, call the Comptroller’s toll-free hotline at 800.232.5454, or file a report online at: www.comptroller.tn.gov/hotline. Follow us on twitter @TNCOT and Instagram @tncot.
Media contact: John Dunn, Director of Communications, 615.401.7755 or john.dunn@cot.tn.gov
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