Report 2018-110 Recommendation 15 Responses

Report 2018-110: City of Lincoln: Financial Mismanagement, Insufficient Accountability, and Lax Oversight Threaten the City's Stability (Release Date: March 2019)

Recommendation #15 To: Lincoln, City of

By June 2019, Lincoln should develop and follow a process to ensure that it accurately and promptly records all year-end closing entries in its general ledger and issues its comprehensive annual financial report within the period that state law requires.

1-Year Agency Response

The City Council adopted a Closing Policy on February 12, 2019, and a Financial Reporting Policy on July 23, 2019. Full implementation cannot be substantiated until the Annual Financial Audit is completed. Financial audit was complete on time and substantiates compliance with the finding.

California State Auditor's Assessment of 1-Year Status: Fully Implemented

Lincoln issued its fiscal year 2018-19 comprehensive annual financial report in December 2019, which is within the period that state law requires.


6-Month Agency Response

The City Council adopted a Closing Policy on February 12, 2019, and a Financial Reporting Policy on July 23, 2019. Full implementation cannot be substantiated until the Annual Financial Audit is completed.

California State Auditor's Assessment of 6-Month Status: Pending


60-Day Agency Response

City Council adopted a Closing Policy on February 12, 2019. The policy includes procedures for recording all year-end closing entries in its General Ledger.

California State Auditor's Assessment of 60-Day Status: Pending


All Recommendations in 2018-110

Agency responses received are posted verbatim.