The report identifies key internal control weaknesses and best practices for the District
The Office of the State Auditor (Office) released a report on the Kane County Water Conservancy District (District). The report was conducted in response to information submitted to the Office’s hotline program. The report identifies key internal control weaknesses as well as best practices the Kane County Water Conservancy Board and District management should implement to improve their oversight.
The news release and related information may be found on the Office’s website at auditor.utah.gov.
The report begins as follows: The Office of the State Auditor (Office) offers a hotline program through which we receive complaints with financial or compliance implications related to state or local governments. The Office received a complaint alleging conflicts of interest and mismanagement at the Kane County Water Conservancy District (District). The complaint of mismanagement also involved the District’s intention to establish a golf course. We considered matters related to the District’s proposed golf course to be outside our scope of review, at this time.
As the oversight body, the District Board (Board) is ultimately responsible for the success of the District. An effective, engaged board is essential to ensure effective operation and to prevent fraud, waste, abuse, and noncompliance.
We reviewed relevant District documents, and made inquiries with certain District personnel for the period of July 2019 through June 2021 (Test Period), unless otherwise noted. We identified key internal control weaknesses and noncompliance with statute. We also identified best practices the Board and District management should implement to improve its oversight.