County experiencing audit and computer aches and pains         

[JUNE 22, 2005]  Plans to track this year's county finances and get an early start on next year's budget dimmed this month. Several years of declining revenues and increased expenses made this year's budget substantially tighter than in previous years. It was forecast that by the end of the fiscal year, the late, incoming property taxes will put the county cash-poor to pay bills in October and November.

The finance committee, chaired by Chuck Ruben, made plans to keep a close eye on the budget as the fiscal year progressed. It was hoped there would be some time to take action if finances looked like they would come up short for certain. However, those efforts have been thwarted.

Two critical components have not fallen into place yet. Reliable reports for every department are not yet being generated by the new computer system, and a new state requirement, GASB 34, has delayed the annual audit.

Due to aging equipment and ever-changing state and federal government requirements, the county purchased the new computer system and began the changeover from department to department at the beginning of this year. They started in the office most crucial to the budget process, the treasurer's office. According to county board member John Stewart, that office is still having difficulties working with the new system. He said that he spent a couple days over there last week, and he suggested that other board members should go spend some time there, to see how frustrated they are.

It was promised that the new computer system would more easily produce clearer reports that are more usable in the budget process. It was initially hoped that those would be available earlier this year.

Software support consultants have spent many extra hours working with the offices, but getting the computers to generate the reports the way that they are wanted has remained a challenge. Ruben still believes that once all the variables are programmed into place they will be everything hoped for in the budget tracking process.

Governmental Accounting Standards Board Statement 34 is a new requirement for all government entities. Part of the need for the new computer system was to accommodate this information. The county compiled a list of all county-owned property and formulated a five-year depreciation plan on the assets.

However, when the county auditors, Sikich Gardner, entered the Logan County GASB 34 information, it didn't work. Because the county finances have been tight for some years and the county has not been buying new equipment the way most counties do, the figures were too low compared with other counties. The auditors were forced to reconfigure the entries to make them work, Ruben said. That is in process at this time.

Ruben announced that a special finance meeting to discuss the audit and next year's budget is set for Friday, July 1, at 8:30 a.m. at the courthouse.

Budget to improve

The sales tax increase that Logan County voters approved last November will not go into effect until later this year. Then there is a four-month processing delay before the state receives and sends those funds back to the county. So it will be next year and the new fiscal year before the county sees the relief those funds will provide.

Added technology woes

Two days ago a computer virus was discovered to be spreading through the county computer network. The virus is being sent via e-mail that claims to be from the system administrator and has a zip file attachment.

John Stewart said that Paul Adams from the Lincoln Police Department has been over to look at the sheriff's department computers. It is already slowing computers in that department. It was suggested that each computer will need to be examined, and a lengthy cleaning process is necessary for those that are infected. It was estimated to cost $4,000, paying a specialist $100 per hour.

Patrick Doolin, a local consultant from Integrity Data, recommended that someone from the county call local experts for their recommendation and ask what they would charge to handle the cleanup.

New committee

Stewart, who is now serving on the public grounds committee, made a plea last month to initiate a technology committee. He had before him a stack of statements accounting new equipment, repairs and service calls from numerous vendors. He thinks it is important that somebody knows what is being done and what it is for. It all needs to be kept closer track of, he said.

The treasurer's office being "not up to par" yet, added expenses and the virus situation are examples that he feels indicate someone should be in charge of technology as a separate area.

Sally Litterly suggested to board chairman Bob Farmer that he reinstitute the old technology committee and simply appoint new members.

The suggestion was favorably received and the chairman plans to do that.

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