The failure of the Cooper County Commission to adequately plan for capital improvement projects has been a factor in revenue running low, according to an audit from the Missouri State Auditor's Office.
Cooper County officials have work to do to improve the county's financial condition, according to a report the auditor's office recently released. The audit gives the county the lowest possible rating of "poor," and notes the county's declining financial condition. It identifies several areas throughout county government that need improvement.
"The members of the County Commission need to do a better job of managing the county's finances and putting it on a better trajectory by doing more immediate and long-term planning," the report states.
The county's fund balances have reached "critically low levels," making it important for commissioners to "... put a real plan in place to discontinue deficit spending in these funds."
Several areas throughout county offices need attention and improved levels of accountability and oversight, the report states.
Spending intended to improve Cooper County Sheriff's Office services has resulted in the county running low on funds.
The audit report finds the failure of the county commission to perform adequate immediate or long-term planning for a capital improvement project has resulted in the financial condition of the county's General Revenue Fund (GRF) declining. The fund is projected to have an ending balance of $229,198 at the end of 2026 while the ending balance in previous years had been in excess of $1.6 million. The condition of the fund declined because of the purchase of a property for $1.15 million and the cost of the renovations to develop the property into a new office for the sheriff, the report states.
The 911 sales tax in effect during the audit period was not sufficient to cover the costs of the emergency 911 services and the cash balance of the E-911 Fund (dedicated to operating Enhanced 911 services) would have been in the red by more than $250,000 at the end of 2025 without a $310,000 transfer from the GRF and a $35,000 transfer from the Law Enforcement Center Fund. In addition, another transfer of $200,000 is budgeted from the GRF to the E-911 Fund for the year ending Dec. 31.
"Given the condition of the GRF, funds may not be available for continued transfers," the audit states. "These transfers from the GRF to the E-911 Fund jeopardize the county's ability to maintain a sufficient reserve to address budget shortfalls in the event of an economic downturn or other significant financial emergency."
The report also finds the commission needs to improve its controls and procedures over budgets, fund transfers, credit cards and leave. The County Commission does not adequately monitor budget-to-actual receipts and disbursements or prepare budget amendments when appropriate. The Commission has failed to establish adequate controls and procedures, including written guidelines, for the use of the county's 20 credit cards.
The report notes the county did not pay credit card bills timely and paid $1,839 in late fees and finance charges during the year ended Dec. 31, 2024. Neither the commission, nor the sheriff, monitors credit card limits. Limits for some cards are excessive based on their credit use during 2024. Additionally, the commission has not established adequate controls to ensure vacation leave accrues in accordance with county policy for the county's 107 employees. The county system did not accrue vacation leave at the correct rates during the year ended Dec. 31, 2024, for five of 11 employees who were randomly selected for review.
Another finding in the audit shows the Cooper County Clerk did not accurately calculate the property tax levy reduction amounts or retain sales tax rollback calculations for 2024. The property tax reductions did not account for any difference between estimated and actual sales taxes collected for the preceding year. As a result, the county assessed approximately $108,000 in excess property taxes for 2023 and 2024. The report recommends the commission and the clerk properly calculate property tax rate reductions considering deficits/credits for the preceding year, and develop a plan to correct for the accumulation of prior years' over-collection of property taxes.
The report documents the need for improved controls and procedures in the sheriff's and Cooper County Collector's offices. The collector improperly calculated Assessment Fund withholding amounts. That resulted in the county over-withheld Assessment Fund commissions by $64,343, and disbursed less funds to political subdivisions during the settlement year ended Feb. 28, 2025.
The Cooper County Collector also does not prepare a monthly list of liabilities to reconcile to the available cash balance of the main bank account. The sheriff has not adequately segregated accounting duties or performed adequate supervisory reviews of detailed accounting and bank records, and has not established adequate procedures for receipting, recording and depositing. The Sheriff's Office has also failed to maintain complete, accurate records of seized property, and did not conduct periodic physical inventories of seized property. As of April 9, 2025, sheriff personnel had not completed a physical inventory since at least 2023.
The audit report details how the commission did not enter into written contracts with the financial system provider or the Cooper County Extension Council. Also, the commission budgeted and paid the council more than required by state law, and improperly classified a council employee as a county employee.
Other findings in the audit report include the County Commission authorizing a mid-term salary increase for the sheriff in violation of constitutional provisions; a need for improved controls and procedures over the property tax system; personnel in the Prosecuting Attorney's Office failing to reconcile the bank balances to book balances for the Bad Check and Restitution accounts; a failure by the commission to consistently ensure compliance with the Sunshine Law; and a records management and retention policy that does not include electronic communication in compliance with the Missouri Secretary of State Records Services Division guidance.