Audit flags material cash reconciliation weakness after Tyler go‑live; committee to track corrective plan

At a meeting of the Jackson City Audit Committee, the city’s external auditor reported a material weakness in cash reconciliations following the city’s November go‑live of its new accounting software, and outlined several other year‑end reporting and control concerns.

The auditor, Mr. Bence, said the implementation moved the city to a pooled‑cash ledger but that receipts and disbursements were not consistently routed into the pool. "When you ran the pool, it showed the city had negative $8,000,000 cash because all the receipts weren't flowing through the pool," he said. Auditors and staff identified and posted about $13,000,000 of adjustments to reclassify deposits into the pool so balances would reflect true cash ownership.

Why it matters: the misroutings and manual entries made monthly bank reconciliations unreliable, contributed to delayed audit…