Chapter 2.05


2.05.010    Adoption of Minimum Standards & Procedures.

2.05.020    Establishment of Materiality Policy.

2.05.030    Material Variances, Losses Shortages or Thefts.

2.05.040    Notification of Fiscal Misconduct.

2.05.010 Adoption of Minimum Standards & Procedures.

The acceptable minimum level of internal control standards and procedures developed under I.C. 5-11-1-27(e) by the SBOA contained in the Uniform Internal Control Standards for Indiana Political Subdivisions manual, are hereby adopted by Vanderburgh County and that Vanderburgh County personnel shall receive training concerning the internal control standards and procedures hereby adopted.

(Ord. 06-16-006 § 1, added, 6/7/16)

2.05.020 Establishment of Materiality Policy.

Vanderburgh County establishes the following Materiality Policy under I.C. 5-11-1-10, 5-11-1-21, and 5-11-1-27:

Materiality, in Vanderburgh County Government, is hereby defined as $500.00 per occurrence. That is, if one occurrence of a loss or shortage or other irregularity is equal or greater than $500.00, it must be reported to the SBOA. This materiality definition is not limited to defalcations or suspicious activity involving only cash or cash transactions. If supplies, equipment or other fixed assets belonging to Vanderburgh County are suspected of being misappropriated or stolen or used in a manner not authorized by Vanderburgh County officials and the value of those supplies, equipment or fixed assets are approximately $500.00, that misuse or series of misuse should be reported. That is not to say that if a loss or shortage is less than $500.00 it should be ignored. If there is a series of events, within the same office or department that appears to be a structuring event to defraud or misappropriate Vanderburgh County funds or property, that event or series of events should be reported to the SBOA.

(Ord. 06-16-006 § 2, added, 6/7/16)

2.05.030 Material Variances, Losses Shortages or Thefts.

All erroneous or irregular material variances, losses, shortages, or thefts of political subdivision funds or property shall be reported immediately to the SBOA. For all material variances, losses, shortages or thefts, the SBOA shall:

(1)    determine the amount of funds involved and report the amount to the appropriate government and law enforcement officials;

(2)    determine the internal control weakness that contributed to or caused the condition; and

(3)    make written recommendations to the appropriate legislative body or appropriate official overseeing the internal control system addressing:

(A)    the method of correcting the condition; and

(B)    the necessary internal control policies and internal control procedures that must be modified to prevent a recurrence of the condition.

(Ord. 06-16-006 § 3, added, 6/7/16)

2.05.040 Notification of Fiscal Misconduct.

If any Vanderburgh County employee knows or suspects that other Vanderburgh County employees are engaged in fiscal misconduct, it is his/her responsibility to immediately notify their Supervisor or the Board of Commissioners or if the Supervisor or a County Commissioner is involved, then the County Attorney, or if the employee has concerns about informing the County Attorney, then the County Auditor and Prosecuting Attorney should be contacted with respect to such matter.

(Ord. 06-16-006 § 4, added, 6/7/16)