Resolution #16-34: Corrective Action Plan 2015 Audit

Date of Adoption: April 21, 2016

WHEREAS, the 2015 Annual Audit Report was delivered in March 2016 and regulations promulgated by the Local Fiscal Affairs Law, N.J.S.A. 40A:5 require that the chief financial officer prepare a corrective action plan covering all findings and recommendations in the audit report; and

WHEREAS, N.J.S.A. 40A:5 further requires approval of the corrective action plan within 60 days of audit receipt by the township council;

NOW, THEREFORE, BE IT RESOLVED by the board of commissioners of the Vernon Township Municipal Utilities Authority that the corrective action plan for the 2015 Annual Audit Report prepared by the township chief financial officer and attached hereto as “Appendix A” be approved.

Appendix “A”–Corrective Action Plan for the 2015 Audit Report

Findings: The authority has not adopted a formal cash management plan.

Recommendation: That the authority adopt a formal cash management plan as required by N.J.S.A. 40A:5-14 and approve it annually, at an authority meeting.

Corrective Action: The chief finance officer has created the cash management plan for 2016 and will continue to do so annually at each re-organization meeting.

Implementation Date: March 2016