Columbus– Auditor Dave Yost issued a qualified audit opinion today for Morgan Township in Gallia County, citing significant accounting and management failures. A qualified opinion indicates that the recordkeeping of the township provides an unreliable picture of its financial condition.

“Morgan Township government is struggling across the board,” Yost said. “No Ohio government can be allowed to operate under such lax standards.”

The audit released today includes a “going concern” disclosure, a warning sign that the township government could fail if it does not act to re-establish fiscal health.

Report findings include deficit fund balances in the General Fund in 2009 and 2010, and significant debts, including $24,500 owed to the IRS and nearly $16,000 owed to the Gallia County Engineer.

The audit also cited several oversight and management failures, including inadequate and inaccurate records, failure to reconcile bank accounts, inadequate legislative monitoring by township trustees, a failure to follow mandatory competitive bidding procedures, failing to certify available funds prior to purchases, and a failure to assure estimated and actual resources were available for appropriations.

A full copy of this audit is available online at www.auditor.state.oh.us.

The Auditor of State’s office, one of five independently elected statewide offices in Ohio, is responsible for auditing more than 5,600 state and local government agencies. Under the direction of Auditor Dave Yost, the office also provides financial services to local governments, investigates and prevents fraud in public agencies and promotes transparency in government.