ANNUAL FINANCIAL REPORT (AFR) Page 2
Information and Communication
Monitoring
YES NO
2) Did management design the unit’s information system and related control activities to ensure the proper preparation, review and
submission of the AFR?
a. Did management implement control activities through written policies?
3) Is the individual authorized to review the AFR knowledgeable in the annual financial report process?
a. Is there a checklist for the preparation, review and submission of the AFR that includes the following?
i. Employee names with their responsibilities and duties
ii. Deadlines for submission of information from each employee
iii. Detail of supporting documentation required, etc.
iv. Is a comparison to the prior AFR made to identify material errors and verify the beginning cash and investment balances
agree with the prior ending cash and investment balance?
4) Does the individual authorized to review the AFR understand the unit’s recordkeeping system?
5) Is access to the unit’s records appropriately controlled by user logins and passwords? Do individuals involved in the AFR process
share their user id and password?
6) Does management or another designated individual review and check the accuracy of the information submitted through the
Gateway reporting system by comparing it to supporting documentation used to input the information before submission? Is this
review documented as evidenced by initials, tick marks, etc. indicating procedures performed?
7) Are there funds held outside the unit’s funds ledger that are required to be included in the AFR? If yes, are they supported by
Supplemental Annual Reports submitted by departments or other outside agencies?
8) Does management review and check the accuracy of the Supplemental Annual Report submitted by the departments by comparing
it to supporting documentation used to input the information before submission to the fiscal officer? Is this review documented as
evidenced by initials, tick marks, etc. indicating procedures performed?
9) Are the Detailed Error Reports generated from the Gateway system reviewed by management or an individual not involved in the
AFR process? How are the errors noted on the report corrected?
10) Does the unit use an outside consultant to prepare the AFR? (See Long Version for AFR Question #10)
YES NO
1) Are procedures established to ensure that proper communication and documentation exists for internal communications between
offices, departments, management and the governing board regarding the preparation, review and submission of the AFR?
a. How does the unit internally communicate information regarding the preparation, review and submission of the AFR to
employees, including how to prepare a correct AFR and responsibilities for internal control? Are records maintained to document
this communication?
b. Are procedures established to ensure that the communication requirements are being followed and necessary information is
being communicated properly?
c. Are procedures established for feedback on and clarification of the information provided?
2) What procedures are in place to collect the information needed to complete the AFR?
a. Does management use the most current information available to ensure the AFR will be correct?
YES NO
1) Are procedures in place to ensure that appropriate personnel perform their required duties sufficiently and adequately follow the
policies and procedures of the unit regarding the preparation, review and submission of the AFR?
2) Are internal control procedures over the preparation, review and submission of the AFR evaluated and adjusted on a regular basis?
For example, personnel changes, newly elected officials, etc.
a. What follow-up action is taken for identified problems or weaknesses in internal controls over the preparation, review and
submission of the AFR?
3) Are monthly reports detailing receipts, disbursements, appropriations and cash and investment balances provided to the
appropriate department to review for accuracy and reasonableness?
4) Are monthly reports detailing receipts, disbursements, appropriations and cash and investment balances provided to management
to review for accuracy and reasonableness?
5) Are monthly reports of receipts, disbursements, appropriations and cash and investment balances provided to the governing board
to review?
