ARMSTRONG, Iowa — The State Auditor’s office says it’s conducted a special investigation into the finances of the northern Iowa city of Armstrong, finding a slew of mishandled deposits and disbursements.
The auditor’s report released Wednesday says the issue began as a standard audit of the city’s finances for the 2016 fiscal year. But a special investigation was initiated after auditors found they could not access records.
The investigation found more than $88,000 of estimated utility collections that were unbilled or not properly deposited, and a little more than $11,000 of improper disbursements, for a total of about $100,000.
State Auditor Mary Mosiman says the city’s computer system had crashed, making some records impossible to find.
The auditor’s office made several recommendations to the city to tighten its financial controls, including backing up financial information.