Why should municipal audits be so important to Selectmen?

A municipal audit is an independent review of a town's financial position to determine its reasonableness and completeness. The selectmen are the appropriate body to see that these audits take place on a regular basis and to represent the interests of the town in reviewing an audit.

Audit reports should also include a management letter from the firm conducting the audit commenting on any material weaknesses in the management process. If an audit management letter reveals improper or inadequate procedures in the municipality's financial management, the problems should be corrected as soon as possible. The selectmen should provide the impetus to see that corrective recommendations take place, and should also monitor the implementation of those recommendations.