Central Division of the Boston Municipal Court Department
March 1, 2013 · Read the full official report (PDF) ↗
Published March 1, 2013 Audit covers July 1, 2009 – June 30, 2011 Under Suzanne M. Bump · 2011–2023
source
“Based on our audit we determined that, except for the issues noted in the Audit Findings section of the report, BMC Central (1) maintained adequate internal controls over cash management, bail funds, criminal-case activity, and civil-case activity; (2) properly recorded, collected, deposited, and accounted for all receipts; and (3) complied with applicable laws, rules, and regulations for the areas tested.”
Read the plain-English breakdown
The auditor reviewed whether the court had good controls for handling money and whether it followed laws, rules, and court policies.
“Our audit objectives were to (1) determine whether BMC Central had established adequate internal controls over certain operational activities, including cash management, bail funds, criminal-case activity, and civil-case activity and (2) determine the effectiveness of BMC Central’s controls for measuring, reporting, and monitoring compliance with applicable state laws, rules, and regulations; other state guidelines; and Administrative Office of the Trial Court (AOTC) and BMC Central policies and procedures.”
When bail, fees, and revenue are not handled correctly, people can be denied timely access to money, victims may not get restitution properly, and state financial records can be wrong.
“As a result, the rightful bail owners and the Commonwealth have been denied timely access to, and use of, bail funds.”
For an ordinary resident, this matters because court money can affect defendants, people who posted bail, crime victims owed restitution, and taxpayers who expect courts to track public funds accurately.
“This total included $78,527 of restitution owed to crime victims that was inappropriately transmitted as state revenue.”
The audit found four main problems: bail was not always processed properly, some fees were wrong, internal control planning was incomplete, and revenue was not reconciled correctly.
“BMC Central transmittals of state revenue were overstated in some years and understated in others, leading to an overall miscalculation of $182,311 during the audit period.”
The auditor recommended stronger controls, better recordkeeping, annual risk reviews, monthly revenue reconciliations, and proper handling of unpaid restitution checks.
“BMC Central should establish and implement the necessary controls to ensure compliance with AOTC Fiscal Year 2007 Memo #6, which requires monthly revenue reconciliations.”
The report is significant because it shows that even when the court’s basic operations were mostly adequate, weaknesses in routine money-handling created real financial risks for individuals, victims, and the Commonwealth.
“As a result, AOTC could not ensure the integrity and effectiveness of BMC Central’s internal control system, records, and safeguarding of assets.”
“Internal controls” means the rules and checks an office uses to prevent mistakes, protect money, and make sure work is done legally and accurately.
“A description of how a department expects to meet its various goals and objectives by using policies and procedures to minimize risk.”
7 figure(s) pending source verification - not shown
What the Auditor checked
- Partially Determine whether BMC Central had established adequate internal controls over certain operational activities, including cash management, bail funds, criminal-case activity, and civil-case activity.
- Partially Determine the effectiveness of BMC Central’s controls for measuring, reporting, and monitoring compliance with applicable state laws, rules, regulations, guidelines, and policies.
What the Auditor found
Why it matters: Rightful bail owners and the Commonwealth were denied timely access to and use of bail funds.
Standard: AOTC Fiscal Systems Manual Sections 9.2 and 9.6 and Chapter 276, Section 80 of the Massachusetts General Laws. ( AOTC Fiscal Systems Manual, Section 9.2; AOTC Fiscal Systems Manual, Section 9.6; Chapter 276, Section 80, of the Massachusetts General Laws )
1 recommendation
- BMC Central should strengthen internal controls over bail funds, continue periodic reviews, and note bail release, one-year notification, and three-year abandoned-property dates on bail records.agency: already implemented
Agency response & Auditor reply
Agency: "The clerk’s office now notifies sureties of the availability of bail monies at the time the case is disposed as well as reviews bail records to ensure that management of all bail funds conforms to state law and AOTC regulations."
Why it matters: The Commonwealth lost revenue in some cases, and some probationers were overcharged.
Standard: Section 87A of Chapter 276 and Chapter 258B, Section 8, of the General Laws, plus AOTC and OCP guidance. ( Section 87A of Chapter 276 of the General Laws; Chapter 258B, Section 8, of the General Laws )
1 recommendation
- BMC Central should improve controls so probation and victim witness fees are assessed according to state law, review current administrative probationers, adjust old-rate payments where appropriate, seek guidance if needed, and document deviations from mandatory fees.agency: already implemented
Agency response & Auditor reply
Agency: "Upon notification by the audit team of deficits in this area, Central’s probation department began reviews and a process to ensure that the appropriate level of fees or community service were being collected or required including any fees or community service from the past that had not been collected or required."
Why it matters: AOTC could not ensure the integrity and effectiveness of BMC Central’s internal control system, records, and asset safeguards.
Standard: Chapter 647 of the Acts of 1989, OSC Internal Control Guide, and AOTC Internal Control Guidelines for the Trial Court. ( Chapter 647 of the Acts of 1989; AOTC Internal Control Guidelines for the Trial Court )
1 recommendation
- The Clerk-Magistrate’s Office should ensure its internal control plan addresses fiscal, administrative, and program risks and conduct annual risk assessments to update the plan as needed.
Agency response & Auditor reply
Agency: "The clerk’s office has initiated the process to update and complete an internal control plan and an annual risk assessment which addresses the risks and internal control requirements specific to all fiscal, administrative and program operations as required."
Why it matters: State revenue transmittals were misstated by $182,311, including restitution owed to victims that was incorrectly transmitted as state revenue.
Standard: AOTC Fiscal Year 2007 Memo #6, OSC year-end closing instructions, and AOTC Fiscal Systems Manual Section 13.3. ( AOTC Fiscal Year 2007 Memo #6; AOTC Fiscal Systems Manual, Section 13.3 )
1 recommendation
- BMC Central should implement controls to perform monthly revenue reconciliations, resolve variances, sign and retain reports, comply with year-end closing instructions, and remit old or undeliverable restitution checks to OST’s Unpaid Check Fund.agency: already implemented
Agency response & Auditor reply
Agency: "The clerk’s office now requires the bookkeeper to ensure that the monthly revenue sheets (RTS) are compared to the monthly Revenue Reconciliation Report (RRR) located on the Trial Court intranet and that any variances or unidentified transactions are properly resolved and that each monthly RRR is signed by both the bookkeeper and the Department Head and retained for audit purposes."
Verified dollar findings
Identified dollar findings that do not fall in a named band.