CHRISTIAN COUNTY, KY (CHRISTIAN COUNTY NOW) – “I’m not here to make excuses,” said Christian County Judge Executive Jerry Gilliam during an open forum on May 11. During this meeting, residents were invited to ask questions regarding concerns about the recent audit that was released. Multiple findings were found in the audit, which covered the 2024-25 fiscal year that ended in June of 2025.

“The recent audit of Christian County identified several areas where procedures and reporting practices needed improvement,” said Gilliam. “While no finding involved fraud, missing funds, or misuse of taxpayer money, the audit did highlight some administrative compliance issues that we are taking seriously. The most important thing for our citizens to know is that audits are designed to identify weaknesses so governments can improve, and that process is working exactly as is intended.”

Background of audit, key things to know

The majority of concerns addressed during the forum stemmed from why repeat findings had not been addressed before, how these issues will be addressed in the future, and what led to making the mistakes.

“A finding is somewhat of a common occurrence. It does not mean there’s any money is missing, it does not mean there’s any fraudulent activity, it doesn’t even mean that there is any risk of fraud or misappropriation.”

  • Out of the 55 fiscal courts that were audited in 2024, 44 of them had findings.
  • Annual audits are required for Christian County and are conducted by state auditors.
  • Since 2011, Christian County has only had two years where there were no findings.
  • The county has 25,000 to 30,000 transactions that have to be documented and approved in a very specific way to avoid being flagged by an auditor.

Gilliam explained that recent growth in the county including the management of major projects and significant federal funding coupled growing operational demands led to these discrepancies.

Breakdown of county’s response to findings

The findings from the audit do not indicate misappropriation of funds, theft, fraud or missing money, instead they were a result of documentation discrepancies or approval processes being done out of order. Gilliam said, “Those issues have been identified and are now on a corrective action plan.”

As a result of the audit, change in procedure was recommended and will be adopted by the fiscal court. A press release with a summary of the Christian County Fiscal Court Audit had the following findings.

  • Failure to implement effective internal controls over financial reporting. (Repeat finding)
  • Failure to approve cash transfers prior to them being made.
  • Inadequate controls over disbursements resulting in noncompliance. (Repeat finding)
  • Schedule of expenditures of Federal Awards was misstated. (Repeat finding)

Gilliam’s response to each finding was issued in a report from the Allison Ball, auditor of public accounts with Kentucky.

The report indicates that a change for the county includes how cash transfers are dealt with, ensuring that they are presented to fiscal court for approval prior to use. Gilliam reminded the public that all expenses were previously approved in the county’s budget and are being transferred internally through various accounts which require additional approval throughout the year.

In regard to $1.3 million being misstated due to posting errors for the upgraded radio system and the omission of receipts for CCSO vehicles, Gilliam said in part, “The extra journal entry for the Radio System debt was made due to not fully understanding all the correcting entries made in the prior year…Additionally, the process for the lease of sheriff vehicles has been adjusted to ensure that entries are made in the correct time period going forward.”

Another finding involving Federal Awards (SEFA), their schedule of expenditures was overstated by over $380,000. It was clarified during the forum and the report that this was due to a misunderstanding by the treasurer about how to complete the SEFA correctly when reporting.

The audit also details that five out of 68 invoices tested during the process had purchase orders issued after the expense had already been incurred, totaling $106,488. Also, the county failed to obtain three quotes prior to purchasing vehicles. In response the county supplied a statement saying, “At the time of purchase, the county relied in good faith on KRS 45A.050(3), which allows counties to purchase in accordance with state contracts, with the understanding that the state’s competitive process
satisfied our procurement obligations.”

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