Pierce County Library System Faces Audit Findings Over 16 Million Misclassification

A recent state audit uncovered significant financial reporting errors within the Pierce County Library System, revealing misclassifications of nearly $16 million for the years 2022 and 2023. The audit specified that the library district misclassified around $4. 4 million in fund transfers and understated pension liabilities by $5. 7 million in 2022 and $5. 9 million in 2023.

Kathleen Cooper from the Washington State Auditor’s Office noted that the audit highlighted critical deficiencies in the library's internal controls and staff training. Importantly, the audit clarified that no money was missing; it was instead miscategorized. The library system acknowledged the findings and stated that all errors have been corrected, committing to enhance staff training and verification processes. Cooper emphasized that audits are vital for ensuring public confidence in local government finances, particularly regarding borrowing and creditworthiness. The library's proactive response to the audit findings was praised as a positive step towards better governance.

Moving forward, the state auditor will assess the library's adherence to the recommendations in subsequent audits.