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Be the reason your community stays informed—give to local journalism now! LANSING, Iowa — A recent state audit of the City of Lansing has identified several financial oversight issues, including inadequate segregation of duties, budget overruns, and questions surrounding the city's fire protection arrangements. The agreed-upon procedures report, released June 20, 2025, by Iowa Auditor of State Rob Sand, reviewed city operations from July 1, 2023, through June 30, 2024. The report listed ten findings related to the handling of public funds, seven of which were repeated from the previous year. Key concerns included a lack of proper oversight in areas such as payroll, disbursements, and journal entries. Disbursements exceeded budgeted amounts in three major categories: public safety, general government and business-type activities—a violation of Chapter 384.20 of the Iowa Code. Sand also raised concerns about the city's relationship with the Lansing Fire Department, Inc., a nonprofit entity. While the city has an agreement in place with the department, questions remain about the legal foundation of the Lansing Rural Fire Protection District, which receives township tax revenues before forwarding them to the nonprofit. Auditors noted a lack of documentation verifying the district's establishment or authority. Other issues flagged included errors in financial reporting, outdated investment policy references, and incomplete meeting minutes that omitted required financial summaries. The city was also found to have a deficit of $1,362 in its Road Use Tax Fund and made at least one improper payment that included sales tax. Sand recommended that city officials strengthen internal controls, ensure compliance with Iowa law, and improve financial transparency. A copy of the full report is available at auditor.iowa.gov/audit-reports. Join the community of savvy subscribers (for free)! Get the latest updates, tips, and insider information by subscribing to the free newsletter today.

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Auditor Flags Recurring Financial Oversight Issues in Lansing