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January 20, 2011

State Comptroller finds that some school districts paid for health benefits for deceased or ineligible retirees and dependents

State Comptroller finds that some school districts paid for health benefits for deceased or ineligible retirees and dependents
Source: Office of the State Comptroller

State Comptroller Thomas P. DiNapoli reports that his auditors found that ten school districts in New York State paid nearly $239,000 for health insurance benefits for deceased or ineligible retirees. DiNapoli also said $117,556 had been recovered.

The audit, which covered July 1, 2008 to May 31, 2010, examined school districts with a high percentage of retirees who do not contribute toward the cost of their health insurance.

The auditors found that only two districts of those audited – Somers Central School District and Yonkers City School District – had written guidelines to ensure the accuracy and appropriateness of health insurance payments.

DiNapoli’s audit recommended that school district officials:

1. Develop written policies and procedures to periodically monitor the status of all retirees, their spouses and dependents receiving health insurance coverage; and

2. Consider establishing systems to maintain adequate information on retirees and their dependents, including social security numbers and emergency contact information, which can be used to ensure eligibility for health insurance coverage.

The Comptroller’s report is posted on the Internet at:

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