DiNapoli’s office found that Snow allegedly made unauthorized transfers, withdrawals and deposits from the department’s account, as well as from the firemen's benevolent association. Snow used the money to pay his personal bills and admitted that he forged the required co-signers signatures in order to complete his theft. The audit is expected to be finalized in the next month. Snow is due back in court on August 13.
DiNapoli encourages the public to help fight fraud and abuse. New Yorkers can report allegations of fraud involving taxpayer money by calling the toll-free Fraud Hotline at 1-888-672-4555, by filing a complaint online at firstname.lastname@example.org, or by mailing a complaint to: Office of the State Comptroller, Division of Investigations, 14th floor, 110 State St., Albany, NY 12236.
Except for some minor exceptions, the claims reviewed were adequately supported and were for proper district purposes. However, the board’s failure to adequately audit claims and approve the abstract prior to the treasurer making payment on the claims creates a deficiency in the district’s internal controls over claims processing.
Generally, the village’s internal controls over claims processing were adequate to ensure claims were for appropriate purposes, adequately supported and properly audited and approved.
The treasurer does not maintain running cash balances in the check book registers, maintain accounting records with cash accounts and subsidiary revenue and expenditure accounts or reconcile bank balances to book balances. The last annual financial report that was filed with the Office of the State Comptroller was for the 2010 fiscal year, which was filed in October 2013, more than two years late.
The board did not ensure that the highway superintendent complied with competitive bidding requirements or the town’s procurement policy when making purchases. The superintendent did not consistently solicit written quotes or competitive bids as required, or attach appropriate supporting documentation to claims.
The board’s lack of comprehensive written policies and procedures resulted in the bookkeeper performing incompatible duties related to payroll processing and maintaining all leave accrual balances. The business manager’s and treasurer’s limited roles related to processing payroll did not provide sufficient oversight or monitoring of the bookkeeper’s work.
District officials have not identified opportunities to reduce student transportation cost by performing appropriate analyses, such as an annual review of bus routes. By improving transportation efficiency, auditors estimate that the district could save approximately $36,500 annually and more than $460,000 by maximizing bus capacity for in-district runs, thereby reducing routes and eliminating the need to replace three buses over the next two years. In addition, the cafeteria fund’s financial condition has declined over the past five years as it experienced operating deficits, resulting in a $215,678 deficit fund balance as of June 30, 2013.
The district’s controls over extra-classroom activity funds were not operating effectively. The board did not ensure that district officials implemented and enforced its policy governing the operations of the activity funds. Auditors found that 30 cash receipts totaling $19,322 had no supporting documentation and four student treasurers did not maintain ledgers during the 2012-13 fiscal year.
District officials have accumulated excessive fund balances and not adequately reported the district’s financial condition to the taxpayers. As a result, they have withheld significant funds from productive use and prevented taxpayers from making informed decisions during the budget voting process.