April 19, 2015

Selected reports and information published by New York State's Comptroller Thomas P. DiNapoli during the week ending April 18, 2015



Selected reports and information published by New York State's Comptroller Thomas P. DiNapoli during the week ending April 18, 2015
Click on the URL links highlighted in color to access the full report

State Departments and Agencies:

State Department of Education – Whitestone School for Child Development

For the three fiscal years ended June 30, 2013, auditors identified $154,563 in reported costs that did not comply with SED requirements and recommended such costs be disallowed. These ineligible costs included $115,296 in personal services costs and $39,267 in other than personal service costs.


Department of Motor Vehicles – Case Advance Accounts

DMV has designed effective internal controls over accounts to ensure that funds are properly accounted for and payments are only made for appropriate business purposes. Tests showed these controls have generally operated as intended. However, auditors also found that DMV’s three cash advance accounts are overfunded in comparison to their apparent business needs.


Department of Transportation – Lease and Permit Revenues

An initial report, issued in March 2013, determined DOT was not collecting all unpaid lease and permit fees. At the time of the audit, DOT was owed $6 million in lease and permit revenues, including $2.4 million between two and six years past due and another $1.4 million at least six years past due. DOT needed to improve communications between and guidance given to the units that issue permits and that bill permit holders. In a follow-up report, auditors determined that DOT implemented each of the four recommendations from the initial report.


DeVry College– Tuition Assistance Program

DeVry was overpaid $758,293 because school officials incorrectly certified students as eligible for TAP awards. Incorrect certifications include 14 students who received awards but had not demonstrated their academic preparedness for TAP awards. Twelve of these students did not have certificates of graduation, or the recognized equivalent of such a certificate, from a U.S. high school. The two other students had completed online study from a private school located in another state. Additional incorrect certifications include four students who did not meet the full-time requirements and three students who were not in good academic standing.


City Universityof New York – Time and Attendance for Public Safety Staff

Inadequate internal controls over time and attendance for public safety officers were identified. The overtime process could result in the payment of unauthorized and excessive overtime cost


Municipalities:

Village of Endicott – Budget Review

The significant revenue and expenditure projections in the tentative budget for the general, electric, library and parking funds are reasonable. The water and sewer funds’ tentative budgets are not balanced and include deficits of $257,000 and $155,000. Village officials plan to raise water and sewer rates to make up the difference. The village’s tentative budget exceeds the property tax levy limit.
URL link:  http://www.osc.state.ny.us/localgov/audits/villages/2015/endicott_br.pdf


Village of Hempstead– Budget Review

The significant revenue and expenditure projections in the preliminary budget are reasonable. However, based on the 2015-16 proposed budget, the village will have exhausted 91 percent of its taxing authority. The village’s ability to rely on real property taxes as an increased revenue source in the future is limited. The village’s preliminary budget complies with the property tax levy limit.


City of Lackawanna– Police and Fire Department Work Hours

Police department overtime costs and overtime hours have steadily increased over the last several years. In addition, fire department time and attendance records were not always accurately maintained.
URL link:  http://www.osc.state.ny.us/localgov/audits/cities/2015/lackawanna.pdf


Town of Willing – Justice CourtOperations

The prior town justice did not accurately record and report money to the Justice Court Fund in a timely manner. Additionally, the prior justice did not prepare monthly bank reconciliations, properly account for bail money held by the court or accurately report fines and surcharges to the Department of Motor Vehicles.


Town of Wright – Financial Operations

The board did not properly manage the town’s general fund balance from 2011 through 2014. As a result, the board accumulated general fund balance while raising taxes. However, beginning with the 2015 budget, the board plans to reduce the general fund balance to benefit taxpayers.


School Districts

Alfred-Amond CSD – Financial Software Access and Monitoring

Although a previous audit recommended that the district adopt policies and procedures that restrict users’ financial software application permissions to only those functions that are necessary for their job duties, the district did not act on this recommendation. As a result, auditors identified 24 user accounts that had inappropriate or unnecessary access rights or permissions. Auditors also confirmed that the former district treasurer attempted to manipulate her paid leave accruals by adding 60 unauthorized sick days valued at approximately $10,000. District officials notified auditors that they discovered through an informal review of leave records that the former treasurer attempted to manipulate her paid leave records. District officials corrected the leave records, and the former treasurer did not receive any undue benefit.


Beachon City School District – Budget Review

The significant revenue and expenditure projections in the preliminary budget are reasonable. The district’s preliminary budget complies with the property tax levy limit.


Clhaarlotte Valley CSD – Budget Review

The significant revenue and expenditure projections in the preliminary budget are reasonable. The district’s preliminary budget complies with the property tax levy limit.


Chenango Valley CSD – Budget Review

The significant revenue and expenditure projections in the preliminary budget are reasonable. The district’s preliminary budget complies with the property tax levy limit.


East Moriches UFSD – Budget Review

The significant revenue and expenditure projections in the tentative budget are reasonable, except for appropriations for tuition fees for high school students, charter school tuition fees and social security and Medicare taxes. In addition, revenues from tuition payments received from other districts may be overestimated. The district’s preliminary budget complies with the property tax levy limit.


Eldred CSD – Budget Review

The significant revenue and expenditure projections in the preliminary budget are reasonable. However, the district’s proposed budget for health insurance is $164,625 higher than supporting documentation for health insurance estimates. The district’s preliminary budget complies with the property tax levy limit.


Favius-Pompey CSD – Budget Review

The significant revenue and expenditure projections in the preliminary budget are reasonable. The district’s preliminary budget complies with the property tax levy limit. 


Green Tech High Charter School – Resident Tuition Billing

Auditors found $306,175 in school district billings were not paid in a timely manner because resident school districts denied payment due to lack of proof of residency or other enrollment issues.


Niagara-Wheatfild CSD – Financial Condition

A delay in state aid reimbursements for the Tuscarora Indian School has caused cash flow problems for the district. Without the aid, the district used general fund resources and cash flow borrowing to finance operations. The district has also issued a significant amount of short-term cash flow borrowing during the past three fiscal years.