Selected Reports issued by the Office of the State Comptroller during the week ending March 5, 2016
City University of New York – Administration of Fellowship Leaves; Follow-up
An initial audit issued in October 2013, examined whether the fellowship leaves granted instructional staff were awarded for authorized purposes and in compliance with all applicable requirements. Although most of the fellowship recipients reviewed complied with CUNY policy, improvements were needed to protect taxpayer dollars and the integrity of CUNY’s fellowship leave program. In a follow-up report, auditors determined CUNY has made progress in addressing the issues identified in the initial report.
Office of General Services – Passenger Vehicle Fleet Management
Department of Health – Fraudulent and Improper Claims – Follow-up
United HealthCare – Fraudulent and Improper Claims
An initial audit report issued in August 2013, determined the New York State Health Insurance Plan (NYSHIP) made improper payments totaling $137,459 to Davis Ethical Pharmacy. After an investigation, the owner, William Davis pleaded guilty to Grand Larceny in the Second Degree in Nassau County District Court. In a follow-up, auditors determined United made progress addressing the problems identified in the initial report. At the time of the follow-up review, William Davis made full restitution to the state.
Higher Education Services Corporation – Tuition Assistance Program
Auditors determined that Metropolitan Learning Institute was overpaid $581,315 because school officials incorrectly certified students as eligible for state financial aid awards.
NYC Department of Health and Mental Hygiene – Administration of Contracts
NYC Department of Health and Mental Hygiene [DOHMH] did not effectively administer certain financial aspects of the contract with the Center for Urban Community Services. As a result, CUCS overbilled DOHMH by about $1.06 million during the year ended June 30, 2013. The overbillings include $1.05 million of improperly claimed personal service expenses and $11,889 of unsupported or inappropriate non-personal service costs.
SUNY Downstate Medical Center – Review of Grove Technologies, Inc.
In April 2014, Downstate entered into a state-funded, non-competitive, single-source contract with Growe for electronic medical health record services. Auditors found Downstate paid up to $1.3 million more than necessary by using a non-competitive procurement rather than bidding the services or using existing competitive contracts available to Downstate. The decision to use the non-competitive contract was based on unsupported claims from Downstate officials.