December 30, 2017

New York State Comptroller Thomas P. DiNapoli issued the following audits and examinations during the week ending December 29, 2017


New York State Comptroller Thomas P. DiNapoli issued the following audits and examinations during the week ending December 29, 2017

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On
December 28, 2017, New York State Comptroller Thomas P. DiNapoli announced the following audits and examinations had been issued:

City University of New York: Lehman College, Controls Over Bank Accounts (2017-F-18) (Follow-Up)

An initial audit issued in April 2016 found two accounts that were not on CUNY Central’s list that Lehman opened prior to the implementation of its 2008 banking policy. In addition, of 72 payments from five judgmentally selected bank accounts, 25 totaling $114,554 were either improper or were unsupported. Auditors also found that a non-tax levy account contained tax levy dollars that Lehman should have turned over to the state. In a follow-up, auditors found Lehman officials had made progress in addressing the issues identified in the initial report.

Birch is a New York City-based not-for-profit organization authorized by SED to provide preschool special education services to children with disabilities who are between the ages of 3 and 5 years. For the two fiscal years ended June 30, 2013, auditors identified $1,376,319 in reported costs that did not comply with the RCM’s requirements, including: $605,667 in compensation paid to employees who did not work for Birch’s SED preschool cost-based programs.

An initial audit determined DOH had overlooked multiple sources of drug rebate revenue and did not collect an estimated $95.1 million in available rebates during the audit period. In a follow-up, auditors found DOH made progress in addressing the problems identified in the initial audit report; however, further actions are still needed.
An initial audit report issued in August 2016 covering the period of January 22, 2015 to March 20, 2016, determined there were significant deficiencies in planning the execution of the state’s Information Technology Transformation, with little to no evidence that basic planning steps were performed. In a follow-up, auditors found ITS officials have made progress in correcting the problems identified in the initial report.  Of the four prior audit recommendations, two recommendations have been implemented and two recommendations have been partially implemented.

Lifespire provides assistance to individuals with mental developmental disabilities. Lifespire operates 118 residences and offers 75 day programs in areas such as habilitation, supported employment, and residential, behavioral, prevocational, mental health, and family support. For the two fiscal years ended June 30, 2015, auditors identified $167,041 in costs claimed for state reimbursement that did not comply with requirements and recommend such costs be disallowed. The ineligible costs consisted of $70,129 in personal service costs and $96,912 in other than personal service costs.