July 10, 2021

Audits and reports issued during the week ending July 10, 2021 by the New York State Comptroller

New York State Comptroller Thomas P. DiNapoli announced the following audits and reports were issued during the week ending July 10, 2021.

Click on the text highlighted in color to access the complete audit report.

Municipal Audits

Town of Hempstead Local Development Corporation – Fund Balance (Nassau County) The board did not effectively manage fund balance. The board also did not develop or adopt a fund balance policy that addresses what level of fund balance is needed or how any surplus funds will be used and the timeframe for doing so. In addition, the unrestricted fund balance grew to $2.4 million as of Dec. 31, 2020. Allowing $2.4 million to accumulate and sit idle without a specific purpose to benefit the town is not in the public’s best interest. 

Laurens Fire District – Financial Activities (Otsego County) The board did not establish adequate controls over district financial activities to safeguard assets. In addition, the board did not segregate key duties or implement adequate mitigating controls. Auditors also determined the board did not contract for an independent audit of its 2019 records, as required by law, or provide for an annual audit of the treasurer’s records. As of June 30, 2020, the district’s 2017 through 2019 annual reports were between 122 and 852 days late. 

Town of Oneonta – Town Clerk (Otsego County) The clerk properly recorded all the fees auditors reviewed and remitted all fees collected during the audit period in a timely manner. However, the clerk did not always deposit fees within the required time frame. The clerk did not deposit $5,266 in fees collected within the required time frame. In addition, the clerk did not prepare accurate bank reconciliations. The clerk also did not prepare accountability analyses. As of Oct. 30, 2020, the clerk’s bank account held an unaccounted for and unremitted cash balance of $262. 

City of Yonkers – Budget Review (Westchester County) The 2021-22 budget relies on nonrecurring revenue of $55.2 million, such as fund balance, one-time state funding and the sale of property, to balance its budget. The city could face a shortfall of $1.8 million for parking violations bureau revenue and $1.3 million for parks revenue. The city plans to borrow up to $15 million for tax certiorari settlements in the 2021-22 fiscal year. In addition, firefighting overtime costs could potentially be over budget by as much as $2 million based on the 2020-21 fiscal year overtime costs. Over the last 10 years, the city’s outstanding debt has grown 9.4% and the city’s debt service payments have risen 13.2%. The city will need $80.6 million to service its debt obligations during 2021-22.

 

 

CAUTION

Subsequent court and administrative rulings, or changes to laws, rules and regulations may have modified or clarified or vacated or reversed the decisions summarized here. Accordingly, these summaries should be Shepardized® or otherwise checked to make certain that the most recent information is being considered by the reader.
THE MATERIAL ON THIS WEBSITE IS FOR INFORMATION ONLY. AGAIN, CHANGES IN LAWS, RULES, REGULATIONS AND NEW COURT AND ADMINISTRATIVE DECISIONS MAY AFFECT THE ACCURACY OF THE INFORMATION PROVIDED IN THIS LAWBLOG. THE MATERIAL PRESENTED IS NOT LEGAL ADVICE AND THE USE OF ANY MATERIAL POSTED ON THIS WEBSITE DOES NOT CREATE AN ATTORNEY-CLIENT RELATIONSHIP.
Consistent with the Declaration of Principles jointly adopted by a Committee of the American Bar Association and a Committee of Publishers and Associations, the material in this blog is presented with the understanding that neither the publisher nor members of the staff are providing legal advice to the reader and in the event legal or other expert assistance is needed, the reader is advised to seek such advice from a competent professional.