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Aug 29, 2025

New York State Comptroller Thomas P. DiNapoli posted local government and school audits on the Internet

On August 28, 2025, New York State Comptroller Thomas P. DiNapoli announced the following local government and school audits were issued and posted on the Internet.

Click of the test highlighted in color to assess the audit.

Schenectady County – Investment Program

While the county’s investments were generally legal, safe and liquid, county officials did not develop and manage a comprehensive investment program. Officials also did not monitor investments, formally solicit interest rate quotes or consider other legally permissible investment options. In addition, officials did not create a comprehensive investment program with written procedures and did not prepare monthly cash flow forecasts or otherwise monitor investments to estimate funds available for investment. As a result, the county maintained most of its available-for-investment funds (monthly average of $112 million) in a money market account, earning $1.8 million, at a banking institution earning lower than other interest rates available. Had officials managed a comprehensive investment program, solicited interest rate quotes and deposited funds into a bank account or an investment option already used by the county, officials may have realized additional earnings ranging from $5.1 to $10.6 million.


Town of Lorraine – Town Supervisor’s Records and Reports (Jefferson County)
The supervisor did not maintain complete, accurate and up-to-date accounting records and reports. As a result, the board lacked reliable information necessary to manage the town’s financial operations. The supervisor did not identify and resolve discrepancies between recorded cash balances and adjusted bank balances, in part, because she did not perform bank reconciliations in an accurate manner. As of Dec. 31, 2023, three bank account cash balances totaling $105,091 were not included in the accounting records and the remaining three bank accounts’ adjusted bank balances exceeded the recorded cash balances by $513,735. Auditors identified about $440,000 in recordkeeping errors that contributed to this difference between the cash in the bank and the records.


Shoreham-Wading River Central School District – Capital Assets (Suffolk County)
District officials did not properly record and account for all of the district’s capital assets. As a result, the district has an increased risk that its capital assets could be lost, stolen or misused. The board of education did not designate a property control manager. Therefore, the district did not have a specific person who was responsible for tracking capital assets and ensuring that capital asset information was complete, up-to-date, accurate and useful. District officials did not properly segregate asset inventory duties among employees, and officials did not monitor the work of those who performed these duties. Auditors reviewed 30 purchases made during the audit period, which included 96 purchased assets, and determined that 78 assets with a combined acquisition value of $419,538 (87%) were not included in the district’s inventory list.


Essex County Industrial Development Agency – Project Approval and Monitoring
The board did not properly approve and monitor projects that received financial assistance. The board did not develop and adopt, by resolution, uniform criteria for the evaluation and selection for each category of projects to be provided financial assistance, including the preparation of a written cost-benefit analysis (CBA), as required by law. Of the nine approved projects reviewed, a written CBA was not prepared for four of the projects, and the CBAs prepared for the other five projects did not include all the information required by law. As a result, the board could not properly assess these projects, before their approval, to ensure the benefit to the community would be a sufficient return for the financial assistance to be provided.


Town of Lewis – Records and Reports (Lewis County)
The supervisor did not maintain complete and accurate accounting records and reports. As a result, the board lacked reliable records and reports to effectively manage the town’s financial operations. The supervisor did not provide oversight of the clerk duties related to maintaining the accounting records, which resulted in errors and deficiencies in the town’s accounting records. The supervisor also did not provide the board with complete and accurate monthly reports during the audit period. The board also did not audit, or contract with an independent public accountant to audit the supervisor’s records for 2023.


Town of Wethersfield – Capital Project (Wyoming County)
The board did not properly plan for or manage the department building capital project. Specifically, the board did not develop and adopt a written multiyear capital plan or create and follow a capital project budget. As a result, the board spent approximately $243,500 of town funds to purchase property and goods and services that may not be used. The property that was purchased more than five years ago remains undeveloped and officials have no formal plans for it. Although officials paid $85,000 about two years ago for precast concrete wall blocks, officials have not scheduled a delivery date for the wall blocks and owe an additional $37,000 once delivered. In addition, the board improperly established a $1 million reserve fund in the town’s general fund. Although the town attorney notified the board in October 2023 that the board did not properly establish a capital reserve fund, the board did not take appropriate action to remedy the situation.


Fredonia Central School District – Lead Testing and Reporting (Chautauqua County)
District officials did not properly identify, report or implement needed remediation to reduce lead exposure in all potable water outlets as required by state law and Department of Health regulations. Auditors determined 178 of the 665 (27%) water outlets identified were not sampled or properly exempted by district officials. This occurred because district officials did not have a sampling plan to identify all water outlets for testing or exemption. District officials also did not have a remedial action plan that detailed which water outlets they exempted and how they would be secured against use, and what remedial actions were planned or enacted. Because there is no information on the lead levels of the 178 water outlets not sampled for testing, auditors were unable to determine whether officials identified and remediated all water outlets that would have required it.

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