On October 2, 2026 New York State Comptroller Thomas P. DiNapoli announced that the State Government Accountability, Local government and School audits audits listed below were posted on the Internet
Click on the text highlighted in COLOR to access the audit.
New York City Department of Citywide Administrative Services – Actions to Reduce Carbon Emissions From City Government Operations (2023-N-7)
In 2019, the New York City Council passed the Climate Mobilization Act, including Local Law 97, which requires New York City government operations to reduce greenhouse gas emissions by at least 40% by fiscal year 2025 and 50% by fiscal year 2030, relative to such emissions for fiscal year 2006. Auditors found that the city did not achieve the emissions reductions or energy efficiency improvements for 2025. While the city acknowledged that it was behind schedule due to “unforeseen and unprecedented challenges over the past years,” other factors such as missing documentation, missed reporting deadlines, inconsistent metrics and unclear guidance and communication from the Department of Citywide Administrative Services to agencies it was to collaborate with on emissions reductions also contributed to delays with achieving Climate Mobilization Act goals.
Department of Health – Medicaid Program: Oversight of Electronic Transmitter Identification Numbers (2024-S-34)
An electronic transmitter identification number (ETIN) is a unique identifier used to submit fee-for-service claims to Medicaid. Per Medicaid policy, all entities that submit claims to Medicaid must have an active, certified ETIN affiliation on file before submitting claims. Auditors found that DOH has not implemented adequate controls to ensure that ETIN affiliations meet requirements. As a result, the Department of Health’s Medicaid claim processing and payment system processed nearly 10.8 million claims submitted with 783 ETINs that were not affiliated with the billing providers on the date of service. The control deficiencies identified reduce visibility into the claim submission process, creating uncertainty about whether claim submitters who may have been previously authorized are still authorized to submit claims.
Metropolitan Transportation Authority – Selected Aspects of the Metropolitan Transportation Authority Small Business Development Program (2023-S-47)
In 2010, the Metropolitan Transportation Authority (MTA) launched its Small Business Development Program (SBDP) to help eligible small business construction firms develop and grow by establishing business relationships with the MTA. SBDP includes the state-funded Small Business Mentoring Program (Mentoring Program) and the federally funded Small Business Federal Program. Auditors found an overall lack of formal written procedures for many aspects of SBDP, including the application and procurement processes, the identification of bidders and the Mentoring Program’s training and outreach. Auditors found errors or inconsistencies in the documents SBDP uses to select which contractors would be provided with an opportunity to bid on individual contracts. As a result, auditors found eligible contractors that should have been selected to bid but were not.
Division of Criminal Justice Services – Oversight of Adult Probation Services (2023-S-46)
The Division of Criminal Justice Services (DCJS) oversees and funds 58 probation departments across the state, covering 57 counties and New York City. It is responsible for promoting practices that improve public safety, hold probationers accountable, and reduce recidivism. Auditors found that DCJS should increase its monitoring and oversight to enhance the probation supervision practices provided by counties and maximize public safety for all state residents and provide guidance that establishes a balance between the counties expressed desire for standards and the need for flexibility from county to county. While DCJS has developed and implemented protocols to assist counties with their supervision responsibilities, auditors found that counties could use additional guidance and support in areas such as training, caseload and review practices, drug and alcohol testing, completing required periodic probationer assessment reports, sex offender supervision and the management of ignition interlock devices.
Department of Labor – Labor Investigations in New York City (Follow-Up) (2025-F-32)
The Department of Labor (DOL) is responsible for enforcing New York Labor Laws (Laws),which provide requirements related to minimum wage, overtime, hours of work, child labor and payment of wages and wage supplements—and DOL’s Division of Labor Standards (Division) is responsible for receiving and investigating labor complaints, and can assess penalties and fines if employers are found to be in violation of the Laws. A prior audit, issued in January 2024, identified weaknesses in several aspects of DOL’s oversight, including significant delays in the Division’s investigation activities that, in turn, diminished the efficiency of case resolution and restitution for workers. DOL made some progress in addressing the problems identified in the initial audit report. Of the initial report’s seven audit recommendations, two were implemented and five were partially implemented.
City of Albany – Budget Review (Albany County) OSC reviewed the city’s adopted fiscal year 2025 and 2026 budgets and determined that significant revenue and expenditure projections were not reasonable. City officials did not prepare budgets using realistic estimates based on historical trends, actual results and the most current and accurate information available. In addition, city officials relied on non-recurring revenues to finance recurring expenditures. The city experienced an unplanned operating deficit of approximately $25 million in fiscal year 2025, which significantly reduced available financial resources and limited the city’s ability to finance amounts included in the 2026 adopted budget. The 2026 adopted budget includes revenues that the city may not realize and appropriations that are underestimated. If current operating trends continue, auditors project the city will have a fiscal year-end deficit of approximately $26 million.
City of Oneonta – Cybersecurity (Otsego County) City officials did not provide adequate governance to safeguard Information Technology (IT) assets from cybersecurity threats. While the city’s third-party IT vendor created several cybersecurity policies, standards and guidelines, the city’s common council did not formally adopt the policies and city officials did not review, enforce or monitor employee compliance with the policies. In addition, officials did not communicate the policies to city employees in a timely manner, and they did not clearly document cybersecurity roles and responsibilities in city employees’ job descriptions. As a result, policy violations occurred, including officials not documenting risk assessment activities and employees not completing cybersecurity awareness training within 30 days of hire.
Lockwood Volunteer Fire Department – Financial Activities (Tioga County) Department officials did not ensure that financial activities were properly supported, authorized, recorded and reported or provide the department board of directors with complete, accurate and timely information needed to effectively oversee the Department’s financial operations.
Town of Wallkill – Budget Review (Orange County) The town’s adopted budget for fiscal year 2026 risks negatively impacting the town’s financial condition and putting the town in a declining financial position. Because the town did not have complete, accurate and current accounting and financial records, auditors’ ability to determine the reasonableness of the town’s significant revenue and expenditure projections was limited. The budget included appropriated fund balance as well as significant revenue and expenditure projections that were not always reasonable or supported. While the one-time state aid of $4 million will ease concerns for the 2026 fiscal year, the combination of these factors puts the town at risk of having a declining financial condition.
Town of Washington – Financial Operations (Dutchess County) The board and officials did not effectively manage the town’s fund balances. As a result, officials maintained unrestricted fund balance in the main operating funds that exceeded the town’s 25% fund balance policy limit and adopted unrealistic budgets that generated operating surpluses and accumulated excess fund balances. Inadequate budgeting practices, including appropriating fund balance that was not needed to fund operations, may have resulted in taxpayers paying more in real property taxes than necessary. In addition, while officials stated that excess fund balance was set aside for future capital plans and maintenance, they did not develop a multiyear financial plan or a capital plan to identify, prioritize and fund those needs and guide budget development and decisions.
Village of Elmsford – Employee Benefits (Westchester County) Village officials did not ensure employees’ leave accruals and payments of unused leave accruals were accurate, approved and supported. Failing to ensure that employees’ leave accruals and payments are accurate resulted in employees being compensated for or taking leave to which they were not entitled and creates the potential for future errors. As a result, the village incurred unnecessary salary-related expenditures.
Village of Fonda – Water Fund Financial Operations (Montgomery County) The board did not effectively manage the water fund’s financial operations, causing the fund balance to decline and reducing the board’s ability to respond to emergencies, infrastructure and service needs or other unanticipated occurrences. In addition, the board did not provide oversight of the clerk-treasurer’s water duties.
Village of Lansing – Procurement (Tompkins County) The board and village officials did not always use a competitive process to procure goods and services according to the statutory requirements in state law, the village’s procurement policy or best practices. As a result, village officials did not have assurance that purchases were made in a manner that guards against favoritism, improvidence, extravagance, fraud and corruption, while fostering honest competition for the village to obtain the best goods and services at the lowest possible price.
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