Audits of Local Governments and School Districts
Town of Fort Edward – Accounting Records and Information Technology (2012M-101)
Released: September 14, 2012 -- [read complete report - pdf]
Purpose of Audit
The purpose of our audit was to review the Town's accounting records and reports and information technology policies for the period January 1, 2010, to December 31, 2011.
The Town of Fort Edward is located in Washington County. The Town is governed by a Board that is comprised of an elected Town Supervisor and four elected councilpersons. The 2011 budget for the town-wide general fund totaled $913,349, the part-town general (area outside the Village) fund was $92,746 and the highway fund was $606,900. The adopted budget for 2012 totaled approximately $1,584,000 for the same three funds.
- The Town's annual financial reports (AUD) filed with OSC contained inaccuracies, some of which apparently persisted for several years. These inaccuracies were carried forward from the 2010 fiscal year into the 2011 fiscal year even after the Town hired an accountant to reconcile and had not been corrected as of the end of 2011. The Town has filed the required AUD significantly late every year from 2007 through 2010 ranging from 173 days to 293 days late.
- The Town did not establish written information technology policies to address acceptable computer use and provide security awareness to computer users in both the Town and Village who access the network. The Town did not establish a disaster recovery plan or a breach notification policy as required by law.
- A service agreement that the Town entered with an outside technology services provider included vague language that did not adequately describe the services that the Town was due to receive.
- Ensure that all necessary audit adjustments are made to correct the accounting records and support the Town's AUD and continue efforts to ensure that the Town submits the AUD on time.
- Establish information technology policies that address acceptable use, security awareness, and breach notification and establish a disaster recovery plan.
- Ensure that all agreements with vendors providing technology services clearly explain what services they are providing, and the roles and responsibilities of all parties.
Local Government and School Accountability Contact Information:
Phone: (518) 474-4037; Email: firstname.lastname@example.org
Address: Office of the State Comptroller, Division of Local Government and School Accountability
110 State Street, 12th Floor; Albany, NY 12236