DiNapoli's Office Completes School Audits
New York State Comptroller Thomas P. DiNapoli today announced his office completed audits of the: McGraw Central School District - Internal Controls Over Financial Software User Access and Highland Central School District – Medicaid Reimbursement and Special Needs Transportation.
“My office’s audits of school districts and BOCES help schools improve their financial management practices,” DiNapoli said. “These audits are tools for schools to make sure proper policies and procedures are in place to protect taxpayer dollars and provide students with the best possible education.”
McGraw Central School District - Internal Controls Over Financial Software User Access (Cortland County)
DiNapoli’s auditors found that district officials did not assign user access rights within the financial software based on appropriate job description and official job duties. The treasurer, the district’s chief accounting officer, is also the system administrator for the district’s financial software. Therefore, she has unrestricted access to all financial applications within the software, can add new users to the system and change users’ access rights, and can make payments. The treasurer told auditors from DiNapoli’s office that the business administrator must approve any changes made to individual access rights. However, neither the business administrator nor any other district official periodically generates audit logs that would enable them to review any other changes performed by the treasurer. As a result, the treasurer has the ability to make unauthorized payments or change financial data without detection. http://www.osc.state.ny.us/localgov/audits/schools/2010/mcgraw.pdf
Highland Central School District – Medicaid Reimbursement and Special Needs Transportation (Ulster County)
DiNapoli’s auditors found that district officials could improve the procedures for processing Medicaid claims. If the district were to submit all proper claims for services, it could realize additional revenue of up to $11,387. DiNapoli’s auditors also found that district bus drivers did not collect the data necessary to submit claims for reimbursement for special needs transportation. As a result, the district was ineligible for reimbursement of $8,880 for special needs transportation costs. http://www.osc.state.ny.us/localgov/audits/schools/2010/highland.pdf