Press Releases
Press Office
(518) 474-4015


January 19, 2010

DiNapoli's Office Completes BOCES Audit

New York State Comptroller Thomas P. DiNapoli today announced his office completed an audit of Monroe 2-Orleans Board of Cooperative Educational Services.

"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."

Monroe 2-Orleans BOCES Internal Controls Over Select Financial Activities (Monroe and Orleans counties) The audit found that public funds were used for questionable overseas activities because BOCES entered into a service agreement without authority to do so. BOCES then placed approximately $1.2 million in proceeds in the Monroe 2-Orleans Educational Foundation, Inc. (Foundation) with no authority to use public funds for this purpose. The Foundation appears to have transferred the moneys to the Rochester Area Community Foundation, Inc (RACF) in order to avoid the restrictions on investments of BOCES moneys. As a result of using higher risk investments, there was a decline of approximately $300,000 as of March 31, 2009. BOCES officials also contributed more than $10 million to an Other Post Employment Benefits Trust, without the legal authority to maintain such a trust. In addition, the board failed to properly establish two reserves or provide adequate oversight for five reserves, which had a combined balance of almost $2.5 million as of June 2009. The board failed to properly oversee and train the claims auditor, and did not receive or require monthly reports from the claims auditor. Finally, auditors found weaknesses in BOCES' information technology structure, such as a lack of an entity-wide security assessment, lack of a disaster recovery plan, and inappropriate user rights assigned to some individuals.

To view the audit above, visit: If you have any questions or would like a comment from the Comptroller's office regarding the audit above, please call Emily DeSantis at 518-474-4015.

School District Accountability
In order to improve accountability of the state's schools, DiNapoli's office will audit all of New York's school districts and Boards of Cooperative Educational Services by 2010. The State Comptroller's office has completed 725 school audits and approximately six school audits are currently underway.


Albany Phone: (518) 474-4015 Fax: (518) 473-8940
NYC Phone: (212) 383-1388 Fax: (212) 681-7677