November 5, 2010
DiNapoli's Office Completes Audit of the Village of Head of the Harbor
New York State Comptroller Thomas P. DiNapoli today announced his office completed the audit: Village of Head of the Harbor – Internal Controls Over Selected Financial Activities.
“As Comptroller, I’m committed to using the audit process to make sure state and local governments run as efficiently as possible,” DiNapoli said. “These audits are tools governments should use to better protect taxpayer dollars. By ignoring the competitive bidding process, the Village of Head of the Harbor failed to ensure that only contracts with the greatest economic value were being awarded. This process must change if the village wants to guarantee taxpayers are getting the biggest bang for their buck.”
DiNapoli’s auditors found that village officials need to improve internal controls over purchasing. Village officials did not comply with provisions of competitive bidding laws and their own procurement policy. As a result, during the audit period, the village paid more than $85,000 to a vendor for a drainage contract and more than $77,000 for paving without obtaining competitive bids, as required by General Municipal Law.
DiNapoli’s auditors also noted that the village’s purchasing policy also needs to be improved. Auditors found weaknesses in the village’s internal controls over claims processing and the board had not established adequate controls over the village’s payroll system. Finally, the village paid $5,213 during the audit period, to a company that is 50 percent owned by one of the trustees’ spouse.
For a full copy of the audit, Click Here.
If you have any questions, or would like a comment from the Comptroller’s press office regarding this audit, please call 518-474-4015, or send an email to firstname.lastname@example.org.