Peconic Bay Community Preservation Fund (2023-MR-1)

Issued Date
February 23, 2024

[read complete report – pdf]

We also issued five individual reports to the following Towns: East Hampton, Riverhead, Shelter Island, Southampton, and Southold.

Audit Objective 

Determine whether officials from the Towns of East Hampton, Riverhead, Shelter Island, Southampton, and Southold (Towns) properly administered the Peconic Bay Community Preservation Fund (CPF) to ensure that all collections were properly supported, recorded, and deposited and that disbursements were proper and supported.

Key Findings 

Town officials from all five Towns ensured disbursements were proper and supported, and debt service payments were for legitimate CPF purposes and properly allocated. 

However, Town of Riverhead officials did not always record dates collections were received or deposit payments in a timely manner. Town of Riverhead officials did not: 

  • Record dates CPF collections were received for seven out of 27 CPF collections.
  • Deposit nine CPF collections totaling $5.3 million within 10 days, as required by Town Law Section 29.

Key Recommendations 

  • Ensure Town of Riverhead personnel who receive CPF collections are aware of, and follow, collection procedures.
  • Ensure Town of Riverhead personnel who receive CPF collections record when all CPF collections are received.
  • Ensure CPF collections are deposited in a timely manner.