Audit Objective
Determine whether Town of Lake Luzerne (Town) officials used competitive methods when procuring goods and services.
Key Findings
The Town Board (Board) did not enforce the provisions of the Town’s procurement policy (Policy). As a result, Town officials did not seek competition when procuring goods and services totaling $561,829 or 48 percent of the purchases reviewed. Town officials did not:
- Competitively bid four purchases totaling $417,674. Had officials sought competitive bids, officials could have saved Town taxpayers at least $37,000.
- Seek competitive quotes for 27 purchases totaling $144,155.
- Justify, authorize and/or document one emergency and three sole source purchases totaling $38,022.
- Authorize a boat purchase.
Because officials did not always comply with competitive bidding statutes and the Town’s Policy, the Board cannot ensure officials are procuring goods and services in the most prudent and economical manner. As a result, the Town risks acquiring further goods and services at higher costs than necessary.
Key Recommendation
- Comply with competitive bidding statutes and the Town’s Policy.
Town officials generally agreed with our recommendations and indicated they planned to initiate corrective action.