New York State Comptroller Thomas P. DiNapoli today announced the following local government audits have been issued.
The Supervisor did not adequately fulfill his fiscal responsibilities because he failed to provide oversight of the bookkeeper, who performs all financial duties, including online banking, on her personal computer. The bookkeeper collects, records and deposits receipts and makes online transfers without oversight, including inappropriately making transfers directly from the bank accounts of the independently elected town clerk and justice.
The board did not audit individual claims before payment. However, a review of 59 claims totaling $1.2 million paid during the audit period showed that these claims generally appeared to be valid expenditures. Village officials were unable to provide documentation to show that they obtained the required number of bids, quotes or request for proposals for seven purchases totaling $102,494, as required by the procurement policy. Village officials also paid 40 credit card charges totaling $7,187 (of 103 charges totaling $16,999 incurred during the audit period) that were inadequately supported.
Although department supervisors review and sign timecards, there are no procedures to provide a review of timecards for office staff and supervisors. In addition, village officials do not review the payroll clerks’ payroll calculations or entered data for accuracy before payroll is finalized.
The board president did not publicly disclose, in writing, his deemed interest in the oral agreement between his business and the department. Based on the oral agreement, it appears that the president’s business owed the department at least $3,500. In addition, department officials did not ensure collections totaling $75,200 from fundraising activities were adequately supported. Finally, the treasurer did not keep adequate documentation for 55 disbursements totaling $38,500.
The former clerk did not deposit clerk fees intact. While total collections recorded in the system for each deposit generally agreed with the total amount deposited, auditors identified seven instances when the composition of total cash and checks recorded in the system did not agree with the composition of total cash and checks deposited. Auditors identified a total cash shortage of $164 as a result of seven unrecorded checks substituted for recorded cash collections. In addition, the former clerk did not adequately support collections and the form of payment was not always recorded.