State Comptroller Thomas P. DiNapoli has released a series of audits concerning local governments and school districts in New York State. The audits highlight issues with procurement, financial management, and compliance with regulations related to lead testing in potable water outlets.
In one town audit, officials did not follow board policy or statutory requirements when procuring goods and services. The report states that officials failed to seek competition or maintain supporting documentation for 28 purchases totaling $745,372. Additionally, 48 claims amounting to $299,716 were not properly audited before payment, and 226 credit card purchases worth $54,359 lacked receipts or itemized invoices. According to the Comptroller’s office, “As a result, officials cannot support that all goods and services were procured in the most cost-effective manner, which may have resulted in higher operational costs that would be passed onto taxpayers.” The board also did not always properly audit claims before approving them for payment.
A follow-up review of a school district’s financial management procedures found no progress had been made since a previous audit in February 2017. Of three recommendations made earlier, two were not implemented and one was deemed not applicable during the review period. Additional deficiencies led auditors to conduct a more comprehensive review. The findings included delayed deposits—12 collections totaling $425,202 were deposited an average of 154 days late; some deposits were over a year and a half late. Eight collections totaling $24,453 were inaccurately recorded; 11 claims worth $130,435 were paid without board approval; and 26 claims totaling $19,479 lacked proper documentation. Furthermore, the treasurer’s reports understated cash by $53,424 compared to bank records. Bank reconciliations contained questionable items and were not reviewed by the board. The treasurer did not provide financial records for annual audits nor did the board request them.
Several school districts failed to comply with state law and Department of Health regulations regarding lead testing in potable water outlets:
– In one district, auditors found that 39 out of 312 water outlets (13%) at selected areas were neither sampled nor properly exempted from testing due to incomplete sampling plans. Of the outlets tested, 120 out of 470 (26%) exceeded lead action levels; nearly half of those requiring remediation remained unaddressed.
– Another district failed to sample or exempt 24 out of 197 outlets (12%). There was no documentation showing staff or parents had been notified about results indicating elevated lead levels in certain outlets.
– In another case, auditors reported that over half (56%) of identified water outlets at select areas had not been sampled or exempted as required; however, none of those tested exceeded action levels.
– One district left unsampled or unexempted half (50%) of its identified outlets; among those tested, several with actionable lead levels remained in service without effective controls.
– Additional districts showed similar patterns: incomplete identification and testing plans for water outlets led to gaps in reporting results and taking remedial actions when necessary.
The audits note failures across multiple districts both in identifying all required water sources for testing and in notifying relevant parties—including staff and parents—about test results within required timeframes.
“District officials did not properly identify all potable water outlets for sampling or exemption as required by state law and Department of Health regulations,” stated one audit report.
These findings underscore ongoing challenges faced by local governments and school districts regarding fiscal oversight and public health compliance.
