Determine whether Albany Leadership Charter School for Girls (School) Board of Trustees (Board) and officials ensured collections were properly accounted for and deposited in a timely manner.
The Board and School officials did not ensure collections were properly accounted for and deposited timely. Also, the School’s cash receipts policy was inadequate and officials did not enforce the policy. As a result, officials and staff did not:
- Monitor collections received in the main office to ensure all collections were accounted for or deposited in a timely manner. As a result, 113 collections totaling $914,291 (99 percent of total collections remitted to the business office) were not deposited timely. For example, collections totaling about $318,000 were deposited between 91 and over 200 days after they were received.
- Monitor State aid payments to ensure all available revenue was received, recorded accurately and deposited timely. State aid checks totaling $41,167 were not accounted for or deposited.
As a result, the School did not have access to the undeposited funds, the Board’s monthly financial reports did not accurately report revenue, and the risk of loss, diversion or theft of School funds was increased.
- Maintain detailed collection records, deposit collections in a timely manner, and reconcile collections lists and remittances to bank deposits.
- Ensure State aid payments are properly accounted for and deposited timely.
School officials generally agreed with our recommendations and indicated they planned to initiate corrective action.