Did the Canisteo-Greenwood Central School District (District) Board of Education’s (Board) appointed claims auditor properly audit claims prior to payment?

Determine whether Border City Hose Company Inc. (Company) officers provided adequate oversight of Company operations to ensure financial activities were properly recorded and reported and that resources were adequately safeguarded.

The Board did not adequately monitor financial activities or ensure the Treasurer maintained appropriate records and reports. The Board’s lack of monitoring the Treasurer’s financial activities and conducting an annual audit of the Treasurer’s financial records impacted the Board’s ability to identify inaccurate accounting records and reports and address deficiencies sooner to ensure it received reliable information to make informed decisions for the District. In addition, a lack of adequate oversight and monitoring increases the risk of incomplete and inaccurate records and that funds could be lost or misappropriated without detection.

Determine whether the Serven Volunteer Fire Company, Inc. (Company) Board of Directors (Board) provided adequate oversight of Company operations to ensure financial activities were properly recorded and reported and resources were adequately safeguarded.

Determine whether the Border City Fire District (District) Board of Fire Commissioners (Board) provided adequate oversight of the District’s financial operations.

Determine whether Exploration Elementary Charter School for Science and Technology (School) officials ensured non-payroll disbursements (disbursements) were supported and for appropriate School purposes, properly reviewed and approved.

Although District officials complied with competitive bidding requirements and certain aspects of the District’s procurement policies, they did not seek competition for two professional service contracts related to the Project.

District officials generally procured time and materials contracts in a cost-efficient manner through the use of competitive bids or an exception to the competitive bidding process. However, District officials did not confirm that the goods and services billed by the vendor and paid by the District were accurate and complied with the applicable bid specifications or, in some circumstances, the terms of the contract. Because officials did not ensure payments were in accordance with contract terms, officials overpaid three vendors a total of $55,015. In addition, officials did not ensure all vendor invoices were properly supported and audited before payment. As a result, there is an increased risk that paid claims may not be for legitimate expenditures.

District officials did not conduct all required drills or conduct all drills within the required time frames and officials could not support that they met all drill requirements. Officials also did not conduct all required bus drills, did not ensure all students participated in bus drills, did not file the required New York State Education Department (SED) annual certification for bus drills or properly notify parents or persons in parental relations (together “parents”) of drills as required in 2024-25.

We reviewed 166 claims totaling $712,696 and determined that the Board did not properly audit 78 claims (47 percent) totaling $47,836. Specifically, the Board approved: 21 claims totaling $23,789 without documentation indicating that the services outlined in the rental agreement were rendered. A claim totaling $17,812 for an automatic defibrillator (AED) without obtaining quotes in accordance with the District’s purchasing policy or providing sufficient proof that it was a sole source purchase. 13 claims that included sales tax totaling $228. District officials told us they were aware that sales taxes were paid on certain purchases and have taken measures to ensure sales taxes are not paid going forward. 42 out of 60 credit card claims (70 percent) totaling $5,117 without adequate supporting documentation that purchases were for legitimate District purposes. These claims included purchases totaling $484 made through an online payment system and at a local coffee chain. Although officials claimed that the purchases were fraudulent, they did not provide documentation to support that fraud claims were filed with the bank to dispute the charges. A credit card claim that included a $288 purchase from an online data backup services vendor that may have been a duplicate.

District officials did not ensure the District’s website provided the public with transparent and comprehensive financial and administrative information. As a result, the community and other interested parties could not readily access and review District information to make informed decisions.

The purpose of our review was to assess the Schonowe Volunteer Fire Company, Inc’s (Company’s) progress, as of April 2025, in implementing our recommendations in the audit report Schonowe Volunteer Fire Company, Inc. – Board Oversight (2021M-185), released in April 2022.

Determine whether the Port Ewen Fire District’s (District) Board of Fire Commissioners (Board) properly managed the District’s financial operations.

The purpose of our review was to determine whether County officials established appropriate controls to safeguard and account for court and trust funds for the period January 1, 2024 through September 3, 2025.

The purpose of our review was to assess the North Salem Central School District’s (District’s) progress, as of May 2025, in implementing our recommendations in the audit report North Salem Central School District – Network User Accounts (2022M-140), released in June 2023.

The Board did not always seek competition when procuring professional services. Of the 67 professional service providers that were paid approximately $364,000 in 2024, we determined that the Board did not seek competition prior to selecting 54 professional service providers that were paid approximately $274,000 for various services including legal, engineering, bookkeeping, auditing and water testing services. As a result, Board members may not have been aware of other professional service providers who could offer similar services at a more favorable rate. This was due in part because the Board adopted a procurement policy that lacked guidance on soliciting competition for professional services prior to selecting professional service providers.

The purpose of our review was to assess the Town of Hempstead Local Development Corporation’s (THLDC’s) progress, as of June 2025, in implementing our recommendation in the audit report Town of Hempstead Local Development Corporation – Project Approval and Oversight (2021M-37), released in September 2021.

The Board did not adequately oversee or manage the Town’s ambulance service. The Board’s general lack of oversight of and policy development for the District resulted in excessive fund balance and unnecessary tax increases. Additionally, a loss of revenue or fraudulent activity could occur.

While the Board and District officials generally ensured that the non-payroll disbursements we reviewed totaling approximately $2.8 million were adequately supported and for valid District purposes, they did not always ensure that the disbursements were properly audited and approved before officials made the disbursements. As a result, there was an increased risk that improper or unsupported payments could have been made and may not have been detected and corrected.

District officials did not always appropriately authorize and accurately calculate separation and unused leave payments; resulting in erroneous payments. This occurred because District officials did not perform an adequate independent review of separation and unused leave calculations and eligibility. Without written procedures to provide guidance and clear expectations; District officials did not implement a practice to review supporting documentation when reviewing and approving the payments. As a result; calculation errors went undetected.