State Comptroller Thomas P. DiNapoli has released audits of several local governments and school districts, highlighting issues in financial oversight, procurement practices, and emergency preparedness.
One audit found that school officials did not ensure disbursements were properly supported or reviewed before payment. The report noted that 112 disbursements and credit charges totaling $504,506 lacked itemized invoices and documentation for their purpose. Officials explained that 300 gift cards worth $100 each (totaling $30,975) were intended for students who achieved certain grades on state exams but were instead given to 19 teachers and support staff based on student performance. The audit also found inadequate segregation of duties for the operations manager, who was able to make purchases, prepare checks, sign checks using a board member’s stamp, and alter financial records. In December 2024, the former operations manager was arrested for allegedly stealing $1,100 in gift cards; she pleaded guilty to disorderly conduct in July 2025 and repaid the school.
Another district was generally effective in procuring time and materials contracts through competitive bids or required exceptions. However, officials failed to verify whether goods and services billed by vendors matched bid specifications or contract terms. This led to overpayments totaling $55,015 to three vendors. Additionally, not all vendor invoices were properly supported or audited before payment, increasing the risk of improper expenditures.
A separate audit revealed that while district officials followed competitive bidding requirements for most contracts related to a capital improvements project, they did not seek competition for two professional service contracts connected with the 2020 Capital and Energy Performance Improvements Project. Of the approximately $62.9 million spent on reviewed contracts and change orders, $7.3 million went to two vendors without following the district’s procurement policy requiring a request for proposals process.
In another case concerning emergency preparedness, auditors reported that district officials did not conduct all required evacuation and lockdown drills during the regular school year nor complete all bus drills within mandated time frames. Officials could not provide evidence that drill requirements were met or file necessary certifications with the state Education Department regarding bus drills; parent notifications about these drills were also lacking. Without proper training and instruction through these drills, staff and students may be unprepared for emergencies.
