New York State Comptroller Thomas P. DiNapoli has released a series of audits examining state agency management and program compliance.
A review of the Office of General Services (OGS) found that the agency has improved its oversight of capital assets following recommendations from a February 2024 audit. OGS uses the Statewide Financial System Asset Management Module to track and manage significant state property. Of seven recommendations made in the previous report, five have been fully implemented while two remain partially addressed.
An audit of CaremarkPCS Health, L.L.C. (CVS Caremark), which manages prescription drug benefits for the Empire Plan under the New York State Health Insurance Program, revealed gaps in contract compliance. CVS Caremark is required to conduct on-site pharmacy audits and report potential fraud or abuse to the Department of Civil Service. However, auditors found that “CVS Caremark audits sometimes reviewed only a minimal number of Empire Plan claims; CVS Caremark did not perform on-site audits of all the top 50 paid pharmacies for calendar years 2019–2023, as required by the Contract; and CVS Caremark has a different understanding of its responsibilities regarding the identification and referral of fraud and abuse than what is outlined in the Contract, resulting in CVS Caremark not referring any potential pharmacy fraud or abuse cases to Civil Service during the audit period.”
The Charge NY 2.0 initiative, designed to install 10,000 public electric vehicle charging stations statewide by 2021 through collaboration between several agencies including the New York Power Authority (NYPA), was also evaluated. The audit noted delays and shortcomings: “NYPA did not place the Charge NY and Charge NY 2.0 charging stations in locations that supported the programs’ intentions and did not review and analyze usage data for charger placement or use outreach efforts to encourage electric vehicle charger installation by its customers.” Progress since an earlier report includes implementation of two out of nine recommendations, with six partially implemented and one outstanding.
Auditors also reviewed security controls at Hudson River Valley Greenway (HRVG), which manages planning grants related to trails and heritage development. The review found areas where HRVG could improve protection against unauthorized system access. Details were provided confidentially to HRVG officials along with three recommendations, which officials generally accepted.
In Watertown, Arc Jefferson-St. Lawrence (Arc-JSLC), a non-profit providing preschool special education services under authorization from the State Education Department (SED), was audited for fiscal years ending June 30, 2021. Auditors identified $91,887 in reported costs that did not meet requirements out of approximately $5.4 million claimed.
