Purpose of Audit

The purpose of our audit was to assess internal controls over the management of Library resources for the period July 1, 2011 through September 30, 2012.

Background

The Wyandanch Public Library is a School District Public Library that is located in the Town of Babylon in Suffolk County. The Library is governed by a five-member Board of Trustees, elected by Wyandanch School District voters. The Library’s expenditures for the fiscal year ended June 30, 2012 were $1.3 million.

Key Findings

• The Board did not provide adequate oversight of the Treasurer, who did not deposit certain cash receipts and received payments that were not included in her contractual agreement.
• The Board did not enforce compliance with timekeeping requirements or implement procedures for payroll processing, and the Board President routinely changed the time records of the custodian, her nephew.
• The Board did not provide for adequate controls over the petty cash system or travel expenditures.
• The Library does not have a policy that describes when it is appropriate to provide meals or refreshments at Library meetings or functions.
• The Library did not always seek competition for professional services nor enter into written agreements with the vendors.

Key Recommendations

• Provide adequate oversight of the Treasurer and seek to recover moneys she failed to deposit and unauthorized payments made to her.
• Establish a comprehensive policy and written procedures governing payroll, pursue recovery of incorrect payments and restrict access to the payroll system to only those employees authorized to process payroll.
• Provide proper oversight of the petty cash system and travel expenditures.
• Develop a policy regarding meals and refreshments.
• Consider revising the purchasing policy to require competition prior to awarding professional service contracts and enter into written agreements with the providers.