Purpose of Audit

The purpose of our audit was to assess the Authority’s purchasing procedures for the period January 1, 2014 through June 30, 2015.

Background

The Upper Mohawk Valley Memorial Auditorium Authority is located in the City of Utica in Oneida County and was established by Section 1942 of New York State Public Authorities Law. The Authority, which operates the Utica Memorial Auditorium, is governed by an appointed seven-member Authority Board. During our audit period, the Authority made payments to vendors totaling more than $8.5 million.

Key Findings

• The Board minutes did not include the adoption of the two procurement policies that were in effect during our audit period or the names of the bidders and the amounts of the bids that were considered by the Board prior to awarding contracts.
• The two procurement policies that were in effect during our audit period did not provide adequate guidance for purchases when competitive bidding was not required.

Key Recommendations

• Ensure that complete and accurate minutes are kept for all Board proceedings; accept and approve only those minutes that have accurately captured all motions, resolutions and proposals for the meeting being documented.
• Consider revising the procurement policy to ensure it clearly indicates that the Board is responsible for authorizing purchases between $2,500 and the bidding limits.