Purpose of Audit

The purpose of our audit was to examine the Treasurer’s Duties for the period July 1, 2011 through May 31, 2013.

Background

The North Merrick Union Free School District is located in the Town of Hempstead, Nassau County. The District is governed by a Board of Education which comprises seven elected members. The District’s budgeted appropriations for the 2013-14 fiscal year were $28.9 million.

Key Findings

• The District Clerk was inappropriately authorized to sign checks in the Treasurer’s absence and, in fact, signed all District checks in place of the Treasurer.
• The District authorized the District Clerk to sign checks in the Treasurer’s absence. However, Education Law provides only for a Deputy Treasurer or designated Board member to serve in this capacity.
• The Treasurer did not attend any of the District’s 22 regular Board meetings held during the audit period.

Key Recommendations

• The Board should discontinue the practice of allowing the District Clerk to sign District checks as the primary, and sole, signatory.
• The Board should ensure that any alternate signatory it may designate is one that is allowable under Education Law. The Board should ensure that this designee does not sign checks on a regular basis, but only in the Treasurer’s absence or inability.
• The Board should enforce its requirement that the Treasurer attend all regular Board meetings or revise its policy to require attendance upon request.