Purpose of Audit

The purpose of our audit was to evaluate internal controls over payroll and information technology for the period of July 1, 2012 through August 30, 2013.

Background

The East Quogue Union Free School District, which is governed by an elected five-member Board of Education, is located in the Town of Southampton, Suffolk County. The District operates one school with approximately 450 students attending Kindergarten through Grade 6 and contracts with a neighboring school district to educate 428 students who attend Grades 7 through 12. Budgeted expenditures for the 2013-14 fiscal year are approximately $22.4 million.

Key Findings

• The District does not have written policies or procedures to address the maintenance and monitoring of leave accrual records.
• The District does not have policies regarding acceptable computer use, e-mail or internet use or breach notification.
• The District has not established controls over user access rights to the District’s financial software system.

Key Recommendations

• Develop written policies and procedures to address employee leave accrual records.
• Adopt and implement a comprehensive computer use policy, which should be provided to all personnel, and a breach notification policy.
• Develop written procedures relating to user access rights to the financial software system.