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Audit Objective

Determine whether West Canada Valley Central School District (District) officials implemented adequate internal controls to ensure that non-payroll disbursements were authorized and proper.

Key Findings

District officials did not implement adequate internal controls to ensure that non-payroll disbursements were authorized and proper.

• The Business Manager/Treasurer (Treasurer) did not control when her electronic signature was used by another employee to sign checks.
• The claims auditor did not approve medical, vision, and dental insurance claims totaling $3.9 million.
• The Board did not develop an online banking policy or procedures to verify that transactions are proper.

Key Recommendations

• The Treasurer should control when her electronic signature is applied to checks.
• The Board should ensure that all insurance claims are presented to the claims auditor for audit and approval prior to payment.
• The Board should develop an online banking policy.

District officials generally agreed with our recommendations and indicated they will take corrective action. See OSC’s comment in Appendix B.