[read complete report - pdf]

Audit Objective

Determine whether New Paltz Central School District (District) officials accurately paid employees’ salaries and wages.

Key Findings

District officials generally paid employees’ salaries and wages accurately but did not establish adequate controls over payroll.

• Payroll was not always properly reviewed and certified before payments were made.
• There was no support, such as time sheets, for $1,497 of the $40,688 (4 percent) paid to hourly/daily employees during the months reviewed.
• The District has not performed a payroll audit or payout test (e.g., requiring employees to pick up their payroll statements in person).

Key Recommendations

• Segregate payroll duties or establish adequate mitigating controls.
• Develop standardized District-wide timekeeping procedures.

District officials disagreed with certain findings but indicated they will take corrective action. Appendix B includes our comments on issues raised in the District’s response.