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Audit Objective

Determine whether Otselic Valley Central School District (District) officials used a competitive process to procure goods and services not subject to competitive bidding.

Key Findings

District officials did not always seek competition to procure goods and services not subject to competitive bidding.

• Out of nine purchases under the competitive bidding threshold reviewed totaling $109,671 and two professional service contracts totaling $35,038, officials did not seek competition for a transportation efficiency study ($32,500), purchases of ice melt ($10,845) and information technology equipment ($8,512), or for the school District’s attorney that was paid $21,038 during our audit period.
• District officials may have saved $13,781 on fuel costs had they been able to use State contracts.
• Procurement policies and procedures were inadequate and did not help ensure officials sought competition for goods and services.

Key Recommendations

• Update the procurement policy and related procedures to include detailed guidance for procuring goods and services not subject to competitive bidding requirements.
• Periodically compare prices for goods and services to State contracts and contracts bid by other governments.

District officials agreed with our findings and indicated they plan to initiate corrective action.