Audit Objective
Determine whether the North Greenbush Common School District (District) Board of Education (Board) ensured claims were supported, appropriate and audited and approved prior to payment.
Key Findings
While claims were supported and for appropriate purposes, the Board did not ensure claims were properly audited and approved before payment from July 1, 2020 – October 2021. Individuals prohibited from serving as the claims auditor, because they were directly involved in accounting or purchasing functions, audited and approved claims resulting in an increased risk that improper or deficient claims could be paid. The District appointed a new claims auditor in October 2021. Of 50 claims reviewed totaling $1.4 million:
- 27 claims totaling $1.1 million were audited and approved by the former Superintendent while also serving as the purchasing agent and the audit and approval was not dated.
- Seven claims totaling $201,609 showed no evidence of audit and approval.
Key Recommendations
- Ensure the appointed claims auditor audits and approves the claims before payment. If a claims auditor is not appointed, ensure the Board audits and approves claims.
- Request and receive signed warrants or other reports from the claims auditor.
District officials generally agreed with our recommendations and have initiated, or indicated they planned to initiate corrective action.