Audit Objective 

Determine whether Red Hook Central School District (District) officials adequately monitored and safeguarded fuel and E-Z Pass tags. 

Key Findings 

District officials did not adequately monitor and safeguard fuel and E-Z Pass tags. As a result, officials cannot accurately account for fuel purchases and usage, or determine whether unauthorized E-Z Pass charges occurred. Because the District did not adequately monitor and safeguard fuel and E-Z Pass tags, these assets could have been misused, lost and/or stolen.

We found that officials did not: 

• Adequately secure the District’s unleaded gasoline and diesel fuel tanks.
• Maintain fuel inventory records and periodically reconcile the records with the amount of fuel in the District’s fuel tanks.
• Develop adequate policies and procedures for monitoring and safeguarding District fuel, or review and reconcile E-Z Pass statements to ensure fees and charges were for valid District purposes. 

Key Recommendations 

• Adequately secure, monitor and protect fuel tanks from unauthorized access.
• Develop written policies and procedures to help ensure that staff adequately manages, and accounts for, fuel inventories. 
• Develop and adopt written policies and procedures for E-Z Pass tags and regularly monitor E-Z Pass statements for discrepancies. 

District officials agreed with our recommendations and indicated they have initiated, or plan to initiate, corrective action.