The analysis was to provide comparative data on the overall
financial activities of the 85 union-administered active and retiree welfare, education, and annuity funds which
received City contributions during Fiscal Year 2001. Several funds expended lower-than-average amounts for benefits
and maintained high reserves. Several financial issues should be addressed such as operating deficits due to certain
funds exceeding their revenues. Some funds had large operating surpluses resulting in high reserves, which indicate that
they should increase members' benefits. Other issues include improper eligibility delay, consolidation of professional
services, and field audits of funds.
The audit was to identify New York City Teachers' Retirement System (TRS) pedagogical pensioners
who may be illegally re-employed (double-dippers or disability violators). There were 26 individuals found who
violated RSSL sections 211 or 212 and 1117 of State and City laws. The audit recommends that the TRS should investigate
the individuals and forward the names to the Department of Investigation if the circumstances warrant such action.
This is an audit of Neighborhood Youth and Family Services (NYFS) and its compliance with
contracts awarded by the New York City Administration for Children's Services (ACS) and the Department of Youth
and Community Development (DYCD). NYFS did not maintain adequate controls over the recording and reporting of program
expenses and did not maintain sufficient documentation to support expenses charged to its contracts. The City reimbursed
NYFS a total of $411,345. The report has several recommendations.
An audit report was filed on June 30, 2003 on the compliance of Sterling Mets, L.P., (New York Mets) with their lease agreement and fees they owed the city, specifically those incurred in the time period January 1 tp December 31, 2001. It was determined that Sterling Mets owed the city a total of $4,560,631 which accounts for understating revenue, overstating allowable deductions and credits, and previous audits for which Sterling Mets did not pay their dues. It was recommended that Sterling Mets pay their dues in full to the City. (FN03-115A)
The Kings County Hospital has inadequate controls over its inventory of
noncontrolled drugs and medical and surgical supplies. There is a gross discrepancy of 71
percent between the amounts on hand and the amounts recorded in Other Than Personal Services (OTPS).
Therefore, there are extensive record-keeping and security weaknesses found. There was also unrestricted
access to the Pharmacy stockroom, and noncontrolled drugs were issued without proper authorization.
From an audit conducted on the Off-Track Betting Corporation, it was found that the corporation has adequate controls to ensure that employee reimbursements and charges for General Expenses were reasonable. However, the corporation needs to properly document its expenses and reimbursements.
From an audit conducted on the New York Yankees's maintenance of Yankee Stadium, it was found that the team overstated rental credits needed for maintenance. The team must ensure that all maintenance credits are properly documented and approved before submitting them to the Comptroller's Office.
From an audit conducted on the Department of Health and Mental Hygiene, it was concluded that the department's implementation of the Enhanced Pest Control Program successfully improved pest control efforts, as executed by the Office of Pest Control Services. However, the department must improve its organization and oversight for more effectiveness.
From an audit conducted on the Department of Sanitation, it was determined that the department has adequate controls over the billing, collecting, depositing, and disbursing of funds located in the Special Events Clean-Up account. However, the department neglected the existence of other accounts and did not follow the fiduciary account agreement.
From an audit conducted on the American Museum of Natural History, it was determined that the museum complied with the requirements, procedures, and bylaws set forth by the Department of Cultural Affairs and has adequate control over its financial and operational processes. However, the museum must address timekeeping errors.