State audit finds NHP-GCP incorrectly represented payroll cash balance

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State audit finds NHP-GCP incorrectly represented payroll cash balance
New Hyde Park-Garden City Park Superintendent Jennifer Morrison (Photo courtesy of the New Hyde Park-Garden City Park school district)

A New York State Comptroller’s audit showed that the New Hyde Park-Garden City Park school district inaccurately represented the true payroll cash balance in their book balance, according to a report released last Wednesday.

Comptroller Thomas DiNapoli’s office conducted the audit between July 1, 2016 and Sept. 30, 2017, according to the report.

Between May and September 2017 the book balance of the payroll bank account did not match the payroll bank account’s balance, according to the audit.

There was a difference of $8,299 including 81 negative amounts included in a list of outstanding checks, some dating back to 2006, according to the audit.

The audit also showed that bank reconciliations were reviewed by a district official, not an independent recorder.

The comptroller’s office recommends the elementary district ensure the payroll account balance shown on the books represent the true balance, and have a review of bank reconciliations by an individual independent of recording and entry transactions.

All bank reconciliations were reviewed on time, and all were accurate except for the reconciliations for the payroll bank account, the audit reports.

The district treasurer reviews bank accounts on a monthly basis by comparing the bank balances to the book balances, the audit states. The treasurer submits the reconciliations to the assistant business manager to review, who then submits the reports to the school board.

In a letter, signed by Superintendent Jennifer Morrison and Assistant Superintendent for Business Michael Frank, the district said it will “consider each of the recommendations.”

A corrective action plan, including details as to how the district will implement recommendations, will “be filed in a timely manner,” the letter states.

“Ultimately, the goal is to always create an operational environment that best protects the fiscal integrity of the district,” the letter states.

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