Southtowns Record

Lackawanna City School District - Contractual Services (2019M-23)

Government
Lackawanna City School District
Posted by publisher
Jun 7, 2019
Kind
State audit
Topics
Audits and oversight, Budget and taxes

Publisher's summary

The District paid nine professional service providers $8.3 million during the 2017-18 school year for various services. We found that the District had Board-approved contracts or agreements on file for all nine service providers. Payments to the service providers were generally made at the appropriate rates and in accordance with contract provisions. However, we found payments to two service providers totaling $477,000 (10 percent) were not supported by sufficient documentation to ascertain that services were rendered in accordance with the contract. The District paid $275,000 for information technology support services even though the claims lacked descriptions of the services provided and documentation demonstrating how the rate of compensation was determined or by whom. We also found that invoices submitted by the occupation and physical therapy service provider totaling $202,000 were not sufficiently itemized or detailed to support all hours billed.

Original document

Text · page 3 of 10

Report Highlights
 Lackawanna City School District

Audit Objective
  Background
Determine whether payments for contractual
services were accurate and supported.  The Lackawanna City School District (District)
  serves the City of Lackawanna in Erie County.
Key Findings  The District is governed by a seven-member
  elected Board of Education (Board). The
  ll Board-approved contracts or agreements  Board is responsible for the District’s overall
  were on file for service providers.  management, financial and educational
  ll Payments to two service providers totaling  affairs.
  $477,000 (10 percent) were not supported
  The Superintendent of Schools
  by sufficient documentation to ascertain
  (Superintendent) is the District’s chief
  that services were rendered in accordance
  executive officer and is responsible, along
  with the written agreements.
  with other administrative staff, for the District’s
  day-to-day management under the Board’s
Key Recommendations  direction.
  ll Ensure claims for payment from service  The Assistant Superintendent of
  providers are sufficiently itemized and  Administrative Services (Assistant
  properly supported.  Superintendent) oversees the District’s day-
  ll Require service providers to submit  to-day financial operations and supervises
  appropriate documentation that includes  Business Office personnel. The Board-
  the dates and services provided.  appointed claims auditor is responsible for
  examining all claims or demands against the
  ll Perform a deliberate and thorough review
  District and has the authority to authorize or
  of invoices to ensure claims for payment  reject payment.
  are in accordance with written agreements.

District officials agreed with our  Quick Facts
recommendations and indicated they planned  Students  1,900
to initiate corrective action.
  2018-19 General Fund
  $53.3 million
  Budget

  Contractual Services
  $8.3 million
  Payments

  Audit Period
  July 1, 2016 – January 2, 2019

  Our audit testing primarily focused on the
  2017-18 school year.

  Of f ic e of t he New York State Comptroller  1