NYS Audit Finds 'Incomplete, Inaccurate' Records At Chappaqua Schools

CHAPPAQUA, NY — School officials have promised to enact reforms after an audit from the New York State Comptroller found the district neglected to properly account for its fixed assets.

An audit to determine whether Chappaqua Central School District officials properly monitored and accounted for fixed assets found shortfalls in the school system's accounting practices.

"District officials did not properly monitor and account for the fixed assets that we tested," New York Comptroller Thomas DiNapoli said in a statement announcing the audits findings. "Officials maintained incomplete and inaccurate records and did not perform a physical inventory count since 2018."

Key findings of the audit found that hundreds of thousands in assets were not properly accounted for, according to the comptroller's office.

• Of the 164 assets reviewed, 148 assets totaling $220,708 were not recorded on the district’s original asset list.
• 18 assets totaling $25,022 did not have asset tags, as required by the district’s fixed asset procedures.
• 25 disposed assets that the state examined were not removed from the district’s original asset list. Also, officials could not determine whether four assets were disposed of (sold) or retired (obsolete).
• The district’s fixed asset policy did not require, and officials did not perform, a periodic inventory count or an unannounced asset count for district departments.

The comptroller's office also offered a series of recommendations to bring the district's fixed asset accounting into compliance and head off future issues.

• Ensure the district’s new asset list is complete, accurate and up-to-date and that all fixed assets are tagged.
• Ensure that all disposed assets are removed from the district’s new asset list.
• Update the fixed asset policy to require periodic and unannounced inventory counts.

DiNapoli's office said that district officials agreed with the recommendations and have initiated or they planned to initiate corrective action.