Corrective Action Plans

2018

Business Office

21 Page Avenue

Cohoes, NY 12047

518.237.0100

Fax: 518.237.2912

Stark & Basila

October 10, 2018

Certified Public Accountants, P.C. 132 Mohawk Street

PO Box 260

Cohoes, NY 12047

Please accept this letter in response to the June 30, 2018 audited financial statements.

Recommendation 1: General Funds

The unreserved Fund Balance at June 30, 2018 is in excess of the four percent permitted under Section 1318 of the Real Property Tax Law.

Cohoes City School District Corrective Action Plan:

The District voters approved the establishment & funding of a Capital Reserve Fund in May 2018.

Fund Balance in excess of the 4% shall be transferred to the Capital Reserve Fund to address future renovations and repairs.

Recommendations: Extra Classroom Activities

Our test disclosed instances in which a payment was made without an indication that goods had been received, one disbursement was paid from a statement and one disbursement did not have supporting documentation. Invoices should have the necessary paperwork filed with them before they are paid. Invoices should have the remittance voucher attached, be signed received by the club advisor and authorized by the club adviser & student treasurer. The invoice should be marked paid in order to avoid duplicate payments.

The 8th Grade Activities Club does not have enough available funds to meet its liabilities. All clubs should be able to operate without the support of other clubs or the District.

Cohoes City School District Corrective Action Plan:

The District offers annual fiscal training to all club advisors. This year the session is scheduled for October 22nd. The training covers internal controls & best practices for Extra Classroom Activities.

The District would like to thank the Stark & Basila staff for their professional courtesy throughout the audit process. Should you require any additional information please do not hesitate to contact me.

Sincerely,

Stacy Mackey

Cohoes City School District School Business Official

2017

Business Office

21 Page Avenue

Cohoes, NY 12047

518.237.0100

Fax: 518.237.2912

Stark & Basila

October 4, 2017

Certified Public Accountants, P.C. 132 Mohawk Street

PO Box 260

Cohoes, NY 12047

Please accept this letter in response to the June 30, 2017 audited financial statements.

Recommendation 1: General Funds

The unreserved Fund Balance at June 30, 2017 is in excess of the four percent permitted under Section 1318 of the Real Property Tax Law.

Cohoes City School District Corrective Action Plan:

The District has created a long range financial plan & comprehensive reserve analysis. We continue to strive to

limit the unreserved fund balance to 4%. Funds held in excess of the 4% enable the district to absorb unanticipated expenses that may otherwise have a negative fiscal impact on school programs. Further, these resources help to ensure adequate liquidity to pay for our obligations throughout the school year, a sound fiscal practice.

The District would like to thank the Stark & Basila staff for their professional courtesy throughout the audit process. Should you require any additional information please do not hesitate to contact me.

Sincerely,

Stacy Mackey

Cohoes City School District School Business Official

2016

Business Office

7 Bevan Street

Cohoes, NY 12047

518.237.0100

Fax: 518.237.2912

Stark & Basila

September 28, 2016

Certified Public Accountants, P.C. 132 Mohawk Street

PO Box 260

Cohoes, NY 12047

Please accept this letter in response to the June 30, 2016 audited financial statements.

Recommendation 1: General Funds

The unreserved Fund Balance at June 30, 2016 is in excess of the four percent permitted under Section 1318 of the Real Property Tax Law.

Cohoes City School District Corrective Action Plan

The District plans to utilize surplus funds as a resource to finance repairs to the Middle School roof in the 2016/2017 fiscal year.

Further, the District plans to develop a comprehensive five year financial plan to address this matter.

Recommendation 2: Extra Classroom Activities

Our test disclosed instances in which a payment was made without an indication that goods had been received, one disbursement was paid from a statement and one disbursement did not have supporting documentation. Invoices should have the necessary paper work filed with them before they are paid. Invoices should have the remittance voucher attached, be signed received by the club advisor & authorized by the club advisor & student treasurer. The invoice should be marked paid in order to avoid duplicate payments.

The Cohoes Green Team does not have available funds to meet its liabilities. All clubs should be able to operate without the support of other clubs or the District.

Cohoes City School District Corrective Action Plan:

The District’s internal auditor is scheduled to conduct a mandatory training seminar with the staff advisors, outlining proper fiscal procedures in October 2016. Additionally, the Extra Classroom Activities Treasurer participated in a BOCES training session in September 2016.

The District would like to thank the Stark & Basila staff for their professional courtesy throughout the audit process. Should you require any additional information please do not hesitate to contact me.

Sincerely,

Stacy Mackey

Cohoes City School District School Business Official

2015

Business Office

7 Bevan Street

Cohoes, NY 12047

518.237.0100

Fax: 518.237.2912

Stark & Basila

October 7, 2015

Certified Public Accountants, P.C. 132 Mohawk Street

PO Box 260

Cohoes, NY 12047

Please accept this letter in response to the June 30, 2015 audited financial statements.

Recommendation 1: General Funds

The unreserved Fund Balance at June 30, 2015 is in excess of the four percent permitted under Section 1318 of the Real Property Tax Law.

Cohoes City School District Corrective Action Plan

The District plans to utilize appropriated fund balance to build on our program offerings for students.

Further, preliminary 2016/2017 forecasts indicate limitations in revenue sources imposed as a result of the Property Tax Cap formulary.

The District would like to thank the Stark & Basila staff for their professional courtesy throughout the audit process. Should you require any additional information please do not hesitate to contact me.

Sincerely,

Stacy Mackey

Cohoes City School District School Business Official

2014

Stark & Basila

October 7, 2014

Certified Public Accountants, P.C. 132 Mohawk Street

PO Box 260

Cohoes, NY 12047

Please accept this letter in response to the June 30, 2014 audited financial statements.

Recommendation 1: General Funds

The unreserved Fund Balance at June 30, 2014 is in excess of the four percent permitted under Section 1318 of the Real Property Tax Law.

Cohoes City School District Corrective Action Plan:

The District plans to utilize appropriated fund balance in the 2014/2015 budget, to offset forecasted increases in expenditures.

Furthermore, the District is forecasting limitations in revenue sources, such as funding available for public education through State & Federal Aids, and limitations imposed as a result of the Property Tax Cap.

Recommendation 2: School Lunch

The sales tax return was not filed timely. As a result, the District incurred interest & penalty charges. The District should file all tax returns in a timely manner going forward.

Cohoes City School District Corrective Action Plan:

The District Treasurer will ensure the return is filed timely, without exception going forward.

Recommendation 3: Federal

Our test of invoices found one federal expenditure where the remittance voucher was marked paid and the invoice was not. Invoices should have the necessary paperwork filed with them and be on an approved warrant before they are paid. Invoices should have the remittance voucher attached, be signed received & be authorized. The invoice should be marked paid in order to avoid duplicate payments.

Cohoes City School District Corrective Action Plan:

It is the District’s practice to mark all invoices as paid to avoid duplicate payments. Further, all disbursements are subject to review & approval by the Internal Claims Auditor. Any exceptions are noted during the claims audit process, and are documented on the audit report. Reports are provided to the Board of Education on a monthly basis.

Recommendations: Extra Classroom Activities

Our test disclosed instances in which a payment was made without an indication that goods had been received. Invoices should have the necessary paperwork filed with them before they are paid. Invoices should have the remittance voucher attached, be signed received and be authorized. The invoice should be marked paid in order to avoid duplicate payments.

Cohoes City School District Corrective Action Plan:

The District will continue to offer training to club advisors, regarding internal controls & best practices for the Extra Classroom Activities.

The District would like to thank the Stark & Basila staff for their professional courtesy throughout the audit process. Should you require any additional information please do not hesitate to contact me.

Sincerely,

Stacy Mackey

Cohoes City School District School Business Official

 

2013

Stark & Basila

October 11, 2013

Certified Public Accountants, P.C. 132 Mohawk Street

PO Box 260

Cohoes, NY 12047

Please accept this letter in response to the June 30, 2013 audited financial statements.

Recommendation 1: All Funds

Our test of cash disbursements disclosed a few instances of payment vouchers which did not contain a signed purchase order or claim form on file. All payment vouchers should be supported by a signed purchase order or similar document substantiate that the purchase was approved by the purchasing agent.

Cohoes City School District Corrective Action Plan:

The District has developed a comprehensive purchasing manual, which includes board policies & best practices. The purchasing manual is reviewed & updated on an annual basis. All cash disbursements are subject to review & approval by the Purchasing Agent & Internal Claims Auditor. Any exceptions noted during the claims audit process are documented on the audit report, and provided to the Board of Education monthly.

Recommendation 2: General Funds

The unreserved Fund Balance at June 30, 2013 is in excess of the four percent permitted under Section 1318 of the Real Property Tax Law.

Cohoes City School District Corrective Action Plan:

The District plans to utilize excess funds as appropriated fund balance in the 2013/2014 budget, to offset an anticipated loss of revenue. The District is forecasting reductions in revenue sources, such as federal grant funding & the limitations imposed as a result of the Property Tax Cap.

Recommendation 3: School Lunch

Our test of free & reduced lunch applications revealed an instance where the reviewer’s signature was not present. All free & reduced lunch applications should be reviewed and authorized by an appropriated level of management.

Cohoes City School District Corrective Action Plan:

The District will continue to review the application approval process to ensure no exceptions going forward.

Recommendations: Extra Classroom Activities

Currently, the Class of 2010, 2011, 2012 & 2013 clubs have cash balances at year-end. Class clubs should be encouraged to expend or transfer balances to another club, prior to the end of their commencement year. We suggest that these balances be transferred to the Student Council account.

Our test of cash receipts disclosed one instance of cash payments being distributed to vendors. In order to ensure that cash disbursements are made for appropriate purposes, cash disbursements should be made by check to known vendors & only after there has been a check request & appropriate documentation approved by the faculty advisor & student treasurer.

Our test of cash receipts also revealed one instance of a deposit which did not match the supporting documentation. All deposit slips should be compared to supporting documentation when received by the District. Any variance should be examined & conclusions reached documented & kept on file with the cash receipts.

Cohoes City School District Corrective Action Plan:

The District’s internal auditor conducted a mandatory training seminar with the staff advisors, outlining proper procedures on November 21, 2011. Another mandatory training seminar will be conducted in 2013, to address these issues. Additionally, an internal audit will be conducted to review ECA controls during the 13/14 school year.

The District would like to thank the staff for their professional courtesy throughout the audit process. Should you require any additional information please do not hesitate to contact me.

Sincerely,

Stacy Mackey

Cohoes City School District School Business Official

 

Preparing our students for success in tomorrow’s world.

This website is maintained by Public Information Specialist Aaron Cagwin. It is the goal of the Cohoes City School District that this website is accessible to all users. View our accessibility statement. The district is not responsible for facts or opinions contained on any linked site. Some links and features on this site require the Adobe Acrobat Reader to view. Visit the Adobe website to download the free Acrobat Reader. This website was produced by the Capital Region BOCES Communications Service, Albany, NY. Copyright © 2018. All rights reserved.