Three Village school district officials said they will develop a corrective plan after a state comptroller’s audit recommended better oversight of the system’s fuel inventory.
Auditors with the comptroller’s Division of Local Government and School Accountability, in a report released Tuesday, found that Three Village officials did not review fuel transaction reports from the computerized fuel inventory system or reconcile fuel purchased with fuel consumed to identify anomalies regarding quantities dispensed, fueling times and vehicle or equipment used.
As a result, the district’s fuel inventory record was overstated by 452 gallons of gasoline and 297 gallons of diesel fuel, with a total value of $1,725. Auditors examined the district’s fuel inventory procedures and records from July 1, 2014, through July 31, 2015.
“District officials are responsible for designing controls over fuel use to ensure fuel inventories are safeguarded and protected against the risk of loss, waste and misuse, and inventory records are properly maintained and reconciled periodically,” read the report from Comptroller Thomas DiNapoli’s office.
The report issued 13 recommendations, including that the district have written policies regarding fuel assets; review fuel transaction reports periodically; monitor assignment of fuel keys, which can be programmed to restrict the maximum amount of fuel dispensed for each transaction; and require that odometers of all district vehicles be read and recorded before fuel is dispensed.
In a written response dated Dec. 22, Three Village Superintendent Cheryl Pedisich said the district also had conducted an internal audit of its fuel inventory management procedures and the state agency’s “findings and recommendations will be of great assistance in establishing new procedures in safeguarding our fuel assets.”
She said the district will develop a corrective action plan that will be filed with the comptroller’s office as well as the state Department of Education.
“We are always looking for ways to improve our internal controls and your audit has identified an opportunity for us to address this issue,” said the letter, which also was signed by Jeffrey Carlson, assistant superintendent for business.