MECHANICVILLE — Three audits from the state comptroller’s office slammed the city’s financial management, criticizing officials for poor oversight, inadequate and inconsistent procurement policies and unsupported payouts to departing employees.
The audits, released on Friday, covered a 2½-year period and found the city did not reconcile its accounts with the banks. In a four-month period that was reviewed, auditors found a $1.45 million discrepancy between city records and bank statements. In reviewing 35 contracts, the audit noted the city spent $760,000 on 23 contracts and failed to adhere to competitive procurement policies. Auditors also said the city potentially paid former employees $15,766 in compensation they were not entitled to.
One audit noted that the city “provides a general framework for financial oversight,” but said, “it does not have detailed policies specifying reporting requirements or formats.” Auditors said the mayor “did not establish formal procedures to monitor financial reporting, verify the accuracy of the City’s accounting records, or ensure that financial records were current and accurate.”…