Report of Regents Audits/Budget and Finance Committee to The Board of Regents

Your Committee on Audits/Budget and Finance had its scheduled meeting on June 12, 2017. Regent Josephine Finn, Chair of the Audits/Budget and Finance Committee, submitted the following written report. In attendance were committee members: Regent Finn, Chair, Regent Hakanson, Regent Mead, and Regent Young.

Regents, in addition to Audits/Budget Committee Members, in attendance were: Chancellor Rosa, Regents Cashin, Cea, Cottrell, and Mittler as well as, Commissioner Elia and Executive Deputy Commissioner Berlin.

ITEMS FOR DISCUSSION

Chair’s Remarks: Regent Finn welcomed everyone. She introduced Beth Berlin, Executive Deputy Commissioner, to present the May 2017 Fiscal Report and Sharon Cates-Williams, Deputy Commissioner, to present the Board of Regents Oversight of Financial Accountability Report.

Fiscal Report

Our Executive Deputy Commissioner provided the Members with the May fiscal report that reflects actual expenditures through May 2017 and projected expenditures through the lapse period ending June 30, 2018.  Extensive spending controls continue for all funds.  General Fund spending plans reflect the amounts appropriated in the 2017-18 enacted budget. General Fund accounts are in structural balance. Special Revenue accounts are all in structural balance on a current year basis and the accumulated negative balance in the Cultural Education Account is projected to remain at a negative $2.8 million. Federal Funds reflect current year plans for two-year grant awards.

Completed Audits

The Department’s Internal Audit Workgroup reviewed 16 audits that are being presented to the Committee this month. One audit was issued by the Office of the New York City Comptroller and fifteen audits were issued by the Office of the New York State Comptroller (OSC). Eleven audits were of school districts and five were of providers of special education services.

The findings were in the areas of budget/financial reporting, extra classroom activity funds, information technology, payroll/leave accruals, procurement, Reimbursable Cost Manual compliance, and educational services.

Deputy Commissioner, Sharon Cates-Williams, gave a brief overview of the Office of Audit Services (OAS) 2017-2018 Audit Plan (Plan).  The Plan was forwarded to the Board for its approval.