In keeping with its desire for efficient fiscal management in the school system, the Board of Education adopts the following procedures for payment of bills:
As per section 1709(20-a) of the Education Law, the Board will establish the office of Internal Claims Auditor and appoint such an auditor each year at its annual reorganizational meeting.
Special care must be exercised in the selection of an internal claims auditor because the Education Law is very specific about who cannot serve.
“No person shall be eligible for appointment to the office of auditor who shall be:
(1) a member of the board of education;
(2) the clerk or treasurer of the board of education;
(3) the official of the district responsible for business management;
(4) the person designated as purchasing agent; and
(5) clerical personnel directly involved in accounting and purchasing functions.”
Following the appointment of an internal auditor, all authority for allowing of disallowing a claim against a district devolves upon this officer. The board would continue to receive copies of the warrant, however, no formal action by the board concerning approval of claims would be or appropriate. This would result in saving the board valuable time at their meetings with assurance that claims are properly audited, claims would be paid more promptly and more vendors would be encouraged to do business with the district. The district could take advantage of discounts, and the workload of the business office would be more evenly distributed. In short, the internal claims auditor can earn more for the district than the salary cost involved. The reviewer compliments the board of education for the office of the internal claims auditor and recommends its continuance.
The adoption of this method of auditing claims that the internal claims auditor has personally reviewed each claim to: (a) provide the mathematical accuracy of all computations; (b) determine that the charges are not duplicates of items already paid; (c) compare the voucher with the purchaser order; (d) determine that someone has signed the receiving copy of the purchase order; (f) determine that all discounts and extensions are accurate.
Payments made from Extra-Classroom accounts shall have the prior approval of the Building Principal.
The Superintendent's Designee for Business is authorized to make payments on approved lease and rental contracts when they become due and make payments for principal and interest on Notes and Bonds when they become due.
Adoption date: January 1, 1993
Reviewed on: November 25, 2003