A recent audit by the New York State Comptroller’s Office revealed that Hammondsport Central School District failed to establish comprehensive multiyear financial and capital plans. The report, covering the period from July 1, 2020, to April 22, 2024, found that district officials exceeded the 4% statutory limit on surplus fund balance, maintaining levels more than three times the allowed amount. Additionally, $1.4 million in reserves were found to be unnecessary.
The audit recommended the development of written multiyear plans and a review of reserve funding strategies. The district generally agreed with the recommendations.
Investment Audit Reveals Missed Opportunities for Earnings
A separate audit, also issued on August 30, 2024, found that Hammondsport Central School District underperformed in managing its investments, missing out on over $400,000 in potential earnings. The audit covered July 1, 2022, to May 15, 2024, and noted the district’s failure to create a comprehensive investment program or solicit competitive interest rate quotes.
The report recommended adopting formal investment procedures and improving cash flow forecasting. The district agreed with most recommendations.
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