An audit by the New York State Comptroller’s Office has uncovered significant deficiencies in the Town of Hector’s employee compensation practices, including unauthorized salary payments, improper leave accruals, and unapproved separation payouts.
The audit, which examined records from January 2022 through April 2024, found that 10 employees received a total of $150,155 in payments not authorized by the Town Board. Additionally, leave time was inaccurately recorded for 20 of 23 eligible employees, resulting in discrepancies totaling 1,830 hours valued at $38,586. One employee also received a $5,271 separation payment without formal Board approval.
The Comptroller’s report highlighted systemic failures in oversight. It revealed that the Town Board did not consistently approve salaries or pay rates for employees, including key positions like the Deputy Highway Superintendent and the Supervisor’s confidential secretary. In some instances, Supervisors unilaterally authorized salary increases without proper documentation or Board resolution.
Leave accrual practices were similarly flawed, with employees permitted to carry over vacation and personal leave in violation of the employee handbook and highway contract. Some employees used leave time they had not yet accrued, while others were granted leave outside established policies.
The audit also found that errors in recording leave usage persisted due to inadequate oversight and reliance on a computerized system with limitations. In one case, the bookkeeper inaccurately recorded 368 hours of leave time across 10 employees.
In response to the findings, the Comptroller’s Office issued several key recommendations, including requiring the Town Board to annually approve all salaries and pay rates, ensuring accurate recording of leave accruals, and establishing written policies for separation payments. The report further advised Town officials to improve payroll certification processes and to work with the software provider to address system limitations.
Town officials acknowledged the audit findings and indicated they have begun implementing corrective actions.
FingerLakes1.com is the region’s leading all-digital news publication. The company was founded in 1998 and has been keeping residents informed for more than two decades. Have a lead? Send it to [email protected].