Corrective Action Plan

for Town Audit Covering Period January 1, 2007 May 13, 2010 Ethics Recommendation #1 The Town Board should enforce the requirements of its adopted code of ethics and review disclosure statements from Town officials to ensure that no official has a prohibited interest. Plan of Action Already implemented. On 5/18/10, the Town Board adopted a new revised Ethics Law and on 6/7/11 it amended the law by incorporating a more comprehensive Annual Disclosure Form. The Law requires the Ethics Board to review the Annual Disclosure Forms. Additionally, the Ethics Board is currently in the process of adopting a set of formal procedures which it will publicize on the Towns web site, along with a form that can be used to submit ethics complaints directly to the Ethics Board. Recommendation #2 The Superintendent should not sell goods to the Town as a sole proprietor without documenting the need and seeking Board approval prior to the sale. Plan of Action The Town Board agrees that it is not a proper practice for the Highway Superintendent to sell goods to the Town as a sole proprietor. No such purchases have been made since January, 2010 and all Town purchases are and will be made pursuant to the Towns Procurement Policy. Computer Use Recommendation #3 Town officials should develop a system to monitor the Internet and e-mail activities of Town officials and employees and follow-up on activities that are not in compliance with the Towns computer use policy. Plan of Action As part of its 2012 budget, the Town Board will explore the cost of installing content filters on the Towns network servers that would block Internet access to certain sites, as well as software that can generate reports on computer usage by town employees. This will be done in consultation with the Towns IT consultant.

Recommendation #4 Town officials should consider installing content filters on the Towns network servers to block Internet access to objectionable and inappropriate websites. Plan of Action See # 3 above Recommendation #5 The Town should require all users to acknowledge receipt of the computer use policy. Plan of Action Already implemented Purchasing Recommendation #6 Town officials should comply with the Towns procurement policy and GML, which require that purchase and public work contracts be competitively bid and awarded to the lowest responsible bidder when they exceed aggregate thresholds during a fiscal year. Plan of Action Already implemented. A Procurement Policy that is in compliance with GML was adopted on September 21, 2010 and based on our experience was revised in June 8, 2011 and again on September 21, 2011 to clarify specific procurement issues. The Policy includes procedures for: Aggregating purchases of similar items across different departments Using RFPs for professional services Providing adequate documentation to justify exemptions from the competitive bidding requirements for sole source purchases and purchases made off state or county contracts Establishing a procedure for declaring an emergency Recommendation #7 The Board should review and update the Towns procurement policy to ensure that it is in compliance with GML. The policy should include detailed and clear guidance on competitive bidding, aggregate purchases, emergency purchases, and documentation of purchases. Plan of Action Already implemented. Beginning in January, 2010, and reinforced after the adoption of a Purchase Order system in March, 2010 and new Procurement Policy in September, 2010, the Town has been seeking competitive quotes or bids depending on the anticipated cost of the purchase. Contracts for similar purchases such as copier maintenance, sprinkler maintenance, generator maintenance, microfiche reader maintenance, tee shirts for town employees and selected printing have been aggregated into a single contract and bid out and greater use has been made of county and state contracts when they offered lower prices.

The centralized purchasing of office supplies, begun prior to 2010, was extended to include the Water Department and the Police Department. Efforts are underway to centralize purchasing for paper products, cleaning supplies and other goods used by multiple departments. The Town is currently preparing bid specs for frequently used auto parts. Separate bids will be prepared for each car and truck manufacturer. Going forward, bid specs for the purchase of vehicles, and resolutions awarding the bid, will include the number of vehicles to be purchased pursuant to the bid specs. Recommendation #8 The Town Clerk should ensure that all bidding files contain complete documentation, including advertisements, bid specifications, successful and unsuccessful bids, and bid awards. Plan of Action The implementation of this recommendation is the responsibility of the elected Town Clerk. Recommendation #9 The Board should use a competitive process when procuring professional services. Plan of Action Already implemented. Beginning January, 2010, the Town has been utilizing the Request for Proposals (RFPs) format to procure a variety of professional services, including an insurance broker, social worker, emergency notification system provider, alarm monitoring provider, legal services, and engineering consultants for a variety of projects. The Town is currently preparing an RFP for telecommunications services and IT services. Recommendation #10 The Board should enter into written agreements with all professionals that clearly define the amount of compensation and the work to be performed. Plan of Action Already implemented. Beginning in January, 2010, the Supervisor, with the approval of the Town Board, has signed written contracts with a variety of professionals identifying the scope of services to be provided and the compensation. This practice will continue. Recommendation # 11 The Board should require Town officials and employees to obtain multiple proposals or quotes when competitive bidding is not required to ensure that goods and services are procured in accordance with the established Town policy and procedures. Plan of Action: Already implemented. See response to Recommendation #7.

Recommendation #12 Town officials should ensure that the purchasing function solicits bids for purchases of like goods and services that aggregate to amounts that meet the bidding thresholds. Plan of Action See response to Recommendation #7 Recommendation #13 The Board should award bids during the regular meetings that clearly state the description and quantity of items and price awarded, and the period the award is effective. The Board should also ensure that bid specifications are not changed after the bids are advertised and that awards adhere to the specifications in the advertisement. Plan of Action Already implemented. Recommendation #14 The Town Clerk should keep a complete and accurate record of the proceedings of all Board meetings, including all resolutions and bid awards adopted by the Board. Plan of Action The implementation of this recommendation is the responsibility of the elected Town Clerk. Recommendation #15 The Board should consider reviewing and approving the minutes from the prior meeting during the current meeting and have the Town Clerk correct any discrepancies. Plan of Action Already implemented. As of July 12, 2011 the Town Board began reviewing and approving the minutes of prior regular meetings and work sessions. Discrepancies have been brought to the Town Clerks attention. Credit purchases Recommendation: #16 The Board should adopt a credit/purchase card use policy and develop adequate procedures for their use. Plan of Action The Town Board has already approved a resolution establishing that the Town Comptroller is the only Town employee permitted to open new credit lines with vendors. The Town is currently preparing a comprehensive policy governing the use of purchase cards. Recommendation #17 The Comptroller should establish written procedures to provide guidance to Town employees using credit cards and vendor purchase cards and specify the documentation required for submission of claims for payment.

Plan of Action The Comptroller will establish these procedures concurrently with the adoption of the credit/purchase card policy by the Town Board. Recommendation #18 The Comptroller should conduct a deliberate and thorough review of credit and purchase card claims to determine that they are accurate and are supported by proper and adequate documentation, including original itemized invoices and receipts, and that the amounts claimed represent actual and necessary Town expenses. Plan of Action See #17 above