Go-forward solutions
Modern financial controls for the Town of Wawayanda
My approach is not about re-litigating the past. It's about building financial controls that are easy for residents to understand and hard for any administration to misuse.
Five things I will put in place
Adopt a clear fund balance policy, so taxpayers know how much is enough
The State Comptroller noted the Town lacked a fund balance policy and therefore had no documented rationale for maintaining elevated unrestricted fund balance levels. I will adopt a formal policy defining target ranges, when and how funds can be used, and when excess balance should reduce the tax levy or fund one-time needs — published on the Town website and reviewed annually with public input.
Why it matters: it creates a transparent rule book, so residents can judge whether balances are prudent rather than arbitrary.
Build realistic budgets with transparent assumptions
The audit found repeated patterns of underestimating revenues and appropriating fund balance that wasn't needed. I will require an annual budget assumptions document stating revenue estimates by source and why they're reasonable, expense drivers such as contracts, fuel, insurance, debt and capital, and a comparison to the prior three to five years of actuals — plus a quarterly budget-versus-actual dashboard.
Why it matters: it makes it harder to budget in a way that obscures the true tax impact and financial position.
Implement a multiyear financial plan
The audit found the Town lacked a written multiyear financial plan. I will publish a rolling three-to-five year plan covering revenue and expense forecasts, expected capital costs and maintenance, known risks such as inflation, insurance, debt and mandates, and scenario planning for best, likely and stress cases.
Why it matters: residents and the Board can see future impacts before decisions are made — especially around development, infrastructure and service demands.
Create a comprehensive capital plan tied to development decisions
The audit found no comprehensive capital plan addressing capital needs. I will develop a five-year Capital Improvement Plan listing road projects, storm water, equipment replacement and facilities needs, with cost estimates, timelines and a funding strategy of grants, reserves and bonding — plus State of Infrastructure reporting so residents see what's coming. This includes addressing water demand and a growing population, with a better solution for the existing five districts.
Why it matters: it helps prevent reactive spending and ensures growth doesn't outpace infrastructure.
Require monthly financial reporting residents can actually read
The audit noted the Board was not receiving up-to-date financial reports or detailed monthly statements of money received and disbursed. I will deliver a monthly residents' snapshot of cash position, spending, revenue and variances in plain language; a variance report requiring departments to explain any line item moving more than 5–10% from plan; a monthly procurement log listing purchases over a set threshold with vendor, cost and purpose; and an online financial dashboard updated monthly.
The record
What the State Comptroller found
In audit 2024M-160, the Office of the State Comptroller concluded that Town officials did not properly manage financial operations and that the Board did not provide adequate oversight.
1. Budgets were not realistic, and may have led to higher taxes than necessary
- Revenues were underestimated by approximately $5.2 million.
- About $2.2 million of fund balance was appropriated but not needed during the audit scope period.
- Unrestricted fund balance grew from $4.3 million to $7.7 million across all funds by the end of 2023 — about 118% of 2024 appropriations — with no rationale established, because the Town had not adopted a fund balance policy.
- The audit summary stated that real property tax obligations for residents were likely higher than necessary as a result.
2. No multiyear financial plan and no comprehensive capital plan
Without these plans, leadership cannot adequately assess expenditure commitments, revenue trends, financial risks, or the affordability of new services and capital investments.
3. Financial reports were not up to date, limiting oversight
The Board was not receiving up-to-date financial reports or a detailed monthly statement of money received and disbursed, which limited its ability to evaluate the Town's financial condition and make informed decisions.
4. Records issues and an excessive number of bank accounts
The audit cited concerns that accounting records and reports were not up to date and accurate, and that the Town maintained an excessive number of bank accounts, which can make cash management and controls more difficult.
Town response, for context
Public reporting noted that Town leadership disagreed with aspects of the audit's conclusions, and stated the Town was working on establishing a fund balance policy while emphasizing conservative revenue estimates as a stability approach. Regardless of differing viewpoints, audits are valuable because they highlight where systems can be strengthened and where residents deserve clearer answers and better safeguards.