New York City's Efforts To Improve Its Accounting Systems
FGMSD-77-15: Published: Apr 4, 1977. Publicly Released: Apr 4, 1977.
- Full Report:
An examination of New York City's efforts to improve its accounting system was part of a review of the city's progress under its 3-year financial plan. The credit agreement under which loans are made to the city by the federal government requires the city to establish an accounting system by July 1, 1977, which will enable an auditor to perform an annual audit and to render an opinion.
Although much progress has been made, the new accounting system will not be implemented by the required date. City officials have deferred implementation of the payroll subsystem and may also defer other subsystems because of lack of time. The city will not meet requirements for producing financial statements which will allow for an auditor's unqualified opinion because of problems in the system including inaccurate and imcomplete data.
Recommendation for Executive Action
Comments: Please call 202/512-6100 for additional information.
Recommendation: The Secretary of the Treasury should examine the city's progress in meeting requirements and authorize reasonable extensions of time where it is needed for orderly completion of work.