You are on page 1of 1

NEWS FROM THE OFFICE OF

ULSTER COUNTY COMPTROLLER

ELLIOTT AUERBACH
ELLIOTT AUERBACH COUNTY COMPTROLLER 244 FAIR STREET KINGSTON, NEW YORK 12401 PHONE: (845) 340-3529 eaue@co.ulster.ny.us www.youreyesonulster.com

CONTINUED VIGILENCE NEEDED ON COUNTY EMPLOYEE PAYOUTS:


AUERBACH RELEASES REPORT ON GOLDEN HILL EMPLOYEE SEPARATION PAY
For Immediate Release

Kingston NY (September 23, 2013) Ulster County Comptroller Elliott Auerbach has issued a report which analyzes the cost and administrative performance associated with paying out 244 former Golden Hill Health Care Center employees for their accumulated time when the facility was sold to a private interest in June. Referred to as separation pay, the payout compensates County employees who leave County service for certain types of accumulated unused time, such as vacation and sick time. The sheer size of the payout (approximately $1.5M) merited a review of the process, according to the Comptroller. But Auerbach also noted that a December 2012 Report issued by his Office highlighted the risks in the administration of separation pay by the County, and specifically mentioned the pending Golden Hill sale as a potential source of such risk. We urged certain recommendations in procedure and control in that report. So it made sense to take a hard look at the performance of the County in this transaction. The Report concludes that there was an aggregate of approximately $17,000 in overpayments by the County. The reasons cited for the miscalculations mirror those warned of in the December 2012 report: 1) Lack of clarity as to whether employees are entitled to accumulated time 2) Deficiencies in the use and functionality of the Countys automated payroll system 3) Insufficient protocol for verifying the accuracy of manually prepared payroll worksheets The Golden Hill transaction preserved the important service the facility has provided Ulster residents for many years, at a level which exceeds that typical of such government operated facilities, and preserved Ulster County jobs. It was concluded in record time for the transfer of a New York State facility of its kind, and those achievements are to be applauded, noted Auerbach. The issues we highlight in this Report are not a criticism of the Golden Hill transaction, but rather shine a light on a systemic performance issue. According to Auerbach, the statistical error rate represented by a $17,000 overpayment in the context of a transaction of this size may not appear very high, but, he notes, employees leaving County service is an ongoing occurrence all year, every year. So we have to be diligent in enacting controls and consistency in calculating the benefits to which employees are entitled. We are hopeful County lawmakers and administrators will see the value of our recommendations. The report, entitled Golden Hill Health Care Center Separation Payout, as well as the December 2012 report entitled Separation Payouts, Report of Examination, can be found on line at www.ulstercountyny.gov/comptroller

The mission of the Ulster County Comptrollers Office is to serve as an independent agency of the people and to protect the public interest by monitoring County government and to assess and report on the degree to which its operation is economical, efficient and its financial condition sound.

You might also like