1. The Claim Audit Process Presented by: Rich Diaz March 15, 2016

2. Questar III Claims Auditor  I work exclusively at the pleasure of the Questar III Board of Education.  Currently I am responsible for the claims audits for Questar III, Tech Valley High School, Health Insurance Trust, Chatham CSD, Shenendehowa CSD, and back up Claims Auditor for the CBO.  This year the New York State Comptroller’s auditors have audited the Chatham CSD, Questar BOCES’s Procurement Process, and Shenendehowa’s CSD is currently being audited.  Trainings brought to the BOCES pertaining to Claims Auditing & Extra Classroom Activity Funds.  Annual Training for the Claims Auditor to stay on top of new regulations.  Trainings on the Claims Auditing and Procurement process will be available to the BOCES staff shortly after Julie & I come up with some dates. All Administrative Assistants should attend these trainings.

3. What to look for in Claims Auditing? The audit of claims is an investigated and thorough process to determine if the proposed payment is proper, just and Compliant. A claims package/voucher should contain enough detail and back up documentation so the Claims Auditor/virtual Board can either approve or disapprove the claim for payment. Some items to look for: 1) Purchase Order/Payment Authorization form/Detailed Invoice 2) Packing slip/order confirmation if purchased online 3) Receipts (purchases, food items/dining out, gas purchases, parking, hotel reservations & checkouts, travel agency info, etc. 4) Authorized signatures/okay to pay/please sign don’t stamp 5) Conference Request Approval/Conference Flyers, etc. 6) Was a food plan included as part of attending the conference?

4. Claim Auditor Criteria  Valid and legal purpose, were Federal, State, IRS regulations, and Questar’s policies observed.  Incurred by an authorized official of the organization  Were goods or commodities received or, for services, as in contracted consultants, were the services rendered?  Review contracts, Consultant Contracts, letters of agreement i.e., travel expenses, Capital Projects, give example of recent contracted issue  Does not exceed the available financial budget appropriation;  Mathematically correct;  Excludes any charges for taxes from which the District is exempt;  Includes any discounts to which the District is entitled; exclude any vendor surcharges within reason  Utilizing correct budget codes to pay expenditures

5. Elements of a Complete Claim  Purchase Order/Official Claim form  Was the procurement process/policy administered  Matching Support (i.e. detailed invoice/back up documentation)  Approval for payment by Treasurer/Administrator  Timeliness of submission (i.e. mileage reimbursements.) Reason???  Proper appropriation of funds for designated budget codes  Questar III Workshops & Conferences where food is served, include flyer with info on event & attach a sign in sheet to the voucher for payment

6. Riskier Claims  Credit or Gas Cards, turning in receipts and submitting payment on time extremely important to avoid late charges.  Mileage/ Travel/ Conference Reimbursements  Specific purchase orders must remain specific  Extra Classroom Activity Fund Clubs  Claims submitted for payment that include contracts

7. Problem Claims  Lack original documentation  Mathematically incorrect  Original invoice does not sufficiently itemize goods purchased or services rendered  Travel/conference/mileage expense reimbursements not substantiated or not in compliance with policies (i.e. Commuting Miles)  Duplicate or partially paid claims (Win Cap helps with this)  Refer to the Claims Auditor Checklist

8. Claims Auditing Questions  Q & A