New York City Economic Development Corporation
East 34th Street Heliport: Revenue Operations The East 34th Street Heliport is one of three public heliports in New York City. The Heliport is managed by a private company pursuant to an operating agreement with the New York City Economic Development Corporation. The company is required by the agreement to remit a percentage of its total revenue collections to the Corporation as a rental fee.
We examined the revenues that had been reported and remitted by the company. We found that the company did not always fully bill carriers for their flights and underreported some of the revenue that was collected. In some instances, the carriers were not fully billed because flight activity logs had been altered. We also determined that the company was not actively pursuing certain unpaid accounts. As a result of the revenue reporting and collection weaknesses that we identified, the Corporation was not being paid all the rent revenue it was due. We recommended that certain unremitted amounts be remitted to the Corporation, and certain improvements be made in the company’s revenue reporting and collection practices.
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