Empire State Development Corporation

Contracts for Personal and Miscellaneous Services

During our three-year audit period, the Empire State Development Corporation (ESDC) had 75 contracts for personal and miscellaneous services that were fully or partially State-funded. State funding for the 75 contracts totaled $359 million. We examined whether ESDC was adequately justifying the need to initially contract out for such services and periodically reassessing whether such contracts could be deferred, eliminated or reduced to save State funds. We found that ESDC was not adequately documenting the need to initially contract out and was not periodically reassessing whether such contracts could be deferred, eliminated or reduced. We recommended certain improvements in ESDC’s administration of such contracts.

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