Violations of Law, Conflicts of Interest and Other Improprieties at the Department of Correctional Services' Food Production Center (Follow-Up)

Issued Date
June 04, 2013
Agency/Authority
Corrections and Community Supervision, Department of

Purpose

To determine the extent of implementation of the two recommendations included in our original report, Violations of Law, Conflicts of Interest and Other Improprieties at the Department of Correctional Services' Food Production Center (2009-S-6).

Background

On August 31, 2010, we reported the results of our audit of certain Center procurement contracts and payments to vendors for purchases of food products that occurred between January 1, 1996 and December 31, 2009. Our objective was to determine whether former Center Director Howard Dean, his staff, and various food vendors complied with State laws relating to ethics and procurement.

In that report, we cited ethical violations regarding purchases from favored vendors. For example, Mr. Dean and his staff solicited donations from certain vendors for annual picnics and parties, which resulted in his staff improperly attending these events free of charge. In addition, Center management directed the unspent donations from these vendors to one of two employee benefit funds to be used for gifts for staff and other items. In return, these same favored vendors were awarded millions of dollars in State business each year, most of which was procured in violation of State Finance Law. 

Key Finding

  • Department officials had made progress in correcting the problems we identified in our initial report. Of the two recommendations, one had been implemented and the other had been partially implemented.

Key Recommendation

  • Officials are given 30 days after issuance of the follow-up report to provide information on any actions that are planned to address the unresolved issues discussed in this report.  

Other Related Audit/Report of Interest

Department of Correctional Services, Food Production Center: Seventeen Years of Fraud by the Former Director of the Department of Correctional Services’ Food Production Center (2008-S-176)

John Buyce

State Government Accountability Contact Information:
Audit Director: John Buyce
Phone: (518) 474-3271; Email: [email protected]
Address: Office of the State Comptroller; Division of State Government Accountability; 110 State Street, 11th Floor; Albany, NY 12236