FULTON N.Y. — The City of Fulton’s financial records were not accurate or up to date, leaving the Common Council without reliable information about the city’s financial condition, according to a new audit from the New York State Comptroller’s Office.
The audit, issued Sept. 18, examined the city’s financial records from Jan. 1, 2024, through May 12, 2026. The state extended its review through July 9 to check the status of the city’s required financial reports.
Auditors found about $9.9 million in transactions that were not properly recorded or accounted for in the city’s financial records.
The audit also found that, as of May 2026, city officials had not reconciled any bank accounts since December 2022.
In December 2024, 21 of the city’s 22 bank accounts had differences between the cash recorded in the city’s financial records and adjusted bank balances. Overall, the city’s records showed about $1 million less cash than the adjusted bank balances, a 20% difference from the $5 million in adjusted bank balances.
The former Clerk-Chamberlain also failed to complete or properly account for $5.3 million in transfers tied to 2024 collections and disbursements.
Auditors identified other recording problems, including:
$1.6 million in unrecorded retirement expenditures$1.8 million in collections that were not properly recorded$1.2 million in disbursements that were not properly recorded
The Comptroller’s Office issued 10 recommendations aimed at improving the city’s financial recordkeeping and reporting. City officials agreed with the recommendations.
The Common Council is responsible for initiating corrective action and must submit a written corrective action plan to the Comptroller’s Office within 90 days.