State University of New York Stony Brook University Hospital: Selected Expenditure Controls. Report 92-S-66.

An audit was done of selected expenditure controls at the State University of New York (SUNY) at Stony Brook University Hospital particularly payroll costs and procurement practices. The Hospital reported an operating loss of $24 million in 1992. The audit reviewed Hospital management and staff and applicable policies and procedures as well as records of expenditure transactions. Overall findings were that certain purchasing practices could be improved. More importantly the Hospital is not adequately controlling payroll costs for oncall and recall services and is making unnecessary payments to some employees. Employees oncall receive $2.25 an hour for time oncall. employees on recall receive time and a half for a minimum of one-half day or hours worked, whichever is greater. The audit found that many employees are scheduled and receive payments for oncall status but are rarely recalled. Questionable and improper practices identified include payments to employees for working overtime or on recall basis while they are being paid for oncall status, recalling staff who are not oncall while staff on oncall in the same unit are never recalled, and staff use of sick leave during normal shifts while also remaining oncall. The original audit was in January 1992. A return visit in June 1993 found many of the same practices in place. Comments of SUNY officials are included. (JB)