Borough Audit & Payroll Concerns

Borough Audit and Payroll Concerns
Borough Audit and Payroll Concerns

Chris Basista

By: Chris Basista

Published on October 2, 2025

At the September 22nd Council Meeting, Resolution #2025-234 acknowledging the annual audit and adopting the corrective action plan for the year 2024 was part of the agenda. The audit identified multiple areas requiring corrective action, from financial reporting procedures to internal controls.

In response, the Borough shared a high-level Corrective Action Plan that addresses each issue.

One finding was "That all approved actions of the governing body be recorded in the financial records of the Borough".

The corrective action was listed as "With the proper staff now in place, Borough Clerk or designated administrative employee will email Finance Office approved governing body actions related to finance within 72 hours of Borough approval".

Another finding was related to all payroll records being available for the audit. The corrective action was "Payroll Coordinator will store records electronically to ensure easy access for auditors for the next audit cycle".

The current payroll is managed by Keng Group LLC (Resolution #2025-106). The Resolution stated that "the Professional Services Agreement, as consistent with the terms of this Resolution, and not to exceed $3,333.33/month of $40,000.00/year". There were no details on the number of hours expected, or where the payroll coordinator would be working from, as their business address is located in New York.

The most recent payment to The Keng Group was in the amount of $6,300 on the August 11th Council Meeting vouchers list. This covered the period from June through August 2025.

ManvilleToday has reported multiple times about how the Borough's reliance on hiring part-time employees has led to issues and concerns. Now we are seeing the need for corrective actions for financial reporting and record keeping.

During the public portion period, a resident stood up and asked a question about a former Borough employee who was still receiving payroll checks despite no longer working for the Borough.

"How many hours a week does the payroll person work?” Asked the resident.

"It's not a set schedule. If we have a payroll week…" Interim Administrator Ruane started to respond.

"Because I think there needs to be more oversight in payroll. I'm not sure if you're aware, but a former employee continued to get paid for months after retirement. To me, that's not acceptable. And to them it was not acceptable, it's a huge headache. And I'm speaking with their permission, on their behalf. Thank you." The resident stated.

There was no reaction from the Mayor or Council. The only remark was by Mayor Richard Onderko, thanking the resident for their comments.

Residents in the audience were visibly concerned at hearing this. ManvilleToday will do our best to investigate this allegation and provide an update.

ManvilleToday will follow the corrective actions of the Borough's audit, and keep residents informed of any new developments as they unfold.