A state comptroller's audit of the Village of Attica for 1995-96 found that the village not only had too much unreserved money in its water and library accounts but also failed to require its banks to provide enough collateral to guarantee the village's bank accounts against losses.
The audit suggested tighter budgeting based on an examination of past resources and needs, to avoid the $224,642 surplus in the water fund, which represented 35 percent of the 1996-97 appropriation, and the $64,593 surplus in the library fund, which was 42 percent of the 1996-97 appropriation.
The auditors also noted that the village's deposits ranged from $649,336 to as high as $1,299,977, exceeding normal Federal Deposit Insurance Corp. guarantees. They suggested that the village require its banks to pledge enough collateral to protect the village against possible losses.
They also suggested that the Village Board approve all travel claims and regularly monitor the records of the village justice.