Preliminary Draft Audit Report - 2Q08

Audit Report on the New York Yankees Rental Credits For the Third Quarter of 2008 (July 1–September 30, 2008) FR09-126A June 24, 2009 Table of Contents AUDIT REPORT IN BRIEF 1 Audit Findings and Conclusions 1 Audit Recommendations 2 INTRODUCTION 2 Background 2 Objectives 2 Scope and Methodology 2 Discussion of Audit Results 3 FINDINGS 5 Overstatement of Rental Credits 5 RECOMMENDATIONS 7 APPENDIX I - Summary of Billings and Disallowances APPENDIX II - Disallowance Schedule for River Payroll APPENDIX III - Disallowance Schedule for ADCO Labor APPENDIX IV - Summary of Disallowances for Miranda Fuel, Brown & Silver, Stadium Repairs, and Other Expenses ADDENDUM - New York Yankees Response The City of New York Office of the Comptroller Bureau of Financial Audit Audit Report on the New York Yankees Rental Credits For the Third Quarter of 2008 (July 1–September 30, 2008) FR09-126A AUDIT REPORT IN BRIEF According to a 1972 lease agreement between the New York Yankees (the Yankees) and the City of New York (the City) that is overseen by the Department of Parks and Recreation (Parks), the Yankees are responsible for the care and upkeep of the City-owned Yankee stadium, and must pay the City rental income. However, ...