In addition to personnel changes at its school board and at various schools in the district, the Roslyn Board of Education, for the past year, has been involved in major reforms of its budget process, all in an effort to make sure that the conditions which led to the embezzlement scandal are not allowed to occur.

Such reforms coincide with the 27 recommendations made by the office of State Comptroller Alan Hevesi, which were issued as part of Hevesi's comprehensive study of the embezzlement scandal.

Last month, the board drafted a letter to Hevesi, one that outlined the district's progress in making reforms to the budget process and meeting many of the comptroller's recommendations.

Specifically, the letter pointed out that new BOE members have been trained in the areas of financial oversight and fiduciary responsibilities by representatives of the New York State School Boards Association (NYSSBA).

In addition, the board is following guidelines set by the Request for Proposal (RFP) for the procurement of all contracts, especially in the areas of general liability and health insurance.

Furthermore, Callaghan Naw-rocki LLP, the district's independent auditor, has reported its findings directly to the BOE. The superintendent and the assistant superintendent for business are set to provide similar responses to the BOE on any corrective measures to the budget process. All current and future audits will include extensive testing, including testing particularly related to internal controls.

In the summer of 2004, as the scandal was unfolding, the school district created the Citizens Audit Advisory Committee (CAAC), an independent audit committee, which has been reviewing and making recommendations to the BOE regarding internal and independent audit work.

Also last summer, the BOE hired Bennett Kielson Storch DeSantis, a CPA firm to perform more independent auditing. That audit discovered "certain deficiencies" in the district's internal controls and made recommendations to address those problems.

Finally, in the fall of 2004, the BOE retained the law firm of Farrell Fritz, P.C. as Special Counsel. Farrell Fritz's mission has been to recover from the individuals and entities responsible for monetary losses that sprang from the embezzlement scandal.

So far, the district has taken action against its former outside auditor, Miller, Lilly & Pearce, LLP; 10 former or current members of the BOE; and Pamela Gluckin, a former assistant superintendent for the district, who was one of the first individuals to be indicted in the embezzlement scandal.

Among the many recommendations listed in its March report, the comptroller's office urged the board to:

* Establish policies that clearly state the circumstances under which district employees may receive reimbursements and require that claims are sufficiently detailed and adequately audited prior to payment;

* Establish policies that specify the circumstances under which employees may travel. Initiate a travel request and approval process and require that all travel-related expenses are sufficiently detailed and adequately audited prior to payment;

Hevesi's office also advised that "journal entry capability should be given only to those employees whose job specifications require that they perform this function."