- Associated Press - Sunday, July 19, 2015

ALBANY, N.Y. (AP) - New York auditors say some expenses submitted by a special education preschool in Brooklyn shouldn’t be reimbursed by the government.

The state comptroller’s office cites $800,000 of ineligible costs by the for-profit Milestone School for Child Development that offers services to children aged 3 to 5.

In 2012-2013, auditors say Milestone served about 110 students from Brooklyn and neighboring boroughs and reported about $3.8 million in reimbursable costs.

Auditors say disallowed expenses include more than $196,000 in excessive rent; $188,000 in telephone, American Express and other charges without supporting invoices; $149,000 of inappropriate fringe benefits; and $105,000 of salaries for employees who also worked for other service programs.

Milestone’s lawyer says the audit had inaccuracies, wrong interpretations and that the comptroller lacks authority to audit the school.

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