At the same time, an internal audit reported what appeared to be evidence of mismanagement - extravagant perquisites for personnel and irregularities in reporting expenses.
The audit reported that the absence of proper metering had prevented auditors from making full and reliable judgments about the amount of sales.
Several times, the audit reported, inspectors witnessed other Administration officials bypassing the narcotics bureau on critical drug-related matters.
The diocesan audit eventually reported finding $3 million in off-book investment accounts.
The audit reports that last year, the authority hired a consulting firm to review its staffing as it sold its nuclear power plants.
An internal audit, issued in December, reported that the department had allowed contractors and maintenance personnel to wander around the building without escorts.
The State agency submits the audit reports to the District for review.
The federal audit also reported about $165,000 of duplicate billing during the 1999-2000 school year, which district officials have promised to repay.
Internal audit frequently reports to the Audit Committee, and can be either internally or externally staffed.
An audit conducted by a local certified public accountant reported that in 2010 the District had General Fund Reserves over $26 million.