Investigation of the Waterfront Commission of New York Harbor

airport, one in McGowan’s assigned vehicle, and one in a separate Commission vehicle.After McGowan passed through Customs, the detectives met McGowan and his wife atthe gate and escorted the couple to McGowan’s Waterfront Commission vehicle. Thedetectives then left in the second vehicle. McGowan testified that this assignment wasappropriate for Commission detectives because McGowan was “on call twenty-fourhours a day.”Waterfront Commission Detectives Were Regularly Assigned to Guard ParkingSpots for Executive StaffThe Inspector General learned that, under McGowan’s direction, the WaterfrontCommission assigned two detectives to guard designated parking spaces in lowerManhattan until executives and supervisors reported to work. This practice was in effectfrom approximately 2003 through 2005 until it was suspended by then-Chief of PoliceSmith. The practice was then reinstated by McGowan in January 2008 but againdiscontinued by Executive Director Walter Arsenault in September 2008 after theInspector General advised him of the practice.The New York City Department of Transportation has designated certain parkingspaces in lower Manhattan for Waterfront Commission vehicles. Other vehicles may beticketed for parking in those spaces. Nonetheless, unauthorized vehicles parked in thosespaces presented an inconvenience to Commission executives and supervisors. UnderMcGowan’s supervision, two detectives from the Brooklyn field office were divertedfrom laws enforcement duties and assigned to the detail. The detectives would firstreport to the Brooklyn field office, retrieve a Waterfront Commission vehicle, and driveto Manhattan to guard the spots. The detectives were assigned to arrive at the spots atapproximately 7:00 a.m. and to remain until all supervisors arrived, usually at 9:00 a.m.The detectives then returned to the Brooklyn field office to resume their normal duties.This detail occupied detectives for approximately three hours a day, five days a week.G. POOR FISCAL MANAGEMENTThe Inspector General’s review determined that the Waterfront Commission’scomptroller demonstrated a general lack of fiscal responsibility. The comptroller did notconduct proper oversight of the entity’s overall financial operations and did not developany policies, guidelines, or procedures to assist in the accountability of funds. Despitehis title, the comptroller functioned primarily as a bookkeeper.Comptroller Irving Wolf has been employed by the Waterfront Commission sinceJune 2001. Wolf is a member of the Executive Division and is responsible for thefinancial operations and proper fiscal oversight of the Waterfront Commission.According to Wolf, his office operated without internal controls and had not developed afiscal manual, or any written policy or guidelines regarding purchasing, payables,receivables, employee reimbursements and revenue collection except for assessmentsfrom stevedoring companies. Wolf admitted that the above conditions were problematicbut blamed the lack of sufficient staff as the cause.49