New York state spent nearly half a billion dollars on medical equipment at the onset of the COVID-19 pandemic, but the vast majority of it now sits unused in storage facilities across the state, according to an audit released on April 11 by State Comptroller Thomas P. DiNapoli.
The audit found that of the 247,343 items of durable medical equipment (DME) purchased during the early months of the pandemic, only three items were distributed. Most of the equipment including ventilators, oxygen tanks and pulse oximeters has remained in storage, missing scheduled maintenance and accruing storage costs for taxpayers.
The audit outlines how the state accelerated its procurement process to secure equipment quickly, bypassing standard procedures. Procurement decisions were made by the former Executive Chamber, or former Govenor Andrew Cuomo's office, with the help of a consultant who projected the amount of equipment needed.
The state ultimately spent $452.8 million to procure the equipment and received an additional 51 items through donations, totaling 247,394 DME items. However, the audit revealed that only 324 total items were used during the pandemic, including just three from the newly purchased stockpile.
Auditors found weak internal controls and lapses in documentation. A sample review of credit card purchases showed the Department of Health (DOH) could not produce proof of delivery for four purchases totaling $312,644 and involving 140 items.
When the COVID-19 emergency subsided, a Medical Stockpile Steering Committee recommended that 51,140 items be retained and that 4,468 of them receive regular preventive maintenance. Yet nearly 200,000 items were left without a clear plan, and auditors said DOH could not provide documentation on how the committee reached its decisions.
While DOH surveyed medical facilities to gauge interest in the surplus items with 24,585 items requested auditors found that only a few were actually distributed. Additionally, the contract for preventive maintenance services expired in December 2023 and was not renewed. By the end of 2024, 4,036 items were overdue for maintenance, potentially voiding warranties and increasing repair costs.
The report warns that without proper upkeep, equipment may not be functional in future emergencies.
DiNapoli’s office issued several recommendations, including maintaining internal controls, even during emergencies; documenting decision-making processes and key events; developing a statewide strategy for maintaining and utilizing DME; and creating a plan to distribute surplus equipment for public health use.
