State Comptroller Thomas DiNapoli received a request last Friday to audit the books of the town of Tupper Lake in a move triggered by some town officials and taxpayers concerned with the appearance of conflicts among public officials.
The request from the town is under review, according to DiNapoli's office.
The call for the audit is also supported by Town Supervisor Ricky Dattola, who has been questioned by some members of the town board and residents for his activities as a private businessman.
“I think you can have the appearances of a conflict of interest anywhere in a small town,†Dattola said. He added that he sees criticism of his hiring of the town attorney to work on his private business matters as “political.â€
Dattola's business dealings have been questioned for months by some members of the community, chiefly Stephen Jellie, owner of a convenience store, Larkin's Junction Depot. He has called out Dattola at public meetings and has written to state authorities seeking investigations, he said.
Added attention arose after two new members were elected to the town board last fall.
Seeking clarification
Councilman Adam Boudreau, who took office in January, has sought clarifications about finances and Dattola's use of town staff on personal business.
Boudreau, who runs an excavating business near acreage purchased by Dattola, said he thinks it is smart to have the comptroller make sure the town is operating appropriately to guard against legal jeopardy.
An official with DiNapoli's office said requests for municipal audits are common. Auditors sometimes find substantial problems, and other times make modest recommendations.
The letter to DiNapoli from the town board, which includes Dattola as a letter writer, calls for “a formal audit of the financial activities and records associated with finances.â€
The May 15 letter continues: “The Town Board has adopted a resolution requesting this audit in order to ensure transparency, accountability, and public confidence in the financial management practices impacting our community. Given the importance of sound fiscal oversight, we believe an independent review by your office will provide clarity, identify any areas of concern, and offer recommendations for improvement where necessary.
“Our intent is to uphold the highest standards of municipal governance and to ensure that all financial matters are managed responsibly and in accordance with applicable laws and regulations. An audit conducted by the Office of the State Comptroller will serve as a valuable tool in achieving these goals and reinforcing public trust.â€
In comments about his recent call for the resolution to write to DiNapoli and ask for an audit, Boudreau has referred to Article 18 of the state public officers law. The section of law deals with protecting public officials from financial ruin if sued for things done in performance of their job.
“If we don't have the state weigh in, potentially we could open up the town for legal action,†Boudreau said.
Potential conflicts of interest
He said he is concerned about potential conflicts and that there are cases involving Dattola and Town Attorney Kirk Gagnier where “the lines have blurred.â€
“There are appearances that could be instances of conflicts of interest,†Boudreau said, citing failures to disclose private business and private employment.
Dattola said he is fine with the comptroller's auditors coming to Tupper Lake to check on finance matters, procedures and and policy issues involving conflicts.
Some of the concern is tied to the purchase and development by Dattola's company, Tola Enterprises, of about 80 acres in the town. The property, for a potential business park, was purchased by Dattola's company, which includes the supervisor's nephew Dominic Dattola, from the Franklin County Industrial Development Authority.
In 2024, Gagnier, working on behalf of Dominic Dattola, wrote to a town official seeking approval of a subdivision on the business park property. Another time Gagnier represented Tola Enterprises in a request to the town to be allowed to install a sewer hookup at the company's expense on the property.
Gagnier, who did not return a call to be interviewed, is paid $2,183 monthly as town attorney and is allowed to work in private practice under terms of his contract. Dattola said Gagnier's law firm has worked for his business for years. Dattola also runs Tupper Lake Supply, a hardware store in the village of Tupper Lake.
“Kirk and I are moving ahead,†Dattola said.
He said he welcomes the audit, and actually sought one himself after he first took office as supervisor in his first term five years ago. He said the comptroller's office has previously said Tupper Lake was on a list of municipalities the auditors would eventually audit.
More recent questions by Boudreau and others focus on use of the town's budget surplus.Â
The town budget, at $2.3 million, is buoyed by a fund balance. That surplus fund topped $1 million in 2022 thanks to federal aid and is now about half that size because sums were used on a study to fix the Setting Pole Dam, one of two dams in need of repair, Dattola said.
