The audit also found that several department heads also received unapproved cash.
But Randall drew a clear distinction between the investigation surrounding the clerk and the unapproved money that went to the department heads.
"We should not look at these individuals as having conducted themselves in a way that is contrary to what is in the best interest of the village," he said. "The lack of policy is a board duty and we will address that."
Two of the village's five labor agreements include language that allows unionized employees to sell their untapped sick and vacation time.
Randall pointed the finger at a historically unclear policy rather than non-union village management.
Residents in attendance lauded the work of the current village board - which, for the most part, was not in office when the alleged mishandling of funds occurred.
Village officials said they have yet to reach out to any law enforcement agencies regarding McKillip. Randall said an internal investigation will be completed before the board decides how to proceed.
But Essex County District Attorney Kristy Sprague told WNBZ Monday that she has already filed for a special prosecutor to independently investigate whether McKillip should face criminal charges.