Thomas Galante, president and CEO of the Queens Library, gets to keep his job following a vote by the Board of Trustees.
Galante reportedly earned a salary of nearly $400,000 and spent more than $140,000 on renovations for his personal office last year.
He's currently under investigation by the city comptroller and the FBI.
In a statement, the board said it rejected a motion for a leave of absence.
However, following the scandal, it's implemented several reforms to their operating policies and procedures.
An audit committee will be created, which will review the president's current contract to ensure it's in line with similar nonprofit institutions.
They've also revised their Conflict of Interest Policy for senior officers and formed a Committee on Governance to review other matters raised from the scandal.