Clarksville Volunteer Fire Company – Internal Controls Over Financial Operations (2012M-56)
Released: July 13, 2012 -- [read complete report - pdf]
Purpose of Audit
The purpose of our audit was to examine the internal controls over the Company’s financial operations for the period January 1, 2011, to March 5, 2012.
The Clarksville Volunteer Fire Company is located in the Town of Clarksville, in Allegany County. The Company is affiliated with the Clarksville Fire District and provides fire protection services to a designated portion of the Town. The Company is governed by a four member Board of Directors, including the Board President. The Company derives the majority of its funding from fundraising. During 2011, the company held three fundraisers, collecting approximately $19,000. The Company also received moneys from donations, State aid, and other activities, totaling approximately $1,300. The Company’s expenses for the 2011 fiscal year were approximately $21,000.
- Although it appears that the Treasurer maintained appropriate financial records, we found that the Board generally does not provide adequate oversight of Company financial activities. While the Treasurer submitted monthly financial reports to the Board, he did not submit a comprehensive annual report.
- The Board-appointed audit committee did review the records of the Treasurer as required; however, this review did not include an inspection of cancelled checks or check images.
- The Board does not audit bills or approve payments prior to checks being issued.
- Submit a comprehensive annual report of financial activity to the Board.
- Direct the audit committee to include a review of cancelled checks or check images in its annual audit procedures.
- Review and approve all bills prior to payment to ensure they are for appropriate purposes and are supported by adequate documentation.
Local Government and School Accountability Contact Information:
Phone: (518) 474-4037; Email: firstname.lastname@example.org
Address: Office of the State Comptroller, Division of Local Government and School Accountability
110 State Street, 12th Floor; Albany, NY 12236