Audits of Local Governments and School Districts
Indian Falls Fire Department – Internal Controls Over Financial Operations (2011M-238)
Released: January 27, 2012 -- [read complete report - pdf]
Purpose of Audit
The purpose of our audit was to review the internal controls over the Company's financial operations for the period January 1, 2010 to October 5, 2011.
The Indian Falls Fire Department (Company) is located in the Town of Pembroke, in Genesee County. The Company is governed by a seven-member Board of Directors (Board), including the Board President. The Company is affiliated with the Pembroke Fire District (District) and provides fire protection services to a designated portion of the Town. The District pays the Company $11,000 annually to use the Company's fire hall to store fire trucks and equipment. The Company also receives moneys from donations, fundraising and other activities totaling approximately $3,500. The Company's expenses for the 2010 fiscal year were approximately $13,000.
- The Treasurer performed monthly bank reconciliations and submitted monthly financial reports to the Board, but did not submit an annual report to the Board.
- The Board generally does not provide adequate oversight of Company financial activities. The Board did not appoint an auditing committee to audit the Treasurer's records. In addition, the Board does not audit bills or approve payments prior to checks being issued.
- While Board resolutions authorized significant purchases and disbursements, the Board did not subsequently review the bills for payment.
- Submit an annual report of financial activity to the Board.
- Appoint an auditing committee to annually audit the Treasurer's records, as required by the Company By-laws.
- Review all bills prior to payment to ensure they are for appropriate purposes and 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