Volunteer Firemen’s Benevolent Association of North Tonawanda – Foreign Fire Insurance Tax Moneys (2014M-208)

Issued Date
October 31, 2014

Purpose of Audit

The purpose of our audit was to evaluate the Association’s use and reporting of foreign fire insurance tax moneys for the period January 1, 2013 through April 28, 2014.


The Volunteer Firemen’s Benevolent Association of North Tonawanda is located in the City of North Tonawanda and was established in 1903 by a special act of the State Legislature, which was subsequently amended in 1906. The Association is governed by a nine-member Board of Directors that elects the President, Secretary and Treasurer from the members of the Board. For fiscal year 2013, the Association received $65,878 in foreign fire insurance tax moneys and spent $53,322 of these funds on membership benefits and administrative costs.

Key Finding

  • The Association issued 106 benefit checks totaling $49,545 to members or their families during 2013. While the claim supporting each payment was fully itemized and clearly indicated the purpose of the payment, the benefits provided by the Board were well in excess of the $100 limit indicated in the special act.

Key Recommendations

  • Review the special act and ensure that the membership benefits are provided in accordance with the special act and, if necessary, request that the State Legislature amend the special act, and revise the Association bylaws to define the manner of furnishing relief to disabled members and their families.