Determine whether the Board of Directors (Board) provided adequate oversight of operations to ensure financial activity was properly recorded and reported and money was safeguarded.
- The Treasurer did not maintain accurate accounting records. For example, The Treasurer did not record collections totaling $10,517 that were deposited during the audit period.
- Company officials did not ensure that collections from donations and fundraising were adequately documented.
- The Treasurer paid claims totaling $14,405 without sufficient supporting documentation to allow officials to determine whether the expenses were for valid purposes.
- The Treasurer did not comply with the bylaws for 35 claims totaling $15,318 that required membership-authorization before payment.
- Maintain accurate accounting records.
- Establish procedures to account for all collections received by the Company.
- Ensure compliance with the bylaws and pay bills after membership approval, as required.
Fire Company officials generally agreed with our recommendations and have initiated or indicated they planned to initiate corrective action.