Audits of Local Governments and School Districts
Irving Fire Department, Inc. – Internal Controls Over Financial Operations (2011M-240)
Released: December 30, 2011 -- [read complete report - pdf]
Purpose of Audit
The purpose of our audit was to determine whether Department controls are adequate to ensure that financial activity is properly recorded and reported and that Department moneys are safeguarded for the period January 1, 2010 to October 4, 2011.
Background
The Irving Fire Department, Inc. is a volunteer organization located in the Town of Hanover, in Chautauqua County. The Department was incorporated in 1946, and has approximately 26 active members. The Department is governed by a four-member Executive Board, which includes a President and a Treasurer. The Board is responsible for the general management and control of the Department’s financial affairs. During the 2010 fiscal year, the Department had deposits totaling $10,683, which were comprised mainly of receipts from the Fire District and a fund drive.
Key Findings
- Although the Board minutes do include a list of claims to be paid by the Department, there was no evidence that the supporting documentation was reviewed or signed, as required in the By-laws.
- Debit cards are used by the Chief and the Treasurer.
- The Board does not conduct an annual audit of the Treasurer’s records.
Key Recommendations
- Approve all claims prior to payment.
- Consider discontinuing the use of the debit card.
- Conduct an annual audit of the Treasurer’s records.
Local Government and School Accountability Contact Information:
Phone: (518) 474-4037; Email: localgov@osc.state.ny.us
Address: Office of the State Comptroller, Division of Local Government and School Accountability
110 State Street, 12th Floor; Albany, NY 12236