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Audit Objective

Determine whether Copenhagen Volunteer Fire Department, Inc. (Department) officials ensured that financial activity was properly recorded and supported, and that money was safeguarded.

Key Findings

Department officials did not ensure that financial activity was properly recorded and supported, and that money was safeguarded.

• The Board of Directors (Board) did not provide adequate guidance on fundraising activities and did not enforce bylaw provisions related to the review and approval of bills and records, and cash receipts.
• Of 186 disbursements reviewed totaling $110,469, 74 totaling $27,334 did not have adequate supporting documentation.
• The Treasurer did not perform accurate and timely bank reconciliations for all accounts.
• Cash receipts and fundraising activities were not adequately documented.

Key Recommendations

• Amend the bylaws and/or adopt supplemental written financial policies and enforce compliance.
• Ensure all claims are audited and approved before payment and adequately supported.
• Ensure adequate cash receipts records are maintained and deposits are made in a timely manner.

Department officials generally agreed with our recommendations and indicated they planned to take corrective action.