Purpose of Audit

The purpose of our audit was to examine internal controls over the District’s operations for the period January 1, 2013 through March 4, 2014.

Background

The Germantown Fire District is a district corporation of the State, distinct and separate from the Town of Germantown and Columbia County. An elected five-member Board of Fire Commissioners governs the District. The District’s 2013 general fund expenditures were $273,071 and budgeted appropriations for 2014 are $272,446.

Key Findings

• The Board did not properly award a contract for cleaning services for $4,800 when it renewed its contract with a Commissioner’s spouse in 2013.
• The District does not have policies and procedures for key financial functions. Because the District does not have effective policies and procedures outlining expectations for managing District resources, there is an increased risk of abuse.

Key Recommendations

• Ensure that all officials and employees are familiar with the requirements of the District’s Ethics and Disclosure Policy as they relate to conflicts of interest.
• Develop policies and procedures over the procurement process, Cash receipts and disbursements, Reserves and Capital planning.