[read complete report - pdf]

Audit Objective

Determine whether the Sea Breeze Fire District (District) Board provided adequate oversight of the District’s financial operations.

Key Findings

The Board did not provide adequate oversight of the District’s financial operations. The Board did not:

• Comply with mandatory training requirements.
• Actively manage District assets.
• Ensure the Treasurer maintained basic accounting records including adequate bank and debt obligation records.
• Comply with legal mandates to perform an annual audit, file financial reports or audit and approve claims.
• Prohibit or address unsupported or questionable disbursements.

As a result, the Board could not effectively monitor the District’s operations and financial condition.

Key Recommendations

• Adopt or revise financial related policies and provide oversight of operations.
• Prepare adequate accounting records and monthly reports, and complete and file all required calculations, records and reports.
• Audit all claims before authorizing payment.

District officials agreed with our recommendations and indicated they have begun and will continue to take corrective action.