SLAUGHTER BEACH, Del. - The Delaware Office of Auditor of Accounts has conducted an audit of the Memorial Volunteer Fire Company revealing what the office calls “control deficiencies” that reportedly exposed the fire company to financial risk.
According to the Auditor of Accounts, the audit, released Thursday, Sept. 25, revealed non-compliance with policies on proper handling of money deposits, lacking expense records, and inadequate financial oversight of credit card management, payroll, annual budgets, and grant funding.
The audit focused on the fire company’s efficiency and operations between 2021 to 2023, according to the Auditor or Accounts, and was requested by the State Fire Commission after it had received numerous concerns regarding the fire company’s fiscal management.
The Auditor of Accounts says the MVFC cooperated with the audit and that the current fire company board, appointed in 2024, has been working to make improvements.
“This performance audit underscores the importance of strong internal controls and rigorous oversight when dealing with State funds, including grant funds,” said State Auditor Lydia E. York. “Delaware’s volunteer firefighters rely on their companies effectively managing State funds to ensure they have the tools they need to save lives. I want to thank the State Fire Commission for their partnership, and Memorial Volunteer Fire Company for their cooperation and commitment to strengthening their fiscal practices.”
In June, the Memorial Volunteer Fire Company said full and transparent cooperation with the audit was the most responsible way to address the concerns that spurred the audit in the first place. While they acknowledged the issues identified in the audit, the fire company underscored the progress they had made to address them.
“The final audit report identified deficiencies in our financial practices during fiscal years 2021, 2022, and 2023,” MVFC leadership wrote to the Office of Auditor of Accounts. “We acknowledge these findings and recognize the importance of the issues identified. However, we are pleased to note that both the Auditor's Office and the Commission acknowledged the significant progress we had already made prior to and during the course of the audit, to include by not limited to a full reassessment and update of our financial policies and procedures.”
Though the audit acknowledges the fire company's progress, officials say a future audit will be necessary to ensure all improvements and controls are in place and working.
To view the full audit and its findings, you can click this link.