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Pennsylvania Auditor General Timothy DeFoor released for 43 volunteer firefighters’ relief associations (VFRAs) in 30 Pennsylvania counties. The reports show 28 with no adverse findings and 15 with a compliance or expenditure issue of some kind.

The audits are conducted to make sure relief associations are “properly using state funds to help first responders protect communities and save lives,” DeFoor said.

His office distributes state aid for VFRAs and audits how they use the funds, which are generated by a 2% tax on fire insurance policies sold in Pennsylvania by out-of-state companies. In 2021, $54 million went to 2,517 municipalities for distribution to VFRAs to provide training, purchase equipment and insurance, and pay for death benefits for volunteer firefighters., according to the auditor.

VFRAs risk having future state aid withheld if they do not comply with applicable state laws, contracts, bylaws and administrative procedures. Relief associations are separate legal entities from the fire departments they support.

The 15 VFRAs where issues were found are:

1. – Finding: Failure to comply with terms of loan agreement, which was subsequently paid in full.
2. – Finding: Noncompliance with prior audit recommendation involving failure to maintain a complete and accurate equipment roster.
3. – Two findings: Untimely receipt and deposit of state aid. Insufficient surety bond coverage.
4. – Finding: Failure to deposit $4,969 in state aid received via Clearfield Township within 60 days.
5. – Finding: Failure to adhere to association bylaws due to vacancy of vice president’s position.
6. – Finding: Noncompliance with prior audit recommendation involving payment of state sales tax by a tax-exempt organization.
7. – Finding: Noncompliance with prior audit recommendation involving undocumented expenditures.
8. – Findings: Inadequate association bylaws. Failure to maintain a state sales tax exemption number, which expired in 2004.
9. – Finding: Unauthorized expenditures totaling $11,418.
10. – Two findings: Noncompliance with prior audit recommendation involving failure to maintain a complete and accurate equipment roster. Failure to secure an ownership interest in jointly purchased equipment.
11. – Finding: Failure to comply with terms of loan agreement, which was subsequently paid in full.
12. – Finding: Noncompliance with prior audit recommendation involving payment of state sales tax by a tax-exempt organization.
13. – Five findings: Noncompliance with prior audit recommendation involving unauthorized expenditures of $3,744. Undocumented expenditures totaling $7,611. Untimely receipt and deposit of state aid. Inadequate minutes of meetings. Failure to maintain a complete and accurate equipment roster.
14. – Six findings: Noncompliance with prior audit recommendation involving failure to maintain a complete and accurate equipment roster. Noncompliance with prior audit recommendation involving inadequate minutes of meetings. Failure to comply with terms of loan agreement. Failure to maintain a complete and accurate equipment roster. Failure to maintain surety bond coverage. Failure to define discretionary benefits and inadequate association bylaws.
15. – Finding: Failure to maintain a state sales tax exemption number, which expired in 2013.

Topics Pennsylvania