[read complete report – pdf] | [read complete 2024 report – pdf]

Purpose of Review

The purpose of our review was to assess the Gates Fire District’s (District) progress, as of September 2025, in implementing our recommendations in the audit report Gates Fire District – Board Oversight of Long-Term Planning (2024M-10), released in June 2024.

The audit determined that:

• The Board of Fire Commissioners (Board) and District officials did not properly plan for the District’s long-term financial and capital needs, which inhibited the Board and officials from effectively managing finances and addressing future operating and capital needs.
• The Board’s ability to assess the effect of current operations on long-term financial needs was hindered by inaccurate and inadequate financial records and reports and the Board’s unrealistic budgeting.
• The District did not have a written multiyear (long-term) financial plan or an adequate capital plan.
• Officials were unable to formally evaluate the $1.9 million reserve balance as of December 31, 2023 to determine whether the funding was reasonable or would be sufficient for future needs.

The audit included eight recommendations to help the Board improve its oversight of the District’s financial activities.

Background

The District provides fire protection and emergency services within the Towns of Chili and Gates in Monroe County. The elected five-member Board is responsible for the general management and control of financial operations, including adopting annual budgets and establishing financial policies and long-term financial and capital plans. The Board-appointed Treasurer is the District’s chief fiscal officer and is responsible for the custody, receipt, disbursement and accounting for District funds and preparing periodic financial reports.

Results of Review

Based on our limited procedures, the District has implemented corrective action for all eight audit recommendations.