[read complete report – pdf] | [read complete 2021 report – pdf]

Purpose of Review

The purpose of our review was to assess the Theresa Fire District’s (District) progress, as of November 2025, in implementing our recommendations in the audit report Theresa Fire District – Board Oversight and Financial Management (2021M-60), released in August 2021.

The audit determined the Board did not provide adequate oversight to ensure that financial activities were properly recorded and reported and did not properly manage fund balance

• The Treasurer did not maintain adequate accounting records or provide regular financial reports to the Board She also did not file required annual financial reports with the Office of the State Comptroller (OSC) in a timely manner The 2017 through 2019 annual reports were filed between 331 and 1,018 days late. 
• The Board did not audit all claims prior to payment and did not annually audit the Treasurer’s records. 
• The Board did not adopt realistic budgets based on historic trends
• The District ended 2019 with $345,000 in surplus fund balance – enough to fund nearly two years’ of expenditures We project the District will end 2020 with a surplus of $308,800, 177 percent of 2021 appropriations

The audit included 13 recommendations to help the Board and Treasurer improve oversight of the District’s financial activities.

Background

The District, located in the Town of Theresa in Jefferson County, is governed by a five-member Board that is responsible for the District’s overall financial management and safeguarding its resources A Board-appointed Treasurer acts as the chief fiscal officer and is responsible for receiving, disbursing and accounting for District funds and preparing financial reports.

Results of Review

District officials fully implemented one recommendation, partially implemented five recommendations, and did not implement seven recommendations. Until all recommendations are implemented, the Board cannot ensure District assets are fully safeguarded.