Department of Fire Services-Examination of Annual Internal Control Questionnaire

This is a Massachusetts State Auditor performance audit of the Department of Fire Services, focused on whether certain answers it gave on a state internal-control questionnaire were accurate.

“The objective of our audit was to determine whether certain responses that DFS provided to OSC on its fiscal year 2015 ICQ were accurate.”

The auditor reviewed DFS because state agencies use the questionnaire to report whether their controls are working, and the auditor wanted to check whether DFS’s answers were backed up.

“Accordingly, our audit focused solely on reviewing and corroborating DFS’s responses to specific questions pertaining to ICQ sections that we determined to be significant to the agency’s overall internal control system.”

If DFS reports inaccurate control information, state officials may not be able to judge whether public money, equipment, and records are being properly protected.

“Further, inaccurate information on the ICQ prevents OSC from effectively assessing the adequacy of DFS’s internal control system for the purpose of financial reporting.”

For residents, this matters because DFS is responsible for fire safety services, and weak tracking of controls and assets can raise the risk of waste, loss, or poor accountability.

“The mission of the Department of Fire Services is . . . to provide the citizens of Massachusetts with the ability to create safer communities; to assist and support the fire service community in the protection of life and property; to promote and enhance firefighter safety; and to provide a fire service leadership presence in the Executive Office of Public Safety and Security in order to direct policy and legislation on all fire related matters.”

DFS needed to improve how it documents controls, inventories assets, and reports losses or thefts, and it said it was taking corrective steps.

“Based on its response, we believe that DFS is taking appropriate measures to address the other concerns we identified.”

DFS was told to fix the issues, follow state comptroller requirements, and ask for guidance if needed.

“DFS should take the measures necessary to address the issues we identified during our audit and should ensure that it adheres to all of OSC’s requirements for developing an ICP and accurately reporting information about its ICP, capital-asset inventory, and compliance with Chapter 647 of the Acts of 1989 on its ICQ.”

The problems were not just paperwork: the audit also found DFS’s asset records had duplicates, missing costs, and missing disposal information, which could make it hard to know what the agency owns.

“As a result of these issues, DFS cannot be sure that all of its capital assets are properly accounted for and accurately reported.”

An Internal Control Questionnaire is the yearly form agencies use to say whether they have basic safeguards in place for money, property, systems, and data.

“The purpose of the ICQ is to provide an indication of the effectiveness of the Commonwealth’s internal controls.”