Wading River Fire District

The policy outlines the procedures for the Wading River Fire District, Volunteer Fire Departments, and Volunteer Fire Companies to purchase goods without paying New York State sales tax, in accordance with Section 1116(a)(1) of the Tax Law. It clarifies that fire districts are exempt from sales tax by issuing a government purchase order, while Volunteer Fire Departments or Fire Companies must apply for sales tax exempt status as a not-for-profit entity. The policy also addresses the use of form ST 129 for hotel bill payments and the distinction between sales tax exemptions and tax status under the Internal Revenue Service Code.

The Wading River Fire District Board of Fire Commissioners adopted a policy regarding lease classification and accounting, in accordance with GASB Statement No. 87. The policy establishes a materiality threshold for reporting Fire District leases, defining material leases as those with total remaining aggregate lease payments exceeding 2% of the current year's operating budget. The policy mandates the reporting of all material Fire District leases in the Annual Update Document and requires an annual review by the Board of Fire Commissioners.

The Wading River Fire District's budget for 2025 includes total appropriations and estimated revenues. The budget outlines the amount to be raised by real property taxes, tax apportionment between Riverhead and Brookhaven, and estimated general fund balance. It details appropriations for personal services, equipment, contractual expenditures, state retirement system, service awards, social security, workers' compensation, life insurance, disability insurance, hospital, medical, and accident insurance, vehicle insurance, and transfers to reserve fund and capital fund. The estimated revenues include interest and earnings, sales of apparatus and equipment, other income from medical billing and pilot payments, grants, and insurance recoveries. The tax apportionment is based on the assessed value, equalization rate, and full valuation for both Riverhead and Brookhaven.

The resolution outlines the establishment and maintenance of a petty cash fund for the fire district treasurer, not to exceed $250.00, for the payment of itemized bills for materials, supplies, or services. The treasurer must provide bills for audit at each board meeting, and the board will direct reimbursement from budgetary items. The treasurer is personally liable for any disallowed amounts. The petty cash fund is to be used for necessary goods and services that require cash payment before the next board meeting, with proper documentation required for all expenditures. The board retains discretion over approving petty cash purchases, and the treasurer can appeal denials.

The policy outlines the purpose, use, and management of the District's reserve fund, which is intended to provide financial stability, reduce reliance on debt, and allow for proper planning for significant capital expenditures. The District has established two reserve funds: a Capital Reserve Fund for Equipment and a Capital Reserve Fund for Building and Grounds. The policy details the annual review process, expected expenditures, funding sources, and the management of reserve fund balances, including maintaining separate accounts and updating the capital reserve spending plan as needed. The Board will manage the reserve funds in accordance with all applicable state and local laws, as well as other District policies, and will be mindful of maintaining reasonable balances based on realistic expected capital expenditures.