A Checks & Balances Project (C&BP) review of the Stony Creek Volunteer Rescue Squad’s (SCVRS) publicly available tax returns from 2015 to 2019 showed the squad made $755,775 in revenues and had expenses worth $451,293, for a surplus of $304,482 over five years.
Stony Creek routinely runs a surplus, then-Sussex County Fire Chief Nick Sheffield told the board of supervisors during a contentious April 17, 2025, meeting in which they directed the county administrator to develop a plan to create a “sole source” contract with Stony Creek within that squad’s service area.
In May 2023, the IRS stripped SCVRS of its nonprofit status because it failed to file tax returns for three straight years, and the latest publicly available SCVRS tax return is for 2019.
C&BP has asked county supervisors if they knew about SCVRS’ loss of its nonprofit status and if it affected their decisions at the April 2026 board meeting in which they fired County Administrator Richard Douglas. All, except Supervisor Thomas Baicy, declined to comment. Board Chair Steve White, who also leads SCVRS, did not respond to questions about SCVRS’ failure to file its taxes.
Supervisor Baicy responds
In an email to C&BP, Baicy said: “I am unaware of any finances by SCVRS & as a volunteer group there may be legalities involved. I am always concerned about citizens’ safety , fire, and rescue. And I believe in transparency and teamwork to make Sussex as respectable as possible.
“I do not always agree with decisions made by Sussex officials and have been noted on paper agreeing and disagreeing with same,” Baicy said. “I also believe in taxes being used as efficiently and productively as safely possible.”
Baicy said supervisors let Stony Creek and the Waverly squad “manage their own affairs.” His reasoning, Baicy said, “was due to the fact that Sussex had neither the manpower ready, buildings to house workers or vehicles ready, making it impossible for the county to manage its own fleet and rescue providers.”
C&BP has also asked supervisors if their decision to defund the position of fire chief was related to Sheffield’s questions about SCVRS finances.
C&BP has filed a Freedom of Information Act request with Sussex County. It seeks all communications and records from 2022 to the present regarding the county emergency medical services department and the SCVRS.
That request is the second from C&BP to the county. Last week, C&BP requested the county’s recusal policy for public officials and any record of commissioners recusing themselves from a public vote in the last 25 years.
The handling of the county’s EMS services was the subject of significant controversy. A reader tip received Tuesday encouraged us to look further: “I heard you want tips. You should look all that went down on the EMS services here. Bunch of folks on the county board scratching each others backs. It stinks. Keep digging.”
On its latest federal income tax filing, the Stony Creek Volunteer Rescue Squad listed Chairman White as chairman of SCVRS as well.
Ray Locker is the executive director for Checks & Balances Project, an investigative watchdog blog holding government officials, lobbyists, and corporate management accountable to the public. Funding for C&BP is provided by Renew American Prosperity and individual donors.
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Stony Creek Volunteer Rescue Squad lost nonprofit status for failure to file taxes
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