Anton Haagh, co-owner of the Duke of Marlborough, said due to its isolation and lack of a town water supply Russell relied on its fire brigade even more than other Northland towns.
"These guys are there every Monday night for training, they're there for every car crash, they were there when my wife had a complication in pregnancy.
"They're there constantly in their own time," he said.
Mr Haagh was concerned the report could discourage new residents from joining the brigade.
"I'm a bit saddened by it. They do a great job overall," he said.
Terry Greening, Russell representative on the Bay of Islands-Whangaroa Community Board, said the brigade didn't just put out fires and attend accidents, but also supported a wide range of community activities.
"And when it comes to doing their bread and butter jobs it has always been in a professional manner. I am yet to hear a negative comment," he said.
Sally Taylor, owner of Sally's Restaurant, said the report was "very harsh".
"I think they do a fantastic job, and if they want to have a few drinks and relax on a Monday night, they should be able to. They are volunteers. They're called out to car crashes, drownings, bush fires, anything.
"They're always there and they're always very quick."
The brigade had skilled members who had not been present on the night of the audit, but would have responded in an emergency, she added.
Fire Service area manager for Auckland and Northland, Kerry Gregory, said the audit identified areas that needed to be improved but did not find the brigade was operating in a way that would put anyone at risk.
If that was the case it would have been taken out of operation and another unit put in place.
The firefighter who was drunk had consumed alcohol elsewhere before turning up at training.
His impairment was recognised, and he was sent home immediately.
Fire Service management put a plan in place the following day, and organised extra trainers to work with the brigade.
"It was a disappointing result, but it shouldn't take away from the effort they put into the community," Mr Gregory said.
He was also "extremely disappointed" with the NZ Herald article's inference that Muriwhenua area commander Allan Kerrisk's decision to take 12 months' leave without pay was connected to the Russell audit. Mr Kerrisk had planned the sabbatical long before the audit, he said.