Audit Advisory Committee

Purpose

The Audit Advisory Committee was established on February 21, 1984, by Board Resolution 84-16 (Amended on June 5, 1984 and superseded by Resolution 86-42 dated April 19, 1986).

Policy

The Audit Advisory Committee provides assurrance to the County Board conserning the internal and financial controls of the county and provides greater independence and objectivity to the audit functions.

Composition

The Audit Adivsory Committee is composed of the following:

• County Board chairperson or commissioner designee
• County administrator
• Two citizen members

Terms

The two citizen members are appointed by the County Board to three-year terms on a staggered basis.  Members are eligible for a total of two three-year terms or six years.

Meeting Requirements

Quarterly or as needed.

Responsibilities

The Audit Advisory Committee oversees the county's internal audit fuction, which has responsibilties in three areas:


1) Internal Controls
The committee monitors the county's system of internal controls to determine their adequacy for safeguarding county assets and ensuring efficient operations.  The areas of concern include, but are not limited to:

• Cash transactions (receipts, disbursements, physical controls, etc.)
• Receivables and billing processes
• Capital assets (acquisitions, disposals, inventory, insurance coverage, expense items, etc.)
• Contracts (documentation, adherence to policy, etc.)
• Payroll systems
• New technology developments
• Investments

2) Legal Compliance: 
The committee monitors the County's system of internal control to assure that programs, transactions, grants and other pertinent matters comply with the appropriate laws, regulations, and policies.

3) Financial Reporting:
The committee assists in assuring that financial information generated from the various county systems is reliable and timely and has clarity and appropriate disclosures. To this end, the internal auditor assists in coordinating year-end audit efforts with the external auditor. The committee ensures that external and internal auditor recommendations for improvements in internal controls and operating methods receive management's attention.


4) The Audit Advisory Committee presents to the County Board an annual report of its activities.

Restrictions

The Audit Advisory Committee does not have responsibilities in the following areas:

• Overseeing the scope and performance of the independent (external) audit function
• Evaluation and review of budget process

• Presentation of the annual financial report to the Board

Remuneration

Lay members for the Audit Advisory Committee are eligible to receive meeting per diem and mileage reimbursement at the rate established by the County Board.

Operating Procedures

This advisory board operates in accordance with the operating procedures established by the County Board.