1 A U D I T S U B C O M M I T T E E M E E T I N G P R E S E N T E - PowerPoint PPT Presentation

1 A U D I T S U B C O M M I T T E E M E E T I N G P R E S E N T E D T O : S W E E T W A T E R U N I O N H I G H S C H O O L D I S T R I C T A U D I T S U B C O M M I T T E E P R E S E N T E D B Y : D R . A L B E R T G . A L T C H I E F F I N A N C I A L O F F I C E R M S . F R A N C E S M A R T I N E Z I N T E R N A L A U D I T O R June 19, 2013 Audit Subcommittee Presentation

District Delta: 2 June 19, 2013 Audit Subcommittee Presentation

Fiscal Stability: 3  Three Key Components: Well-defined and understood budget development I. process Regular on-going budget monitoring and reporting II. III. Year-end close activities including the Financial Audit June 19, 2013 Audit Subcommittee Presentation

Financial Audit: 4  Serves multiple purposes:  Used for the purposes of evaluating internal controls and systems  Evidences good stewardship of the taxpayers money  Opportunity to evidence District’s financial stability to internal and external stakeholders  Examples of evidence to external stakeholders: http://www.guhsd.net/index.php/component/docman/cat_view/41- business-services/143-budget-and-financial-information/147-reports- letters-and-overviews/148-audited-financial-reports http://www.cvesd.org/DISTRICT/Pages/services.aspx June 19, 2013 Audit Subcommittee Presentation

Best Practices: 5  Audit Committee is identified as a “best practice” by many organizations:  Endorsed by National Association of Chief Business Officers  Endorsed by Institute of Internal Auditors  Researched and documented:  AGA Corporate Partner Advisory Group Research:  http://www.agacgfm.org/AGA/Documents/Research/CPAG_No17-1-.pdf  Government Financial Officers Association (GFOA):  http://www.gfoa.org/index.php?option=com_content&task=view&id=1451  American Institute of CPAs:  http://www.aicpa.org/InterestAreas/BusinessIndustryAndGovernment/Resources/Government ResourceCenter/DownloadableDocuments/GovAccBrief July 20 09.pdf June 19, 2013 Audit Subcommittee Presentation

Purpose and Benefits of Audit Committee: 6  GFOA recommends; “The governing body of every state and local government should establish an audit committee or its equivalent”  Provides forum outside of management  Ensures adherence to system of internal controls  Ensures independence of auditors (internal and external)  American Institute of CPAs; “The implementation of audit committees by government entities both enhances financial transparency and controls…”  Activities that ensure independence is maintained June 19, 2013 Audit Subcommittee Presentation

Internal Auditor Role: 7  Independent review of control systems, policies, procedures  Liaison with all audits  Coordinates contract audit/external auditors  Training June 19, 2013 Audit Subcommittee Presentation

High Risk Areas: 8  Cash handling/distribution  ASB  Principals Reports  Bus Passes  Nutrition  Commercial Warrants  Compliance  Instructional Minutes  Fixed Asset Inventory  Special Audits/requests June 19, 2013 Audit Subcommittee Presentation

Draft Schedule: 9 Task Due Date Responsible Completed Party Audit Committee June Alt/Martinez June 19, 2013 Orientation Audit Committee 1 st Quarter Alt/Martinez Training Audit Review 2 nd Quarter Alt/Martinez Acceptance of 3 rd Quarter Alt/Martinez Audit Audit 4 th Quarter Alt/Martinez Planning/Review June 19, 2013 Audit Subcommittee Presentation

District Delta: 10 June 19, 2013 Audit Subcommittee Presentation

11 A U D I T S U B C O M M I T T E E M E E T I N G P R E S E N T E D T O : S W E E T W A T E R U N I O N H I G H S C H O O L D I S T R I C T A U D I T S U B C O M M I T T E E P R E S E N T E D B Y : D R . A L B E R T G . A L T C H I E F F I N A N C I A L O F F I C E R M S . F R A N C E S M A R T I N E Z I N T E R N A L A U D I T O R June 19, 2013 Audit Subcommittee Presentation