Emery County School District

Policy: DIE—District Audit Committee

Date Adopted: 4 December 2013

Current Review / Revision: 4 May 2016

The purpose of the audit committee is to provide independent review and oversight of the District’s financial reporting processes, internal controls, and independent auditors. The audit committee also provides a forum separate from management in which auditors and other interested parties can candidly discuss concerns. The audit committee helps to ensure that management properly develops and adheres to a sound system of internal controls, that procedures are in place to objectively assess management’s practices, and that the independent auditors objectively assess the government’s financial reporting practices.

In accordance with industry best practices and State requirements, the District shall have a three-member audit committee consisting of:

• Two Board members, appointed annually by the Board President, and

• One community based individual who is not an administrator or employee of the District, and who has knowledge or expertise in the areas of auditing, accounting, and/or financial reporting

A Board member shall serve as Director of the audit committee and is responsible to organize the work of the audit committee.

The District audit committee has the following responsibilities:

1. Ensure that management properly develops and adheres to a sound system of internal controls;

2. Receive an annual report of the risk assessment process undertaken by management in developing the system of internal controls;

3. Develop a process to review financial information, financial statements, and District and individual school records on a regular basis;

4. Conducts a competitive RFP process to hire external auditors and other professional services and make a recommendation to the District board on the results of the RFP process consistent with the State Procurement Code;

5. Receive communication from or meet with the external auditors annually and receive a direct report of the audit findings, exceptions, and other matters noted by the auditor;

6. Report the annual audit reports and findings or other matters communicated by the external auditor or other regulatory bodies to the School Board in a public meeting;

7. Ensure that matters reported by external audits, internal audits, or other regulatory bodies are resolved in a timely manner.