Audit Committee and Hotline

Board adopted 4-20-15

Audit Committee Authority 

The Board of Education of the Briarcliff Manor Union Free School District, in accordance with Education Law §2116-c, has established an audit committee to assist the Board of Education in the oversight of both the internal and external audit functions. In accordance with Education Law §2116-c(4), the role of this audit committee shall be advisory and any recommendations it provides to the Board shall not be substituted for any required review and acceptance by the Board of Education.

Mission 

The Board of Education of the Briarcliff Manor Union Free School District has established an audit committee to provide independent advice, assistance, and recommendations to the Board in the oversight of the internal and external audit functions of the district.

Composition and Requisite Skills

 The Briarcliff Manor Union Free School District Audit Committee shall be comprised of five (5) members, with two of its members being members of the Board of Education. The Committee members collectively should possess the knowledge in accounting, auditing, financial reporting and school district finances needed to understand and evaluate the school district’s financial statements, the external audit and the district’s internal audit activities. Accordingly, the Audit Committee’s members, collectively, should:

• Possess the requisite knowledge necessary to understand technical and complex financial reporting issues.
• Have the ability to communicate with auditors, public finance officers and the school board.
• Be knowledgeable about internal controls, financial statement audits and management/operational audits.

Duties and Responsibilities

The duties and responsibilities of the Briarcliff Manor Union Free School District Audit Committee include the following:

• External Audit Focus
  • Provide recommendations regarding the selection of the external auditor to the Board of Education.
  • Meet with the external auditor prior to commencement of the audit to, among other things, review the engagement letter.
  • Review and discuss with the external auditor any risk assessment of the district’s fiscal operations developed as part of the auditor’s responsibilities under governmental auditing standards for a financial statement audit and federal single audit standards, if applicable.
  • Receive and review the draft annual audit report and accompanying draft management letter, including the external auditor’s assessment of the district’s system of internal controls, and, working directly with the external auditor, assist the Board of Education in interpreting such documents.
  • Make a recommendation to the Board of Education on accepting the annual audit report.
  • Review every corrective action plan developed by the school district and assist the Board of Education in the implementation of such plans.

• Internal Audit Focus
  • Make recommendations to the Board of Education regarding the appointment of the internal auditor.
  • Assist in the oversight of the internal audit function, including reviewing the annual internal audit plan to ensure that high risk areas and key control activities are periodically evaluated and tested, and reviewing the results of internal audit activities.
  • Review significant recommendations and findings of the internal auditor.
  • Monitor implementation of the internal auditor’s recommendations by management.
  • Participate in the evaluation of the performance of the internal audit function.

• Administrative Matters
  • Hold regularly scheduled meetings.
  • Review and revise the Audit Committee Charter, as necessary.

Membership

 The membership duties of the Briarcliff Manor Union Free School District Audit Committee include the following:

• Good Faith – Members of the Committee shall perform their duties in good faith, in a manner they reasonably believe to be in the best interests of the Committee and the District with such care as a generally prudent person in a similar position would use under similar circumstances.
• Confidentiality – During the exercise of duties and responsibilities, the Committee members may have access to confidential information. The Committee shall have an obligation to the district to maintain the confidentiality of such information.
• Independence – An individual, other than members of the Board of Education, may not serve on an audit committee constituted as an advisory committee if he or she:
  • Is employed by the district.
  • Currently provides, or within the prior two years, has provided, goods or services to the district.
  • Is an immediate family member (spouse, spouse equivalent or dependent [whether or not related]) or close family member (parent, sibling or nondependent child) of an individual who is an employee, officer or contractor providing services to the district.
  • Is the owner of or has a direct and material interest in a company providing goods or services to the district.
• Meetings and Notification – The Briarcliff Manor Union Free School District Audit Committee shall meet a minimum of three (3) times each year, called pursuant to the Policies of the Briarcliff Manor Union Free School District. An agenda for each meeting should be clearly determined in advance in accordance with the Policies of the Briarcliff Manor Union Free School District and the Audit Committee should receive supporting documents in advance, for reasonable review and consideration. The Audit Committee shall give notice and prepare minutes of each meeting. At a minimum, the minutes will include the following:
  • The meeting agenda.
  • Date, attendance and location of the meeting.
  • Except as otherwise provided by law in connection with executive sessions, a record of all motions, proposals, resolutions and any other matter formally voted upon and the vote thereon, including recommendations agreed to by the committee.

Copies of materials discussed or presented at the meeting shall be maintained in a separate audit committee file, along with the agenda of such meeting.

Decision-Making Process

 All decisions shall be reached by vote of a simple majority of the total membership of the committee. A quorum constitutes a simple majority of the total membership and meetings will not be conducted unless a quorum is present.

Reporting Requirements

 The Briarcliff Manor Union Free School District Audit Committee has the duty and responsibility to report its activities to the Board of Education as needed, but not less than annually. Periodic written reports of Audit Committee activities are an important communication link between the Audit Committee and the Board on key decisions and responsibilities. The Audit Committee’s reporting requirements are to:

• Report on the scope and breadth of committee activities so that the Board of Education is kept informed of its work.
• Provide    minutes    of    meetings    which    clearly    record    the    actions    and recommendations of the Committee.
• Report on their review of the District’s draft annual audit report and accompanying management letter and their review of significant findings.
• Report on suspected fraud, waste or abuse, or significant internal control findings and activities of the internal control function.
• Report on indications of material or significant non-compliances with laws or District policies and regulations.
• Report on any other matters that the committee believes should be disclosed to the Board of Education.

Review of the Charter 

The Briarcliff Manor Union Free School District Audit Committee shall assess and report to the Board of Education on the adequacy of this Charter on no less than an annual basis, or as necessary. Charter modifications, as recommended by the Audit Committee, should be presented to the Board of Education in writing for their review and action.

Audit Committee Community Representative Application