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HomeMy WebLinkAbout04/15/2014 AC Minutes AUDIT COMMITTEE MINUTES OF THE MEETING HELD APRIL 15, 2014 1ST FLOOR FINANCE CONFERENCE ROOM—VILLAGE HALL I. Call to Order The meeting was called to order at 5:34pm. Members present were Mayor Arlene Juracek, Audit Committee Chair Tom Munz and Committee members John Matuszak and Tim McDermott. Finance Director David Erb was also in attendance. II. Approval of Minutes Approval of Minutes for October 1, 2013. Motion to approve was made by Arlene Juracek and a second was made by Tim McDermott. Minutes were approved. III. Citizens to be Heard There were no citizens to be heard. IV. Old Business There was no old business V. New Business a. Update— 2012 Management Letter Comments— Director Erb provided staff responses to the auditor recommendations found in the 2012 management letter. Areas addressed by the auditor include fund balance levels, investment diversification and budget management. Staff concurred with the recommendations and implemented procedures to be effective with the 2013 budget year. b. 2013 Annual Report to Village Board — Details on the Audit Committee annual report to the Village Board was discussed. Items discussed included report content and tentative date for sending to the Board. Tom Munz and David Erb will work on drafting the report. c. 2013 Audit Engagement— Fieldwork on the 2013 audit started April 14 and is expected to last until April 23. Prior to the start of the fieldwork the auditor engagement letter was reviewed by Tim McDermott and staff. Terms and scope of audit were unchanged from the prior year's engagement. Other details of the audit were also provided. The fee for the 2013 audit is $33,720. d. Audit Selection — 2014-2018 —The current five-year agreement for Lauterbach &Amen (L&A) ends with the 2013 audit. Audit policy requires a mandatory turnover of the external audit firm every five years. A Request for Proposal (RFP) process is also required in selecting the new audit firm. Discussion centered on performance of Lauterbach & Amen and changes to policy to allow L&A to continue to perform the annual village audit. The Committee concluded that the policy would not be amended at this time, but permit future audit firms to participate in the RFP process to allow for a second five-year term. Timing for the RFP process for the 2014-2018 period was also discussed. Audit Committee— Minutes April 15, 2014 VI. Other Business There was no other business. VII. Chair Report There was no Chair Report. VIII. Finance Director Report There was no Finance Director report. IX. Next Meeting Next meeting date has not been determined. X. Adjournment Motion to adjourn was made by Tim McDermott and a second was made by John Matuszak. The meeting adjourned at 6:36pm. Respectfully Submitted David O. Erb Finance Director 2