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HomeMy WebLinkAboutOrd 5510 09/06/2005 ORDINANCE NO. 5510 AN ORDINANCE AMENDING CHAPTER 5 OF THE VILLAGE CODE OF MOUNT PROSPECT Passed and approved by the President and Board of Trustees the 6th day of September, 2005 Published in pamphlet form by authority of the corporate authorities of the Village of Mount Prospect, Illinois, the ih day of September, 2005 ORDINANCE NO .5.5lD AN ORDINANCE AMENDING CHAPTER 5 OF THE VILLAGE CODE OF MOUNT PROSPECT BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS: SECTION 1: A new Article XVII, entitled "Audit Committee," shall be inserted into Chapter 5 of the Mount Prospect Village Code, to be and read as follows: Article XVII, AUDIT COMMITTEE Section 17.1 0 1. CREATION AND PURPOSE: There is hereby established an audit committee of the Village of Mount Prospect. The purpose ofthe audit committee is to further enhance the independence of the auditor, who is contracted by the village to prepare its annual audit, by providing a direct link between the auditor, the corporate authorities and village management. The conunittee is advisory in nature and intended to assist the corporate authorities in obtaining and monitoring the village's annual audit to ensure a fair and accurate presentation of the village's financial statements. Section 17.102. MEMBERSHIP: A. There shall be five (5) voting members of the audit committee. All members shall be residents of the village except the director of finance. B. The members of the committee shall consist of the following: 1. Village president. 2. One (1) member of the board of trustees, appointed by the village president. 3. One (1) member of the finance conunission, appointed by the village president. 4. One (1) member appointed by the village president. 5. Director offinance. C. The village president shall be the chair of the committee. . D. The term of office for the members, other than the village president and director of finance, shall be four (4) years, or until a successor is appointed and qualified. Terms may be adjusted by the corporate authorities to assure that no more than two (2) terms end in any particular year. In the event that a member of the audit committee is an elected official who fails to retain a seat on the corporate authorities, that member's term shall expire and a new member shall be appointed. Section 17.103. ORGANIZATION: A. Immediately upon its organization, the audit committee shall select from its membership a vice chair and a secretary. The persons so selected shall serve in those positions for terms of one year, and may be elected to the same positions for subsequent terms. B. The committee shall adopt rules for the conduct of its meetings and shall keep written minutes of all meetings. Robert's Rules of Order, newly revised, current edition, shall govern the conduct of its meetings to the extent that parliamentary procedures are not addressed by rules adopted by the committee. C. All meetings of the committee shall be public meetings and minutes of meetings shall be available for examination in the office of the village clerk during regular business hours. Section 17.104. DUTIES AND RESPONSIBILITIES: In advising and assisting the corporate authorities, the audit committee shall have the following duties: A. Oversight of the annual audit. Oversight shall include, but not be limited to, providing the corporate authorities with 1) an update on the pre-audit conference, 2) a status report on the progress of the annual audit, and 3) a summary of the results and findings of the final annual audit report. B. Regular selection of independent auditor. The audit committee shall review the results of any competitive request-for-proposal process for the selection of an independent auditor and present a final recommendation to the corporate authorities. C. Oversight of the village's fraud risk assessment program. Oversight of the village's fraud risk assessment program shall be conducted in conjunction with the guidelines for monitoring compliance contained in the Statement of Auditing Standards No. 99 entitled - Consideration of Fraud in a Financial Statement Audit, or such other compliance guidelines as the corporate authorities may approve. D. A'1nual Report. The audit committee shall annually present to the corporate authorities and village management a written report summarizing all activities of the committee. Section 17.104. MEETINGS: A. The audit committee shall meet twice each year at a minimum. The meeting schedule will be determined by the committee and correspond to the timing of work required for the annual audit. Meetings will be held and notice given in accordance with the Illinois open meetings act. The chair may call for special meetings as needed. SECTION 2: This Ordinance shall be in full force and effect from and after its passage, approval and publication in pamphlet form in the manner provided by law. AYES: Corcoran, Korn, Lohrstorfer, Skowron, Zade 1 NAYS: None ABSENT: Wi 1 ks PASSED and APPROVED this 6th day of Septembe;2005. ATTEST: ~~ Lisa Angell; illage Clerk