Board of Trustees Manual

Policy No.: 6030 Board Approved: May 1989 Revised: June 20, 2006

Appointment of External Auditors

The following policy is adopted to guide the selection and requirements of external auditors: 1. The College will solicit requests for proposals for auditing services following established purchasing policies and procedures. The solicitation will specify that the audit be performed in accordance with the generally accepted auditing standards as set forth by the American Institute of Certified Public Accountants (AICPA), the Standards for Financial and Compliance Audits contained in Government Auditing Standards, and auditing specifications contained in the Maryland Higher Education Commission document entitled Audit Guidelines for the Conduct of Audits of Public Community Colleges in Maryland, and the requirements stated in OMB Circular A-133 Audits of Institutions of Higher Education and Other Non-Profit Institutions, as well as any other federal, state, or local law or regulations that may apply. The audit shall include tests of the accounting records and such other auditing procedures, as the auditor considers necessary under the circumstances in order to allow for an expression of an opinion. The Audit Committee may reject any and all bids. 2. The Audit Committee will recommend selection of the auditors to the full Board of Trustees based on, but not limited to, the following criteria: • Firm’s experience providing audit services for other colleges, educational institution, and/or local government agencies of similar size and complexity as found at HCC. • Firm’s recent and current experience in performing federal single audits and producing reports that were accepted in the first submittal. • Firm’s experience in working with integrated accounting data systems. • Firm’s and individual staff member qualifications and experience. • Responsiveness to the Request For Proposal and understanding of the scope of work as evidenced by the proposals, estimate of staff hours required, references, and interviews (if deemed appropriate). • References • Costs 3. Contract performance will be for three years with the option to renew the agreement for three one-year extensions upon mutual agreement by both parties. In the subsequent three fiscal years, the College, with support from the Audit Committee, reserves the option to reappoint the auditor or request new proposals from auditing firms.

Made with FlippingBook - Online catalogs