Draft 2016 statement
Workspace: Audit Status: Draft
Report from the Audit Committee
|To:||Board of Directors|
|Date:||October 29, 2016|
|Re:||Report of the Annual Review Meeting|
Article VIII, Section 2 of the bylaws of the Corporation establishes an Audit Committee to perform an annual review of the financial records. The Treasurer is responsible for (a) the preparation, presentation, and integrity of the Corporation's financial statements; (b) accounting and financial reporting principles; and (c) the Corporation's internal controls and procedures designed to promote compliance with accounting standards and applicable laws and regulations. The Audit Committee reviews the Treasurer’s records as part of its oversight of the financial reporting and internal controls functions. The Audit Committee is not an independent auditing firm and does not perform an independent audit of the financial statements in accordance with generally accepted auditing standards or render an opinion thereupon. The Audit Committee members are not necessarily professional accountants or auditors and their functions are not intended to duplicate or to certify the activities of the Treasurer.
The Committee examined financial records documenting the transactions and activities of the Corporation over the 2014-2015 year. These included records of various transactions and contracts entered into by the Corporation, as well as draft copies of the annual financial statements and the Form 1120 tax return.
The Committee evaluated the Society's 501(c)(3) tax status and found minimal expenditure on legislative advocacy and no endorsement of political candidates. The Society appears eligible to continue as a 501(c)(3) charity.
The Committee has certain responsibilities apart from financial matters described in the Corporation's Whistleblower Policy, Non-discrimination policy, and the Record Retention Policy. The Committee received no concerns or complaints regarding accounting practices, internal controls, auditing, or suspected illegal activity or the Corporation's President or the Vice President, pursuant to the Whistleblower Policy. The Committee received no reports of potentially improper discrimination by the President as described by the Non-discrimination policy. The Committee has determined that no records should be subject to indefinite retention under the Record Retention Policy.
The Committee, having found no matters requiring further action besides those listed above, has concluded its annual review of the financial records of the Corporation and is submitting this report to the Board as evidence of its completion.