Meeting_Body
FINANCE, BUDGET AND AUDIT COMMITTEE
JUNE 19, 2019
Subject
SUBJECT: FY20 AUDIT PLAN
Action
ACTION: ADOPT AUDIT PLAN
Heading
RECOMMENDATION
Title
ADOPT the FY20 Proposed Audit Plan.
Issue
ISSUE
Management Audit Services' (Management Audit) must provide its Annual Audit Plan to Metro's Board of Directors for input and approval.
Background
BACKGROUND
At its January 2008 meeting, the Board adopted modifications to the FY07 Financial Stability Policy. The Financial Stability Policy requires Management Audit Services (Management Audit) to develop a risk assessment and an audit plan each year and present it to the Board. It also requires that the Finance, Budget and Audit Committee, as the audit committee for the agency, provide input and approval of the audit plan.
Discussion
DISCUSSION
Instrumental to the development of the FY20 Audit Plan was the completion of the FY19 agency-wide risk assessment. The agency-wide risk assessment is continually being refined and adjusted based upon events, issues identified during audits and agency priorities. The risk assessment continues to place a strong emphasis on the agency's internal control framework and vulnerability to fraud. We believe this year's risk assessment portrays the agency's risks in light of the changes to our risk environment and the challenges the agency faces in the next few years. The result is the FY20 Proposed Audit Plan (Attachment A).
This is the fifteenth year an audit plan has been developed and presented to the Board for input and adoption.
Policy Implications
An audit plan defines the work that will be completed or directed by Management Audit each fiscal year. It indicates both the depth and breadth of audit activities addressing financial, operational and compliance risks for the agency. The audit plan also identifies the extent to which controls are being assessed by routine audit activities, addressed proactively through advisory services, or as a...
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