The written agreement between the college and the auditing firm will include fieldwork, preparation of the required reports and appropriate responses by the college, and the filing of such reports (and responses) with the Maryland Higher Education Commission.
Each award for an audit engagement and the related agreement between the college and the selected firm will include the specifications: (a) that the audit will be conducted in full conformity with the audit requirements set forth by the Maryland Higher Education Commission, and (b) that the contract for audit may be declared null and void at the option of the board of trustees, in the event the legislative auditor of the State of Maryland submits notification of an intent to conduct the required annual audit of the college.
The college will comply fully with the required report filing dates specified in the state audit guidelines. Any anticipated delay that would cause noncompliance with the filing dates must be promptly brought to the attention of the president in writing by the vice president of administration and finance. Such prompt notification shall be for the purpose of resolving the anticipated delay or proposing to the president that an extension of filing time be requested of the Maryland Higher Education Commission.
During the course of the audit all material communications with the college and the auditor shall go to the board chair with a copy to management. Management will continue to work closely with the auditors to ensure assertions in material matters are accurate before reporting information directly to the board.
The audit firm shall verify prior to engaging in the audit that the president, vice president of administration and finance, associate vice president of finance, directors in accounting and procurement, or any person in an equivalent position was not employed by the audit firm during the proceeding year of the audit.
Policy Manual Review/Revision: 05/14/10