PSR: Audit Committee

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Audit Committee

Commission

The AUDIT COMMITTEE is a standing committee authorized by Article VIII Section 2 of the Bylaws and is herein commissioned by and responsible to the Board of Directors of La Leche League International as a body of financial advisors, who are independent of the Finance Committee and report directly to the Board of Directors. The main functions of the F are

  • To present to the Board of Directors at the session prior to the Annual Board session the Committee’s recommendations of the independent public accountants to be employed to prepare the audit for the current fiscal year
  • To review the auditor’s report, management letter, the United States IRS Form 990, and the State of North Carolina Form CD-405 and promptly, with staff input, evaluate the documents and arrange for revisions as required, prior to their presentation to the LLLI Board for
  • To present to the Board for acceptance the finalized auditor’s report and required tax reporting forms at the session after the reviewed audit report, management letter, and tax forms have been received, and to respond to questions regarding the documents’ contents and the auditing procedures used.
Duties

This Committee

  • Confers with the auditor on an annual basis as to the financial position of LLLI and reports on the same to the Board.
  • Prior to the session at which the auditor may be employed or re-employed, discusses with LLLI accounting and senior staff and the Finance Committee their satisfaction with the current firm and reports on same to the Board.
  • Directs the auditor to notify the Committee of any significant change in accounting or tax law or any major in-house accounting change which may affect the audited financial statement and reports on the same to the Board.
  • Reviews the audit report and the required tax reporting forms prior to their release to the Board.
  • Seeks guidance from the auditor, if necessary, to understand the accounting principles used, the effectiveness of the internal controls, and the scope and results of the audit.
  • Forwards the completed tax forms to the Treasurer, Executive Director, Co-Chairs, and Finance committee for review before presenting them to the Board.
  • Requests the auditor to be present or be available in person or virtually, if needed, at the session at which the audit and tax forms are presented to the Board, to assist in responding to questions regarding its contents and the auditing procedures used.

(Feb 87; rev Feb 88, Oct 89, Feb 90, Feb 99, Oct 00, Nov 13, Sep 14, Mar 19, Oct 20)