Audit Advisory Committee (AAC) (Internal)

Established:  October 7, 2014 [Motions #2014-10-196-1 thru #2014-10-196-3]
Township Liaison: Township Clerk; (248) 625-5114

The purpose of the Audit Advisory Committee (AAC) is to assist in oversight on behalf of the Township Board through:
 
  1. The integrity of the financial statements by means of an audit review;
  2. Compliance with legal and regulatory requirements;
  3. The independent auditor's qualifications, independence and performance; and
  4. The Finance Director's qualifications and performance.
The AAC is comprised of 3 Township Board voting members of which 2 are appointed by the Township Board from its membership; the Township Clerk will serve as an ex-officio member. The Finance Director and Budget & Operations Analyst will serve on the AAC in an advisory capacity. The term of office for AAC members will terminate upon the expiration of the member's 4-year term of office. A member may not serve for more than 2 consecutive full terms. The Board of Trustees will fill a vacant position of an AAC member whose elected term has expired at the first available regular meeting subsequent to the member taking office. In the event a vacancy occurs, the Township Board will appoint a member to serve the unexpired term at its first available meeting following the vacancy. Representatives of the AAC will appoint a chair and a recording secretary from its members.

The AAC members will direct the annual independent audit of the Township's finances with an auditor selected by the Township Board subject to the Township's Procurement, Petty Cash and Credit Card Policy. The audit firm will prepare a letter, including any comments on deficiencies observed in internal controls and recommendations to improve the efficiency of the Township's operations. The AAC will meet with independent auditors, Finance Director, and Budget & Operations Analyst at least once after the completion of the audit, and report results to the Township Board.

The Audit Advisory Committee meets regularly as scheduled through the duration of the annual independent audit and will meet quarterly for other related finance topics.