Purpose

Salish Kootenai College will have an annual external audit of accounts, accounting procedures, grants, and other fiscal-related items as required by current federal audit standards. The audit will be compliant with the Federal Single Audit Act. The external audit is a key component of the College’s risk management processes. The audit will be conducted by an independent firm of certified public accountants who are familiar with college and tribal accounting practices.

Definitions

Audit – An independent and objective appraisal to examine or review the fair presentation of financial statements, economy and efficiency of operations, effectiveness of achieving program results, compliance with laws and regulations, and/or the detection of fraudulent activities.

External Auditor – An auditor not employed by or connected to a Salish Kootenai College individual or entity.

I. Selection of Audit Firm

1. On a periodic basis, but not less than every five (5) years, the College will issue a Request for Proposal (RFP), utilizing SKC procurement policies for a certified public accounting firm to perform annual financial audits.
2. SKC administration will present the chosen audit firms to the SKC Board of Directors for review and approval The President is authorized to extend the contract one fiscal year at a time for additional fiscal years provided that funds have been authorized, the quality of past services has been acceptable to the College, and the fee for the extended contract is considered reasonable by the College.

II. Audit Process

The SKC Business Office will prepare and coordinate all audit processes and requirements. SKC employees shall adhere to preparation timelines and requirements. The timing of the audit will be coordinated between the SKC Business Office and the external auditor.

III. Audit Reporting

The external auditor’s report and recommendations will be provided to the Board of Directors, along with any recommendations from the President and Vice President of Business Affairs regarding any findings presented.

The external audit will be available to SKC employees for the purposes of complying with grant applications, audits, or such purposes.

IV. Full and Fair Disclosure

College employees are prohibited from improperly influencing, or attempting to influence, the audit process and shall comply with this process by providing full and accurate disclosure of college information.

History:

Adopted: 1/15/2021
Reviewed:
Revised: