The Advisory Audit Committee is hereby established, to be known
as the "Advisory Audit Committee of the Borough of Madison" (hereafter
referred to as the "Committee"). The Committee shall consist of no
more than five members, excluding the ex-officio members.
The Committee's purpose and responsibilities are as follows:
A. To make
recommendations to the Mayor and Council regarding records and recordkeeping
procedures.
B. The Committee
will review the financial reporting and disclosure process.
C. The Committee
will monitor accounting policies and principles.
D. The Committee
will recommend the hiring of an auditor with the consent of the Mayor
and Council.
E. The Committee
will evaluate the performance and independence of external auditors.
F. The Committee
will discuss risk management policies and practices with the CFO,
Borough Administrator, and the Assistant Borough Administrator.
G. The Committee
will review the auditor’s findings and recommendations and ensure
that timely action is taken to remediate any material issues mentioned.
H. The Committee
will hold a minimum of three public meetings annually which shall
be open to the public and shall take place at the Madison Municipal
Building unless otherwise noted.
All members of the Committee shall be residents of the Borough
of Madison. All members shall serve without compensation. The Committee
shall be comprised of the following persons, up to a maximum of five
members appointed by the Mayor with the advice and consent of Council:
A. One Finance
Chairperson or Co-Chairperson member of the Council.
B. Up to four
Madison residents who have accounting and/or auditing expertise and
experience. In addition to direct practitioners, individuals who have
been involved in an audit, or are familiar with audits, are also eligible
for appointment.
C. The CFO,
Borough Administrator and Assistant Borough Administrator shall be
ex-officio members of the Committee.
Any vacancy occurring by reason of the death, resignation or
removal of any member shall be filled for the unexpired term by the
Mayor with advice and consent of the Council.
Members of the Standing Advisory Audit Committee shall be indemnified pursuant to Chapter
14 (Defense and Indemnification of Municipal Officials and Employees) of the Madison Borough Code.