Internal Auditing & Management Consulting Overview

1. Internal Auditing & Management Consulting Overview BOT On-Campus Orientation Presentation to UWF BOT

2. Authority • BOT Finance, Administration and Audit Committee Charter • UWF Internal Audit Charter • Florida Statute 20.055 Inspector General Act Presentation to UWF BOT

3. Reporting Authority • President • UWF Board of Trustees Finance, Administration and Audit Committee • Associate Vice President • InternalAuditorIII • Student • Employee • InternalAuditor Note: One position (.75 FTE auditor) was lost in 2011/12 for budget cuts Presentation to UWF BOT

4. Presentation to UWF BOT

5. Committee Responsibilities • Meets quarterly • Vice President-Administrative Services, Chief Budget Officer, and General Counsel prepare agenda items • Associate Vice Internal Auditing prepares agenda – typical discussions include status of audit plan, reports issued, hot topics/risks. • Oversight of the financial statement preparation process. • Oversight of the internal audit function. • Oversight of external audits. • Reporting to the FAA(Finance, Administration & Audit) Committee of the Board. • Approval of Annual Audit Plan. Presentation to UWF BOT

6. Standards • Institute of Internal Auditors InternationalStandards for Professional Practice of Internal Auditing • Institute of Internal Auditors Code of Ethics • Government Auditing Standards (Yellow Book) • Generally Accepted Accounting Principles (GAAP) Presentation to UWF BOT

7. Internal Auditors vs. External Auditors Presentation to UWF BOT

8. ACTIVITIES • AUDITS • Financial • Compliance • Operational • Combination • Management Advisory Services (consulting) • Investigations Presentation to UWF BOT

9. Functions • Supervise and coordinate audits, investigations, management reviews, and other accountability activities • Conduct activities to promote economy and efficiency in the administration of or preventing fraud, waste and abuse in the university programs and operations. • Follow-Up on prior audit findings (internal and external auditors) • Keep the President and Board of Trustees informed concerning fraud, abuses, and deficiencies in university programs • Coordinate activities with the Auditor General, federal auditors and other governmental agencies • Share with management collective expertise, insight, and knowledge, and assist management in establishing/enhancing internal control system Presentation to UWF BOT

10. UniversityBusiness Cycles UWF Internal Auditing Risk Analysis Presentation to UWF BOT

11. Overall View of Business Cycles University Core Missions Instruction Research Public Service Ancillary Missions Fiscal Personnel Student Services Other(DSOs) Proprietary Operational Administrative Services Presentation to UWF BOT

12. Presentation to UWF BOT

13. University Core Missions Instruction Research Public Service Academicreporting Research Management & Support Public Service Instruction & Instructional Support AncillaryMissions Other Fiscal Proprietary Personnel Operational StudentServices Administrative DSOs Student Support Services Budgeting & Performance Measures Planning & Policy Development Facilities Development & Management Procurement Student Health Services Revenues & Collections Administrative Support Services Auxiliary Activities & Contracted Services Computing & IT Support Disbursements Personnel Management & Recruitment Asset Management Financial Reporting Presentation to UWF BOT

14. External Audits Performed • Auditor General • Financial Statement • Federal Funds • Bright Futures • SACS Special Purpose Financial Statement (every 10 years) • Federal • Florida Small Business Network • CPA firms • WUWF-FM • Intercollegiate Athletics Financial Statement • Direct Support Organizations/Affiliated Organizations • UWF Foundation • West Florida Historic Preservation, Inc. • Florida Institute for Human & Machine Cognition Presentation to UWF BOT

15. RISK • RISK FACTORS • Executive Management Interest • Internal Controls System • Fraud Likelihood and Impact • Changes in Personnel/Procedures • Prior Audit Findings • Time Since Last Audit • Dollar Volume Exposure • Interdependence • Public Disclosure Implications • External Audit Coverage • TYPES OF RISK • Strategic • Financial • Operational • Compliance • Reputational Presentationto UWF BOT

16. Evaluation of Audit Areas Presentation to UWF BOT

17. Examples of Audit Areas • Athletics • Auxiliaries • Computer Security • Construction • Financial Aid • Housing • Institutes & Centers • Library • Parking & Transportation Services • Procurement • Purchasing Card • Research & Sponsored Programs • Student Activities • Student Government Association • Vending/Contracted Services Presentation to UWF BOT

18. Work Plan 2011/12 • Audits • Aquatic Center • Construction • Educational Research Center for Child Development (ERCCD) • Institutes and Centers (in process) • PCard Audits (department level) • Recreation • Revenue Generating Contracts (in process) • Telecommunications • Testing Center • Voyager Student Center • Management Advisory Services • Evaluation of Policies, Rules, Procedures and changes • Risk & Compliance Council • Banner Student Implementation –team members • Facilitator for Workgroups and Departments Presentation to UWF BOT

19. Activities 2010/11 • Audits • Auxiliaries • American Recovery and Reinvestment Act (ARRA) • Institutes and Centers (in process) • Parking & Transportation Services • Revenue Generating Contracts (in process) • Treasury Management • Vending • Management Advisory Services • Research and feedback on rules, policies, and procedures • DMV annual certification • Emerald Coast cashiering • Export controls, eCustoms • External Auditor selection Athletics and WUWF Public Media • Mobile Data Plans • Oil Spill claims • Parking Decal inventory • Perquisites • Retention and destruction of electronic records • Risk Council • SACS 5th Year report (Section leader) • Search committees • Small and attractive assets • Staff Senate • Terminated employee security change • Ticket Office Procedures and workflow • Websense Presentation to UWF BOT

20. Other Services • Academic Outreach • Student internship • Teaching UWF White Collar Crime course (CCJ4644) • Guest speaker in classes • Chapter Advisor –Delta Sigma Pi Business Fraternity • Volunteerism • Move-In for Residence Halls • No Run Around: Student Assistance 1st week of class (worked since 1994) • Hand to Paw Drive • Staff Senate Presentation to UWF BOT

21. Questions & Comments? Presentation to UWF BOT