INTERNAL AUDIT SYSTEM
3.09.010 Creation and purpose.
There is hereby established an internal audit system effective
July 1, 1994. The purpose of this system is to provide an
independent internal audit function to evaluate county programs
and services to determine if those operations have been conducted
in accordance with state statutes, county council policy,
executive orders and financial internal control standards.
To provide an effective audit, the internal audit system must
be independent of both the operating and accounting departments.
(Ord. 93-042 Exh. G)
The county auditor shall have full authority and responsibility
for the management of the internal audit system while taking
direction regarding audit priorities from the county council.
(Ord. 93-042 Exh. G).
3.09.030 Authority and functions.
The internal audit system shall be designed to provide audit
services in accordance with generally accepted auditing standards.
To these ends, all officers and employees of Whatcom County
shall furnish information and records that the auditor may
request as deemed necessary to further the purposes of this
chapter. Such information and records shall be submitted in
a timely manner and in such form as the auditor may specify.
Internal audit system functions shall include the following
A. Perform an internal operational and/or financial audit
of all programs, services and accounts which come under the
budgeting authority of the county.
B. Prepare an annual internal audit report for Whatcom
C. Representative samples of all claims against county
funds may be audited at any time for control purposes. Sample
sizes selected should be based on professional auditing standards
with a due consideration of the risk factors involved.
D. Establish and maintain procedures for the internal audit
E. Perform such other duties as may be required to further
the purposes of this chapter. (Ord. 93-042 Exh. G).
The county Auditor's office shall:
A. Supervise and administer the activities of the internal
B. Exercise all the powers and perform all the duties prescribed
by ordinance with respect to the administration of the internal
C. Advise the county executive and the county council with
respect to matters regarding internal audits conducted.
D. Appoint all officers and employees of the system in
accordance with the rules of the county personnel system,
and any other applicable laws and regulations.
E. Delegate functions and duties to other officers and
employees of the county as deemed necessary to further the
purposes of this chapter. Such delegation does not absolve
the director of the responsibilities set forth in this chapter.
(Ord. 93-042 Exh. G).
3.09.050 Timing, frequency and
The timing and frequency of audits shall be at the discretion
of the county auditor with the aim of auditing each program
and service of Whatcom County over a five-year cycle. The
county auditor shall request specific direction from the county
council annually during the budget cycle regarding internal
auditing priorities. The county auditor shall make prior arrangements
with the head of each department subject to audit before conducting
said audit except when fraud or wrongdoing is suspected. (Ord.
93-042 Exh. G).
3.09.060 Reporting of audit results.
Final audit reports on county programs and services shall
be made to the county executive and to the county council.
In all cases where audit findings are included in the audit
report, the county auditor shall provide a reasonable time
for review of the preliminary report by the head of the department
that is the subject of the audit report. The affected department
head shall respond in writing to the county auditor regarding
the audit report. The department head shall respond with a
corrective action plan directed toward the specific audit
findings or in the case of a disagreement, with the reasons
for disagreement with the findings in the report. The department
heads response shall be included as an addendum to each audit
report. (Ord. 93-042 Exh. G).
If any provision of this chapter is held to be invalid,
the remainder of the chapter shall remain in effect. (Ord.
93-042 Exh. G).
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