September 12, 2018 SSE Audit Committee Minutes

September 12, 2018 Minutes

SONOMA STATE ENTERPRISES, INC.
AUDIT COMMITTEE
Minutes
September 12, 2018

MEMBERS PRESENT:

Mr. Yale Abrams, Ms. Joanie Ly

MEMBERS ABSENT:

Mr. John Urbanski, Ms. Carley Chatterley

OTHERS PRESENT:

Ms. Joyce Lopes, Ms. Amanda Visser, Mr. Neil Markley, Mr. Vince Emme, Mr. Bobby LaCour (tele)

I. Call to Order

The meeting was called to order at 1:06 p.m. Mr. Abrams requested the addition of an executive session with the auditors to discuss any matters warranting discussion. No objections were raised.

II. Approval of the April 11, 2018 Minutes

The minutes were provided via email prior to the meeting. Mr. Abrams moved to approve the minutes from April 11, 2018. Ms. Ly seconded the motion. There were no objections. The motion passed unanimously.

III. ACTION ITEM: Review and acceptance of the Audited Financial Statement for 2017/2018

Copies of the audit were distributed to the committee prior to the meeting in electronic format. The team from Aldrich joined the meeting via conference call and reviewed the “Report to the Audit Committee”. Mr. LaCour explained the audit process and that it was completed in accordance with the engagement letter. It should be noted there were no material weaknesses found on SSE’s internal controls and an unmodified opinion was issued. There were no recommendations made as a result of the audit. Discussion ensued with technical questions from the committee. Of note, Mr. Abrams asked Mr. LaCour if any other clients had a custodial risk policy. Mr. LaCour is unaware of other clients with a policy, though many have conversations around the creation of one.
Mr. Abrams requested the staff to leave the room to allow the Audit Committee time to discuss any relevant matters with the auditors.
Mr. LaCour noted he will be distributing supplemental information to the audit committee once complete. This information is pulled directly from the audited financial statements and reports the information in a format the Chancellor’s Office uses for system-wide reporting. The CSU Chancellor’s Office now requires each auxiliary to complete the supplemental information.
Ms. Abrams moved to accept the draft audited financial statements for 2017/2018. Ms. Ly seconded the motion. The motion passed with no objections.

IV. Other Non-Action Items

Ms. Visser informed the committee that the CSU Auditors were on campus conducting a periodic compliance audit of SSE. She will keep the committee informed of any updates.

The meeting adjourned at 1:31 p.m.