Formally and regularly inform management of their responsibility for preventing,
detecting, and reporting fraud, waste and abuse.
Establish a process for employees, taxpayers and other citizens to confidentially
report suspected illegal, improper, wasteful or fraudulent activity.
Inform the Comptroller of the Treasury of assessments of controls to reduce risks of
Promptly report indications of fraud to the Comptroller of the Treasury.
Review and assess the adequacy of the Audit Committee’s charter annually,
requesting Board approval for proposed changes.
Ensure the receipt, retention and resolution of complaints regarding accounting,
internal controls or auditing matters.
Review the Board’s policies regarding employee conduct to ensure they are readily
available to all employees, easy to understand and implement, enforced and provide a
confidential means of reporting violations.
Review the Board’s policy regarding conflict of interest to ensure that “conflict of
interest” is clearly defined, guidelines are comprehensive, annual signoff is required
for those in key positions and procedures are in place to ensure potential conflicts are
adequately resolved and documented.
Tennessee Code Annotated
, Section 49-8-201, includes the requirements for the
appointment and terms of public members of the Tennessee Board of Regents. From this
membership, the Audit Committee and its chair shall be appointed annually by the Board
Chairman pursuant to Board bylaws and shall consist of at least one member, preferably
the chair of the committee, who shall have accounting and financial management
expertise and other members who are generally knowledgeable in financial, management,
and auditing matters. In addition to the Regents appointed to the committee, the Board
may select one or more certified public accountants or other qualified citizens who are
not members of the Board to serve on the Audit Committee. The committee shall have at
least three but not more than seven members.
Each member shall be free of any relationship that would give the appearance of a
conflict or that would interfere with his or her exercise of independent judgment.
The Board’s senior management and the System-wide Internal Audit office are
responsible for providing the committee with educational resources related to accounting