About the KU Internal Audit

Charter for Internal Audit

Internal Audit was established by the University of Kansas to assist, advise and consult with management at all levels and to provide independent appraisal of all University operations and activities.

Authority

Internal Audit is authorized by the Chancellor and the Board of Regents to direct a broad, comprehensive program of review throughout the University. The audit staff shall have full, free and unrestricted access to any and all University functions, records, files, property and personnel as needed to accomplish their responsibilities. Audits of the affiliated corporations will only be conducted when requested by appropriate authority since these organizations are routinely audited by Certified Public Accountants.

Auditors are located on the Lawrence and Medical Center campuses. The audit office is headed by the University Director of Internal Audit, who has University-wide responsibility for the audit program and reports directly to the Chancellor per Board of Regents policy. The Lawrence office includes the Director, Audit Supervisor, two staff auditors and the University Tax Analyst. The KU Medical Center office is headed by an Audit Manager with one staff auditor. The KUMC Audit Manager also supervises the Information Technology (IT) Auditor, who reviews IT activities on both the Lawrence and Medical Center campuses.

Internal Audit is a staff function without authority or direct control over the departments or activities being reviewed. In this regard, Internal Audit will not install procedures, originate or approve entries, or otherwise engage in any activity that may be the subject of a subsequent review or appraisal. Audit evaluation does not relieve University officials or employees of their designated responsibilities.

Internal Audit is authorized by the Board of Regents to report directly to the Board Audit Committee any perceived conflict of interest disclosed by audit that may involve the Chancellor.

The Audit Director, in cooperation with the Lawrence Audit Supervisor and the KUMC Audit Manager, has responsibility for the budget, personnel, direction and operation of the Audit Offices.

Responsibilities

Internal Audit will assist the University administration by:

• Evaluating University activities and preparing an annual audit plan in accordance with Board of Regents guidelines. The plan will be based on an assessment of the various risks associated with University activities taking into consideration the time interval since last audit. The University administration recognizes that one of the primary benefits of Internal Audit is the ability to respond to problems as identified by management and encourages requests for audit assistance as needed. If such requests are considered to be of higher priority than audits identified in the yearly plan, the requests for assistance will be honored.
• Performing audits of records, systems, policies, procedures, property, and activities of University units, departments and functions to: (a) review compliance with University objectives, policies and procedures and related Board of Regents, State and Federal requirements; (b) appraise the adequacy and efficiency of fiscal management and operating systems and controls; and (c) evaluate the effectiveness of financial and administrative performance in achieving organizational objectives.
• Preparing and distributing audit reports or memorandums covering issues, findings and recommendations in sufficient detail for management action. A written response to the audit will be required from the area under review within requested time frames.
• Recommending new or revised University or departmental policies, procedures or controls to correct issues identified during audit review.
• Conducting follow-up on significant issues on a periodic basis to evaluate the adequacy of management action taken to correct reported problems.
• Advising and consulting with the University administration on financial and management issues, sound business practices and internal control requirements.
• Performing special reviews, research, or investigations as needed or requested by the University administration.