290.0 UNIVERSITY SYSTEM OF MARYLAND INTERNAL AUDIT OFFICE CHARTER
The University System of Maryland maintains a central Internal
Audit Office that independently appraises the System's
activities to assist the Board of Regents and its Audit Committee
in fulfilling the Board's fiduciary responsibilities. Internal Audit
primarily functions to help managers discharge their responsibilities
effectively, efficiently, and economically.
To that end, the Internal Audit staff reviews financial and operating
activities, analyzes internal control structures and procedures, and
recommends corrective measures to both administrators and operating
managers. Internal Audit functions as a member of the System's
management team, but responsibility for correcting deficiencies rests
with the responsible administrators.
The function, which is part of the University of Maryland System, reports to and
is responsible to the Board of Regents Audit Committee. The Audit Committee has
authority for hiring, terminating, determining appropriate compensation, and
performing annual performance reviews of the Director of Internal
Audit.For administrative purposes, the Internal Audit Office reports to the
Chancellor. Administratively, the Chancellor will work with the Director of
Internal Audit to ensure that the Internal Audit Office maintains a
professional level of independence, and that the internal audit function
has adequate resources to accomplish its mission.
In carrying out its mission, the Internal Audit Office will have full, free,
and unrestricted access to all System activities, including records, reports,
property, and personnel. In addition, the Director of Internal Audit will
have direct access to the Audit Committee, including meeting privately at
The Internal Audit Office is authorized, but not limited, to perform the
Internal Audit will be responsive and responsible to administrators and
managers at all levels in the System. Similarly, each President and unit
Director will ensure the cooperation of their administrators and managers
throughout the internal audit process. Further, each President or unit
Director is responsible for submitting a written response to each audit report.
The Director of Internal Audit will ensure that:
- Financial Audits
- Operational Audits
- Compliance Audits
- Investigative Audits
- Follow-up Audits
- Information Systems Audits
- Consulting Services
In addition, the Director of Internal Audit
will periodically report audit activities to the Audit Committee, and will
submit other reports as requested by the Audit Committee. Such written reports
will include statements as to whether:
- The audit staff is
appropriately organized and competently supervised, and that
professionalism is maintained through adherence to the applicable
standards of the Institute of Internal Auditors
(IIA), the Information System Audit and Control Association (ISACA), and
the American Institute of Certified Public Accountants (AICPA).
- Audits have been designed to
detect significant operational and financial risks as well as to review
the effectiveness, efficiency, and economy of operations.
- The audit staff has sufficient
knowledge to identify indicators of fraud but is not expected to have the
expertise of a person whose primary responsibility is detecting and
- Operating managers,
administrators, and chief executive officers are promptly and fully
informed about the scope of each review, the findings, and the recommended
measures for improvement.
- An annual audit schedule is
submitted for approval to the Board of Regents Audit Committee.
The Director, with the Audit Committee's approval, is authorized to establish
and revise procedures for carrying out this policy.
APPROVED BY THE BOARD OF REGENTS AUDIT COMMITTEE ON: 11/15/2007
- The Internal Audit Office has had the unrestricted access necessary
to carry out its duties;
- Appropriate action has been taken to correct findings described in
audit reports; and
- Internal and external audits have been coordinated to avoid