Chapter 2.82



AUDIT COMMITTEE

2.82.010 Created.
2.82.020 Composition-Appointment-Compensation.
2.82.030 Qualifications.
2.82.040 Terms of office.
2.82.050 Vacancies.
2.82.060 Removal of members.
2.82.070 Officers.
2.82.080 Meetings.
2.82.090 Meetings-Quorum-Adjournment.
2.82.100 Powers and duties generally.
2.82.110 Procedural rules-Subcommittees.
2.82.120 Cooperation of city officials.
2.82.130 Limitation and liability.


2.82.010 Created.


An audit committee is established in and for the city. (Ord. 5172 º 2, 1997)

2.82.020 Composition-Appointment-Compensation.


The audit committee shall consist of five members who shall be appointed by the council to serve without compensation. (Ord. 5172 º 3 (part), 1997)

2.82.030 Qualifications.


Each appointed member of the audit committee shall be a qualified elector of the city, or own a business or be employed in the city, at the time of appointment and throughout incumbency. One member of the audit committee shall be the city treasurer and all other members shall be public members who shall be persons with relevant experience serving as a corporate officer, auditor, attorney or professional consultant to business, government or organizations. (Ord. 5172 º 3 (part), 1997)

2.82.040 Terms of office.


A. One public member of the audit committee shall be initially appointed for a term of one year to expire June 1, 1998; two public members shall be appointed for a term of two years to expire June 1, 1999; and one public member shall be appointed for a term of three years to expire June 1, 2000. Thereafter, all appointments to such committee shall be for a term of three years or until their successors shall be qualified and appointed

B. The city treasurer shall be appointed for a term of three years or until his/her successor shall be qualified and appointed. (Ord. 5172 º 3 (part), 1997)

2.82.050 Vacancies.


Should a vacancy occur on the audit committee for any reason, such vacancy shall be filled for the unexpired term by an appointment by majority of the council. An individual appointed to fill a vacancy where the unexpired term thereof is one year or more shall be deemed to have served a full term at the end of such unexpired term. A vacancy shall be deemed to have occurred when an audit committee member resigns or otherwise becomes unqualified to serve pursuant to state law or Chapter 2.36 of this code. (Ord. 5172 º 3 (part), 1997)

2.82.060 Removal of members.


Whenever in the sole discretion of the city council, the council believes that the best interest of the city shall be served, any member of the audit committee may be removed from office by majority vote of the council. (Ord. 5172 º 3 (part), 1997)

2.82.070 Officers.


On the first meeting after the effective date of the ordinance codified in this chapter, the members of the audit committee shall meet in regular session and organize by electing from their members a chairperson and a secretary, who shall each hold office until June 1st of the following year or until expiration of term of appointment whichever shall first occur. Annually thereafter, the audit committee shall elect a chairperson and a secretary who shall hold office until June 1st of the following year or until expiration of the term of appointment whichever shall first occur. In the absence of the chairperson at any meeting, the members shall select a chairperson pro tempore who shall preside over the meeting of the audit committee. (Ord. 5172 º 3 (part), 1997)

2.82.080 Meetings.


The audit committee shall meet at least once quarterly at a time and place selected by a vote of its members. Written notice of each such meeting shall be provided pursuant to the Ralph M. Brown Act as it now exists or may hereafter amended.

Special meetings of the audit committee may be called by the chairperson or any three members. Written notice of each special meeting shall be provided pursuant to the Ralph M. Brown Act as it now exists or may hereafter be amended. (Ord. 5172 º 3 (part), 1997)

2.82.090 Meetings-Quorum-Adjournment.


Three members of the audit committee shall constitute a quorum, but a lesser number may adjourn from time to time to another place or at another time. (Ord. 5172 º 3 (part), 1997)

2.82.100 Powers and duties generally.


A. The primary function of the audit committee is to review the financial information which will be provided to various parties, the system of internal controls and provide independent recommendation to the city council regarding the scope, areas of audit and priority. The committee will develop a scope of work based upon the goals and direction of city council. This scope of work will be updated annually and presented to the city council for approval.

B. The audit committee shall recommend to the city council the independent accountants to be nominated, the compensation of the independent accountants, and review and recommend the discharge of the independent accountants.

C. The audit committee shall report its actions to the city council at least once annually with such recommendations as the audit committee may deem appropriate.

D. The audit committee shall perform such other functions as assigned by law, or as required by the city council which are not inconsistent with the city charter. (Ord. 5172 º 3 (part), 1997)

2.82.110 Procedural rules-Subcommittees.


A. The audit committee may adopt, from time to time, such rules or procedures as it may deem necessary to properly exercise its powers and duties. All such rules shall be subject to the prior approval of the city attorney and shall, after adoption, be kept on file in the office of the city clerk.

B. The chairperson of the audit committee may form ad hoc subcommittees among its various members to investigate and analyze those issues which are within the committee's jurisdiction. (Ord. 5172 º 3 (part), 1997)

2.82.120 Cooperation of city officials.


The director of finance and administrative services or his designee, the city manager or his designee, and the city attorney or his designee, shall be nonvoting members of the audit committee, and shall attend each meeting and provide advice or assistance as requested by the audit committee and shall provide stenographic or other assistance as is necessary to maintain records of the audit committee proceedings. However, if the council deems it appropriate, any nonvoting member may be appointed to serve as one of the four public members pursuant to Sections 2.82.020 et seq. All other officers, divisions and division heads of the city shall cooperate and render all reasonable and necessary assistance to the audit committee. (Ord. 5172 º 3 (part), 1997)

2.82.130 Limitation and liability.


Neither the audit committee nor any individual member thereof shall incur any financial liability or responsibility in the name of, or on behalf of, the city by virtue of their activities as audit committee members. (Ord. 5172 º 3 (part), 1997)