Audit Committee

CITY OF HENDERSON AUDIT COMMITTEE REGULAR MEETING MINUTES SEPTEMBER 16, 2015 I. CALL TO ORDER Chairman John F. Marz called the City of Henderson Audit Committee meeting to order at 3:30 p.m. in the Mayor and Council Board Room, 240 Water Street, Henderson, Nevada. II. CONFIRMATION OF POSTING AND ROLL CALL Melissa Wright, City Auditor, confirmed the agenda was posted three working days prior to the meeting in accordance with the Open Meeting Law by posting in the four Official Bulletin Boards within the City Limits of the City of Henderson and the Nevada Public Notice Website. In addition, copies of the agenda were mailed to each person having an item on the agenda and to all those on the Agenda Master Mailing List. PRESENT: Chairman John F. Marz Mayor Andy Hafen (arrived at 3:45 p.m.) Bryan Allison EXCUSED: None STAFF: Richard Derrick, Chief Financial Officer Erin Flynn, Assistant City Attorney II Tedie Jackson, Council and Commission Svs. Reporter Bob Murnane, City Manager (arrived at 3:36 p.m.) Josh Reid, City Attorney Melissa Wright, City Auditor GUESTS: Melissa Bender, Asst. Court Administrator Jon Montisano, Chief Court Marshal Mark Stevens, Chief Judge Bill Zihlmann, Court Administrator City of Henderson Audit Committee Page 2 of 4 September 16, 2015 – Minutes III. PUBLIC COMMENT There were no comments presented by the public. IV. ACCEPTANCE OF AGENDA (Motion) Mr. Allison introduced a motion to accept the agenda as presented. The vote favoring approval was unanimous. Chairman Marz declared the motion carried. V. NEW BUSINESS 1 MINUTES AUDIT COMMITTEE MEETING ON 6/17/15 INTERNAL AUDIT Approval of Minutes for Audit Committee of 6/17/15. (Motion) Chairman Marz introduced a motion to approve the minutes of June 17, 2015, as presented. The vote favoring approval was unanimous. Chairman Marz declared the motion carried. 2 DRAFT AUDIT REPORT MUNICIPAL COURT INTERNAL AUDIT Receive and Approve Draft Audit Report of Municipal Court. Melissa Wright, City Auditor, provided background information on total Municipal Court revenues for Fiscal Years 2012 – 2015. She reviewed the Draft Audit Report, and noted that court revenues include administration assessment fees. Ms. Wright commented that staffing resources need to be reallocated to ensure a better segregation of duties. Regarding case management oversight, she recommended a daily audit report be done to ensure front counter clerks are acting within their authority. Bill Zihlmann, Court Administrator, thanked the internal audit staff for their time and effort conducting the audit. He stated they have made adjustments on segregation of duties and have begun addressing case management oversight improvements throughout the entire court organization. Regarding NRS 266.550, Powers and Jurisdiction, Ms. Wright suggested the policy be issued with judicial signatory approval. City of Henderson Audit Committee Page 3 of 4 September 16, 2015 – Minutes For Cash Bank Verification, Ms. Wright suggested a second person should verify contents at the beginning and ending of each shift, and sign off on the report. Mr. Zihlmann agreed and suggested Human Resources draft a City policy regarding this process, and that appropriate training be provided. Richard Derrick, Chief Financial Officer, believes this process should be consistent throughout the entire organization. Ms. Wright reported that the Henderson Justice Facility Interlocal Agreement with Clark County requires paying common costs, but it does not address security needs at the front entry scanner. She recommended Municipal Court administration work with the City Manager to determine the appropriate course of action to address the disproportionate responsibility at front entry scanner. Chairman Marz thanked staff for the auditing process, and believes the recommendations will be beneficial. (Motion) Mr. Allison introduced a motion to approve the Draft Audit Report of Municipal Court. The vote favoring approval was unanimous. Chairman Marz declared the motion carried. 3 APPOINTMENT OF AUDIT COMMITTEE MEMBERS INTERNAL AUDIT Recommend appointment of two Henderson City Council members. Chairman Marz reported that the on September 15, 2015, the City Council reappointed Mayor Hafen and himself to the Audit Committee. No action is necessary by the Audit Committee. VI. CHAIRMAN\MEMBER COMMENTS Responding to a comment by Mayor Hafen, Mr. Zihlmann said they were pleased with audit process, which provides a fresh set of eyes and an opportunity to improve processes. He noted this was a great educational opportunity, and they appreciate the partnership and collaboration. Chairman Marz commented that he appreciates being on the Audit Committee. He commended Ms. Wright and her staff for conducting very thorough audits of various departments and recommending constructive improvements. City of Henderson Audit Committee Page 4 of 4 September 16, 2015 – Minutes VII. SET NEXT MEETING The next meeting was set for December 16, 2015, at 3:30 p.m., in the Mayor and Council Boardroom, City Hall. VIII. PUBLIC COMMENT No comments were presented by the public. IX. ADJOURNMENT There being no further business to come before the Committee, the meeting was adjourned at 3:55 p.m. Respectfully submitted, __________________________ Tedie Jackson, Council and Commission Services Reporter