DRAFT

Minutes of the Audit Committee

Board of Trustees

The University of North Carolina at Wilmington

Burney Center Ballroom

October 24, 2013, 8:00 a.m.

The Audit Committee held its regular quarterly meeting on October 24, 2013. Chair Britt Preyer called the meeting to order and read the required ethics statement. Members of the committee in attendance were: Mr. Fisher, Mr. Marion, Mr. McNeill, and Mr. Preyer. On motion by Mr. McNeill, seconded by Mr. Fisher and duly carried, the minutes of the meeting held on August 23, 2013, were approved as distributed.

At the request of the Chair, Ms. Stefanie Powell reviewed the charter of the Audit Committee and said that no changes were needed at this time. After discussion, on motion by Mr. Marion, seconded by Mr. Fisher and duly carried, the committee charter was recommended for approval by the Board. Ms. Powell presented the Internal Audit Charter for annual review without modification, stating that it was based on the mission of the office and the standards for professional practice. After questions and discussion, on motion by Mr. McNeill, seconded by Mr. Fisher and duly carried, the Internal Audit Charter was approved for recommendation to the Board.

Chair Preyer called on Ms. Powell to present the quarterly internal audit report, for the quarter that ended on September 30, 2013. She highlighted activities, including the areas of the Center for Marine Science, senior officers’ travel, campus police, motor fleet, Friends of UNCW, physical access to facilities and key control, professional development and continuing education, and the internal audit annual report. She said that there were no significant audit findings. In response to a question from Mr. McNeill, discussion followed regarding measures of effectiveness for internal audit.

At the request of the Chair, Dr. Whitfield then reviewed completed audits of the university’s associated entities, including the Donald R. Watson Foundation, UNCW Alumni Association, UNCW Corporation, UNCW Corporation II, UNCW Research Foundation, and UNCW Student Aid Association. He said that there were no findings. In discussion, Mr. Marion inquired about auditing of the student-managed investment fund. Dr. Whitfield said that it was a part of the external audit of the UNCW Foundation.

Chair Preyer recognized Ms. Boyd, who provided an update on Institutional Risk Management, focused on policy development and implementation. Under old business, Dr. Whitfield commented on bond refinancing.

There being no further business, the meeting was duly adjourned.