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HomeMy WebLinkAboutEstablishing Internal Control Standards and Establishing a Materiality Threshold (2)ORDINANCE No. 10482 -16 Passed by the Common Council of the City of South Bend, Indiana 20 16 Attest: Attest: Presented by me to the Mayor of the City of South Bend, Indiana November 28, 20 16 Approved and signed by me DebtWh PR_ LQ 20 L lQ City Clerk President of Common Council City Clerk Mayor Substitute ORDINANCE NO. I 01f 2--j (p AN ORDINANCE OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA, ESTABLISHING INTERNAL CONTROL STANDARDS AND ESTABLISHING A MATERIALITY THRESHOLD. STATEMENT OF PURPOSE AND INTENT Indiana Code § 5- 11 -1 -27 requires all Indiana political subdivisions to adopt minimum levels of internal control standards developed by the State Board of Accounts as published in the Uniform Internal Control Standards for Indiana Political Subdivisions; and The City Controller has reviewed and recommends adoption of the proposed internal control standards and materiality threshold. NOW, THEREFORE, BE IT ORDAINED by the Common Council of the City of South Bend, Indiana, that: Section I. The City of South Bend, Indiana hereby adopts the Internal Control Policy attached hereto and incorporated herein as Exhibit A. Section II. The City Controller is directed to ensure that all personnel receive training concerning the internal control procedures adopted and approved herein. Section III. For reporting to the State Board of Accounts and the City of South Bend Common Council, the City of South Bend, Indiana hereby adopts a materiality threshold of $10,000 for cash and $10,000 for assets other than cash, for the internal control procedures adopted and approved herein. All instances of suspected employee theft must be immediately reported to the State Board of Accounts and the City of South Bend Common Council regardless of the dollar amount. There is no materiality threshold for theft. Significant variances less than $10,000 will be investigated internally by the staff of the City of South Bend. Section IV. This ordinance shall be i d effect from and after its passage by the Common Council and approval o e Mayor. Member of the Common Council Attest: City Cle Presented by me to the Mayor of the City of South Bend, Indiana, on the 2&— day of Chf6 , 2016 at 61 : 05 o'clock 0,. m. Substitute ( i 1, - i L "M O�O lJep41&YrCrV Approved and signed by me on the _(DI'6 day of QCUYL/bA , 2016 at 00 o'clock *. m. Mayor ity of th Bend, Indiana 1st READING 11- 14 -1(D PUBLIC HEARINC 11 - 2.$ -1 le 3rd READING 1I - Z.S -11V NOT APPROVED REFERRED 11-14 -1 Lo PASSED 11 -Zg -Ito 04: 29 PM Filed in Clerk's Office NOV 2 6 2016 KAREEMIAH FOWLER CrrY CLERK, SOUTH BEND, IN