Audit Information

An Audit is an independent objective review of records, accounts, business processes, and operating policies and procedures. The audit process executes a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, internal controls, and governance processes.

• UMBC is a state-supported institution, and as such, is subject to audit by the Office of Legislative Audits (OLA).
• The OLA audits all state agencies, including USM institutions, on a 3-4 year cycle, as directed by statute.
• As an institution within the University System of Maryland (USM), UMBC is regularly audited by the USM Office of Internal Audit.
• As a public research institution, UMBC is often subject to audit by federal agency auditors and external CPA firms.

• If you are contacted by an auditor, immediately notify MAS that you have been contacted.
• Advise the auditor that MAS is the Audit Liaison for the campus and will be assisting in the audit process.
•  MAS will support the department/PI though the audit process and will assist in drafting any necessary responses.

• The campus community will be notified via mail and e-mail when the audit is set to begin.
• Management Advisory Services (MAS) will work with your department and the auditors to coordinate an entrance meeting to discuss the audit work plan and timeline.
• The auditors will follow up on the status of prior audit exceptions. You should have already implemented corrective actions if your department was part of a prior audit exception. Contact MAS if you are not sure.
• The auditors may audit functions, programs and departments that they have not looked at in prior visits. Be aware that you may be audited and be as cooperative as possible.
• Meet with the auditors working in your area to let them know you are interested in the audit. Request that any findings related to your area be discussed with you to ensure that:
  • They have not missed something that may be important to the process being reviewed.
  • They speak to the most knowledgeable employees.
  • You have a chance to offer input they may not have considered.
  • You are aware of the exceptions in your area.
• Keep MAS apprised of any findings communicated to you by the auditors. UMBC is committed to taking a proactive approach to addressing audit exceptions. The sooner we are aware of them, the better.
• The auditors will hold an exit conference with the campus when the audit is completed to discuss their findings. Departments with audit exceptions will be invited to attend.
• Contact MAS with any questions you may have regarding the audit or how to respond.
• Relax – look at the audit as a chance to improve operations and not as criticism of you, your department, or UMBC.

There are different phases of the audit process. The amount of time required to conduct and complete each phase depends on the cooperation and availability those in your department, and the complexity of the audit. An overall audit process may take approximately three to 12 months.

The auditor will typically request the following information:

• Mission and key objectives of the entity or process
• Results of prior internal and external reviews
• Action plans for significant management initiatives
• Organizational charts
• Process flowcharts
• Summary of contracts and grants
• Department/unit-specific policies and procedures
• Budgetary, financial, management, and exception reports
• Source documents such as payroll records, travel vouchers, recharges and cost transfers

Internal audits are generally initiated as part of UMBC’s annual audit plan, created by USM OIA. Audits can also be requested by senior administrators or department/unit or as a result of complaint.

For information regarding the audit process, click here.