University of Virginia Library

INDEPENDENT AUDIT

The Chairman of the Finance Committee, Mr. Hobbs, reported on the studies his Committee had made concerning the possibility of an independent audit of the University's accounts in accordance with the instructions given to the Committee by the Board of Visitors at its meeting on 3 June 1966. He stated that consultations with the State Auditor of Public Accounts and the Attorney General had resulted in the State Auditor's changing his auditing schedule of the University of Virginia from every other year to every year. He noted that the staff of auditors was already on the Grounds making an audit of the fiscal year ending on 30 June 1966. In view of the close cooperation provided to the Committee by the State Auditor of Public Accounts, Mr. Hobbs stated that the Committee had decided to defer any request for an independent audit by a private firm in order that the results of the new auditing program might be assessed. The Committee, Mr. Hobbs concluded, will review the situation from time to time.

Mr. Hobbs also stated that he and his Committee were looking into the matter of the sufficiency of the surety bonds carried by University financial officials, and reported that he had consulted some private insurance firms in this regard. A further report on this matter will be made at the next meeting.

The Finance Committee, Mr. Hobbs reported, had also looked into the matter of the University endowment funds and had prepared a preliminary report to be distributed shortly after this meeting to all members of the Board other than those who are members of the Finance Committee. A more complete report will be made to the full Board at the December meeting.

Finally, Mr. Hobbs reported on the study by his Committee of the land purchase program of the University of Virginia since 1956. He reported that almost three million dollars in local funds had been used for such purposes. A copy of the report on land purchases from local funds will be sent to each member of the Board.