§ 715.7 - Supervisory Committee audit alternatives to a financial statement audit.

§ 715.7 Supervisory Committee audit alternatives to a financial statement audit.

Cross Reference

Link to an amendment published at 84 FR 53308, Oct. 7, 2019.

A credit union which is not required to obtain a financial statement audit may fulfill its supervisory committee responsibility by any one of the following engagements:

(a) Balance sheet audit. A balance sheet audit, as defined in § 715.2(a), performed by a person who is licensed to do so by the State or jurisdiction in which the credit union is principally located; or

(b) Report on Examination of Internal Control over Call Reporting. An engagement and report on management's written assertions concerning the effectiveness of internal control over financial reporting in the credit union's most recently filed semiannual or year-end call report (NCUA Form 5300), as defined in § 715.2(j), performed by a person who is licensed to do so by the State or jurisdiction in which the credit union is principally located, and in which management specifies the criteria on which it based its evaluation of internal control; or

(c) Audit per Supervisory Committee Guide. An audit performed by the

obtaining an Other Supervisory Committee Audit. Such an audit is one that is performed by the supervisory committee, its internal auditor, or any other qualified person (such as a certified public accountant, public accountant, league auditor, credit union auditor consultant, retired financial institutions examiner, etc.)

in accordance with the procedures prescribed in NCUA's Supervisory Committee Guide

that satisfies the minimum requirements in appendix A of this part. Qualified persons who are not State-licensed cannot provide assurance services under this

subsection.

section.

[84 FR 53308, Oct. 7, 2019]