Minutes of the Meetings of the Audit Committee of the Internet Society

A meeting of the Audit Committee of the Internet Society (ISOC) was held on Monday, 14 May 2018 at 13:00 UTC. In attendance were John Levine as Chair of the Audit Committee and Harish Pillay as members of the Audit Committee.  Hiroshi Esaki sent his regrets.

Also in attendance were Sandra Spector, Chief Financial Officer and Dana Matthews, Director of Financial Reporting & Accounting.  Representing RSM were Al Weber, Partner and Steve Kim, Assurance Supervisor.

Call to Order

John called the meeting to order, as quorum was present.

Review of the Annual Independent Audit

Mr. Weber explained RSM’s responsibilities and the responsibilities of ISOC’s management. Mr. Weber noted that RSM’s report included and unmodified opinion, representing the highest level of clean opinion.

Mr. Weber then gave an overview of the audit process and then reviewed the result of RSM’s audit noting that ISOC’s accounting policies were consistently applied.  Mr. Weber noted that no audit adjustments or control deficiencies were found. Mr. Weber then walked through the 2017 financial statement highlights.

Mr. Weber noted that ISOC’s Audited Financial Statements incorporated the statements of Public Interest Registry (accepted by the PIR Board at a meeting on May 22, 2018) and ISOC Foundation.

Mr. Weber informed the Committee that due to changes in several accounting standards, the possibility existed for several 2018 financial statement reporting changes.

As Required by the Audit Committee Charter and accounting principles, John asked the Committee to enter into Executive Session.  The Committee excused the members of ISOC’s management for this session. Following the Executive Session, the management participants returned.

John and the Committee thanked the Finance staff for exemplary work.

Mr. Weber and Mr. Kim left the meeting.

Conflicts of Interest

The Audit Committee members discussed the conflicts of interest statements from the Board members and concluded that since a few statements remained outstanding further discussion would happen at the next Audit Committee meeting.

Compliance

Sandy updated the Audit Committee on the status of the Compliance Committee’s work including finalization of the Committee charter, compliance training and review of the Risk Assessment.

Adjournment

With no other business, the meeting adjourned at 13:35 UTC.