Waive second reading and adopt ordinance amending Title 2, Chapter 2 of the Yolo County Code to add Article 40 establishing the County’s Audit Committee. (No general fund impact) (Lugo)

Waive second reading and adopt ordinance amending Title 2, Chapter 2 of the Yolo County Code to add Article 40 establishing the County’s Audit Committee.

On November 18, 2025, the Board of Supervisors received a staff presentation on the proposed ordinance amending Title 2, Chapter 2 of the Yolo County Code to add Article 40 establishing the County’s Audit Committee. At that meeting, the Board introduced the ordinance by title only, waived the first reading, and continued the item to December 9, 2025, for adoption.

The ordinance establishes a permanent, stand-alone Audit Committee under the Board of Supervisors to provide independent oversight of the County’s internal audit function. The Committee will assume the responsibilities currently performed by the Financial Oversight Committee’s Audit Subcommittee, while the Financial Oversight Committee will continue to perform its fiscal oversight duties, including oversight of the external financial audit and the Single Audit.

Key provisions of the ordinance include the composition of the Audit Committee—two members of the Board of Supervisors and one public member—quarterly meetings conducted in compliance with the Brown Act, and responsibilities such as approving the annual audit plan and Internal Audit Charter, monitoring the status of audit recommendations, overseeing the County’s fraud reporting and whistleblower program, and participating in the appointment and evaluation of the Audit Manager.

The ordinance was reviewed and approved as to form by County Counsel and endorsed by the Audit Subcommittee on September 26, 2025. Staff now recommends that the Board waive the second reading and adopt the ordinance as proposed.

This item was developed in close coordination with County Counsel. Staff also provided regular updates and solicited feedback from the Chief Financial Officer and the County Administrator’s Office during the review process. The Audit Subcommittee received periodic updates and endorsed the proposed ordinance for Board consideration.