Mayor Rybak Applauds Stronger Internal Audit with New City Department

New Department of Internal Audit triples capacity of City to conduct business transparently and hold departments, elected officials accountable to public

December 18, 2009 (MINNEAPOLIS) -- Minneapolis Mayor R.T. Rybak today hailed the passage of a new, stronger, more effective internal-audit structure for the City of Minneapolis.

"I applaud the City Council for their overwhelming approval of the new Department of Internal Audit," said Mayor Rybak. "Making City government more transparent and making it easier for residents to hold us accountable — and for us to hold ourselves accountable — by strengthening our audit function is absolutely the right thing to do."

"I especially thank Council President Barb Johnson, Ways and Means Chair Paul Ostrow and Councilmember Betsy Hodges for their partnership to see this through."

"A strong, effective internal-audit function is a key component of responsible financial management, and Minneapolis deserves nothing less," said Councilmember Paul Ostrow, chair of the Council’s Ways and Means Committee.

"Many important concerns about how best to ensure transparency in the City’s finances were raised this summer and fall, and we took the time to listen and respond to those concerns," said Councilmember Betsy Hodges, the lead author of the proposal that passed today. "The new department will give us the resources we need to provide greater oversight and accountability to the financial practices of the City."

In November, upon the retirement of the City’s longtime auditor and following discussions about how best to make sure that the City’s finances remain transparent to the public, Mayor Rybak—along with Council President Barbara Johnson and Councilmember Paul Ostrow, chair of the Ways and Means Committee — proposed creating a new Department of Internal Audit and tripling the capacity of the City’s internal-audit function.

Passage of the ordinance will allow the City to restart the hiring process for a new internal auditor, which was suspended when the applicant pool consisted of only one candidate. 

City officials expect more candidates will apply to be the Internal Auditor knowing that the department will consist of three auditors rather than one. 

"Choosing from a pool of applicants is the best way to get the most qualified candidates.  Minneapolis deserves to compete for the best possible employees," said (Ostrow or Hodges).

The proposal that the City Council passed today follows the outline presented by the Mayor and Councilmembers Johnson and Ostrow. The new Department of Internal Audit will:

• Consist of an Internal Auditor and two other auditors, tripling the number of internal auditors previously on City staff;

• Report to an Audit Committee composed of six members: three City Council members and three residents appointed by the Mayor, the City Council and the Parks and Recreation Board.

• Receive administrative oversight and support from the City Coordinator.

Passage of the ordinance will allow the City to restart the hiring process for a new internal auditor, which was suspended when the applicant pool consisted of only one candidate. With the establishment of the new, strengthened office, City officials expect more candidates to apply for the position of Internal Auditor. 

"Choosing from a pool of applicants is the best way to get the most qualified candidates.  Minneapolis deserves to compete for the best possible employees," said Councilmember Ostrow.

Published Dec. 18, 2009