Local authority audit committee is designated by the town council for organising the audits of administration and finances. The term of office of the audit committee is the same as that of the council.
Local authority audit committee conducts preparatory work for the town council on matters concerning the audits of administration and finances.
The duties of the audit committee include, to name a few, conducting preparatory work on designating and dismissing auditors as well as preparatory work on matters relating to the audit report. Local authority audit committee bears also the responsibility of organising coordination of municipal and subsidiaries’ audits.
Local authority audit committee shall present their assessment report to the council, in which an assessment is given of how the operating and financial targets for the accounting period set by the council have been met within the municipality and local authority corporation.
Local authority audit committee’s assessment is an ex-post assessment of how the town board, other authorities and municipal subsidiaries have managed to comply with the council will.