Higher Education Turns to Audit Committees to Manage Risk

The audit committees of colleges and universities are considered the first line of defense for financial reporting, internal control, risk management, and compliance. Although educational institutions are not subject to the Sarbanes-Oxley Act, increased attention by businesses on corporate governance is trickling down to the not-for-profit sector. By following best practices of other educational institutions, both new and established audit committees can become better risk managers.