Minutes

The meeting was called to order at 3 PM.

Approval of Minutes

The minutes of the July 10, 2003 meeting were unanimously approved.

Previous Meeting

Stephen Langowski recapped the previous Audit Committee meeting, and noted that it was important to expedite the audit, requiring good communication between Society staff and Eisner staff.

Auditor Open-Item List

Mr. Langowski asked Lynn Chambers what items were outstanding, and she replied that the natural expenses need analytic work.

General Discussion

Julie Floch and Lynda Feldman raised the issue of there being no breakout of management and general expenses in the functional expense categories. Ms. Feldman noted that the information can be included in a footnote, but Mike McNee said that the Society shouldn’t be seen as trying to hide the information. Ms. Chambers noted that the program functions were those included on the internal statements, and that form of reporting had been mandated by the Board.

Ms. Floch reported that the draft audit and draft management letter were being reviewed, and that she would email both reports to Ms. Chambers by Monday. Mr. Langowski asked whether there were any proposed adjusting entries, and Ms. Floch replied there were not.

There was a general discussion on the moving expenses that will be recorded in fiscal year 2004. Eisner will prepare a footnote to disclose this subsequent event. PAC unaudited financial statements will be used on the consolidation statements. No analytics will be available with this first draft.

Next Meeting

A telephone conference call will be held on Wednesday, July 30th at 2 PM to review the draft audit report and management letter.

With no further business to be discussed, the meeting was adjourned at 3:45 PM.

Respectfully submitted,

Lynn T. Chambers
Approved 7/30/03