Committee of the Whole holds confirmation hearing for Terrence J. Williams as city auditor

Wilmington City Council’s Committee of the Whole met on Wednesday, Jan. 22, 2025, to hear from Mayor John Carney’s nominee for city auditor, Terrence J. Williams. No committee vote was taken; the resolution confirming Williams is scheduled for the full council meeting on Feb. 6, 2025.

The hearing focused on Williams’s experience as the city’s current auditor, the audit office’s independence and staffing, and steps the office has taken to increase transparency and controls. "My responsibility is to set the strategic direction for the auditing department for the city," Williams said, describing duties that include hiring an external certified public accounting firm for the city’s financial and single audits and auditing city departments for fraud, waste and abuse.

Williams told council members he has worked in auditing for more than two decades and has served as the city auditor for seven years. He described reforms his office implemented to publish audit reports on the city intranet and to reengineer reports to be more concise and user friendly. "We publish our audit reports on the city's intranet site. That allows transparency to the public," Williams said, adding that the office’s changes helped management adopt action plans and reduced the number of findings in external audits.

Council members pressed Williams on staff turnover and recruitment. Williams said the audit office was "down 20%" this year and "down 40%" last year, and that he is seeking budgeted resources for an additional senior auditor and other staffing to support system implementations and core audits. He said interviews are scheduled for one open senior auditor position and that a broader recruitment pipeline is needed to attract candidates from outside the city.

On independence, Williams said the auditor’s office follows generally accepted government auditing standards. "I have to be independent with the way we conduct our audits according to generally accepted government auditing standards," he said, and described notifying counsel or the audit review committee if audits involve administration or council members.

Williams and council members discussed how audits are selected. Williams described an annual risk assessment — a questionnaire sent to department heads, administration and council members — and said the office uses a weighted average and prior audit findings to set the audit plan. He said the office completed a parking enforcement audit and is awaiting presentation to the audit review committee.

Williams also described tools and processes the office uses for continuous monitoring, including a data analytics tool called ThirdLine and providing access to that tool to other departments to improve controls. He said the audit office maintains a fraud hotline and posts contact information and hotline details on the city website.

Council members asked about the Wilmington Housing Partnership matter and controls to protect city funds. Williams said timely financial audits, embedding forensic components where appropriate and strengthened controls can help mitigate risks in similar situations. He referred to the partnership’s loan of $3,400,000 during the discussion and warned agencies that rely on federal funding can be vulnerable when expected funding is put on hold.

The committee acknowledged Williams’s record and transparency efforts, but did not take a committee vote. Council President Troupi Kongo said the resolution does not require a committee vote and confirmed the item will appear on the Feb. 6, 2025, council meeting agenda.

The committee adjourned by voice vote shortly after the hearing.