Fayette County Board refers external audit review to audit committee and authorizes independent investigator

FAYETTE COUNTY — The Fayette County Board of Education voted unanimously Sept. 16 to refer plans for an external review of district budget, finances and internal controls to the district’s audit committee and to engage an independent investigator.

At the special meeting called for 5:30 p.m., Board Chair Tyler Murphy opened discussion of “an external and independent review and evaluation” aimed at identifying improvements to internal structure, operations and procedures in fiscal and benefits services and in how financial information is reported to the board. “We want to ensure transparency,” Murphy said while introducing the item.

Vice Chair Amy Green, who serves as the board’s representative on the audit committee, urged the board to first confirm the scope and goals for any additional review and then send that scope to the audit committee so members can “ensure there’s no duplication of services” with the annual financial audit or other external reviews. “We want to be prudent and efficient with the use of the taxpayers’ money,” Green said.

Board member Monica Mundy asked that the RFP language explicitly include the option for a forensic audit, saying, “by no means by me asking for that, am I saying that anything has happened,” but that forensic terminology would help the board capture areas that other audits might not cover. The board agreed that the audit committee — whose five voting members are non‑FCPS finance or audit experts, officials said — should review the board’s proposed scope, identify duplicative work, and recommend an appropriate procurement strategy and cost range.

Members also discussed inviting one or more voting members of the audit committee to answer questions once RFP responses are returned; staff said the internal auditor, Nick Clark, could serve as liaison if committee members were not available. Board members asked to review the written RFP language before it is issued.

After discussion the board voted 5–0 to refer the matter to the audit committee. The board then moved into a closed session to discuss potential litigation and “discussions about allegations that if substantiated may lead to personal action” under the authority cited in the meeting as “Section 1 paragraph c and f.” The board entered closed session at 5:48 p.m. and left closed session at 6:20 p.m.

Following the closed session the board voted 5–0 in open session to authorize an investigation and to engage independent investigator Warner Greene. Chair Murphy said the board would return any required follow-up items to the audit committee and schedule future agenda items as needed. The meeting adjourned after the votes.

Votes at a glance Refer external audit review to audit committee — motion by Amy Green; second by Monica Mundy; vote: Amanda Ferguson yes, Amy Green yes, Tyler Murphy yes, Penny Christian yes, Monica Mundy yes; outcome: approved (5–0). Enter closed session under cited authority (Section 1 paragraph c and f) — motion carried 5–0; entered 5:48 p.m.; exited 6:20 p.m. Authorize engagement of independent investigator Warner Greene — motion moved and seconded; vote: Ferguson yes, Green yes, Murphy yes, Christian yes, Mundy yes; outcome: approved (5–0).

What happens next The board directed that the proposed scope and any draft RFP be sent to the audit committee for review to identify duplications and estimate costs and asked staff to circulate draft RFP language to board members before it is released. A timeline and budget for the external review were not set during the meeting.