External auditors say bond performance audit draft due late May; RFP for next auditor to publish in mid‑June

The Portland SD 1J audit committee heard a status update on the district’s seven‑year bond performance audit on May 7, with external auditor Kathy Brady saying fieldwork is winding down and the firm expects to deliver an internal draft to district leadership by the end of May or the first part of June.

Brady, representing the contracted team that has audited the district’s bond program since 2018, said the year‑7 audit focused on schedule, scope and cost for bond projects from 2012 through 2025, contingency management and fiscal controls. She said auditors conducted reconnaissance interviews with district bond delivery staff, project managers, procurement and finance teams, and reviewed project files and public board materials to validate publicly reported data.

“We kicked off the engagement in October 2025,” Brady said. “We are wrapping up our audit fieldwork as we speak and hope to have an internal draft audit report to Dr. Franco and the RISE team by the end of this month, May, early part of June.” She added that the final public release would follow the district’s responses and the audit firm’s quality‑control process, with a goal of finalizing the report in late June or early July.

Committee members pressed for timing and process details. The committee discussed holding a joint or July meeting—virtual if necessary—to receive the final report and recommended holding an exit conference with district leadership before public distribution.

Separately, staff reported the district is preparing an RFP for the next external bond performance auditor. Sarah Norman said purchasing and contracting plans to publish the RFP in mid‑June; the request will describe evaluation criteria and the expected contract term. Committee members noted prior practice of multi‑year initial terms with annual renewals and emphasized that purchasing and legal will set the final evaluator panel rules.

Patty Sullivan, audit committee chair, said staff will bring more details and that audit committee members and BAC representatives could serve on the evaluation panel if procurement and legal approve them. Staff cautioned that purchasing must authorize panel composition and that anyone with a direct role in delivering bond work should not serve on the panel.

Next steps: committee members agreed to plan for a July meeting to receive the final bond audit, and staff said they would return with a clarified RFP schedule and details on the evaluation panel once purchasing has reviewed the procurement documents.