Requirement Number 2.11: The institution has a sound financial base and demonstrated financial stability, and adequate physical resources to support the mission of the institution and the scope of its programs and services. The institution provides the following financial statements:

 
  1. An institutional audit (distinct from a system-wide or state-wide audit) and management letter for the most recent fiscal year prepared by an independent certified public accountant or an appropriate governing auditing agency employing the appropriate audit guide,
  2. An annual budget that is preceded by sound planning, is subject to sound fiscal procedures, and is approved by the governing board, and
  3. A schedule of net surplus/deficit from operations, exclusive of plant assets and plant related debt, which represents the change in unrestricted net assets attributable to operations for the most recent year.

The institution does not have the institutional audit and management letter for the most recent fiscal year. The On-Site Review Committee should review the most recent audit and management letter to determine whether the institution has a sound financial base and financial stability.

Attached is Georgia Southern University’s institutional audit and management letter for FY 2005.