Derby City

MESSAGE FROM THE PRESIDENT November is that time of the year where many of us reflect and realize how much we have to be thankful for everyday. With this, I wanted to say thank you to all our members for their support and contributions to making our chapter a success. Without the volunteerism we have experienced our chapter would not be able to offer the programs, networking and exchange of information made available to our members. Thanks! At this month’s lunch meeting, Dana Chrisman from the Federal Bureau of Investigation (FBI) will present on overview of InfraGard and Business Email Compromise. This topic affects us all as business depends on email networks. Please join us for an informational session. Also planned this month are our Annual Student event and the CAE Roundtable. Hope to see you for our November events!

Internal Auditors have a strong financial focus, but remember to think about the operational side. Don’t let the turkey gobble up your efficiencies! Sasha Pavoni, CPA, CIA, MBA Louisville IIA Chapter President

SPECIAL POINTS OF INTEREST

November Monthly

Luncheon Meeting

October East End

Afternoon Meeting

Local IIA News

National IIA News

NEWSLETTER SUBMISSIONS

The newsletter will be published monthly from September 2016 through May 2017. If you have a request for a submission please email the information to kgraham@pbibank.com and your submission will be included in the next month’s issue.

Twitter Page LinkedIn Group AuditChannel Facebook Page Chapter Homepage

Louisville IIA Chapter News Disclosures

NOVEMBER 2016

MONTHLY CAP UPDATE During September, the Chapter earned CAP from the attendance of the monthly luncheon meeting “Organizational Ombuds”. Chapter leadership discussed the internal audit profession with students at a student networking event at IUS on September 9th. CAP was also earned when Chapter members Kevin Bilbrey and Josh Higdon earned their CIA certifications. The CAP total is currently 244 and the categories are listed below.

Service to Members – 20 Service to Profession – 37 Chapter Administration – 74 Please email the CAP Chair with any questions.

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OCTOBER MONTHLY MEETING

Date: Tuesday, November 8, 2016

Registration: 11:30 a.m. - 12:00 p.m. ET

Meeting Time: 12:00 - 1:00 p.m.

Presenter(s): Dana Chrisman

CPE credits: 1 hour

Cost: Member Price: $25

Non-Member Price: $30

Location: Bristol Bar & Grille—Downtown

614 W. Main St.

Louisville, KY 40202

Registration: Here

PRESENTATION SUMMARY We are excited to present InfraGard Overview and Business Email Compromise. InfraGard is a partnership between the FBI and the private sector. It is an association of persons who represent businesses, academic institutions, state and local law enforcement agencies, and other participants dedicated to sharing information and intelligence to prevent hostile acts against the U.S. InfraGard is dedicated to the protection of our Nation’s 16 critical infrastructures. In today’s high-tech world, email is the norm for business communication. Compromise of that communication structure would be detrimental to the business.

PRESENTERS’ PROFILES Dana Chrisman Ms. Chrisman received a Bachelor of Arts in Business Administration Specializing in Accounting from Kentucky State University. Prior to working for the FBI, Ms. Chrisman worked as Auditor with the Commonwealth of Kentucky’s Auditor of Public Accounts, and then followed as Auditor for Special Investigations with Commonwealth of Kentucky’s Office of Attorney General. Ms. Chrisman entered on duty as a Financial Analyst with the FBI, Louisville Division, Lexington Resident Agency, then served as Financial Manager in until entering on duty as a Special Agent (SA) of the FBI. She worked a variety of criminal investigative matters, as well as being a member of the Joint Terrorism Task Force in Lexington, primarily assigned to domestic terrorism investigations. SA Chrisman is a member of the Louisville Evidence Response Team. SA Chrisman is an Adjunct Instructor for ERT and Criminal Investigative Division. She is certified as a FBI Physical Fitness Advisor. Currently, she is assigned to the Human Intelligence Squad. SA Chrisman has achieved the FBI Domestic HUMINT Collector Certification. She is Outreach Coordinator for InfraGard, Strategic Partners, and Domestic Security Alliance Council, upon realignment of these programs under the Office of Private Sector within the Deputy Director’s Office at Headquarters in Washington, DC. SA Chrisman has participated in the Relief Supervisor and, was selected as Secondary Relief Supervisor for the Regional Computer Forensics Laboratory in Louisville.

LUNCH MENU

The monthly meeting includes your choice of one meal selection: Grilled Chicken & Spin-

ach Salad With roasted garlic, red onion, sun-dried toma-toes, bacon, goat cheese. Balsamic Vinai-grette.

Mideast Grilled Cheese

Flat bread stuffed with spinach, green onion, mushrooms, Havarti cheese and pan-fried.

Chicken Florentine

Oven roasted boneless

chicken breast topped

with a creamy spinach,

green Chile, and cheddar

and parmesan cheese

sauce. Served with rice

and vegetables.

Turkey Sandwich Smoked turkey breast, Cheddar cheese, lettuce & tomato on toasted wheat bread (Packet of mayonnaise & mustard on the side). Served with chips.

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OCTOBER EAST END AFTERNOON MEETING

Date: Thursday, October 27, 2016

Registration: 2:30 - 3:00 p.m. ET

Meeting Time: 3:00 - 5:00 p.m.

Presenter(s): Elizabeth Woodward and Jim Tencza

CPE credits: 2 hour

Cost: Member Price: $15

Non-Member Price: $20

Location: Republic Bank—Springhurst

Community Room, Lower Level

9600 Brownsboro Rd.

Louisville, KY 40241

Registration: Here

PRESENTATION SUMMARY We are excited to present the Ethics Annual Update. The presentation will include ethical expectations and concepts for CPA’s and Internal Auditors including ethical decision making challenges and current fraud schemes. The presentation will qualify for 2 hours of Ethics Training as required by the Kentucky State Board of Accountancy.

PRESENTERS’ PROFILES Elizabeth Woodward, CPA, CFF, CFE Elizabeth Woodward, CPA, CFF, CFE is Director of Forensic Accounting and Litigations Support at Dean Dorton Allen Ford, PLLC. Elizabeth obtained her Master of Business Administration with a concentration in accounting from the University of Kentucky. She worked in the audit group of KPMG, and later joined Dean Dorton. She has over 20 years of experience in public accounting. In addition to being a Certified Public Accountant, Elizabeth is also holds a Certification in Financial Forensics (CFF), and is a Certified Fraud Examiner (CFE). Jim Tencza, CPA, CGMA Jim Tencza, CPA, CGMA, is Director of Assurance Services at Dean Dorton Allen Ford, PLLC. Jim has 26

years of experience in public accounting with a focus on providing assurance, audit (internal and external), accounting and business advisory services to organizations of various sizes and industries. Prior to joining Dean Dorton, he had 19 years of experience with global accounting firms where he worked extensively with public companies and large private companies with multiple locations and international

operations. Jim’s internal audit experience includes providing co-sourced and

outsourced internal services, internal audit director responsibilities, risk

assessments, and numerous consulting engagements, many of which included

developing policies and procedures to strengthen internal controls. In addition to

being a Certified Public Accountant, Jim is also a Chartered Global Management Accountant

(CGMA).

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LOCAL IIA NEWS

UPCOMING LOCAL EVENTS

IIA SURVEY

DRAWING

Congratulations to Kris-teen Pate who was the winner of the gift card from the IIA Louisville

Survey Drawing!

FALL EVENT: FALL 2016 STUDENT NETWORKING EVENT The Louisville Chapter of The Institute of Internal Auditors (IIA) and the Information Systems Audit and Control Association (ISACA) “Fall 2016 Student Networking Event” will be held on November 3, 2016, in Ballroom B of the University Club, 200 E. Brandeis Ave., Louisville, KY 40208. Chapter volunteers are needed from 4:00– 6:00 pm ET for participation in the networking portion of the event. During this portion, we will have 6 tables that will accommodate 10 persons. Accounting and Computer Information Systems professors and students from five campuses have been invited. Event parking is adjacent to the left of the University Club and is free to attendees. Visit the University Club webpage for directions. Please seriously consider representing our chapter during this student networking activity. Since the purpose of this event is to provide students the opportunity to interact with internal audit professionals and to promote internal audit as a career choice, we are requesting at least six IIA and/or ISACA members be present. Members interested in participating in this event should email Judy Martin or contact her at (502) 852-7789, Sonja Heath or contact her at (502) 580-3246, Chrissy Evans or contact her at (502) 774-7644, Matt Harmeyer or contact him at (502) 580-3336. Schedule of Student Events 4:00—4:30 pm ET 10-15 minute introductory remarks by local Chapter Presidents of the Louisville IIA and ISACA organizations 4:30—5:45 pm Networking, hors d’oeuvres, Q&A 5:45– 6:00 pm Wrap up and grand prize drawing

JOB OPPORTUNI-

TIES

The local chapter has job opportunities posted on the chapter website

here.

Date Topic Speaker

10/27/2016 Annual Ethics Update Elizabeth Woodward and Jim

Tencza

11/8/2016 InfraGard Overview and Business Email

Compromise Dana Chrisman

12/13/2016 Workplace Bullying Tony Belak and J-R Curtin

1/10/2017

How to Prepare for Audit Committee and Board of Director Expectations from

Cybersecurity and Audit AJ Armour

1/X/2017 Anti-Money Laundering and Terrorist

Financing Brenda Buetow

2/14/2017 TBD TBD

3/14/2017 TBD Adam Keal

4/11/2017 Current Status of IT Audit Jamey Reynolds

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LOCAL IIA NEWS

REMEMBER TO REPORT CAP ACTIVITIES

CAP points are awarded for numerous audit-related activities such as making group presentations, earning IIA certifications, serving on IIA national committees, submitting videos to AuditChannel.tv, writing exam questions for IIA certifications, participating in Junior Achievement programs, hosting internal audit events at the workplace, publishing IIA events or proclamations in company newsletters, and submitting original articles to Internal Auditor magazine or other professional journals. In addition, new chief audit executive (CAE) membership to the Audit Executive Center (AEC), and becoming involved in AEC activities such as referring authors, submitting thought leadership pieces, and submitting resource documents (e.g. audit tools, templates, plans, programs) to the AEC Resource Library also earn CAP points for the chapter. Please keep these in mind during the upcoming summer months and report any activity to Chapter Secretary and CAP Committee Chairperson Jenni Schelling.

CALL FOR VOLUNTEERS

A list of current chapter

committees is on page

seven. Chairpersons for

each committee are ap-

pointed each year by the

newly-elected chapter

president. Volunteers are

needed to work under

the direction of commit-

tee chairpersons.

Remember that you help

shape the success of the

chapter through your

volunteering efforts. If

you have not previously,

or recently, served on a

chapter committee,

please seriously consid-

er volunteering. If you have an interest in a certain committee and would like to serve, or have questions about specific committee re-sponsibilities, please con-tact Sasha Pavoni or Son-ja Heath.

MEMBERSHIP ANNIVERSARIES We would like to recognize our chapter members who are celebrating milestone membership

anniversaries in The IIA. Congratulations to all of you!

Milestone Name

5 Years Tara Hill, Lisa Stamper

10 Years Shannon Loyd, Daniel Daugherty

20 Years Jodi Renn

CERTIFICATION RECOGNITION

Kevin Bilbrey and Josh Higdon completed the requirements for the Certified Internal Auditor (CIA) program and has therefore earned the CIA designation.

VOLUNTEER OPPORTUNITY Annually, Jefferson Public County Schools (JCPS) campaigns “Make the Connection” program, con-

necting with JCPS 7th graders around career exploration. The Goal is for every 7th grader in participat-

ing JCPS middle schools to have an opportunity to meet with a professional to hear about their career

and the path that got them there. Currently, 20 of 25 middle schools are participating. In order to

reach the goal, JCPS needs 1,000 citizens to give 1 hour of their time between October 5th and 31st. To

get involved click here to sign up and find a date/time/location that works for your schedule! Ques-

tions? Contact the JCPS Business Partnerships office directly at (502) 485-3995 or taw-

nya.may@jefferson.kyschools.us.

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NATIONAL IIA NEWS

FUTURE IIA SEMINARS AND CONFERENCES

Conference Date Location

Environmental, Health and Safety Exchange

January 9-10, 2017 Las Vegas, NV

General Audit Management Conference

March 20-22, 2017 Orlando, FL

Gaming and Hospitality Conference

April 19-20, 2017 Las Vegas, NV

Western Regional Conference June 6-9, 2017 Anaheim, CA

International Conference July 23-26, 2017 Dallas-Ft. Worth, TX

UPCOMING IIA WEBINARS

Auditing the Speed of Risk

November 15, 2016 1:00-2:00 p.m. ET

CPE credit is available for those attending live broadcasts of IIA members-only webinars and guidance briefings, and completing polling questions. Registration is required.

MANAGING YOUR AUDIT CAREER IIA President and CEO Richard Chambers, CIA, CGAP, CCSA, CRMS, has recently shared his personal reelections and insights through “top lists” blogs. We wanted to share with you a few of these with our members. Check out the links to read more. Where was Internal Audit? Beware Rushing to Judge Click Here for the full article. There has been no shortage recently of corporate scandals born from ineffective corporate governance, poor risk management, and toxic cultures. In each case, I inevitably hear the question, "Where was internal audit?" There is never a simple answer to that question. As with all things as complex as modern business, there is rarely an easy explanation when things go horribly awry.

In each instance, media reports, regulatory filings, or company statements — even the occasional congressional hearing — give us a glimpse into a piece of what may have led the organization astray. But to suggest a failure by internal audit is a conclusion that should be drawn only when the facts are known. As college football commentator Lee Corso is fond of saying, "Not so fast my friend."

In most instances, there are simply too many unknowns about the actions of the organization's internal audit function or its responsibilities for the public to reach an informed conclusion about what it should have done, or failed to do, or was kept from doing.

Here are three things that can be safely assumed about high-profile organizations that suffer high-profile scandals or failures:

Big organizations face a myriad of risks.

Even when internal audit functions are well-resourced, it is highly unlikely they have the resources to address every one of those risks.

A failure of risk management doesn't necessarily equate to a failure by internal audit.

PRESIDENT AND NOMINATING COMMITTEE CHAIR

Sasha Pavoni Humana, Inc. (502) 476-2118

VICE PRESIDENT Sonja Heath Humana, Inc. (502) 580-3246

SECRETARY AND CHAPTER

ACHIEVEMENT PROGRAM CHAIR Jenni Schelling Louisville Water Company (502) 569-3647

TREASURER Brittany Schaefer Hilliard Lyons (502) 588-1191

ACADEMIC RELATIONS Judy Martin University of Louisville

ADVOCACY/DIVERSITY Sibert Matsekeza Humana, Inc.

AUDIT Shawn Stevison CHAN Healthcare Auditors

CERTIFICATIONS Bob Aemmer LG&E and KU Energy

CHIEF AUDIT EXECUTIVE ROUNDTABLES

Ann Bauer Republic Bank

GOVERNMENT RELATIONS

Connie Davis Kentucky Retirement Systems

JUNIOR ACHIEVEMENT Jennifer Vittitoe Humana, Inc.

MEMBERSHIP Dan Knight Humana, Inc. Brent Dunne Gillies Hilliard Lyons

NEWSLETTER EDITOR Kevin Graham PBI Bank

PROGRAMS/SEMINARS Melanie Nesler PWC

QUALITY ASSESSMENT REVIEWS Jodi Renn Kentucky Higher Education Student Loan Corporation

ADVERTISEMENT POLICY Area employers are eligible for free recruitment postings on the Louisville IIA website and in the monthly newsletter, IF at least one employee is a member of the local chapter. Newsletter advertisement rates for employers without a local chapter member and executive search firms are: $50 – ½ page; $100 – full page. Paid advertisements also include posting of recruitment information on the chapter website for one month. Payments must be received prior to posting. For more information, please email the Louisville IIA Chapter President or Secretary.

ELECTED MEMBER TERMS Ann Bauer (Thru 12/31/2016) Republic Bank

Connie Davis (Thru 12/31/2017) Kentucky Retirement Systems

Jodi Renn (Thru 12/31/2016) Kentucky Higher Education Student Loan Corporation

Derrick Singletary (Thru 12/31/2016) Stock Yards Bank & Trust Jennifer Vittitoe (Thru 12/31/17) Humana, Inc.

PAST PRESIDENTS TERMS Melissa Koellner (Thru 5/31/17) Humana, Inc. Gretchen Wagner (Thru 5/31/18)

Humana, Inc.

SOCIAL ACTIVITIES Andrea Higgins Robert Half Management Resources

WEBMASTER/SOCIAL MEDIA Sonja Heath Humana, Inc.

Page 7 Derby City Disclosures

OFFICERS AND COMMITTEE CHAIRPERSONS

BOARD OF GOVERNORS

P.O. Box 70092 Louisville, KY 40270