Beall: Building trust through accountability — How the Audit Committee strengthens Valley Water

At Valley Water, we believe accountability and transparency help us better serve the public. One way we uphold these values is through our Board Audit Committee, which provides independent oversight to help strengthen our organization’s performance.

The Audit Committee consists of three directors who work under a formal charter. This year, I am proud to serve as the committee chair. We work to identify risks, prioritize audits and ensure our agency runs efficiently and serves the public’s best interest.

Every three years, the committee leads a thorough risk assessment conducted by the chief audit executive. This assessment includes feedback from our staff and board and focuses on high-risk areas like capital project delivery and contracting best practices.

The committee usually starts three to four audits each year. We carefully balance the scope of these audits with the staffing needed to manage audits and daily operations. The benefits of this oversight are clear. Since March, we have completed two audits and acted on 13 recommendations. Here’s a quick overview of some of our areas of improvement:

• The Safe, Clean Water Program Grant Management Audit has concluded, and as a result, the program has been redesigned to help community partners apply more easily, access grant funding faster and achieve better results overall.
• The Permitting Best Practices Audit has made our processes faster and more transparent. We are still working on additional improvements.
• Valley Water’s Capital Improvement Program (CIP) is a long-term plan for investing in infrastructure projects that support water supply, flood protection and environmental stewardship. The CIP Audit contained 15 recommendations to improve planning, transparency and project prioritization. So far, 12 of these recommendations have been implemented.
• The Human Resources Audit has brought better communication and stronger leadership training, with high-priority items still in progress.
• And finally, the Close-out Audit of the 2012 Safe, Clean Water Program is helping us refine accountability measures as we move forward with the renewed program.

In addition to monitoring progress, the committee plays a forward-looking role. Planning for the 2026 audit cycle is already underway, and board approval is expected later this year.

I’m proud of the work we’ve accomplished this year. One new step we incorporated is reviewing the annual financial audit reports of the joint powers authorities in which Valley Water participates. Known as JPAs, these are public entities created by two or more public agencies to jointly exercise common powers, such as pooling resources for shared infrastructure. Valley Water participates in six of these JPAs.

The audit committee’s work may not make headlines, but it is crucial for building public trust. By identifying risks, implementing solutions and holding ourselves accountable, Valley Water is better positioned to deliver safe, reliable water and protect our natural resources. Oversight is not just a box to check — it is a key responsibility that we take seriously for our community.

Jim Beall represents District 4 on the Valley Water board of directors and is chair of the Audit Committee.