Derby City

Is everyone ready for some April showers? With all the rain we had in March, it seems like spring is already sprung. I know that my flowers have started popping up already. As we gear up for Derby season in Louisville, I have a few reminders for everyone.

The deadline for our second annual Tone at the Top award nominations is March 31,

2018. Information on how to nominate someone can be found here. The award will be

presented at our May lunch meeting.

It is no April Fool’s Day prank, we will be holding the April lunch meeting on Tuesday,

April 3, which is the first Tuesday of April as opposed to the second Tuesday. Andy

Lemon of French Lick Resort & Casino will be presenting. Mark your calendars now for

this exciting event a week earlier than usual.

On April 24 we will have our final afternoon meeting of the year at the Robert Half offices in the Flashcube

building. The presentation will be on Ethics, and is the second offering for any CIA’s in the chapter to get the

newly required 2 hours of ethics CPE for 2018.

I hope everyone has a great April, and we see you at our meetings this month!

Sonja Heath, CIA

IIA Louisville Chapter President

The newsletter will be published monthly from September 2017 through May 2018. If you have a request for a submission please email the information to kgraham@limestonebank.com and your submission will be included in the next month’s issue.

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Louisville IIA Chapter News Disclosures

March was a busy month for our chapter. We hosted an 8-hour seminar led by Danny Goldberg on the topics of Optimization Auditing and Ethics. The speaker for our monthly luncheon meeting was our very own Social Activities Chair, Andrea Higgins, who partnered with her associate Barbara Burridge on the topic Staffing, Automation and Compliance Challenges in Finance and Accounting. On March 23rd, 14 of our members taught 1st and 2nd grade classes at Sanders Elementary for the Junior Achievement program. Not only is this an excellent way to serve the community and introduce Internal Audit professionals to young students, but we earned 70 CAP points for this event. The CAP total is currently 1,250 and the categories are listed below. Service to Members—612 Service to Profession—434 Chapter Administration—204

Page 2 Derby City Disclosures

Date: Tuesday, April 3, 2018

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

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

Presenter(s): Andy Lemon

CPE credits: 1 hour

Cost: Member Price: $25

Non-Member Price: $30

Location: Bristol Bar & Grill Downtown

614 W Main St

Louisville, KY 40202

Registration: Here

The speaker will explore the development of a casino KYC program and discuss red flags used to identify suspicious activity, and various open source investigation techniques utilized to help identify money laundering and drug trafficking. Learn how the Casino Compliance Manager works with the Indiana Gaming Commission, reviews marketing collateral compliance, plays a vital role in the patron eviction and readmission processes.

Andy Lemon, CFE Andy Lemon is the Casino Compliance Manager at French Lick Resort & Casino (“FLRC”) located in Southern Indiana. He is responsible for directing the Casino’s Compliance Program and acts as the designated BSA Compliance Officer for the Casino's Anti-Money Laundering Program. He was responsible for developing and implementing the Casino’s current Know Your Customer (KYC) program. Andy has also worked as an Internal Auditor evaluating the adequacy and effectiveness of internal controls of the Casino including conducting the BSA/AML (Title 31) audit. Prior to joining FLRC, Andy was the Compliance Auditor at Republic Bank where he was responsible for managing the Bank’s third party risk of Tax Refund Solutions and prepaid cards and he consulted for the audit programs of Jackson Hewitt, Liberty Tax, and H&R Block. Additionally, he has worked in the Regulatory Compliance Department at Springleaf Financial Services and American General Finance.

Andy is a Certified Fraud Examiner (CFE) and a ServeSafe Food Protection Manager. Andy is a graduate

of the University of Southern Indiana where he has served on the Alumni Council for six years as

chairman of Government Relations. Currently, he is in his second year as a Town Council Member with

Greenville, Indiana. He currently serves on the boards of Greenville Water & Wastewater Utility, River

Hills Economic Development & Planning Commission, and the Indiana Council on Problem Gambling in

Indianapolis. He has served as a volunteer for the IIA including as the President of the Tri-State

(Evansville) Chapter in 2012 and as a speaker at the IIA Leadership Conference in Orlando, IIA events in

Louisville and Indianapolis, and at the IIA Gaming Conference in Las Vegas.

The monthly meeting includes your choice of one meal selection:

Salmon Track Salad Grilled Atlantic salmon, fresh blueberries, straw-berries, feta cheese & almonds, served over spinach

Theresa’s Sweet Chili

Linguini pasta tossed with cream and Thai chili sauce topped with blackened chicken Mideast Grilled Cheese

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

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

Page 3 Derby City Disclosures

Date: Tuesday, April 24, 2018

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

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

Presenter(s): Pat Cass and Keith Richardson

CPE credits: 2 hours

Cost: Member Price: $15

Non-Member Price: $20

Location: Flash Cube Building

9300 Shelbyville Road

Louisville, KY 40222

Registration: Here

In 2018, two of your CPE credits must be earned in Ethics! That’s why we are excited to present the Ethics Annual Update. The presentation will include principles that are relevant to the profession and practices of internal auditing, and rules of conduct that describe behavior norms expected of internal audits and CPAs.

Patrick Cass

Pat is an Independent Board Member and the Chair of the Finance and Audit Committee at ReliabilityFirst Corporation, Cleveland, Ohio. He has over 40 years of experience as a CPA and is a former Office Managing Partner with EY and Arthur Andersen. Pat has served public companies in four United States markets: Columbus, Ohio; Tampa, Florida; Cleveland, Ohio; and Louisville, Kentucky. Retired from EY in 2009. Since retirement from EY, he has been an Instructor and Executive in Residence for the University of Louisville’s College of Business Undergraduate and Masters Programs (June 2013 – June 2015), a guest lecturer in Bellarmine University’s Accounting and MBA Courses, and a Co-developer and instructor of Ethics Courses for CPA’s.

Dr. Keith Richardson

Dr. Keith Richardson is a Professor of Accounting at Bellarmine University. He has been at Bellarmine for twenty-one years. His teaching areas are Financial II, Financial III, and Masters of Business

Administration. He received his bachelor’s degree from the University of Puget Sound, an MBA from Pacific Lutheran University, and a Ph.D. from the University of Oregon. Previous professional experience includes: audit manager, Dwyer Pemberton & Coulson, CPA; staff accountant, Arthur Andersen & Co.; controller and operations manager, Ostrom’s Mushroom Farms; and financial vice president, Affiliated American Corp.

Page 4 Derby City Disclosures

Please visit the IIA Louis-ville Chapter’s career section for opportunities.

New CPE Reporting Policy The updated CPE Policy (formerly known as Administrative Directive No. 4) went into effect 1 January, 2018, and includes a new CPE requirement on ethics. The new requirement states that Certified individuals are required to complete two CPE hours focused on the subject of ethics. Ethics training hours may be applied toward the individual’s total annual CPE requirement. The IIA does not prescribe where an individual must obtain this training. However, the training must occur annually, within the reporting period.

The IIA Louisville is excited to begin accepting applications for our Second Annual Tone at the Top Award. Please complete the application, and return it to Sonja Heath by March 31, 2018. The award will be presented at our May 2018 lunch meeting. Click here to apply.

Date: Tuesday, April 10, 2018

Meeting Time: 8:00 a.m. - 5:00 p.m. ET

Presenter(s): Bill Woodington

CPE credits: 8 hours

Cost: Member Price: $15

Non-Member Price: $20

Location: Lexington, KY

Registration: Here

This class is for all individuals who desire to improve their business writing skills. The class topics include the building blocks of writing to achieve results, determining audience and purpose, mindmapping, transparent structure, cutting the clutter, making sentences make sense, active/passive voice, evaluating writing examples, agreement with antecedents, subject/verb agreement, parallel construction, editing, proofreading, and email. What you will gain from this seminar: Discover the building blocks of writing to achieve results

Use the building blocks to evaluate all forms of writing

Practice using the mindmapping tool for organizing your thoughts

Use transparent structure

Practice cutting the clutter and editing run-on sentences

Learn the difference between writing in active vs. passive voice

Practice using a grammar reference manual to edit your own writing

Learn the basic components of editing and proofreading

Learn how to avoid the mistakes of using email

Page 5 Derby City Disclosures

Date Location

May 6-9, 2018 Dubai, UAE

Aug 13-15, 2018 Nashville, TN

Oct 1-2, 2018 Washington DC

Oct 22-24, 2018 Las Vegas, NV

Auditing Reimagined

April 3, 2018

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

Turning Ethical Challenges into

Strategic Opportunities

April 17, 2018 1:00-2:00 p.m. ET

Auditing Culture

May 15, 2018

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.

IIA President and CEO Richard Chambers, CIA, CGAP, CCSA, CRMS, has recently shared his personal reelections and insights through his blog. We wanted to share with you a few of these with our members. Check out the links to read more. For Internal Audit, the War for Talent Is Pivotal Click Here for the full article. This year, I am admonishing internal auditors to focus on the future, as the profession responds to rapidly changing stakeholder expectations. Disruptive technology and an increasingly dynamic risk landscape are driving the profession toward transformation, and we must take bold steps to ensure we successfully pivot to new demands.

Recruiting and retaining staff is one of the toughest challenges we face in achieving this transformation.

The IIA's 2018 North American Pulse of Internal Audit and the 2018 Global Risk Report each cite survey data that reflect the growing struggle for talent. Seventy-two percent of chief audit executives (CAEs) report they have talent gaps to fill to carry out their audit plans, according to the Pulse. When asked to rate the skills or expertise that are proving most difficult to recruit, more than 75 percent of respondents list five that are "somewhat" to "extremely difficult" to find:

Data mining and analytics.

Innovative thinking.

Cybersecurity and privacy.

Industry specific knowledge.

Business acumen.

Other skills that are proving elusive include expertise in risk management assurance, persuasion and collaboration, governance and culture, and fraud investigation/auditing.

Sonja Health Humana, Inc. (502) 580-3246

Mame Balla Sarr American Commercial Barge Lines (812) 288-0250

Jenni Schelling Louisville Water Company (502) 569-3647

Brittany Schaefer Kindred Healthcare (502) 596-7605

Judy Martin University of Louisville

Open

Shawn Stevison CHAN Healthcare Auditors

Bob Aemmer LG&E and KU Energy

Open

Jodi Renn Kentucky Higher Education Student Loan Corporation

Jennifer Vittitoe Humana, Inc.

Brent Dunne Gillies Hilliard Lyons Lee Taylor Hilliard Lyons

Kevin Graham Limestone Bank

Melanie Nesler Computershare

Jodi Renn Kentucky Higher Education Student Loan Corporation

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.

Craig Robinson (Thru 12/31/2018) Churchill Downs

Glenn Reed (Thru 12/31/2018) Louisville Metro

Whitney Reh (Thru 12/31/2018) Humana, Inc. Brandon Booth (Thru 12/31/2019)

Louisville Metro Government

Erin Bukowski (Thru 12/31/2019)

Citizens Union Bank

Sasha Pavoni (Thru 5/31/19) Humana, Inc. Gretchen Wagner (Thru 5/31/18)

Humana, Inc.

Andrea Higgins Robert Half Management Resources

Sonja Heath Humana, Inc.

Page 6 Derby City Disclosures

OFFICERS AND COMMITTEE CHAIRPERSONS

BOARD OF GOVERNORS

P.O. Box 70092 Louisville, KY 40270