Board of Directors Our twenty-one member Board of Directors consists of the Chairman; the four Cochairmen; the three Vice Charmen in charge of our professional practice-Accounting and Audt. Tax and Administrative Services: the Vice Chairman-Administration and twelve members elected by the partners for a term of three years. The Board is responsible for considering and acting upon recommendations of the Chairman with respect to overall frm paicies and objectives, organizational concepts. scope of professional practice, operating and capta budge's significant financial commitments, and other matters affecting the broad aspects of our operations such as charges in the Partnership Agreement and comm**ee appointments Another important respon sibility of the Board is to review the au ifications of candidates and recommend their admittance to the partnership Left to right. J. Andrés Ruiz, México City; M. Paul LeBlanc, Jr., Cochairman, New York; Robert I. Jones, Cochairman, San Francisco; and Duane R. Kullberg, Chicago. Every active partner in our wordw de organization is eligible to serve on the Board. Four members are elected each year. Elected members may serve a maxmum of two consecutive three year terms Left to right: William J. Mueller, Vice Chairman-Administratie Services Practice; Samuel E. Hudgins. Atlanta Stephen Elliot In previous years, we prepared, developed, and published, as a public service, informational booklets entitled Financial Management System for Political Campaigns, Audit Criteria for Federal Political Campaigns, Federal Tax Aspects of the Political Process, and Sound Financial Reporting in the Public Sector. This year, to further support constructive efforts to achieve improved accounting, financial planning, and reporting in the public sector, we provided $50,000 for the study of appropriate accounting principles and standards of disclosure for public financing. This study is being made by the Center for the Management of Public and Nonprofit Enterprises in the University of Chicago Graduate School of Business. We continue to urge greater accountability and fiscal responsibility in the public sector similar to that required in the private sector. Several professional service engagements during the past year have confirmed the need for professional accounting services by national, state, and local governments. In December, 1975, we were retained to advise the Secretary of the Treasury of the United States on various financial and accounting matters with respect to the "New York City Seasonal Financing Act of 1975." In February, 1976, we were engaged by the U.S. Senate Committee on the District of Columbia to survey and report on the District's accounting and financial management practices. The national committees of both major political par ties in the United States have engaged us as auditors, and several candidates for political office. including both major party presidential candidates, have retained us to develop and implement accounting and financial reporting systems for election campaign activities. Other professional service engagements during this past year have included a variety of important assignments for many national, state, and local governmental entities and government-owned enterprises involved in health and welfare, finance, communications, transportation, energy, education, housing, and other public service operations in Australia, Belgium, Brazil, Italy, Spain, the United Kingdom, the United States, and several countries in Africa. Members of our worldwide organization have also voluntarily served in various public sector positions such as chairman or member of the U.S. Treasury Advisory Committee on Federal Consolidated Financial Statements, the U.S. President's Committees on Trade Negotiations and on Mental Health, the Acquisition Advisory Group for the U.S. Deputy Secretary of Defense, the Australian Government's Committee of Enquiry into Government-Owned Transport Instrumentalities, and several advisory committees to Her Majesty's Government in the United Kingdom. On a number of occasions during the past year, members of our organization have, on behalf of the firm and as a public service, testified or made presentations before legislative bodies and regulatory commissions with respect to matters of taxation, accounting practices, and financial reporting. For example, in March and April, 1976, Donald Gamet, Vice Chairman-Tax Practice, testified before the U.S. House of Representatives' Committee on Ways and Means and before the U.S. Senate Committee on Finance on matters concerning inflation, taxation, and capital formation, and before the latter committee concerning U.S. companies in international markets and the competitive factor in tax policy. In February, 1976, Harvey Kapnick, Chairman, appeared before the Subcommittee on Securities of the U.S. Senate Committee on Banking, Housing and Urban Affairs with respect to accounting and financial reporting of state and local government entities and their accounting systems and controls, as related to the issuance of securities by those entities. In the Community Many of our partners individually contribute more than the amounts required by the firm's contribution program (such amounts are not included above) Contributions of a political or religious nature are not a part of our firm's contribution program and are made on a strictly personal basis. Our personnel have recognized and responded to social needs in their countries and local communities. Our firm contribution program provides for cash contributions of approximately 4% of our worldwide cash earnings. One half of these are made by the offices of the firm and one half by the in-ship and other responsible positions in a host of A large number of our partners and personnel have volunteered personal time to undertake leader |