(a) The board shall appoint an internal auditor for the board.
(b) The internal auditor shall report directly to the board on all matters, other than administrative matters, that require the decision of the commissioner of higher education.
(c) The commissioner of higher education shall advise the board regarding:
(1) the termination or discipline of the internal auditor; and
(2) the transfer or reclassification of, or other changes in, the powers or duties of the internal auditor.
(d) The internal auditor shall develop an annual audit plan, conduct audits as specified in the audit plan, and fulfill the other duties required by Chapter 2102, Government Code.
(e) The internal auditor shall review all audit reports with the board and the commissioner of higher education.