Agenda and minutes

To receive any apologies for absence.

Apologies were received from Cllr Mrs J B Binks.

To receive any questions relating to items on the Agenda from members of the public and replies thereto.

There were no members of the public present.

To receive any announcements that the Chairman may wish to make.

The Chairman had no announcements to make.

To approve as a correct record the Minutes of the meeting held on 31 May 2016 (copy attached).

The Minutes of the meeting held on 31 May 2016 were approved as a correct record and SIGNED by the Chairman.

To receive a report from the Internal Audit Team Leader updating the Committee on the work performed by Internal Audit for the 2016/17 financial year.

The Committee had before it, and NOTED, a report * from the Internal Audit Team Leader updating it on the work performed by Internal Audit for the 2016/17 financial year.

This was the first progress report for the 2016/17 financial year and summarised performance between the period of 1 April 2016 to 31 May 2016. Core audits were not scheduled to start until the autumn. Systems audits had been completed for Refuse and Recycling, Stores and Data Protection & Information Security. Summary findings in relation to each of these had been included within the report.

Overall 24% of audit recommendations were overdue compared with 25% at the end of 2015/16. Two of the three high priority recommendations had been referred to the Audit Committee for approval to extend the deadline. It was AGREED that an extension of time be approved. However, since progress had been made in reducing the number of high priority recommendations attention now needed to be focussed on the medium priority recommendations. The Chairman requested that the senior officers present take this message back to the Management Team.

Note: * Report previously circulated; copy attached to the signed Minutes.

Committee to discuss any issues arising from any Audit reports they have received since the last meeting. During discussion of this item it may be necessary to pass the following resolution to exclude the press and public having reflected on Article 12 12.02(d) (a presumption in favour of openness) of the Constitution. This decision may be required because consideration of this matter in public may disclose information falling within one of the descriptions of exempt information in Schedule 12A to the Local Government Act 1972. The Committee will need to decide whether, in all the circumstances of the case, the public interest in maintaining the exemption, outweighs the public interest in disclosing the information.

ACCESS TO INFORMATION ACT – EXCLUSION OF THE PRESS AND PUBLIC

RECOMMENDED that under section 100A(4) of the Local Government Act 1972 the public be excluded from the next item of business on the grounds that it involves the likely disclosure of exempt information as defined in section 100l and paragraph 3 of Part 1 of Schedule 12A of the Act, namely information relating to the financial or business affairs of any particular person (including the authority holding that information).

(Please note: This is a standing item which may not be needed should discussion have taken place regarding internal audit reports under the previous item on the agenda)

Brief discussion took place regarding the following internal audit reports:

Stores

It was suggested that EBay was a good option for selling obsolete stock.

Data Protection and Information Security

The Chairman stated that he had reminded Conservative colleagues of the need to complete all data protection policies. There were still a number of Members who had not completed all of these and as data controllers they had a responsibility for personal information and they needed to be aware of that in order to avoid a breach of the Act and possible financial penalty, as well as posing a reputational risk to the individual and organisation.

The Monitoring Officer had given Members a deadline of 15 July 2016 to complete the outstanding courses and policies otherwise their names would be forwarded to the Standards Committee.

To receive a report from the Audit Team Leader summarising the changes to the arrangements for appointing External Auditors following the closure of the Audit Commission and the end of the transitional arrangements at the conclusion of the 2017/18 audits.

The Committee had before it a report from the Internal Audit Team Leader summarising the changes to the arrangements for appointing External Auditors, following the closure of the Audit Commission and the end of the transitional arrangements, at the conclusion of the 2017/18 audits.

It was explained that this was a standardised report from the Local Government Association. The Council would need to consider the options available and put in place new arrangements to make a first appointment by 31 December 2017. The Committee was requested to consider its preferred approach regarding each of the three options presented in the report. The Local Government Association would be issuing formal invitations to opt-in to the Sector Led Body (SLB) in September 2016 which would have to be open for a minimum of 8 weeks. Therefore a formal recommendation would be made to full Council at the 20 September 2016 Audit Committee meeting.

A brief discussion took place regarding the option to opt-in to a Sector Led Body which would mean that individual elected Members would have less opportunity for direct involvement in the appointment process other than through the Local Government Association and/or stakeholder representative groups.

It was AGREED that a further report be brought before the Committee at its meeting on 20 September 2016.

Note: * Report previously circulated; copy attached to the signed Minutes.

To receive a verbal update from Grant Thornton on progress in delivering their responsibilities as the Council’s external auditors.

The Head of Finance explained that the external auditors had had to send their apologies to the meeting as they had vital work to complete in order to meet the desired timescales. He further explained that he had just had a meeting with them and they had confirmed that their work was 95% complete and that they were happy with what they had seen so far. They had confirmed that they would be able to present their findings to a special meeting of the Committee on 15 July 2016.

To agree a start time for a possible Special Meeting on Friday 15 July 2016.

It was AGREED that it was not necessary to have the Audit Committee meeting scheduled for 26 July 2016 in addition to the special meeting on 15 July and therefore the meeting on 26 July be cancelled.

It was further AGREED that the meeting on 15 July commence at 11am to allow time for the external auditors to return to their office and complete their administration in relation to the audit.

Members are asked to note that the following items are already identified in the work programme for the next meeting:

·         Annual Governance Statement (final version for sign off)

·         Annual Report and Accounts for 2015/16 (final version for sign off)

Note: This item is limited to 10 minutes. There should be no discussion on the items raised.

In addition to the finalised Annual Report and Accounts and the Annual Governance Statement it was noted that the following reports would also be included on the agenda for the next meeting and that anything that would have come to the 26 July meeting be brought to the meeting on 15 July instead:

·         Grant Thornton 2015/16 Audit Findings

·         Grant Thornton – Value for Money report (which would include the Letter of Representation)