Issue - meetings

Report of the Director for Finance and Corporate Services

Ms Thomas from BDO, the Council’s internal auditors presented the Internal Audit Progress Report, which highlighted the completion and issuing of three reports from the 2022/23 Internal Audit Plan.

In terms of the audit findings the following was reported:

·       Risk Management received a substantial rating both in Design and Effectiveness and one medium and two low level recommendations were made.

·       The Project Management audit received a moderate rating for Design Opinion and a substantial rating for Effectiveness, with one medium and one low level recommendation being made.

·       The Environment audit received a substantial rating for Design Opinion and a moderate rating for Effectiveness with two medium and two low level recommendations.

Management actions had been agreed for all recommendations and it was noted that a moderate rating did not pose any concern.

The Chairman noted that the audit plan was progressing well and is on track to be completed on target and was pleased with the positive audit opinion.

Members of the Group asked for some clarity in respect of the risk management recommendations, expressing that the report did not make it clear what was being asked of officers to improve the mitigation of risk. Ms Thomas explained that this report provides a summary of the audits progress and that a further follow up report would come to Governance Scrutiny at a future meeting. It was noted that the report findings were positive and that there were no concerns in respect of the Council’s risk management arrangements.

The Group commented on the lapsed deadline of the Council’s Project Management Framework 2012 and asked why this had not been picked up sooner. Mr Dulay, from BDO the Council’s internal auditors explained that this had only recently been audited within the audit programme. The Director for Finance and Corporate Services added that the Framework maybe outdated, but the methodology of reporting through scrutiny and Cabinet is a good approach on larger projects, such as the Bingham Hub and Crematorium.

The Chairman asked a specific question relating added value bench marking and when was this likely to come for scrutiny. The Group were advised that there had been delays in reporting and is likely to come to Governance Scrutiny in the new year.

The Chairman reminded the group that at its meeting in June 2021 a Redmond Review report was delivered which suggested that local authority audit committees are to have an independent member. The Chairman asked what whether there was any further detail on this and whether other authorities were being proactive in this area. The Director for Finance and Corporate Services advised that local authorities will be expected to do so at some stage. However, the Group were advised attracting and retaining independent members can be challenging.

It was RESOLVED that the Group noted the progress report for 2022/23 prepared by the Council’s Internal Auditor.