Issue - meetings

The report of the Executive Manager – Finance and Corporate Services

Mr Chris Williams, Head of Internal Audit at RSM, the Council’s internal auditors presented the Council’s Internal Audit Progress Report 2017/18. It was noted that the progress report was the third report for the financial year 2017/18 and that it provided the current position on the audit programme, along with details of any significant recommendations concerning the audits completed during this period.

Mr Williams advised the Group that the Internal audit Plan 2017/18 had included 14 planned reviews, all of which had been completed. The report highlighted the completion and issuing of 8 reports:

·       Corporate Governance

·       Main Accounting

·       Data Protection

·       Contract Management

·       Creditors and e-procurement

·       Follow up

·       Allowances

·       Cyber Security an ISO27001

Mr Williams noted that all assignments had received a positive assurance. In terms of findings there were four medium priority recommendations:

·       Corporate Governance – Transparency Code information needed to be kept up to date on the Council’s website.

·       Contract Management – The Council’s Contract Register needed to be reviewed and updated

·       Contract Management – to ensure that formal agreements were in place with all contractors

·       Follow up – one medium priority relating to Land charges reconciliation which remained outstanding

Members of the group considered the report and questioned the risk in respect of cyber security and ISO27001 and whether RSM had the expertise in house to conduct audits in these areas. The Executive Manager – Finance and Corporate Governance assured the group that RSM had the required expertise to manage this type of audit. Mr Williams advised that because of the testing undertaken by RSM, the six low priority findings that had been identified had had management actions agreed in respect of the findings.

Members of the Group expressed concerns on the findings and implications in respect of Contract Management, where out of the 20 samples that had been tested three were found to not have a formal signed contract or could not be located. The Executive Manager – Finance and Corporate Services provided assurance that an additional step would be added to the procurement process to ensure that the contract could not be marked at complete until a formal contract had been entered into with the Contractor, adding that the target date  that all contracts would be up to date and completed is by 31 July 2018.

It was RESOLVED that the report be noted.