Agenda item

The Principal Accountant  introduced the officer report.

RESOLVED       i. that the reports be noted.

                          ii. that the comments from the Panel for Council be finalised by the Chair.

INTERNAL AUDIT UPDATE

The Head of Corporate Resources introduced the report. Panel members noted that the Council’s Internal Audit was going through a restructure following the end of the  internal audit contract in June 2014. It was noted that arrangements were being put in place to ensure that the core audits, school audits and IT audits were completed on time. The Head of Corporate Resources highlighted the status of the completed audit plan and informed Panel Members that there had not been any significant outcomes different to those reported in the annual assurance report.

The Head of Corporate Resources informed Panel members that following discussion at the Control Board the internal audit plan year-end has now changed from March to June for 2014/15. The Head of Corporate Resources said that this would align with the annual reporting cycle that ends in June each year. Panel Members were told officers would not have to do this work during their most busy time, and arrangements have been agreed with the external auditors.

Panel members noted that the Council was currently in talks with Greenwich Council to assist with the Lewisham School’s audits. It was noted that officers could now access the Croydon framework which is a partnership with the professional services firm Mazars, and the Islington framework with Price Waterhouse Coopers.

Councillor Mallory asked what extra resources had been provided to support officers following the close of Baker Tilly’s contract. The Head of Corporate Resources said although some staff had the right to stay with the Council under Tupe, they requested not to exercise those rights. Councillor Mallory asked whether the proposed contract would cost more, and was told the service budget is slightly less than the previous contract. Councillor Mallory also asked if this meant that the Council was behind on its audit plan. The Head of Corporate Resources said that the 16 core financial audits including the key risks areas such as projects and contract management and IT, and schools, have been given priority and arrangements have been put in place to complete them for 2014/15.

Councillor Barnham asked when the restructuring would be completed and was told in three years the key staff for the new structure would have been recruited. Panel members were told that there would be three new Trainee Accountants who were being appointed, 1 each year. The Head of Corporate Resources said that officers would update the Audit Charter by March. Following a question from the Chair, the Head of Corporate Resources clarified the Internal Audit structure. The Chair thanked officers for the report, stating that panel members were now well informed about internal arrangements.

RESOLVED  that the report be noted.

ANTI-FRAUD AND CORRUPTION UPDATE

The Head of Corporate Resources introduced the report, and said the Anti-Fraud and Corruption had been informed that the responsibility for the investigation of benefit fraud will move to the Single Fraud Investigation Service from 1 April 2015. He added that two of the team members would likely be transferred to the Department of Works and Pensions. He said officers have been working very hard to clear their current workload.

Councillor Ingleby congratulated officers for recovering properties connected with 15 cases, and potentially saving up to £270,000 of public funds. The Chair said she was impressed with the collection of 97% of council tax and commended officer for their hard work. 

RESOLVED that the report be noted.

Meeting ended 8:45pm                                                  

                                                                                                Chair