Agenda and minutes

To approve as a correct record the minutes of the previous meeting held on 25 January 2018.

The minutes of the previous meeting held on the 25^th January 2018, copies of which had been circulated, were agreed as a correct record and signed by the Chairman.

An apology of absence was received from Councillor David Norris.

In accordance with the Council's current Code of Conduct (as amended 26 February 2015), which includes all the provisions relating to Disclosable Pecuniary Interests (DPI), personal and prejudicial interests, Members are asked to declare any DPI and also any personal interests (and whether or not such personal interests are also "prejudicial") in relation to any matter on the agenda for this meeting. 

There were no declarations of interest, however Councillor Anna Groskop advised that she was also a Somerset County Council councillor.

There were no members of the public present during the meeting.

Councillors are requested to note that the next Audit Committee meeting is scheduled to be held at 10.00am on 22 March 2018 in the Main Committee Room, Brympton Way, Yeovil.

Members noted that the next meeting of the Audit Committee was scheduled for 10am on Thursday 22^nd March 2018, in The Main Committee Room, Brympton Way, Yeovil.

Beth Garner, In-charge Auditor, Grant Thornton, presented the report to members.

Some of the key highlights from her plan included;

·         She drew member’s attention to the significant risks which had been identified and were detailed on page 8 of the agenda.

·         She explained that materiality had been set at 2%, which was just under £1.7 million.

·         The Transformation Project had been identified as a significant risk under the Value for Money arrangements.

·         She summarised the Reasonably Possible Risks identified, which included employee remuneration and operating expenses.

·         She explained that 19^th July 2018 was the suggested date for publishing the Audit Findings Report. She further explained that a lot of the end of year work would be carried out in June.

In response to a member’s question, Barrie Morris – Grant Thornton, clarified that the payroll expenditure was 18% of the Councils total operating expenses. He agreed to amend the report on page 12 of the agenda, and to include the word ‘total’ to reflect this. He advised that this figure included money spent on housing benefit grants.

During the discussion, the Lead Specialist (Finance) confirmed that there was an accountant already working on asset valuation in preparation for year-end as this had previously been identified as a high risk area.  She further advised that the council’s specialised assets, such as Goldenstones were re-valued every year, and an analysis of non-specialised assets was being carried out as well to ensure the valuation was not materially incorrect.

RESOLVED:  that members noted the report.

Laura Wicks – Senior Auditor SWAP, presented her report to members. She highlighted some of the points from her update report to include;

·         She explained that page 26 of the agenda report summarised the progress made and advised that the healthy organisation report for 2016/17 had recently been finalised and issued.

·         She also explained that the reports for Cyber Security, Grant Funding fraud Audit, Creditors, Payroll and Cash Receipting had also been finalised.

·         A reasonable opinion had been provided on the Cyber Security report, however significant risk had been identified.

·         She explained that following a more positive report on Housing Benefit from Grant Thornton, they would still be looking at Housing Benefit, however on a reduced scale.  

·         The Risk Management report has not yet been started however would now be looked at within the 2018/19 plan as the Transformation Project was considered a greater risk.

The Director of Strategy and Commissioning explained that there would be a permanent Procurement and Risk post included within the new structure. She further confirmed that there was a risk register which was being updated, however advised that some of the risks may not be strategic risks and that a review of the list would be taking place.

RESOLVED:  that members noted the report.

The Director of Strategy and Commissioning presented her update report to members. She summarised the 12 steps to implement GDPR as provided by the Information Commissioner’s office and advised members of the progress which had been made.

She advised that the implementation of GDPR and wider data protection issues would become a stream of the Transformation Project and that updates were being provided to Scrutiny and SLT regularly.

She clarified that all elected members had been registered as data controllers as they were all personally responsible for the data which they collect. She explained that training would be provided for members and staff.

In response to questions from members she confirmed that she was looking at ways to offer support to the Town and Parish Council’s. One member suggested that training could be provided to Town and Parish Councils by holding workshops at the Brympton Way office.

The Support Services Team Leader advised that she would be attending each of the four area committees to offer support to the ward members and to answer and questions.

RESOLVED:  that members noted the report.

One member suggested that once appointed, it would be useful to meet the Procurement and Risk Specialist at a meeting of the Audit Committee.

Members noted the Audit Forward Plan.