Agenda item

Internal Audit - Progress Report

To present a progress report of internal audit work for 2016/17.

 

(Report attached)

 

Minutes:

The Committee considered the Internal Audit Progress Report, which presented Members with progress on internal audit work for 2016/17.  The Head of the Internal Audit Shared Service (HIASS) presented the report and responded to Members’ questions on this.

 

The HIASS brought to Members’ attention the two Limited Assurance audits detailed in the report; which related to the Community Centres and Post Contract Appraisals, both of which included a number of high and medium priorities.  The HIASS spoke on the additional contracts work which had been undertaken and on the appointment of a Senior Contracts Manager who was working on developing, as well as delivering, a robust plan to address the identified risks. Officers advised that a Contracts Working Group had also been established, which fell under the under the umbrella of the Legal Team, and which was looking at various contractual matters. 

 

Mr Jones, Independent Member, stated that he was disappointed to see multiple follow up waste in the system, and that he was equally disappointed to see that a Contracts Manager had been employed by the Council.  He added that the Committee needed confirmation that any action plans drawn up to address identified issues and risks were working in accordance with agreed timescales.  Officers advised that the Contracts Manager was undertaking a whole host of work and that it had been felt that an expert in this field was needed to take this work forward.     

 

In response to a Member’s comments on the outcomes of the Community Centres audit, the HIASS agreed to provide clarification to Members outside of the meeting on the non-statutory compliance requirements referred to in the report.  Also, as a number of audits remained outstanding the HIASS undertook to provide an update report at the next meeting of the Committee.

 

The increased number of internal audit days in delivering the Plan was noted, which followed the arrival of three new auditors in the first quarter, along with a further auditor at the end of quarter 2.  This had reduced productivity as audits had taken longer to deliver, which had in turn led to an increase in the number of audit days.  In response to a Members’ question regarding any financial impact to the authority as a consequence of this, the HIAASS advised that this would be split amongst all partners.

 

The HIASS was pleased to report improvements in the Planned Follow Ups detailed in the report, with a number of these having now been satisfied and implemented by management.  A small number showed that several follow ups had taken place.  Internal Audit considered the management responses and accompanying action plans adequate to address any risks in regard to the areas highlighted, and there were no exceptions to report from an Internal Audit prospective.  In light of issues previously raised by the Committee on what were deemed to be excessive follow ups, Officers stated that the Corporate Management Team would be discussing this as this was not acceptable.  The s151 Officer would be looking at better ways of addressing and reporting on follow ups, with improvements intended for 2017/18.  If actions could not be completed within agreed timescales then management would need to look to negotiate the timings based on the level of risk involved.

 

RESOLVED that

 

subject to the required action detailed in the preamble above, the report be noted.

 

Supporting documents: