Issue - meetings

To consider Grant Thornton’s Audit Progress report for June 2011.

Paul Dossett, of Grant Thornton introduced their audit progress report for June 2011. This updated the committee of the work of the external auditors and the areas which they would be examining. These were the Accounts Audit, value for money work on the arrangements in place for financial resilience, and a review of the Council’s progress with introducing Personal Budgets to Adult Social Care users. These findings would be reported back to committee at the September 27^th meeting. Also to be reported back, as part of the ISA260 report were , the  summaries of the follow up work on :the review of partnership working , workforce management, and review of governance arrangements.  Further details of the work on Grant claim certification were also included for information.

Understanding was sought on how the areas for external examination were chosen and whether there was an opportunity to examine the Children and Young People’s service budget which was the subject of overspending in the previous financial year.  The committee noted that  the Councils risk register and risk assessment would  be considered as part of deciding the audit areas financial resilience encompasses a wide area and ,  would incorporate issues around high spend budgets. The report on financial resilience to committee in September would also  provide the external auditors views on the Council’s progress with the medium term budget which Children and Young People would feature in .  In addition internal audit were completing an audit exercise to verify the quarter one financial positions of directorates to provide assurance or raise concerns on whether the budget positions being reflected were accurate. There was also a separate internal audit exercise examining Council expenditure on procurement , a usually high spend area for Children’ s services, and any further issues or advice on better practices could be picked up in this audit as well.

An Annual audit plan had been agreed by the Audit Committee at the start of the financial year in April and would be circulated to corporate committee members for information.

The dispute among NHS and Charities commission on the consolidation of NHS charities into group accounts of an NHS body was highlighted and understanding sought on  how this action of consolidation set out in the Audit Accounts memorandum could be taken forward. The committee were advised by Paul Dossett that CIPFA had yet to resolve its final position on this matter and in turn provide guidance on how relevant charities are to be consolidated into local authority accounts .Therefore it was advisable to await this information, expected in September, before any action was taken.

RESOLVED

That the Audit Progress report be noted.