Agenda and minutes

Venue: MS Teams

Contact: Philip Slawther, Principal Committee Co-ordinator 

Note: This meeting will be webcast - use the link on the agenda frontsheet or copy and paste the following link into your internet browser: https://teams.microsoft.com/l/meetup-join/19%3ameeting_MGFiM2VmZjctOGU0Yi00YjUzLThkMDktM2EzNDJjMGY4YTJi%40thread.v2/0?context=%7b%22Tid%22%3a%226ddfa760-8cd5-44a8-8e48-d8ca487731c3%22%2c%22Oid%22%3a%22f5230856-79e8-4651-a903-97aa289e8eff%22%2c%22IsBroadcastMeeting%22%3atrue%7d&btype=a&role=a 

Items
No. Item

1.

FILMING AT MEETINGS

Please note that this meeting may be filmed or recorded by the Council for live or subsequent broadcast via the Council’s internet site or by anyone attending the meeting using any communication method. Although we ask members of the public recording, filming or reporting on the meeting not to include the public seating areas, members of the public attending the meeting should be aware that we cannot guarantee that they will not be filmed or recorded by others attending the meeting. Members of the public participating in the meeting (e.g. making deputations, asking questions, making oral protests) should be aware that they are likely to be filmed, recorded or reported on. 

 

By entering the meeting room and using the public seating area, you are consenting to being filmed and to the possible use of those images and sound recordings.

 

The chair of the meeting has the discretion to terminate or suspend filming or recording, if in his or her opinion continuation of the filming, recording or reporting would disrupt or prejudice the proceedings, infringe the rights of any individual or may lead to the breach of a legal obligation by the Council.

Minutes:

The Chair referred Members present to agenda Item 1 as shown on the agenda in respect of filming at this meeting, and Members noted the information contained therein.

2.

Apologies for Absence and Substitutions (if any)

Minutes:

Apologies for absence were received from Cllr Liz Morris.

3.

Urgent Business

The Chair will consider the admission of any late items of urgent business. (late items will be considered under the agenda items where they appear.  New items will be dealt with at item 12)

Minutes:

There was no items of Urgent Business.

4.

Declarations of Interest

A member with a disclosable pecuniary interest or a prejudicial interest in a matter who attends a meeting of the authority at which the matter is considered:

 

(i) must disclose the interest at the start of the meeting or when the interest becomes apparent, and

(ii) may not participate in any discussion or vote on the matter and must withdraw from the meeting room.

 

A member who discloses at a meeting a disclosable pecuniary interest which is not registered in the Register of Members’ Interests or the subject of a pending notification must notify the Monitoring Officer of the interest within 28 days of the disclosure.

 

Disclosable pecuniary interests, personal interests and prejudicial interests are defined at Paragraphs 5-7 and Appendix A of the Members’ Code of Conduct.

Minutes:

There were no Declarations of Interest.

5.

Deputations / Petitions / Presentations / Questions

To consider any requests received in accordance with Part 4, section B, Paragraph 29 of the Council’s Constitution.

Minutes:

None.

6.

Minutes pdf icon PDF 375 KB

To consider and agree the minutes of the meeting held on 4th February.

Additional documents:

Minutes:

RESOLVED

 

That the minutes of the meeting held on 4th February were agreed as a correct record.

 

7.

Statement of Final Accounts 2019-20 & Audit Completion Report pdf icon PDF 331 KB

Additional documents:

Minutes:

*Clerk’s Note – The Chair agreed to vary the order of the agenda, in order to take the item on the renaming of Black Boy Lane as the last item of the open part of the meeting. The minutes reflect the order of that items were considered rather than the order of items on the published agenda.*

 

The Committee received a copy of the draft statement of final accounts for 2029-20, along with the audit completion report from BDO and a covering report, as set out in the second dispatch agenda pack at pages 3-252. The item was introduced by Kaycee Ikegwu, Head of Finance and Chief Accountant and Leigh Lloyd Thomas, Partner at BDO LLP the Council’s external auditor.  At the behest of the Chair, Leigh Lloyd Thomas gave a short verbal overview of the Audit Completion report. The following key points were set out to the Committee:

  1. The Committee were advised that the outstanding issues were below the 1.5% threshold of materiality and so BDO were happy that the accounts were a fair and true reflection, even without concluding the outstanding issues.
  2. The Council was a significant land owner and one of the issues commented on was the under-valuation of a sample of properties by £4.3m. This was likely due to inaccurate information being supplied to the valuer. Schools had also been undervalued by around £26m but most of these had now been corrected. BDO advised that Pendarren had also been undervalued. A key area for the Committee to note was identified as inaccurate data being send to the valuer.
  3. Another area to for the Committee to note was around bank reconciliations being out and the need to review processes behind this.
  4. The Committee noted that the Council’s pension liability moved a lot in the Council’s favour following the triennial valuation.
  5. The Committee was advised that there would be a significant hit to the HRA arising from the Thames Water court case brought by Kingston and the consequent requirement for local authorities to reimburse applicable excess water rents and charges to tenants. It was noted that at present the Council had only agreed 6 years’ worth of reimbursements  and that a further management decision on the amount of money to be set aside was pending.
  6. The MRP holiday was due to run out in 2023, which would result in a £5-6m cost to the Council per year.
  7. Haringey was in an advantageous position compared to some other authorities in relation to not having a lot of commercial property schemes.
  8. BDO advised that it appeared as though they would be able to give a true and fair determination overall. The next stage was for BDO to make adjustments following the responses to queries received from management and then the final statement of accounts would be issued and signed off by the Committee/Chair.

 

The following arose from the discussion of this agenda item:

  1. The Chair commented that was satisfied with the position overall but highlighted that there seemed to be  ...  view the full minutes text for item 7.

8.

Quarter 3 Treasury Management Update pdf icon PDF 197 KB

Additional documents:

Minutes:

The Committee received a report for information which provided an update on the Council’s treasury management activities and performance in the three months to 31st December 2020. The report was introduced by Tim Mpofu, Head of Pensions & Treasury as set out in the agenda pack at pages 89-102. The Committee was advised that all treasury management activities in the period were undertaken in line with the approved treasury management strategy and that there were no issues of concern to highlight to Members.

The Committee requested that future updates included information on the percentage of debts that were held in long term fixed rate investments. The Committee commented that they would like the Council to continue to be cautious and that some consideration should be given to linking investment terms to long term capital projects. (To note - Tim Mpofu).

RESOLVED

That the Corporate Committee reviewed and approved the updated Annual

Internal Audit Strategy and Plan for 2021/22, as set out in Appendix A of the report and the Internal Audit Charter, as set out in Appendix B of the report.

 

9.

Annual Internal Audit Plan, Strategy and Charter 2021/22 pdf icon PDF 303 KB

Additional documents:

Minutes:

The Committee received a cover report along with the Annual Internal Audit Plan and Strategy 2021/22 and the Internal Audit Charter, for the Committee’s approval. The report and Internal Audit Plan, Strategy & Charter were introduced by Minesh Jani, Head of Audit and Risk Management as set out in the agenda pack at pages 103-124. The following arose during the discussion of this agenda item:

  1. The Chair commented that although the Audit plan was a management tool used to identify areas of weakness in the organisations’ governance structures, there was a limited capacity for Members to influence the contents of this plans and that Members should feel able to suggest areas for inclusion.
  2. The Committee sought assurances around an audit of early years commissioning, that had been discussed at an earlier meeting, given the complexity of arrangements and the risks to provision in this area. In response, officers advised that the audit was already underway as part of the current year’s audit plan and that an audit report would be brought to the July Corporate Committee. (Action: Minesh).
  3. In response to a question around areas of overlap in Scrutiny and the audit functions and how these could be support each other, officers advised that there was a clear distinction in the roles of scrutiny and audit. Audit looked at processes and whether those processes have adequately  mitigated the risk involved but did not interfere with the decisions made by the executive. Whereas scrutiny examined areas of policy and the decisions that are made.
  4. The Committee sought assurances around how audits were prioritised and what the process was for determining which order they were carried out in. In response, officers advised that the audit plan in front of members was the prioritised list for audits and the next stage was to plan those audits in over the next four quarters of the year. In carrying out the audit work officers had to have some recognition for what was happening in those services on the ground and to prioritise with this consideration in mind.
  5. The Chair requested that in relation to the phasing of audit work, that the plan should also include the terms of reference for each of the audits being undertaken. In response, the Head of Audit and Risk Management advised that he would circulate details of when audits would be taken forward in the plan but cautioned that the auditors had to carry out their work with regard to the public sector duties on audit standards, which included objectivity and independence as a key component. The Committee was advised that it was important that Members should not be determining what the auditors should be looking at within individual auditable areas as this should be free from political influence. The Chair acknowledged these concerns but also highlighted the need for transparency.
  6. The Committee questioned how long services were afforded to implement changes in response to audits. In response, officers advise that this was based on the nature of the recommendations and  ...  view the full minutes text for item 9.

10.

Audit & Risk Service Update pdf icon PDF 310 KB

Additional documents:

Minutes:

The Committee received a report which detailed the work reported by in-house audit resources, as well as Mazars since the end of quarter 3, which was reported to the Committee in February. The update also included information regarding the National Fraud Initiative. The report was introduced by Minesh Jani, Head of Audit and Risk Management as set out in the agenda pack at pages 125-139.

Officers summarised the background and findings of the fact finding reviewing of the opportunity to purchase Alexandra House. It was noted that the purpose of the review was to examine the governance arrangements behind the decision, rather than the decision itself or to provide any assessment of its value. The findings of the audit were that there was no evidence of irregularity, but that the governance arrangements were weak and that this resulted in decisions being taken in an ad-hoc manner. The Committee was also advised that the audit found that there was a lack evidence around a robust business case being in place and that the organisation was not collectively appraised of the decision making process.

The following arose during the discussion of this agenda item:

  1. The Committee queried whether, following this report, audit could also look into the period of time between May 2019 and March 2020 with a view to understanding why the Council changed its mind within a year and decided to purchase it after all, resulting in an additional £6m cost. A key area of investigation should be around what happened after this change of direction.
  2. The Committee also queried whether a small chronology of events could be supplied as well. In particular, the Committee was keen to understand whether the developer received Planning Permission or just submitted a planning application and when this took place.  In response, officers advised that they would go away and double check the planning status. The Chair also sought clarification around whether the developer had bought the building or just exercised an option to buy. The Chair referred to anecdotal accounts that the building was only bought because the developer was able to secure a loan from the Council to the holding company. The Head of Audit and Risk Management advised that these were outside the terms of the audit and that he would ask the service to come back to Committee with a response. (Action: Minesh Jani).
  3. The Committee sought clarification around there being no political involvement in the decision making process and whether the Cabinet Member was aware of the May 2019 decision, for instance. In response, officers clarified that one of the key findings was that, even before Members would have been asked to consider this, there should have been a robust business case drawn up. This was characterised as the root of the problem, even before any decision making was arrived at.
  4. The Committee commented that in light of this perhaps the follow-up audit should be around whether there was a robust business case in place for the subsequent decision  ...  view the full minutes text for item 10.

11.

Renaming of Black Boy Lane to La Rose Lane pdf icon PDF 20 MB

Minutes:

The Committee received a report which sought approval for the change of street name from Black Boy Lane to La Rose Lane, following a second consultation exercise with residents and the issuance of a ‘notice of intention’ for the change of name. At its meeting on the 3rd December, the Committee agreed to move to a period of further consultation following the initial consultation exercise, carried out 28th September to 9th November 2020 which set out two alternative possible street names, and the selection of ‘La Rose Lane’ as the intended new name of the street. The report was introduced by Rob Krzyszowski, Interim Assistant Director for Planning, Building Standards and Sustainability as set out in the agenda pack at pages 9-88.

The following arose during the discussion of the report:

  1. The report set out examples of other relevant street & building renaming proposals, including those at Ealing and Brent. It was noted that there were no similar examples where the scheme involved consultation on such a large scale and where the authority had agreed to cover costs up to £300 per household.
  2. As part of the second round of consultation, letters were sent out and those letters were available in 12 languages, notices were displayed on the street and responses were accepted through a variety of digital and non-digital mediums. An online resident engagement event was also held on 23rd January 2021.
  3. Officers set out that most of the costs incurred from the name change were notional costs and would be met from existing budgets.
  4. The Chair noted the legal advice provided as part of the report and cautioned the Committee had already agreed the approach and timelines previously. The focus of the decision before the Committee was to agree the change of name and to comment on the financial package offered etcetera.
  5. The Committee queried whether the £300 offered per household was sufficient, particularly in relation to changes to leases and solicitor costs. In response, officers advised that the £300 should be viewed within the context of the wider support package and the fact that one-to-one legal support, to help with changing of documents, would also be made available to affected residents. Consultation responses on this issue was mixed, with some people saying that £300 was too low and others suggesting that it was more than sufficient to cover costs.  Officers advised that they were satisfied that the package as a whole was sufficient to meet the needs of affected residents.
  6. The Committee enquired as to whether there would be any additional funding made available for those affected. Officers responded that after consideration of the Committee’s previous comments, consideration had been given to means testing contributions but that the proposal was to stick with a flat rate and that proposals did not include provision of any additional costs above £300. Officers conceded that this could be reviewed going forwards, if it was not working and that the Council would always look to support its residents  ...  view the full minutes text for item 11.

12.

New Items of Urgent Business

To consider any items of urgent business as identified at item 3

Minutes:

N/A

13.

Any other business of an urgent nature

To consider any items admitted at item 2 above.

Minutes:

None.

14.

Exclusion of the Press and Public

Item 15 is likely to be subject to a motion to exclude the press and public be from the meeting as it contains exempt information as defined in Section 100a of the Local Government Act 1972 (as amended by Section 12A of the Local Government Act 1985); paragraph 3.

Minutes:

RESOLVED

 

That  the press and public be excluded from the meeting due to item 26 containing exempt information as defined in paragraph 3, Section 100a of the Local Government Act 1972 (as amended by Section 12A of the Local Government Act 1985).

15.

Audit of Cyber Security Update

Verbal update.

Minutes:

The Committee noted that a follow-up audit would be conducted over the summer and that the report would come to the Committee in September 2021. (Action: Minesh).

 

RESOLVED

 

The Committee noted the update.

16.

Date and Time of Next Meeting

TBC

Minutes:

TBA