Agenda and minutes

Apologies for absence were received from Councillors Brady and Maher.

Members and Officers are requested to give notice of any personal or prejudicial interest and the nature of that interest, relating to any item on the agenda in accordance with the relevant Code of Conduct.

The following declaration of interest was made.

Minutes of the meeting held on 14 December 2011

RESOLVED:

That the Minutes of the meeting of this Committee held on 14 December 2011 be confirmed as a correct record.

Report of the External Auditors, PricewaterhouseCoopers

Mr. P. Chambers from PricewaterhouseCoopers, the Council's external auditors, presented a report setting out the audit and inspection work to be undertaken for the 2011/12 financial year, which included an analysis of the assessment of significant audit risks, the proposed audit strategy approach to be taken by the external auditors, the reporting and audit timetable and details of the indicative audit fee for 2011/12.

RESOLVED: That

(1)       the External Audit Plan 2011/12 be approved;

(2)       the External Auditors only include items greater than £250,000 in the summary of uncorrected misstatements due to the Council's turnover and level of materiality; and

(3)       the Chief Internal Auditor circulate a guidance note to Members of the Committee to assist them in their discussions with the External Auditors on the issues set out in the report relating to Fraud to be held at the conclusion of the next meeting to be held on 27 June 2012.

Report of the Head of Corporate Finance and ICT

The Committee considered the report of the Head of Corporate Finance and ICT which provided a summary of the main issues considered at the treasury management training session held for members and substitute members of the Committee on 10 February 2012. The report also referred to proposals for the submission of a detailed report to be a future meeting on the Committee on the “direction of travel” for the Council’s investment strategy.

RESOLVED: That:

(1)       the report be noted;

(2)       a detailed report be submitted to a future meeting of the Committee on the “direction of travel” for the Council’s investment strategy; and

(3)       the Head of Corporate Finance and ICT submit a report to the next meeting on the Committee on the proposed programme of training sessions to be organised for members and substitute members of the Committee during 2012/13.

Report of the Head of Corporate Finance and ICT

The Committee considered the report of the Head of Corporate Finance and ICT which provided details of the Treasury Management activities undertaken in the current financial year up until 31 December 2011, in accordance with the Council's Treasury Management Policy and Strategy 2011/12.

RESOLVED:

That the report be noted.

Report of the Head of Corporate Finance and ICT

Further to Minute No. 28 of the meeting held on 14 December 2011, the Committee considered the report of the Head of Corporate Finance and ICT on the proposed methodologies for determining the target level of provision for Doubtful Debts for Council Tax and Sundry Debts.

During the discussion on the report, members requested that the monetary value of the proposed level of provision for Doubtful Debts for Council Tax and Sundry Debts should be included in future reports to the Committee in addition to the current and proposed percentage levels of provision.

RESOLVED: That:

(1)       the proposed methodology for determining the target level of provision for Doubtful Debts for Council Tax and Sundry Debts be noted;

(2)       it be noted that the Council will move toward the achievement of these target levels, as resources allow,

(3)       a report on the proposed methodology for determining the target level of provision for Business Rate Debts be submitted to the next meeting of the Committee.

The Committee considered the report of the Head of Corporate Finance and ICT which provided a summary of internal audit work undertaken during the period April 2011 to February 2012.  The Committee was required to be appraised of and review Internal Audit work as part of its review of the internal control environment and overall Governance arrangements.

The report also provided details of the performance trend of Arvato's Benefit Fraud Investigation Team.

RESOLVED:

That the report be noted.

Report of the Head of Corporate Finance and ICT

The Committee considered the report of the Head of Corporate Finance and ICT on the proposed framework for the Chief Internal Auditor to consult with Strategic and Service Directors on the production of the Internal Audit Annual Plan for 2012/13 in accordance with the CIPFA Code of Practice for Internal Audit.  The report indicated that the details of the Internal Audit Annual Plan for 2012/13 would be reported to the next meeting of the Committee.

RESOLVED:  

That the proposed framework for the production of the Internal Audit Plan for 2012/13 be approved.

Report of the Head of Corporate Finance and ICT

The Committee considered the report of the Head of Corporate Finance and ICT which provided a summary of the Audit Commission’s publication “Protecting the Public Purse (Fighting Fraud against Local Government)” and outlined the Council’s proposed response to the issues identified in the publication by identifying the Councils current actions to respond to the risk of Fraud and identify any potential gaps / weaknesses in the Council’s strategy / plan.

RESOLVED:

That the report be noted and the Council’s proposed response, action plan / way forward to the publication be endorsed

Report of the Head of Corporate Legal Services

Further to Minute No. 14 of the meeting of the Standards Committee held on 13 March 2012, the Committee considered the report of the Head of Corporate Legal Services which provided details of the impact of the Localism Act 2011 on the current standards regime.  The report also outlined the possible future arrangements for the administration of Standards in Sefton with effect from 1 July 2012.

RESOLVED: That

(1)       the Council be requested to give approval to the work of the current Standards Committee being merged with that of the Council’s Audit and Governance Committee and that the case-work of the current Standards Sub Committees continue and be overseen by the Audit and Governance Committee, subject to consideration being given to an increase in the number of members on the Committee for the 2012/13 Council Year; and

(2)       resolutions (2) and (3) in Minute 14 of the meeting of the Standards Committee held on 13 March 2012 be endorsed.

(In accordance with Rule 18.4 of the Council and Committee Procedure Rules, Councillors Brennan and Friel requested that their abstentions on the vote taken on resolution (1) be recorded)

To consider passing the following resolution:

That, under Section 100A(4) of the Local Government Act, 1972, the press and public be excluded from the meeting for the following item(s) of business on the grounds that it involves the likely disclosure of exempt information as defined in Paragraphs 3 and 7 of Part 1 of Schedule 12A to the Act.  The Public Interest Test has been applied and favours exclusion of the information from the Press and Public.

RESOLVED:

That, under Section 100A(4) of the Local Government Act 1972, the press and public be excluded from the meeting for the following items of business on the grounds that they would involve the likely disclosure of exempt information as defined in Paragraphs 3 and 7 of Part 1 of Schedule 12A to the Act.  The Public Interest Test had been applied and favoured exclusion of the information from the press and public.

The Committee considered the report of the Head of Corporate Finance and ICT which provided a summary of the proactive and reactive anti-fraud and investigation work undertaken during the period April 2011 to February 2012 by the Internal Audit Team.

RESOLVED:

That the report be noted.

Report of the Head of Corporate Finance and ICT

The Committee considered the report of the Head of Corporate Finance and ICT on the revised arrangements for the management and mitigation of risk within the Council through the introduction of a Corporate and Community Risk Management Group. The report also provided details of the Corporate Risk Register which had been updated to reflect the Council’s corporate objectives and monitor the Council’s strategic risks.

RESOLVED: That:

(1)       the changes required in order to manage and mitigate risk within the Council be noted;

(2)       the introduction of the Corporate and Community Risk Management Group  be noted;

(3)       the updated Corporate Risk Register be approved; and

(4)       the Head of Corporate Finance and ICT be requested to submit a report to the next meeting of the Committee on the arrangements for managing and mitigating “reputation damage” to the Council through the dissemination of appropriate information on key strategic and operational issues to Members of the Council.