Agenda and minutes

To approve as a correct record and sign the Minutes of the meeting held on 24 September 2014.

The Minutes (copies of which had been circulated) of the meeting held on 24 September 2014 were approved as a correct record and signed by the Chair.

Councillors and officers were invited to declare any interests they had in any of the items on the agenda for the meeting.

The following interests  were declared:-

Personal Interest

Members of the public are invited to put questions to the Chair and Executive Councillors on any matters within the powers and duties of the Executive, subject to the exclusions set out in the Code of Practice.  (Questions must be submitted no later than 30 minutes prior to the commencement of the meeting on the card provided.  These are available at the meeting. You can also submit via the Council’s website at www.stockport.gov.uk/publicquestions)

Members of the public were invited to put questions to the Chair on any matters within the powers and duties of the Area Committee, subject to the exclusions set out in the Code of Practice.

No public questions were submitted.

To consider a report of the Corporate Director for Corporate and Support Services.

The report outlines the amount and catogisation of all Council debt written off during the first 6 months of 2014/15.

The Audit Committee are invited to consider and comment on the report.

Officer Contact: Peter Jones on Tel: 474 5824 or email: peter.jones@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) detailing the write offs of low level amounts of debt for the period 1 April 2014 to 30 September 2014.

The following comments were made/issues raised:-

·         The responsibility for the collection of service related debt is devolved to the service areas from which the debt originated. When a debt has not been paid despite reminders it is escalated to the Recovery Team who can then instigate further recovery action.

·         Reports will continue to be submitted to the Audit Committee on a regular basis.

RESOLVED – That the report be noted.

To consider a report of the Corporate Director for Corporate and Support Services.

The report sets out the progress made by internal audit against the approved 2014/15 internal audit plan for the period 1st September 2014 to 30th November 2014.

The Audit Committee are invited to consider and comment on the report.

Officer Contact: John Pearsall on Tel: 474 4033 or email: john.pearsall@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) setting out progress made by internal audit against the approved 2014/2015 internal audit plan for the period 1 September 2014 to 30 November 2014 as detailed in appendix 1 of the report.

The following comments were made/issues raised:-

·         Members of the Internal Audit team had received and attended a number of internal training courses and had shared feedback and leaning with other team members.

·         Councillors noted the progress made on current audit reviews as detailed in section 3 of the report and the comments and actions recommended for the completed reports as outlined in section 4 of the report.

·         The Audit Manager outlined the different approach utilised when conducting audit work on behalf of schools.

·         The integration of social care and health was a significant piece of work that would be on the plan for the foreseeable future.

·         Councillors requested a further training session in respect to fraud.

RESOLVED – That the report be noted.

To consider a report of the Corporate Director for Corporate and Support Services.

The report outlines the steps undertaken to produce a revised internal audit plan for the remainder of 2014/15.

The Audit Committee are invited to consider and comment on the report.

Officer Contact: John Pearsall on Tel: 474 4033 or email: john.pearsall@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) outlining the steps undertaken to produce a revised internal audit plan for the remainder of 2014/2015 and informing the Committee of the results of the risk assessment of the remaining audit work to complete before the end of March 2015.

The following comments were made/issues raised:-

·         1194 was the total number of audit days available to the Internal Audit team to carry out audits in a municipal year.

·         The team has had to cope with the inability to recruit a suitable person to a 0.5fte vacancy, added to which a full time vacancy occurred on 1 September 2014 which was not filled until October 2014 resulting in a further 30 net audit days planned for but not utilised.

·         A variety of initiatives would be utilised in an effort to mitigate the lost days including for instance the use of light touch reviews and reducing the time allocated to planned audits by between 10-20%.

·         It had been decided that a number of planned audits would not take place in the 2014/2015 municipal year but that those audits would assume high priority status.

RESOLVED – That the report be noted and the revised Internal Audit Plan for 2014/2015 be approved.

To consider a report of the Corporate Director for Corporate and Support Services.

The purpose of this report is to inform Members of the proposed planning methodology required to produce the Annual Internal Audit Plan (2015/16). This includes a timetable for the planning process.

The Audit Committee are invited to consider and comment on the report.

Officer Contact: John Pearsall on Tel: 474 4033 or email: john.pearsall@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) informing the Committee of the proposed planning methodology required to produce the Annual Internal Audit Plan (2015-2016)

The following comments were made/issues raised:-

·         It was noted that as part of the Public Sector Internal Audit Standards (PSIAS April 2013) it was a requirement that the Internal Audit and Risk Manager established a risk based plan to determine the priorities of internal audit activities.

·         The draft internal audit plan will be prepared for approval by the Committee at its March 2015 meeting.

RESOLVED – That the report be noted.

To consider a report of the Corporate Director for Corporate and Support Services.

The purpose of this report is to update Members on the current status of corporate risks and the updated process used to manage these risks.

The Audit Committee are invited to consider and comment on the report.

Officer Contact: John Pearsall on Tel: 474 4033 or email: john.pearsall@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) providing an update on the current status of corporate risks and the process used to manage those risks.

Councillors welcomed the renewed focus on risk given the changes that will have to be made to deliver the Investing in Stockport programme of investment and reform.

RESOLVED – That the report be noted.

To consider a report of the Corporate Director for Corporate and Support Services.

The attached report has been produced by the Audit Commission following submission of a range of data held by Stockport Council. The Commission are producing these individual briefings for all Local Government bodies.

The Audit Committee are invited to consider and comment on the report.

Officer Contact: John Pearsall on Tel: 474 4033 or email: john.pearsall@stockport.gov.uk

A representative of the Corporate Director for Corporate and Support Services submitted a report (copies of which had been circulated) providing information fraud detection and providing Councillors with the opportunity to comment on the Council’s fraud detection activities.

The following comments were made/issues raised:-

·         Councillors noted the findings in respect to Housing Benefit and Council Tax fraud, Council Tax discount fraud, Social Housing & Right to Buy fraud, Disabled Parking (blue badge) fraud and a variety other less substantive frauds.

·         Councillors suggested that in those areas where detection was low, it would be prudent to learn from other authorities with higher detection rates so that the Council be assured that processed for identifying fraud are comprehensive.

RESOLVED – That the report be noted.

To consider a report of the External Auditor.

Officer Contact: Mick Waite on Tel: 234 6347 or email: mick.j.waite@uk.gt.com

The External Auditor submitted a report (copies of which had been circulated) providing for comment the progress report and details on emerging issues and developments which may be of interest to the Council.

RESOLVED – That the report of the External Auditor be noted.

To consider a report of the External Auditor.

Officer Contact: Mick Waite on Tel: 234 6347 or email: mick.j.waite@uk.gt.com

The External Auditor submitted the Annual Audit Letter (copies of which had been circulated) providing the opportunity for the Committee to comment on the key findings arising from the work undertaken year ending 31 March 2014.

RESOLVED – That the Annual Audit Letter be noted.