To elect a Chairman/woman for the 2013/2014 Municipal Year.

Councillor Tyerman was elected Chairman for the 2013/2014 Municipal Year.

To receive any apologies for absence, including notifications of any changes to the membership of the Committee.

It was reported that, in accordance with the wishes of the Liberal Democrat Group, the membership of the Committee had been amended for this meeting by including Councillor Pentney instead of Councillor Pountney.

To appoint a Vice-Chairman/woman for the 2013/2014 Municipal Year.

Councillor Pountney was appointed Vice-Chairman for the 2013/2014 Municipal Year.

To confirm as a correct record the Minutes of the meeting of the Audit Committee held on 20 March 2013.

The Minutes of the meeting of the Audit Committee held on 20 March 2013 were confirmed as a correct record and signed by the Chairman.

To note the Audit Committee’s Terms of Reference as set out in the Council’s Constitution.

Members received and noted the Terms of Reference for the Audit Committee as set out in the submitted report.

To note the progress that Grant Thornton have made in delivering on their responsibilities as the Council’s external auditors.

The Committee noted the submitted report which set out audit work that the Council’s external auditors proposed to undertake.  Members also noted the emerging issues and developments, in particular, a survey’s findings relating to council accounts as set out in the Local Government Governance Review 2013.

To consider a report on the above.

Members noted the approach that Grant Thornton would be using to audit the authority.  Members were informed that the audit approach was risk based, resulting in examination being focused upon areas where risk of material misstatement in the accounts had been identified.

To consider the Annual Governance Statement 2012/13, that provides an opportunity for the organisation to review its processes, controls and objectives.

Members were advised that the Annual Governance Statement provides the opportunity for the authority to review its processes, controls and objectives, thereby providing Members, Senior Officers and stakeholders assurance as to the reliability of its statement of accounts and the probity of its operations.

Resolved:

i)          that the Annual Governance Statement for 2012/13 be approved;

ii)         that the Mayor and Chief Operating Officer be given approval to sign the Annual Governance Statement and append the Statement to the Statement of Accounts; and

iii)        that following the review of the Annual Governance Statement by the External Auditors, officers present an action plan to a future meeting of the Audit Committee.

To consider a report that sets out the performance of the Treasury Management function in supporting the provision of Council services in 2012/13.

Members considered a report that set out the performance of the Treasury Management function in supporting the provision of Council services in 2012/13 through the management of cash flow, debt and investment operations and the effective control of the associated risks.

Members were advised that the Council is required through regulations issued under the Local Government Act 2003 to produce an annual outturn report reviewing treasury management activities and the actual prudential and treasury indicators for 2012/13.

Resolved:

i)          that subject to greater clarification of paragraphs A8.2 and A8.3 of the submitted report, the Treasury Management decision made during 2012/13 be endorsed; and

ii)         that the Audit Committee recommends Council endorse the Treasury Management decisions made during 2012/13, as detailed in the submitted report and approve the Prudential and Treasury Indicators as set out in Annex 1 to the report.

To note a report which outlines the Council’s position at the end of 2012/13 in respect of risk management.

Members noted the report which outlined the council’s position at the end of 2012/13 in relation to risk management.  Members were advised that five key strategic risks had been identified along with responsible lead officers.  The five strategic risks are:

·         fair decision making;

·         demand management;

·         welfare reforms;

·         finance; and

·         safeguarding

Members sought clarification regarding safeguarding as to whether this risk referred to children, adults or both.

(Note:  Prior to consideration of the item in Minute 11 above the press and public were formally excluded from the meeting on the grounds that the item involved the likely disclosure of exempt information as defined in paragraph 3 of Part 1 of Schedule 12A of the Local Government Act 1972 (as amended).)

To consider an exempt report which reviews of the work undertaken by Internal Audit during 2012/13, and provides an opinion on the overall adequacy and effectiveness of the Authority’s internal control environment.

Members noted the Internal Audit Annual Report and paid particular attention to the Council’s ICT resilience.