Issue - meetings

Report by Chief Operating Officer

61.1     The Cabinet considered a report by the Chief Operating Officer

61.2     It was RESOLVED- to approve the Council’s Internal Audit Strategy and Annual Plan 2018/19.

Reason

61.3     The Council’s Internal Audit Strategy 2018/19 and Annual Plan sets out how the Council will meet its statutory requirements for internal audit, as defined within the Accounts and Audit Regulations 2015.  The Strategy proposes an approach based on focussing audit resources in those areas where the highest risk to the achievement of the Council’s objectives lies.

Report by the Chief Operating Officer.

49.1     The Committee considered a report by the Chief Operating Officer, presented by the Chief Internal Auditor, which included the Internal Audit Strategy and Plan for 2018/19 and an updated Internal Audit Charter. 

49.2     The Committee requested reassurance that the reduction in the number of audit days (Table 1 of the Strategy) would not impact on the Chief Internal Auditor’s ability to form an opinion.  The Chief Internal Auditor set out that the service had procured a new Audit Management System which allowed Orbis audit staff from each authority to access the same information, and expertise in certain audit areas could be shared across the partnership.  He acknowledged that there was no guidance on the appropriate number of audit days, but that it was matter of judgement for him to make.  

49.3     The Committee welcomed the planned audit of Home To School Transport, and queried the wording of the audit of Buzz Active.  The Chief Internal Auditor reminded the Committee that the Strategy and Plan was a risk-based plan, rather than a cyclical plan. The Buzz Active audit had been scheduled owing the nature of the financial activity at the centre, and the associated risks.

49.4     The Committee asked questions about the Orbis Policy Review, and the need for Brighton & Hove City Council (BHCC) to review its key policies to avoid confusion for staff and managers, and why this had not been done before BHCC joined the Partnership.  The Chief Internal Auditor set out that the purpose of the review was to make managers who work across all three authorities aware of any cultural or policy differences which may affect how staff are treated within each authority in accordance with their own employment policies.  The Chief Executive emphasised that full due diligence had been done before BHCC joined Orbis, and that differences in culture were to be expected and respected.  The Chief Internal Auditor highlighted that no inappropriate differences between the key policies of each partner had yet been identified.

49.5     The Committee requested details of the proposed audit of the governance of property investments, with particular reference to interaction of the audit with the instigation and development of the Property Asset and Investment Strategy.  The Chief Finance Officer set out the Strategy was to be the subject of a report later on the Agenda and a report to Cabinet following input from the Committee.  The precise scheduling of the audit would be subject to discussions between the service and management, but it was hoped to be early in Quarter 1, as the Strategy was potentially a new direction for the County Council, and it was important to build flexibility to audit the new arrangements into the Plan.

49.6     In respect of General Data Protection Regulation (GDPR) compliance, subject of a presentation later on the agenda, the Committee was informed that there were two audits scheduled.  The first, currently ongoing, was a preparedness audit; the second, next year, a compliance audit.

49.7     The Committee RESOLVED to endorse the Council’s Internal  ...  view the full minutes text for item 49