Audit Committee

Tuesday, 17 June 2003 at 3.30 pm

Present:  Councillors Blair, Hill, McCabe, McCormick (M), Mitchell, Roach, Robertson, Stewart and White.

Chair:    Councillor McCabe presided.

In attendance:  Chief Executive, Depute Chief Executive, Director of Community & Protective Services, Director of Finance, Director of Legal & Support Services and Head of Personnel Services.

Present also: Mr G Jack and Ms S Arnott, Messrs PricewaterhouseCoopers, Internal Audit Partners, and Mr D Richardson, Audit Scotland, External Auditors.

The following paragraphs are submitted for information only, having been dealt with under the powers delegated to the Committee.

480

Internal Audit Annual Report and Assurance Statement 2002/03

480

There was submitted a report dated 29 May 2003 by the Director of Finance appending the Internal Audit Annual Report and Assurance Statement 2002/03 which will form part of the Council’s Statement of Internal Financial Control.

Decided:  that the Committee note the Internal Audit Annual Report and Assurance Statement for 2002/03.

   481

Internal Audit Operational Plan 2003/04

481

There was submitted a report by the Director of Finance appending the Internal Audit Operational Plan for 2003/04. 

Decided:

(1)   that the Internal Audit Operational Plan 2003/04 be approved; and

(2)   that it be remitted to the Director of Finance to report to the next meeting of the Committee on:-

(a)   the Internal Audit staffing structure proposals for an in-house service delivery model to be filled from within the Finance Service existing staff;

(b)   contract documentation in respect of computer audit;

(c)   contract documentation in respect of performance audit reviews.

   482

External Audit Reports

482

There was submitted a report dated 27 May 2003 by the Director of Finance providing a summary of the main findings of the reports produced by Audit Scotland since the last meeting of the Committee.

Decided:  that the Committee note the matters raised in the Executive Summaries appended to the report.

   483

External Audit Planning Memorandum 2002/03

483

There was submitted a report dated 29 May 2003 by the Director of Finance appending the External Audit Planning Memorandum for 2002/03.  (Councillor Blair entered the meeting during consideration of this item of business).

During the course of discussion, Mr Richardson confirmed that the PPP Audit referred to in Appendix A to the Audit Planning Memorandum (Item 13) would not now be undertaken following the decision of the Policy & Strategy Committee at its meeting on 22 May 2003 and that the fee, estimated at £10,000, would therefore not be applied.

Decided:

(1)   that the External Audit Planning Memorandum for the year 2002/03 be noted; and

(2)   that the position in respect of the PPP Audit be noted.

   484

Annual Risk Management Report

484

There was submitted a report dated 28 May 2003 by the Director of Finance appending the annual report on progress made in developing and maintaining a corporate strategic approach to managing risks faced by the Council either presently or in the future as part of the Corporate Governance Framework.

Decided:

(1)   that the progress made in developing a Risk Management Strategy be noted; and

(2)   that the action plan and timetable designed to achieve a holistic approach to Risk Management within the Council be approved.

The Convener being of the opinion that the undernoted report by the Director of Finance was relevant, competent and urgent moved its consideration to allow the Committee to be advised at the earliest possible opportunity of the report produced by the Accounts Commission for Scotland.  This was unanimously agreed in terms of the relevant Standing Order.

   485

Bye Now Pay Later - Follow Up

485

There was submitted a report dated 11 June 2003 by the Director of Finance (1) on the report “Bye Now Pay Later - A Follow Up Review” produced by the Accounts Commission for Scotland relative to the management of early retirement and (2) appending the Council’s action plan for approval.

Decided:

(1)   that the report “Bye Now Pay Later - A Follow Up Review” produced for the Accounts Commission by Audit Scotland be noted; and

(2)   that approval be given to the action plan for implementation by the responsible Officers identified.