Audit Committee

Tuesday 27 September 2005 at 3.00 pm

Present:  Councillors Hill, McCabe, McCormick (M), Mitchell, Nimmo, Robertson  and Stewart.

Chair:    Councillor McCabe presided.

In attendance:  Acting Chief Executive, Director of Community Services, Director of Education Services, Chief Financial Officer, Solicitor to the Council and Mr R Lees (Internal Audit).

Present Also:  Mrs A Cassels and Ms E Barrowman, Audit Scotland.

Apologies:  Councillor Roach.

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

727

2004/2005 Year End Accounts - Statement of Auditing Standard 610:

Communication of Audit Matters to Members

727

There were submitted (a) report dated  19 September 2005 by the Chief Financial Officer providing background information on the purpose of the letter from the Council’s External Auditors on the 2004/2005 Year End Accounts - Statement of Auditing Standard 610: Communication of Audit Matters to Members and (b) appending letter dated 22 September 2005 from Audit Scotland in this regard which required to be considered by the Committee prior to 30 September 2005.

Decided:

(1)      that the contents of the letter from Audit Scotland be noted;

(2)      that the matters raised in respect of the General Fund Revenue Account surplus and the spending on the Council’s Capital Programme be referred to the Policy & Strategy Committee for consideration as part of the budget setting exercise;

(3)      that it be remitted to the Acting Chief Executive to report to the Environment and Regeneration Committee with a proposed strategy for improving performance in managing rent arrears and reducing the outstanding balance;  and

(4)      that the issues raised relating to the pension costs recharge by the Council’s statutory trading activities resulting from the application of Financial Reporting Standard (FRS)17 be included in the action plan to be prepared by the Chief Financial Officer following consideration of the External Auditors’ Annual Report to Members 2004/05.