Issue - meetings

RESOLVED:  That, in respect of the proposed actions recommended by SIAS to ensure ongoing compliance with CIPFA best practice and to maximise the effectiveness of the Finance, Audit and Risk Committee, the following be supported:

(i)     Learning and Development

·           All Members complete a skills self-assessment to identify areas of strength and training needs;

·           A training programme is developed to address any weaknesses in the Committee or training needs identified;

·           An induction programme is implemented for all new Members.

(ii)    Committee Business

·           At the next review of the terms of reference, the Council should consider including a “Statement of Purpose” for the Committee (as per the guidance in CIPFA’s ‘Audit Committees – Practical Guidance for Local Authorities and Police 2018 edition’);

·           Proposed agendas are scrutinised by Democratic Services and the Chairman of the Committee to confirm that they are risk-based, focussed and manageable;

·           Information presented to the Committee in a format that allows Members to focus on key risks, internal controls and governance issues which may impact on the Council’s ability to meet its objectives;

·           Members challenge processes, as appropriate, to ensure there is an appropriate balance between risk and control.

(iii)   Communication

·           Regular meetings are held outside the committee schedule between the Chairman of the Committee and Committee contributors (officers).

(iv)   Overall Committee Effectiveness

·           Members to complete the self-assessment of effectiveness included in CIPFA’s ‘Audit Committees – Practical Guidance for Local Authorities and Police 2018 edition’;

·           Members to consider a Peer review to assess the effectiveness of the FAR Committee (but only as part of a possible overall Peer review of all of the Audit Committees in the SIAS partnership).

REASON FOR DECISION: To ensure that the Council complies with the requirement that an Audit Committee reviews its own effectiveness.

The Client Audit Manager (SIAS) presented a report on the effectiveness of the Finance, Audit and Risk Committee.

The Client Manager (SIAS) referred to Section 4 of the report, entitled “Looking Ahead”.  In looking forward to 2018/19 and beyond and given the significant financial and other pressures the Council faced, the importance of an effective Audit Committee was crucial.  With this in mind, the intention was to complete a more thorough review of the effectiveness of the Committee in future years.  It was proposed that this would involve Member engagement and consultation on the work of the Committee.

The Committee was supportive of the actions proposed in the report, including the action relating to Members completing a skills self-awareness exercise to identify areas of strength and training needs.  In respect of the latter point, the Chairman encouraged all Members to attend the Risk Management training session arranged to take place on Monday, 25 June 2018.  In respect of the Peer review action, it was felt that this might be best addressed by way of a possible overall Peer review of all of the Audit Committees in the SIAS partnership.

RESOLVED:  That, in respect of the proposed actions recommended by SIAS to ensure ongoing compliance with CIPFA best practice and to maximise the effectiveness of the Finance, Audit and Risk Committee, the following be supported:

(i)     Learning and Development

·           All Members complete a skills self-assessment to identify areas of strength and training needs;

·           A training programme is developed to address any weaknesses in the Committee or training needs identified;

·           An induction programme is implemented for all new Members.

(ii)    Committee Business

·           At the next review of the terms of reference, the Council should consider including a “Statement of Purpose” for the Committee (as per the guidance in CIPFA’s ‘Audit Committees – Practical Guidance for Local Authorities and Police 2018 edition’);

·           Proposed agendas are scrutinised by Democratic Services and the Chairman of the Committee to confirm that they are risk-based, focussed and manageable;

·           Information presented to the Committee in a format that allows Members to focus on key risks, internal controls and governance issues which may impact on the Council’s ability to meet its objectives;

·           Members challenge processes, as appropriate, to ensure there is an appropriate balance between risk and control.

(iii)   Communication

·           Regular meetings are held outside the committee schedule between the Chairman of the Committee and Committee contributors (officers).

(iv)   Overall Committee Effectiveness

·           Members to complete the self-assessment of effectiveness included in CIPFA’s ‘Audit Committees – Practical Guidance for Local Authorities and Police 2018 edition’;

·           Members to consider a Peer review to assess the effectiveness of the FAR Committee (but only as part of a possible overall Peer review of all of the Audit Committees in the SIAS partnership).

REASON FOR DECISION: To ensure that the Council complies with the requirement that an Audit Committee reviews its own effectiveness.