Meeting documents

To approve as a correct record the minutes of the previous meeting held on 23^rd July 2015.

The minutes of the meeting held on 23^rd July 2015, copies of which had been circulated were taken as read, and having been approved as a correct record were signed by the chairman.

An apology for absence was received from Cllr Mike Best.

In accordance with the Council's current Code of Conduct (adopted July 2012), which includes all the provisions relating to Disclosable Pecuniary Interests (DPI), personal and prejudicial interests, Members are asked to declare any DPI and also any personal interests (and whether or not such personal interests are also "prejudicial") in relation to any matter on the agenda for this meeting.  A DPI is defined in The Relevant Authorities (Disclosable Pecuniary Interests) Regulations 2012 (SI 2012 No. 1464) and Appendix 3 of the Council’s Code of Conduct. A personal interest is defined in paragraph 2.8 of the Code and a prejudicial interest is defined in paragraph 2.9.

There were no declarations of interest made.

There were no members of the public present.

The next scheduled meeting of the Audit Committee will be held on Wednesday 30^th September 2015 at 10.00am in the Main Committee Room.

Members noted that the date of the next Audit Committee would be held on Wednesday 30^th September 2015 at 10.00am.

The Finance Manager presented the report as detailed in full in the agenda.

In response to a query from Cllr Winder regarding Places for People Capital Markets in the Breakdown Investments Chart, she replied that Arlingclose had introduced them to SSDC and although they were an unknown entity they were currently doing very well and were being monitored by a ‘watching brief’. 

Since the meeting the Finance Manager confirmed that Places for People Group specialises in the provision of a range of affordable homes for rent and sale. They are a property, leisure management, development and regeneration company in the UK. The £1million invested by SSDC is against a £3billion portfolio. 

She also explained that the best deal possible was sought once loans had matured and Arlingclose had predicted an interest rate rise in the near future.

The Chairman thanked the officer for the in-depth report.

Members were content to note recommendations.

RESOLVED

That the Audit Committee

·         Noted the Treasury Management Activity for the three-month period ended 30^th June 2015.

·         Noted the position of the individual prudential indicators for the three-month period ended 30^th June 2015.

The Director of Grant Thornton introduced the report and the new Audit Manager, Ashley Allen.  She explained that the team was now complete after the recent changes of staff.  The 2014/15 final accounts audit was on track and there were no problems that she was aware of, the audit needed to be signed off by the 30^th September 2015. 

There had been 2 objections to the closing of the 2013/14 audit, details of which were explained to the new members of the Audit Committee: one complaint had not been upheld and the concluding statement to that effect had been circulated a few months ago.  The other objection was nearing a conclusion, but the consideration of documents and a Statement of Reasons need to be completed before being issued to the complainant.  Once the objection is concluded the certificate closing the 2013/14 audit would be signed.

It was brought to member’s attention that a similar objection could possibly be raised again by the same complainant (as was her right) before the 2014/15 audit could be closed.

The Director of Grant Thornton pointed members to material on their website which Audit Committee members could download and may find useful. She was to meet with both the Assistant Director Finance and Corporate Services and the Assistant Director Legal and Corporate Services shortly regarding the Local Governance Review 2015 and relevant training focusing on the three key issues as detailed in the report: Governance of the organisation ; Governance in working with others  and Governance of stakeholder relations.

 The Director of Grant Thornton felt that local authorities needed to ensure that their core objectives and values were fulfilled through many other agencies, which suggested a greater role for scrutiny and a need to make sure local public sector Bodies' arrangements were as transparent as possible for stakeholders.

She also referred to the national report: Evolution of Local Governance and Rising to the Challenge she considered that district councils tended to manage better in response to the challenge of austerity. 

In conclusion she mentioned that Legislation had recently been passed to bring forward the deadlines for the preparation and audit of Local Government financial statements from 2017/18 onwards. The timeframes for the preparation of the financial statements and their subsequent audit would be reduced by one month and two months respectively.  Local authorities and their auditors would have to make real changes in how they work to ensure they could achieve this deadline.

In response, the SSDC Finance Manager replied that SSDC would not have an issue with the change of date as their accounts were usually produced by June each year.  The Finance Team work with Grant Thornton throughout the year and they both worked hard to ensure that there were no risks. As requested a copy of the ‘Guide to Local Authority Accounts’ would be included with the minutes of this meeting.

The chairman concluded that SSDC was aware of the need to ensure that their core objectives and values were fulfilled  ...  view the full minutes text for item 28.

The Finance Manager explained that the report had been prepared for the Audit Committee to review the progress made on the 2015/16 Annual Internal Audit Plan. 

In response to a question the Finance Manager explained that a great deal had been learnt regarding the financial control of Leisure Centres and the knowledge would be put to good use with any future involvement.

RESOLVED:

That the Audit Committee note the progress made.

After much discussion it was agreed to revert to the date of Thursday 22^nd October as the date for the October Audit Committee, which would be chaired by the Vice Chairman.

The Director of Grant Thornton requested that the Certification Work Plan and Update report be moved to a later date on the forward plan, and would be discussed with the Assistant Director Finance and Corporate Services.

Members were content to note the forward plan.

NOTED