Agenda item

[To receive the update from the External Auditor’s findings in relation to the Statement of Accounts for 2017-2018] [TO FOLLOW]

Mark Stocks from the Council’s external auditors, Grant Thornton, took the Committee through the report on the findings from their audit of the Council’s Statement of Accounts for 2017/2018. He informed the Committee that the audit had been completed and that an unqualified audit opinion would be issued in respect of the Council’s Financial Statements and an unqualified value for money conclusion on the Council’s value for money arrangements

John Humphries, Independent Member asked about disclosure errors highlighted during the audit and whether there would be any penalty from Government as a result of the finding.  Grant Thornton reported that the error had only occurred in the draft statements of accounts.  There would be little impact from Government because of the error.

The Chair asked Grant Thornton to elaborate on the finding that progress on the Strategic Asset Management Plan (SAMP) being slow.  Grant Thornton advised that the Strategic Asset Management had been looked at during last year’s audit of the Council’s Statement of Accounts.  Progress had been made but the proposal had commenced in 2016 or earlier.  Given that it was one of the Council’s areas of focus it seemed that the Council had not gone at a pace on this issue.  He wondered whether there had been a lack of focus in this area because of the focus on the Markets Relocation, the Interchange (Train Station) and Civic Halls refurbishment. Claire Nye, Director of Finance added the Council’s Strategic Executive Board (SEB) would say the same.  She was pleased to see progress on the data management (Focal365) and felt confident that the Council had accurate data on its assets.  She indicated that the SAMP had not moved at a pace the Council would have liked to have seen and undertook to take the point back to the Strategic Executive Board with a view to getting some movement on Strategic Asset Management, as well as a request from the Committee to have an update on the matter to the Committee following the October 2018 Cabinet meeting.

The Chair commented that given the tight deadline for completion of the audit of the Accounts it was an achievement that the papers were available for the Committee.  He thanked Grant Thornton and the Council’s employees for all their hard work in meeting the deadline for the completion of the successful audit.

Resolved:

1.    That the formal publication of the 2017-2018 Statement of Accounts, as required by the Accounts and Audit Regulations 2015, which require publication by 31 July 2018 be approved.

2.    That the draft Management Representation letter which would be signed by the Director of Finance on behalf of the Council be approved.

3.    That authority be delegated to the Chair of the Audit and Risk Committee to agree subsequent changes to the Statement of Accounts and Management Representation letter in consultation with the Director of Finance, should there be any audit adjustments.

4.    That the 2017-2018 report to those charged with governance from the Council’s External Auditors, Grant Thornton be noted.

5.    That an update on the Strategic Asset Management Plan be submitted to the Committee’s December 2018 meeting.