To note the report.

Lisa Fryer, South West Audit Partnership (SWAP), informed Members that the report outlined the progress on the internal audit in Q1. The progress reports were important in enabling Members to assess the progress against the plan that had been agreed. Good progress had been made on the delivery of the audit plan, a key focus had been on grant certifications. Progress was also positive on assurance work, with two reports at a draft stage. All audits scheduled for Q1 were all at least in progress and initial meetings were being scheduled for work to be carried out in Q2. Progress had been mapped against the council’s strategic risks, with two audits in progress which related to strategic risk areas. Appendix A contained all of the definitions which had been covered at the audit training. Appendix B contained information on which audits had been completed, while Appendix C would contain information on any follow up audits. Appendix D was the detailed planned progress on the plan which had been agreed by the Committee. Four audits had been completed, with two of these being additions to the plan.

Councillor Story commented on the strategic risks which had been chosen, he asked why these had been selected.

Lisa Fryer said that when the internal audit plan was put together, all of the main risk factors were considered. The audits on these two risks were showing as this was work that SWAP had started. The plan covered the majority of the strategic risks to the council. Over the upcoming twelve months, the audit plan would be delivered and a number of those audits were related to the strategic risks.

Adele Taylor added that the strategic risk register was a dynamic document, so risks could change and be removed or added to the register. Audits depended on the resources of SWAP and also whether they were time dependent.

Councillor Sharpe felt that the Committee now had a clear idea of what direction internal audit were looking to take, this had been a change compared to previous internal auditors. It was good to see which areas were being addressed.

The Chairman agreed with these comments, she felt there was a greater understanding of what was happening.

Councillor Hilton, Cabinet Member for Asset Management, Commercialisation, Finance & Ascot, said that the council received a lot of grant money and had been criticised for not getting it out to the people that needed it quickly enough. The finance team had worked in collaboration with internal audit in this area and ensured that grants had been approved.

Adele Taylor said that government departments were expecting more personal sign offs by statutory officers. The way grants needed to be signed off took place in different formats, which was a frustration.

Councillor Sharpe commented on the Equalities Impact Assessment, he asked if this would be completed at a later date.

Andrew Vallance, Head of Finance, said that only Part I was required to be filled in; Part II was not completed as no equality impacts had been identified in Part I.

The Chairman suggested an addition to the internal audit plan, a report was coming to Full Council in September around an overage payment which had been made in 2016. This was on a piece of land that the council had bought through an auction, the report at the time did not disclose to Members the details or cost of this purchase. The council was in a different place now but it would be good to reassure Members with regard to processes on sales and purchase of land, to make sure that this did not happen again.

Councillor Hilton felt that the circumstances of the purchase from 2016 were extremely unlikely to happen in the current environment. It would be useful for the Committee to reassure themselves that safeguards were in place to ensure that this did not happen again.

Councillor Sharpe said it was good to reflect on the decision that had been made, it would be legitimate for the Committee to consider this.

Adele Taylor said that she would like to consider the resources of those officers who processed the transactions currently and then bring in internal audit afterwards. This could be scheduled into the audit plan at an appropriate time.

ACTION – Adele Taylor to discuss with Lisa Fryer when this could be added to the internal audit plan.

RESOLVED UNANIMOUSLY: That the Audit and Governance Committee noted the report.