Agenda item

The purpose of this progress report is to inform members of the work completed by Internal Audit between 1 October 2018 and 31 December 2018.

The original annual plan for Internal Audit is contained within the Internal Audit Strategy and Annual Plan 2018-19, which was approved by Audit and Governance Committee on 12 April 2018.

Along with a regular update on Internal Audit performance, this progress report also includes detail of changes to the annual plan with effect from this quarter to allow for a temporary reduction in the resources available to Internal Audit during the year.

Witnesses:

David John, Audit Manager

Russell Banks, Chief Audit Officer

Key points raised during the discussion:

1.     The Audit Manager introduced the item and explained that the report included a summary of the work completed by Internal Audit between 1 October 2018 and 31 December 2018. Members noted that an agreed action plan was created for all final reports that would address any findings or issues. Internal Audit would track the progress of all High Priority recommendations as they fell due and the reports which received Partial or Minimal Assurance would usually be followed up in the following year.

2.     Officers highlighted that the detail on page 49 provided Members with a summary of Internal Audit’s work to support the transformation programme. It was explained that the work would be undertaken in five phases to review processes and make any recommendations considered appropriate. Work was currently ongoing in Phase 2 and would continue through early 2020. Members noted that the Committee would be informed as and when findings were identified.

3.     Officers highlighted to Members that Internal Audit was ahead of schedule implementing the Audit Plan and thanked officers in Surrey County Council, East Sussex County Council and Brighton & Hove City Council for their work.

4.     A Member of the Committee asked why an additional review of the Surrey Wildlife Trust had been added to the audit plan. It was explained that this was due to recent changes to the contract and concerns around the contract’s arrangements.

5.     The Committee asked whether services were given the opportunity to conduct any internal assessments prior to Audits being carried out. Officers explained that the role of Internal Audit was to support improvement within the services and that many services did not have the resource to conduct regular self-assessments. It was noted that services were given ownership of any actions agreed.

6.     Members noted that the Children and Education Select Committee would be discussing the outcomes of the Children’s Families & Learning Care Assessments audit at its next meeting in March 2019. Officers explained that a summary of the audit would be provided at the next meeting and any further issues would be reported to the Audit and Governance Committee as they arose. The Committee requested to receive an update on the findings of the audit and progress on actions agreed at the Committee meeting in September 2019.

7.     Members highlighted the importance of identifying a responsible officer for each agreed action. Officers further stated that the action tracking process reduced the risk of actions being lost and uncompleted due to the turnover of staff.

8.     The Committee raised concerns relating to the recent audit titled ‘Modified Fire Pensions Scheme 2006 for Retained Firefighters 2018/19’ and asked that it be highlighted for discussion at a meeting of the Surrey Local Firefighters’ Pension Board.

9.     The Committee noted that the review of CFL Payment Card had only received partial assurance due to its findings. Members felt that it was important to implement actions quickly to prevent any potential misuse of the cards.

Actions/ further information to be provided:

A2/19 - The Committee to receive an update on the findings and the progress on agreed actions for the Children’s Families & Learning Care Assessments audit at the Committee meeting in September 2019.

A3/19 - To ensure the ‘Modified Fire Pensions Scheme 2006 for Retained Firefighters 2018/19’ audit is brought to the Surrey Local Firefighters’ Pension Board’s attention.

Resolved:

The Audit and Governance Committee noted the report.