Agenda item

The Head of Audit provided Members with a summary of Internal Audit activity in the period from 1 September 2012 to 22 November 2012.

During the period four completed audits in the current report had received Limited Assurance, six had received Satisfactory Assurance and three Full Assurance.

The Committee noted that the recruitment for a trainee auditor had been completed and the appointee would commence duties in January 2013.  This vacancy had arisen because a trainee auditor had resigned.

The following issues were raised by Members:

·        Contracts – Final Accounts (Corporate Construction) (2011-12) – the Committee expressed concern at the number of high risk actions from this audit. The Head of Audit recognised this but reported that these were currently being addressed and would be included in the update report which the Committee would receive in June.

·        Direct Payments 2011/12 review – the objective of this audit was to provide assurance to management on the adequacy, effectiveness and application of the key controls in relation to those service users in receipt of Direct Payments. The Head of Audit reported that since the audit had been conducted a significant amount of progress had been made in addressing the identified risks. An update on progress made would be submitted to the next meeting.

·        Golf Courses Audit – Members expressed some concern regarding the number of high risk actions. The Director of Finance reported that the Golf Courses had been previously managed by a contractor and the Council had taken control less than a year ago. The Head of Audit reported that officers were currently working through the recommendations to the agreed timelines. The Committee asked that the appropriate Management representative be invited to the next meeting of the Committee to update Members on progress.

·        Creditors – The Committee was assured that the two high risk areas had now been addressed.

·        Hillingdon Grid for Learning – The Committee noted the progress which had been made on addressing the previous risk areas.

·        Emergency Duty Team – The Committee noted that this audit had now received full assurance level.

The Members questioned whether the increase in high risk actions identified in audits may indicate a possible reduction in internal control.  The Head of Audit reported that the Council had undergone many structural changes which had impacted on some of the audit areas but Internal Audit were trying to ensure control was maintained in these areas.

Discussion took place on Follow Up audits and the following points were made :

·        Investigation 30 – the Head of Audit reported that no progress had been made

·        Carbon Reduction Commitment CRC – Members were informed that this was hoped to have been implemented by November. An update would be given to Members

·        IT Security & Data Handling in Schools– the Head of Audit had followed this up with the Chief Education Officer and would update Members.

·        Food Health & Safety 1st Follow Up – the Head of Audit reported that good progress was being made on outstanding recommendations

·        Fusion Contract Management 6^th Follow up – The Committee was informed that the two outstanding high level recommendations were subject to legal discussions.

·        New Year’s Green Lane Weighbridge – Members were informed that 15 of the 20 outstanding recommendations had been implemented.

·        Adoption – The Committee noted that there were still 4 outstanding recommendations

·        Children with Disabilities – Transition – concern was expressed at outstanding recommendations from this audit from 2010-11, particularly as this was a vulnerable group. The Head of Audit undertook to investigate this further and report back at the next meeting.

·        Asylum Accommodation – there are outstanding recommendations from 2009/10 audit. The Head of Audit undertook to investigate this further and report back at the next meeting.

RESOLVED -

1. That the progress against the Internal Audit Plan for 2012/13 and the updated position of those audits undertaken in 2009-10, 2010-11 and 2011-12 be noted.