Agenda and minutes

To receive any apologies for absence.

An apology for absence was received from Councillor A S Pollitt.

The Team Leader – Democratic Support also advised the apologies of the Director of Finance, Housing and Community and the Director of Governance.

To note appointments of Substitute Members.

In accordance with Council Procedure Rule 4, Councillor P Walker was appointed as substitute member for Councillor A S Pollitt.

To receive any declarations of interest from Members in respect of business to be transacted on the agenda.

Where a Member has a new or registered Disclosable Pecuniary Interest (DPI) in a matter under consideration they must disclose that they have an interest and, unless the Monitoring Officer has agreed in advance that the DPI is a 'Sensitive Interest', explain the nature of that interest at the meeting.  The Member must withdraw from the meeting at the commencement of the consideration of any matter in which they have declared a DPI and must not participate in any discussion of, or vote taken on, the matter unless they have been granted a dispensation permitting them to do so.  If during the consideration of any item a Member becomes aware that they have a DPI in the matter they should declare the interest immediately and, subject to any dispensations, withdraw from the meeting.

Where a Member is declaring an Other Significant Interest (OSI) they must also disclose the interest and explain the nature of the interest at the meeting.  The Member must withdraw from the meeting at the commencement of the consideration of any matter in which they have declared a OSI and must not participate in any discussion of, or vote taken on, the matter unless they have been granted a dispensation to do so or the meeting is one at which members of the public are permitted to speak for the purpose of making representations, answering questions or giving evidence relating to the matter.  In the latter case, the Member may only participate on the same basis as a member of the public and cannot participate in any discussion of, or vote taken on, the matter and must withdraw from the meeting in accordance with the Council's procedure rules.

There were no declarations of interest made by Members.

To confirm the Minutes of the meetings of the Committee held on 26 September 2013 and 19 November 2013 (to follow).

The Team Leader – Democratic Support advised that the Minutes would need to be deferred to the next meeting.

To consider the attached report of the Director of Finance, Housing and Community.

The Head of Finance presented the Treasury Management Quarter Two report. The Committee was advised that the Council had remained within its Treasury Management and Prudential Code guidelines during the period.

There was a five day period during which Barclays Bank, with whom the Council had £5 million invested in-house, moved into ‘monitoring’ on Capita’s rating effectively meaning that no money should have been invested with it. However, the Council had instant access to this investment throughout the five day period.

In response to a question from Councillor M R Eddy, the Head of Finance advised that the Council was exploring options in respect of the remaining Iceland debt, which was currently approximately half repaid.

RESOLVED:   That the report be noted.

To consider the attached report of the Head of Audit Partnership.

The Head of Audit Partnership and the Deputy Head of Audit Partnership presented the Quarterly Internal Audit Update report.

There had been three Internal Audit reports completed during the period, one of which received a Substantial Assurance (EK Services - Council Tax Reduction Scheme) and one a Reasonable Assurance (Right to Buy Applications). The third audit (EK Services – Housing Benefit Quarterly Testing) was not of the nature for which an assurance was applicable.

In addition to the three audits, the Council had been awarded a Substantial Assurance level in respect of the Local Code of Corporate Governance, which was one of the pillars of the Council’s governance framework.

The issue of delays in information being supplied to Members by officers, including delays in Minutes for committee meetings, was raised by several members of the Committee as this had a bearing on their ward work and the reputation of the Council. It was questioned whether this was an issue of capacity and what impact rising absence levels were having.

RESOLVED:    (a)    That the report be noted.

                         (b)    That the Director of Finance and the Director of Governance be requested to provide an update to the next meeting on the provision of information to Members.

To consider the attached report of Grant Thornton.

The Engagement Lead – Grant Thornton presented the update to the Committee.

Members discussed the 'emerging issues' questions around simplifying the accounts and while it was recognised that the Council was limited by legislation in respect of the form of publication of some of its information it was agreed that in principle if changes could be made to simplify the information it would be of benefit to Members and the public.

RESOLVED:    (a)        That the update be noted.

                         (b)        That officers be requested to provide responses to the 'emerging issues' questions raised as part of the Governance Committee Update.

To consider the attached Annual Audit Letter from Grant Thornton.

The Engagement Lead – Grant Thornton introduced the Annual Audit Letter. It was stated that the letter contained no new information to that previously presented in other forms to the committee.

In response to a question from Councillor M R Eddy, the Committee was informed that Grant Thornton were satisfied with the Council’s position that the transfer of Housing Revenue Account (HRA) funds to the General Fund was legal. This position was reaffirmed by the Head of Finance.

However, the Department of Communities and Local Government (DCLG) had written to all Council’s in respect of the issue of transfer to ask the reasons for the transfer and the level of transfer and there remained a possibility that the DCLG could use its powers of determination to force the transfer of funds back to the HRA.

The Head of Finance advised Members that while the Autumn Statement had not announced any further reductions in Revenue Support Grant for local authorities there were still reductions planned for the next two financial years.

RESOLVED:    That the Annual Audit Letter be noted.