Venue: County Hall, Glenfield
Contact: Miss C Tuohy (0116 305 5483) Email: cat.tuohy@leics.gov.uk
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Minutes: The minutes of the meeting held on 6th February 2019 were taken as read, confirmed and signed. |
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Declarations of interest. Minutes: The Chairman invited members who wished to do so to declare any interest in respect of items on the agenda for the meeting. No declarations were made. |
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Urgent Items. Minutes: There were no urgent items for consideration. |
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Exclusion of the public. Minutes: RESOLVED: That under Section 100(A) of the Local Government Act 1972 the public be excluded from the meeting on the grounds that it will involve the likely disclosure of exempt information during the consideration of the following items of business as defined in paragraphs 3 and 10 of Schedule 12A of the Act, and, in all circumstances of the case, the public interest in maintaining the exemption outweighs the public interest in disclosing the information:- i) Draft Outturn 2018/19 ii) Internal Audit Service – Progress Against the 2018-19 Internal Audit Plan iii) Internal Audit Service Annual Report 2018/19 iv) Annual Internal Audit Plan 2019-20 |
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Draft Outturn 2018/19 Minutes: Members considered an exempt report of the Director and
Consortium Treasurer outlining the draft Outturn for 2018/19. A copy of the
report, marked ‘Agenda Item 5’, is filed with these minutes. The exempt report was not for publication as it contained
information relating to the financial or business affairs of a particular
person (including the authority holding that information). Arising from the discussion the following points were
noted:- i)
Members were pleased to note the strong position
ESPO were in after another record year having already reached the 2020 target
of a five million pound surplus. ii)
The surplus target for 2019/20 was set at five
million pounds, it was intended to review this target after
the peak trading period. iii)
The increase in staff costs compared to the
prior year reflected both the increasing staff numbers and the Local Government
Pay Offer increase of 1%. It was expected that the next year’s pay review would
cost ESPO a further £700,000. iv)
The £400,000 set aside yearly for Building
Reserves was intended for future replacements for buildings at end of life.
Officers were aware of the national issue regarding improvement in premises and
the subsequent increase in business rates. v)
Seven forklift trucks and eight Large Good
Vehicles (LGV’s) had been purchased as part of the Capital Programme. The old
forklifts had been taken away for free as they had no scrap value whereas the
LGV’s were sold in auction and ESPO would receive the market value vi)
Total Rebates were £800,000 ahead of budget due
to the strong performance of ESPO’s Frameworks and the introduction of an IT
Database which enabled more effective enforcement of supplier payment. RESOLVED: a)
That the draft outturn for 2018/19 be noted and t £400,000
be allocated to Building Reserves in line with previous years. b)
That the Management Committee be recommended to
allow £300,000 from the surplus to support the
development of the ESPO Website Project. c)
That the Capital Programme expenditure be noted. |
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Internal Audit Service - Progress Against The 2018-19 Internal Audit Plan Minutes: Members received a report of the Consortium Treasurer
outlining the progress against the 2018/19 Internal Audit Plan. A copy of the
report, marked ‘Agenda Item 6’ is filed with these minutes. The report was not for publication as it contained
information relating to the financial business affairs of a particular person
(including the authority holding that information). Members noted that the 2017/18 high importance
recommendations which related to a data protection audit and the MStar contract
both now had a substantial level of assurance and had been closed. To date no
high importance audits from the 2018/19 audits had been identified. Members recognised the transparency and flexibility of the
Leadership team with the Internal Audit service. RESOLVED: The Subcommittee noted the contents of the report outlining the progress against the Internal Audit Plan. |
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Internal Audit Service Annual Report 2018/19. Minutes: Members received a report of the Consortium Treasurer
outlining the Internal Audit Service Annual Report 2018/19. A copy of the
report, marked ‘Agenda Item 7’, is filed with these minutes. The report was not for publication as it contained
information relating to the financial business affairs of a particular person
(including the authority holding that information). Members were pleased to note the positive opinions given on
all three components of the ‘control environment’ i.e. the framework of
governance, risk management and control and that LCCIAS ‘generally conforms to
the public sector internal audit standards’ which was considered the top
rating. A paper would be received at the next Management Committee
on Future Growth and would detail a pipeline of ideas to grow the business and
set out the risk and reward of each option. RESOLVED: That the Internal Audit Service Annual report be noted and the Management Committee be advised accordingly. |
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Annual Internal Audit Plan 2019-20. Minutes: The Subcommittee received a report of the Consortium
Treasurer outlining the Internal Audit Plan for 2019/20. A copy of the report,
marked ‘Agenda Item 8’, is filed with these minutes. The report was not for publication as it contained
information relating to the financial business affairs of a particular person
(including the authority holding that information). Arising from the discussion the following points were
noted:- a)
It was important that the Head of the Internal
Audit Service attended the Management Committee and Finance and Audit Subcommittee
meetings in order to gauge the challenge provided by Members. b)
The IT rolling programme covered Website
Development and other IT developments. The yearly plan was risk assessed by
Internal Audit and a programme of work would subsequently be agreed with ESPO’s
Head of IT. There was some flexibility to undertake additional work in year. RESOLVED: That the contents of the Internal Audit Plan for 2019/20 be approved and the Management Committee advised
accordingly. |
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Date of next meeting. The
next meeting of the Subcommittee will take place in early 2020, and will be
confirmed nearer to the time. Minutes: RESOLVED: It was noted that the next meetings of the Subcommittee would take place in early 2020. |