Agenda item

Report of Internal Audit Manager.

The Committee considered the report of the Internal Audit Manager regarding the draft internal audit plan for 2015/2016.

The internal audit plan for each year began with a calculation of the number of audit days available. Twelve “managed” audits were required to be undertaken this year to satisfy the external auditors and these were detailed in the report.

In addition to the core audits, work was carried out on verifying the National Non-Domestic Rates and Benefits Subsidy Claim. Days were also set aside for unplanned work, special investigations, follow ups, advice and National Fraud Initiative activity.

A risk assessment was carried out on all areas listed in the “Audit Universe”, in order for the annual internal audit plan to be produced. The “Audit Universe” was a list of all the areas and systems across the Council which could be audited. The completed risk assessment, included at appendix B to the report had been arranged by the level of risk and by the date the last audit review was undertaken.

The draft plan had been submitted to Corporate Management Team meeting on the 17 February 2014 and no further changes were proposed. The plan was included at appendix C to the report.

Of the three high risk areas identified in the risk assessment, two were subject to follow up reviews after an earlier audit and were therefore not included in the draft plan.

The Committee were informed that two reviews were due to be carried out in Planning, one for the computer system, proposed to be carried out this year and the other for the actual process, which was proposed to be carried out in the next financial year.

All reviews that had not been started during the current financial year would be transferred into the plan for the next financial year. Time would be allocated within contingency for reviews that had been started this year but would be completed next year.

More time had been granted to the review of Procurement with further details contained in the report.

The Committee was advised that the internal audit team had been asked to take on internal audit work for Eastbourne Homes Ltd (EHL) from 1 April 2015. A part time auditor, funded by EHL had been asked to take on extra hours in order to cover the extra work required.

The Committee enquired about the audit of community grants. The Internal Audit Manager responded that the Community Services Manager had produced a questionnaire that was used when an audit of an external organisation took place to ensure they were correctly spending the grant. The Internal Audit Manager added that they were happy with the process in place. It was requested that a follow up review be included in next year’s plan.

In response to a question from the Committee on the proposed audit on the robustness and resilience of the Council’s IT system and whether this included back-ups etc, the Internal Audit Manager responded that an annual review was undertaken separately of IT and this included testing back-ups.

RESOLVED: (Unanimous) That the proposed internal audit plan for 2015/16 be adopted.