Agenda item

Report of the Shared Internal Audit Service (SIAS) which sets out a programme of internal audit work for the year ahead (2022-2023).

Report of the Shared Internal Audit Service (SIAS) which set out a programme of internal audit work for the year ahead (2022-2023).

The committee was also asked to approve a selection of medium priorities audits that will be undertaken in Quarter 1 and 2.

The following points were highlighted and noted:

·         Paragraph 2.2 of the report looked at the planning process that SIAS followed. It was noted that the planning process had been revised following feedback from external quality assessment. This harmonised the process across the different partners and increased transparency as to why certain topics had to be included. The planning process has five stages, these were horizon scanning, audit universe, client discussions, risk assessment and draft audit plan.

·         In paragraph 2.6, details of the risk assessment stage could be seen. It looked at the various different factors such as financial materiality, corporate significance, vulnerability and change management concerns. SIAS were keen not to duplicate assurance available to the Council so resources could be used effectively.

·         It was noted that in order to provide an opinion in the year, SIAS had broken the plan into high priority audits which will definitely be undertaken during the year. Also looking at medium priority audits which gave some flexibility in the plan.

·         The planning context, which was paragraph 2.11 set out the key challenges faced by local authorities.

·         It was noted at paragraph 2.21, the Public Sector Internal Audit Standards required SIAS to ensure that they had adequate arrangements and resources in place to deliver the plan and sought to provide the committee with that assurance.

·         It was noted at paragraph 3.3, the performance indicators through which SIAS were measured by were signed off by the SIAS board in December 2021.

·         The medium priority audits that SIAS were proposing to undertake in Quarter 1 were housing maintenance contract, vaccine uptake and member training. In Quarter 2 SIAS propose to look at voids management, homelessness prevention grants funding and planning services review recommendations.   It was noted that the audits not selected for Quarters 1 and 2 will be carried forward to Quarters 3 and 4.

·         Members queried the 300 allocated days referred to in the report and asked how many staff that covers.  SIAS stated that they operate as a shared service carrying out audits for eight clients.  In terms of 300 days, the full-time staff were required to deliver 195 days and that is 1.5 people split across audit staff and management. It cannot be 1.5 individuals because they have audited time and management time for overseeing the plan and attending committees. An advantage of being a shared service is that SIAS has a wider staff base.

·         Members noted the shared service and asked for confirmation of whom the service was shared across. SIAS stated that the service was a collection of local authorities within Hertfordshire. Some of the local authorities were Hertfordshire County Council, East Herts Council, Welwyn Hatfield Borough, North Herts Council, Watford Council, Three Rivers Council, Hertsmere Council and Stevenage Council.  It was noted that SIAS operate as a partnership, they have a board which has members from each of the partners so any decisions in relation to the service will be made as a collective by all the partners.

RESOLVED:

(unanimous)

The committee approved the proposed Welwyn Hatfield Borough Council Internal Audit Plan for 2022/23 including the Medium priority audits to be completed during Quarters 1 and 2.