Agendas, reports and minutes

A meeting of the Audit and Scrutiny Committee will take place in the Council Chamber, Council Headquarters, Glenurquhart Road, Inverness on Tuesday, 17 November 2015 at 10.30am.

Webcast Notice: This meeting will be filmed and broadcast over the Internet on the Highland Council website and will be archived and available for viewing for 12 months thereafter.

You are invited to attend the meeting and a note of the business to be considered is attached.

Yours faithfully

Michelle Morris
Depute Chief Executive/
Director of Corporate Development

Business

1. Apologies for Absence
Leisgeulan

2. Declarations of Interest
Foillseachaidhean Com-pàirt

Members are asked to consider whether they have an interest to declare in relation to any item on the agenda for this meeting. Any Member making a declaration of interest should indicate whether it is a financial or non-financial interest and include some information on the nature of the interest. Advice may be sought from Officers prior to the meeting taking place.

3. Internal Audit Reviews and Progress Report 
Ath-bhreithneachaidhean In-sgrùdaidh agus Aithisg Adhartais

There is circulated Report No. AS/25/15 dated 5 November 2015 by the Head of Audit and Risk Management which summarises the final reports issued since the date of the last meeting, together with details of work in progress and other information relevant to the operation of the Internal Audit Section as follows:-

• Corporate Development/Finance – Charging for Services
• Development & Infrastructure – Pulteneytown Peoples Project
• Finance – Payroll Procedures
• Finance – Income Systems

The report also refers to amendments which require to be made to the Audit Plan for 2015/16, predominantly in view of resourcing issues.

The Committee is invited to consider the Final Reports referred to in Section 1.1 to the report and note the:-

i.   current work of the Internal Audit Section; and
ii.  resource limitations in respect of the Audit Plan for 2015/16.

Members are also asked to approve the amendments to the Audit Plan for 2015/16.

4. Resourcing of Internal Audit  
Goireasachadh In-Sgrùdaidh

There is circulated Report No. AS/26/15 dated 5 November 2015 by the Head of Audit and Risk Management which considers the resourcing of the Internal Audit and Risk Management Section, particularly in respect of the vacancy of an Auditor post which is shortly to arise.

The opportunity to hold this post open and the impact this would have is considered in terms of the following:-

• The ability to provide an annual audit opinion as required by the Public Sector Internal Audit Standards;
• The focus and scope of future audit work; and
• The frequencies with which audit reviews are undertaken.

The Committee is invited to note the resourcing of Internal Audit and, in particular, the opportunity to review the implications of not filling an Auditor post which will shortly become vacant.

Members are also asked to note that the Head of Audit and Risk Management would still be able to form an annual audit opinion as required by the Public Sector Internal Audit Standards although this would be “at risk” in the event of further resourcing issues. However, there would be an impact on the wider work of the Internal Audit and Risk Management Section.

5. Action Tracking 
Tracadh Ghnìomhan

Members are advised that the Audit and Scrutiny Committee receives annual updates to provide assurance that the agreed actions arising from audit reports have been satisfactorily implemented.

In this regard, there is circulated Report No. AS/27/15 dated 6 November 2015 by the Head of Audit and Risk Management which provides information regarding the most recent action tracking undertaken since the last update provided to this Committee on 19 June 2014.  This update covers the period from 1 June 2014 to 31 October 2015.

The Committee is invited to note the action tracking information provided including the revised target dates for the completion of outstanding actions. 

6. Corporate Complaints Process Report  
Aithisg Ghearanan Corporra

There is circulated Report No. AS/28/15 dated 4 November 2015 by the Depute Chief Executive/Director of Corporate Development which provides an update for Members on the Council’s Corporate Complaints Process for the period 1 April 2015 to 30 September 2015 along with comparative data and a high level analysis of our complaint handling per service.

Findings identified, as part of the recent Public Sector Improvement Framework (PSIF) review of the Corporate Complaints Process, are also included along with the resulting improvement initiatives and actions in hand to step-up performance.

The Committee is invited to note the:-

i.   6 month and annual performance for Stage 1 and Stage 2 complaints; 
ii.   benchmarking activity of the Ombudsman;
iii.  risk around increasing complaints against decreasing budgets; and 
iv.  PSIF work that has been undertaken and the ongoing work in the actions to ensure improvement.

7. Annual Report of the Commissioner for Ethical Standards in Public Life in Scotland  
Aithisg Bhliadhnail a’ Choimiseanair airson Bhun-tomhasan Beusail ann am Beatha Phoblach

There is circulated Report No. AS/29/15 dated 2 November 2015 by the Depute Chief Executive/Director of Corporate Development presents a summary of the Commissioner’s Annual Report for 2014/15 for Members information.

The Committee is invited to consider and note the content of the Public Commissioner’s Annual Report.

8. Annual Report - Scottish Public Service Ombudsman Cases Received by the Council 
Cùisean Ombudsman Sheirbheisean Poblach na h-Alba a Fhuair a’ Chomhairle – Aithisg Bhliadhnail

There is circulated Report No. AS/30/15 dated 6 November 2015 by the Chief Executive which sets out the number and types of complaint against the Council that have been referred to the Office of the Scottish Public Sector Ombudsman (SPSO) in the preceding year and the subsequent judgement in the cases where the SPSO has concluded his inquiry.  It also provides a comparison with the Council’s performance in 2014/15.

The Committee is invited to consider and note the details of the report.

9. Audit Scotland – Code of Audit Practice (Consultation Draft)   
Sgrùdadh Alba – Còd Dhòighean-obrach Sgrùdaidh (Dreachd Cho-chomhairleachaidh)

There is circulated Report No. AS/31/15 dated 5 November 2015 by the Director of Finance which refers to a Council response to the Code of Audit Practice Consultation Draft.

The Committee is invited to consider the attached response, Appendix 2 to the report, to the Code of Audit Practice.