(b)Declarations of Interest by all Members present of
any personal interests in matters on the agenda, the nature of any
interest and whether the Members regard the interest as prejudicial
under the terms of the Code of Conduct.
(c)Exclusion of Press and Public - To consider whether,
in view of the nature of the business to be transacted, or the
nature of the proceedings, the press and public should be excluded
from the meeting when any of the following items are under
consideration.
NOTE: Any
item appearing in Part 2 of the Agenda states in its heading the
category under which the information disclosed in the report is
exempt from disclosure and therefore not available to the
public.
A list and description of the exempt
categories is available for public inspection at Brighton and Hove
Town Halls.
Minutes:
1A.
Declarations of
Substitutes
1.1
Substitute Councillor
For Councillor
Mrs A NormanOxley
Older
G Theobald
SmartLainchbury
WestRandall
1B.
Declarations of
Interest
1.2
There
were none.
1C.
Exclusion of Press and
Public
1.3
The
Committee considered whether the press and public should be
excluded from the meeting during the consideration of any items
contained in the agenda, having regard to the nature of the
business to be transacted and the nature of the proceedings and the
likelihood as to whether, if members of the press and public were
present, there would be disclosure to them of confidential or
exempt information as defined in Schedule 12A, Part 5A, Section
100A(4) or 100 1 of the Local Government Act 1972 (as
amended).
1.4
RESOLVED- That the press and public be not
excluded from the meeting.
2.
Chairman' s Communications
Minutes:
2.1
The
Chairman welcomed all Members to the meeting
and confirmed that the next
scheduled meeting of the Committee
would take
place on
30 September and that would training
session would take place for Members
prior to
that. A
separate letter would be sent to Members confirming
the dates/
timing of
the training session and in
respect of
the meeting
itself . He stated that one of the key purposes
of the
meeting would be to sign off the Council’s Statements of
Accounts.
3.
Callover
Minutes:
3.1
It was agreed that
all items
set out on
the agenda would be discussed
.
4.
Public Questions
(The closing date
for receipt of public questions is 12 noon on 19 June
2008)
No public
questions received by date of publication.
Minutes:
4.1
There
were none.
5.
Written Questions from Councillors
No written questions have been received.
Minutes:
5.1
There were none.
6.
Petitions
No petitions
received by date of publication.
Minutes:
6.1
There were none.
7.
Deputations
(The closing date
for receipt of deputations is 12 noon on 19 June 2008).
Report of the Director of Strategy &
Governance (copy attached).
Minutes:
10.1
Councillor
Alford sought clarification regarding the
respective roles and responsibilities
of the
Overview and Scrutiny Committee
in respect
of Finance . The Chairman
responded that discussions as to the
precise roles of each of these
respective bodies was still being discussed ( as
Chairman he
would be
involved in
that process) and that it was anticipated that
a report
would be
submitted to the
September meeting of the
Committee.
10.2
The Committee
considered a report of
the Director of
Strategy and Governance (for
copy see
minute book).
10.2
RESOLVED - That
the contents of the report be noted.
Report of the Director of Finance &
Resources and Director of Strategy & Governance (copy to
follow).
Minutes:
11.1
The Committee
considered a report of the
Director of
Finance and
Resources summarising the work
to be
carried out
by the
external auditor for the 2008 / 09
audit year (for copy see minute
book).
11.l2
The
newly appointed District Auditor,
Mrs Helen Thompson
introduced herself and
referred to the changes to the
assessment
procedures which had recently taken
place. She explained that she would
be working
closely with the relevant officers
within
the Council
and internally. In answer to
questions she explained that
changes had
been made to the manner
in which the Government
required data to be
collated and recorded.
11.3
Councillor
Mrs A
Norman sought confirmation regarding how fees for the work carried
were allocated stating that
in the
past Members had also sought
clarification regarding this matter
expressing concern at the
time that it sometimes took
in order
for the
respective accounts to be audited
and signed
off. Councillors Simpson and Watkins also enquired in respect
of this matter. It was explained
that the
level of
checking currently required by central
government was more
complex than had previously been
the case.
These requirements had arisen in response to
financial irregularities or unacceptable exposure to
risk which
had occurred in the private sector
, however
the same level of assessment
was now
required of the public
sector /
local authorities. A “complete” regime was now in place which
went far
beyond localised assessment
of risk
this was also reflected in the costs of carrying
out the
independent audit process.
11.4
Members
welcomed the undertaking
given that
as far as
practicable they would
receive regular on-going reports throughout
the year which would act as an early
warning system should any
areas of
risk or
potential overspend be
identified.
11.5
In answer to questions
the Director of Adult Social
care and
Housing confirmed that as soon as the most recent
performance indicators
for housing
were available a report would be put
forward to
the Committee. It was anticipated that
this would
come forward as a report
to the September Committee meeting
and that
areas of weakness previously identified had seen significant
improvements .
11.6
RESOLVED –(1) That the contents of the
report be noted.
Report of the Director of Finance &
Resources (copy to follow).
Minutes:
12.1
The
Committee considered a report of the Director
of Finance
& Resources setting out
the draft
Statement of Accounts
for 2007 /
08. (For copy see minute
book).
12.2
It was noted that
the accounts were
presented in
“draft” format as they had yet to be
audited by
the District Auditor . It was
expected that the
District Auditor would present an annual
Governance Report to the September meeting
of the
committee on the
conclusion of the audit of the 2007 / 08 financial statements
.
12.3
It was also explained that it was a
requirement of the
current Accounts and Audit Regulations that
the Council’s Statement
of Accounts should be
approved by Members
and signed
off by
the Chairman of the Committee
in concert
with the
Chief Executive and the Director Finance &
Resources by 30 June 2008.
12.4
Details of
measures undertaken in order to make
prudent additions to the Council’s existing reserves were
explained and noted. The representative
present from the
District Auditor’s Office
explained the terminology
used as well as the role and
responsibilities of the Committee
in approving and the
accounts and authorising
the Chairman to sign them off
in concert
with the
Chief Executive and
Director of
Finance and
Resources. In answer to questions
it was
explained that individual Members did
not carry
any personal liability where the
accounts had been
accepted and signed off in good faith.
12.5
RESOLVED
- (1) That the
Statement of Accounts for 2007 / 08 be approved and
that it be noted that these
will be
subject to audit ;
(2)
It be
noted that the actual
revenue outturn for the Council
for 2007
/ 08
was anunderspend of £0.244
million;
(3)
That the allocations from
the general
Reserves approved by the Cabinet at
its meeting
on 12
June 2008
be noted
;
(4) That
it be
noted that the individual
overspendings and underspendings would
not be
carried forward to 2007 / 08 and that the
£0.244 millionunderspend had been
transferred to General Reserves
;
(5) That the
surplus /
deficit on
the Housing
Revenue Account for the year of
£1.439 million, which had been
transferred to the HRA balances,
be noted
; and
(6) That the provisions
and contingent liabilities
included in
the accounts be noted .
Report of the Director of Finance &
Resources (copy attached).
Minutes:
13.1
The Committee
considered the Statement of
accounts to
30 June
2006, which
represented the revised
Statement of Accounts
for that period. It was noted that
the accounts had first
been submitted to the Policy and Resources
Committee on 28 June 2007 but
had now
been revised following advice from
the external auditors (Audit
Commission)(for copy see minute book).
13.2
It was noted that
Shoreham Airport had been
sold to
the Erinaceous Group plc on 30 June 2006 and
the accounts before the Committee
would therefore be the last set
produced and that they covered
the period
1 April
2006 to
30 June
2006. The
Balance sheet as a at 30 June 2006
showed nil
balances following
distribution of residual balances
to the
Council and Worthing Borough Council
(the other
owning authority) in the
proportion of 2/3rd
to 1/3rd respectively .
13.3
Councillor
Alford queried the
whether the
dates set
out in
the report
relative to land raising
were correct. It was explained that
they were correct and that a
scrutiny exercise had
subsequently been carried out relating specifically to that activity
.
13.4
RESOLVED –(1) That the contents of
the report
be noted ;
and
(2)
That the draft management representation letter be
approved.
14.
Shoreham Airport Annual Governance Report
Report of the Director of
Finance & Resources (copy of report to follow).
Minutes:
14.1
The
Committee considered the Annual Governance
report prepared by the
Council’s external auditors
(District Audit)(for copy see minute
book).
14.2
The
representative present from
District Audit explained that
a qualified
opinion had
been issued on the financial statements
on the grounds that there had been limited
scope for
them to
carry out
their work . This is because it had not been possible
to confirm
some of
the entries
in the Income and
Expenditure Account, primarily
on the
basis that that there had
not been
access to
all records and explanations needed
for the
3 months
to 30 June
2006 in the
period immediately prior to the
airport being sold .
This qualification had been discussed
with Officers of both
Brighton & Hove City Council
and Worthing Borough
Council.
14.3
RESOLVED
-That the content of the report be
noted.
The Committee
considered a report of the
Director of
Finance and Resources relative
to the
Audit and
Assurance Annual report
2007 / 08
(for copy
see minute
book).
15.2
The report
summarised the internal audit
activity which had taken place during
2007 / 08 and based on this
an assurance opinion on
the internal control environment
which was set out in full in Appendix 1 to
the report.
The opinion
as set out
in the
report contributed to the annual
review of
governance arrangements required
by the
Accounts and Audit Regulations
2006.
15.3
In
answer to
questions put by Councillors Older
and Simpson
it was
explained that further
update reports would be provided
throughout the year . The purpose of the
reports was
to ensure that the Committee were
fully aware
of the on
- going
work being carried out , the
rationale for it and the action
taken where any weakness
or areas
for improvement had
been identified. Councillor Alford
sought and
was given
assurances that the Council’s systems were
considered to be sufficiently robust overall and were subject to
continuous monitoring .
15.4
RESOLVED -Thatthe
internal audit activityand opinion
on the
control environment for 2007 ./ 08 be noted
.
The Committee
considered a report of the
Director of
Finance and
Resources setting out the Council’s Annual
Governance Statement in accordance
with its statutory duty under the
accounts and Audit Regulations 2003
(amended 2006) to publish an annual
Governance Statement (for copy see minute
book).
16.2
It was explained that
the purpose
of the report was to present
Members of
the Committee for comment,
challenge and approval the
assessment of the City Council’s corporate governance arrangements
and Annual Governance Statement . It
was explained in answer to
questions that the actual assessment
which formed the basis of the actual assessment was set out in
Appendix 1
to the
report. Noted that further up date
reports would be provided
to future
meetings of the Committee.
16.3
RESOLVED -(1)The annual
assessment of the City Council’s corporate governance
arrangements be approved ;
(2) The Annual
Governance Statement be
approved for inclusion with
the Statement of
Accounts ;
and
(3) The
continuing improvements being made to the City Council’s
governance arrangements be noted.
Report of the
Director of Finance & Resources (copy attached).
Minutes:
17.1
The Committee
received the report of the
Director of
Finance and
Resources which had been
considered and approved
by Cabinet
at its
meeting held on 12 June 2008
(for copy
see minute book).
17.2
The
purpose of the report was to set out the
revenue outturn for 2007 / 08 for
General Fund, Section 75 partnerships
and Housing Revenue Account
(HRA) as
at 31
March 2008. it was noted that these figures
were still subject to audit .
17.3
In answer to questions from Councillors
West andKitcat it
was confirmed that the recommendations contained in the report
were those
which had
been agreed
by Cabinet
at their meeting of 12 June. The
report had been forwarded
to the Audit Committee for
its information only as
had item
18 referred
to below. .
RESOLVED -That
the content
of the
report approved by the Cabinet at its meeting held on 12
June 2008 be noted .
Report of the
Director of Finance & Resources (copy attached).
Minutes:
18.1
The
Committee considered a
report of
the Director of Finance and
Resources which had been considered
and approved by Cabinet at its
meeting held on 12 June
2008 (for
copy see
minute book).
18.2
RESOLVED -That
the content
of the report
approved by
the Cabinet
at its meeting held on 12 June be noted .