Agenda item

Report of the Chief Internal Auditor and Corporate Fraud Manager.

The Audit and Fraud Manager referred Members to the Annual Internal Audit Report 2015/16 (for copy see file of minutes).

The Audit and Fraud Manager thanked Members for the opportunity to present the report on behalf of the Chief Internal Auditor and Corporate Fraud Manager and reminded the Joint Committee that the Annual Internal Audit Report fulfilled the requirements of Public Sector Internal Audit Standards and CIPFA Local Government Application note for the Chief Internal Auditor and Corporate Fraud Manager to deliver an annual audit opinion.

Members were informed that the report looked at the Joint Committee’s systems of governance, risk management and internal control and that, from the work undertaken, the Chief Internal Auditor and Corporate Fraud Manager was able to provide a “Substantial” overall assurance opinion of the adequacy and effectiveness of internal control operating across the Joint Committee in 2015/16.  Members were reminded that “Substantial” was now the highest level of assurance rating.

The Joint Committee noted that an external assessment must be conducted at least once every five years in terms of the Public Sector Internal Audit Standards and accordingly this would be carried out by the Audit Manager from Newcastle City Council in April 2016, to be reported to the County Council’s Audit committee in June 2016.

The Audit and Fraud Manager noted that the appendices to the report set out the work undertaken by Internal Audit and highlighted strengths and weaknesses, setting out a few minor issues which were being addressed by the Bereavement Services Manager, including ongoing investigations as regards the BACAS system interfacing with the accounting system SAGE.

Resolved:

That the content of the Annual Internal Audit Report and the overall “Substantial” opinion on the adequacy and effectiveness of the Joint Committee’s control environment for 2015/16 be noted.