Agenda item

The Committee considered a report of the External Auditor which asked Members to note the contents of the External Auditor report on the audit of the statement of accounts for the County Council for the year ended 31 March 2017 (for copy see file of Minutes).

Mr M Kirkham, Mazars introduced the report and stated that with the exception of the errors identified in the floor areas used in the valuation of assets which was reported at the last meeting, there were no matters of concern to report. Further work had been completed with Officers in Assets with satisfactory results and an unqualified opinion on the accounts, together with an unqualified Value for Money conclusion would be issued on 30 September 2017. 

Given that the results of the work carried out were ‘satisfactory’ the Chairman asked if there were any material errors to report. Mr Kirkham explained that their role as External Auditor was to provide an opinion based on reasonable assurance and did not control programmes of work that followed as a result. 

Following a request for clarification from Councillor Carr regarding the errors identified, Members were informed by Mr J Collins of Mazars that sample testing had been extended across the Children and Young People’s Service and to Regeneration and Local Services.

The Asset Services Manager advised that the cause had been simple human error in that the information used in the calculation of floor areas had been incorrect. This had now been addressed and a process implemented to update the data used.

Following a question from Mr C Richardson, Mr Kirkham advised that there were no additional caveats in terms of their opinion and the conclusions Mazars had reached. An assurance for the Committee was the work that had been completed to prevent future errors and the internal controls put in place to ensure that correct data was used in current and future valuations.

Following comments from Councillor Temple, the Corporate Director of Resources advised that in addition to the control recommendations, asset valuation would be part of a wider review of Assets.     

Resolved:

That the information contained in the report, including the adjustments to the financial statements included in Appendix A of the report, be noted.