Agenda and minutes

            The Minutes of the meeting held on 19 January 2011 were taken as read and signed as a correct record.

            The Board considered a report of the Operational Director, Finance which provided details of the proposed Internal Audit Plan for 2011/12. It was reported that the Audit Plan outlined the likely programme of work to be completed by Internal Audit during the year.

            It was further noted that the Code of Practice for Internal Audit in Local Government required that the annual Audit Plan was considered and approved by the Council’s Audit Committee.

            Appended to report was the draft 2011/12 Internal Audit Plan for consideration which provided a summary of how the Council’s Internal Audit resources were to be utilised during the year.  It was noted that the plan was based on a resource input of 6.52 FTE auditors, which was a reduction of one from the previous year and comprised of 1,260 days.

            Members were advised a more thematic approach would be applied to inspection of school audits, for example with a focus on teachers pay or the transfer to Academy status.

            Arising from the discussion Members noted the Anti-Fraud Awareness Training, the possible future risks to the Council being Mersey Gateway, Building Schools for Future and 3MG in terms of significant expenditure and processes within the Council for authorisation of agency and consultancy staff.

            RESOLVED: That the Board approve the proposed Internal Audit Plan for 2011/12.

            The Board received a report of the Operational Director, Finance which provided an update of progress with the implementation of International Financial Reporting Standards (IFRS).  In addition the report presented the accounting policies to be used when preparing the Council’s 2010/11 Statement of Accounts, and outlined the forthcoming changes arising from the 2011 Accounts and Audit Regulations.

            It was reported that the 2009/10 financial accounts had been reworked in order to provide comparative figures.  The external auditors where reviewing them on an informal basis, and feedback would be provided in the next 2-3 weeks.

            It was further noted that there had been significant changes to the accounting policies.  The areas highlighted in bold in the report were the areas that had been changed.  As certain policies were still being finalised, it was proposed that the Operational Director, Finance be authorised in consultation with the Chairman of the Business Efficiency Board to make any further amendments necessary to the Council’s Accounting Policies.  These would then be used as the basis for preparing the 2010/11 year-end accounts.

            Members were advised that the forthcoming 2011 Audit and Accounts Regulations required the draft Abstract to be certified by the Operational Director, Finance by 30^th June each year, which would bring the Council into line with approval requirements for the private sector.

            It was noted that the final Abstract of Accounts along with the Governance Statement and the Audit Commission’s report of their findings from the audit of accounts would be presented to the September meeting of the Board.

            Arising from the report Members discussed equal pay settlements and business improvement district schemes.

            RESOLVED: That;

1)     the Statement of Accounting Policies set out in Appendix 1 be noted and the Operational Director, Finance be authorised, in consultation with the Chairman of the Business Efficiency Board, to make any further amendments;

2)     progress with the implementation of IFRS be noted; and

3)     forthcoming changes arising from the 2011 Accounts and Audit and Regulations be noted.