Agenda

GRAC ANNUAL REPORT 2022-23

Executive Summary

This report aims to provide the Council with an outline of the role, purpose and background of the Governance, Risk & Audit Committee, as well provide a summary of the work undertaken by the Committee throughout the 2022-23 municipal year. It will also draw attention to any issues encountered, or those that remain from previous years. 

Options considered

N/A

Consultation(s)

A draft copy of the report is shared with the Committee Chairman and all officers responsible for presenting reports to GRAC throughout 2022-23.

Recommendations

It is recommended that Council notes the report, affirms the work of the Governance, Risk & Audit Committee, and considers any concerns raised within the key issues section of the report.

Reasons for recommendations

To inform Council of the work of the Governance, Risk and Audit Committee in 2022-23.

Background papers

GRAC Annual Work Programme 2022-23

Wards affected

All

Cabinet member(s)

N/A

Contact Officer

Matt Stembrowicz

Democratic Services & Governance Officer

Matthew.stembrowicz@north-norfolk.gov.uk

01253 516047

Links to key documents:

Corporate Plan:          

Strong, responsible & accountable Council 

Medium Term Financial Strategy

N/A

Council Policies & Strategies

Relevant policies are considered by the Committee and outlined in the report.

Corporate Governance:

Is this a key decision 

No

Has the public interest test been applied

N/A

Details of any previous decision(s) on this matter

N/A

Internal Audit Progress and Follow Up Report

Executive Summary

This report examines the progress made between 31 May 2023 to 31 August 2023 in relation to delivery of the Annual Internal Audit Plan for 2023/24 and provides details of any outstanding internal audit recommendations.

Options considered

N/A

Consultation(s)

N/A

Recommendations

It is recommended that the Committee receives internal audit progress and progress against internal audit recommendations within the period covered by the report. 

Reasons for recommendations

To provide the Committee with an update on internal audit plan progress, and progress on implementing outstanding internal audit recommendations.

Background papers

N/A

Wards affected

All

Cabinet member(s)

All

Contact Officer

Faye Haywood, Head of Internal Audit

faye.haywood@southnorfolkandbroadland.gov.uk

01508 533873

Links to key documents:

Corporate Plan:          

All

Medium Term Financial Strategy (MTFS)                                

N/A

Council Policies & Strategies

Internal Audit Charter 2023/24

Internal Audit Strategy 2023/24

Corporate Governance:

Is this a key decision 

 No

Has the public interest test been applied

N/A

Details of any previous decision(s) on this matter

N/A

LOCAL CODE OF CORPORATE GOVERNANCE AND ANNUAL GOVERNANCE STATEMENT (AGS) 2022/23

Executive Summary

The Corporate Governance framework is made up of the systems and processes, culture and values by which an organisation is directed and controlled. For local authorities this includes how a Council relates to the community it serves. The Local Code of Corporate Governance is a public statement of the ways in which the Council will achieve good corporate governance. This is based on the development of the  ‘Delivering Good Governance in Local Government: Framework’ (2016)produced by the Chartered Institute of Public Finance and Accountancy (CIPFA) and the Society of Local Authority Chief Executives (SOLACE) and focusses on the seven core principles and sub-principles of good governance. The Annual Governance Statement (AGS) is prepared following a review of all the evidence available to the Council in seeking compliance with its Local Code.

Options considered

None – this is a statement for review and approval.

Consultation(s)

Policy and Performance Manager; S.151 and Monitoring Officer

Recommendations

Members are asked to review and approve the Annual Governance Statement (AGS) along with the updated Local Code of Corporate Governance.

Reasons for recommendations

To review and record the Council’s governance

Background papers

None

Wards affected

All

Cabinet member(s)

Cllr Adams and Cllr Shires

Contact Officer

Tina.Stankley@north-norfolk.gov.uk

Links to key documents:

Corporate Plan:          

A Strong, Responsible and Accountable Council

Effective and efficient delivery

• Managing our finances and contracts robustly to ensure best value for money

• Ensuring that strong governance is at the heart of all we do

Medium Term Financial Strategy (MTFS)        

Governance report not specifically linked to MTFS

Council Policies & Strategies

None

Corporate Governance:

Is this a key decision 

 No

Has the public interest test been applied

Public Report

Details of any previous decision(s) on this matter

Annual Governance Report – made yearly to the Governance Risk and Audit Committee

AUDIT COMMITTEES AND CO-OPTED INDEPENDENT MEMBERS

Executive Summary

A Position Statement has been issued by the Chartered Institute of Public Finance and Accountancy [“CIPFA”]. It contains a number of recommendations including that local authorities include at least two co-opted independent Members on their audit committees. This is not presently a statutory requirement, but is anticipated that it will be in the future. This report considers the guidance and whether the Council wishes to commence a recruitment process in this regard. The Position Statement further recommends that there should be annual public reporting of compliance with the CIPFA Position Statement at Appendix A.

Options considered

·        Appoint 2 independent Members to the Governance Risk and Audit Committee [“GRAC”] for a 3 year period

·        Appoint 1 independent Member to GRAC for a 3 year period

·        Continue with the status quo: not appointing any independent Member at this time

Consultation(s)

Chief Finance Officer; CLT, internal audit

Recommendations

1.     To recommend to Full Council that 2 co-opted independent Members be appointed to the Governance Risk and Audit Committee [“GRAC”], for a 3 year period. Delegated authority be given to the Monitoring Officer, in consultation with the Chairman of GRAC, to undertake recruitment arrangements.

2.     That GRAC reports annually on how the Committee has complied with the CIPFA Position Statement [2022], to include

·        how it has discharged its responsibilities,

·        an assessment of its performance

and that such report be made available to the public.

Reasons for recommendations

To comply with the recent CIPFA Position Statement that:

1.     “where there is no legislative direction to include co-opted independent members [to a Council’s Audit Committee], CIPFA recommends that each authority audit committee should include at least two co-opted independent members to provide appropriate technical expertise.”

2.     Further, the Position Statement outlines that, to discharge its responsibilities effectively, the Committee should provide an annual report as to compliance with the CIPFA Position Statement [2022],attached at Appendix A.

Background papers

https://www.cipfa.org/-/media/Files/Services/Support-for-audit-committees/CIPFA-Audit-Committee-Position-Statement-2022.pdf

This CIPFA guidance note is produced at Appendix A

Wards affected

All wards

Cabinet member(s)

Cllr Adams & Cllr Shires

Contact Officer

Cara Jordan

Cara.jordan@north-norfolk.gov.uk

Tel: 01263 516373

Links to key documents:

Corporate Plan:          

A Strong, Responsible and Accountable Council

Effective and efficient delivery

• Managing our finances and contracts robustly to ensure best value for money

• Ensuring that strong governance is at the heart of all we do

Medium Term Financial Strategy (MTFS)                                

N/A

Council Policies & Strategies

(CIPFA guidance detailed above)

Corporate Governance:

Is this a key decision 

No

Has the public interest test been applied

Public report

Details of any previous decision(s) on this matter

None