Internal Audit Progress Report
Decision Maker: Audit, Risk and Governance Committee
Decision status: Recommendations Approved
Is Key decision?: No
This report sets out for the committee the
internal audit work performed under the audit plan for 2018/19
approved in April 2018.
Ruth Lowry, Head of Internal Audit, presented a report outlining the updates on the Internal Audit Service's work. The report included key findings, issues of concern and actions undertaken as a result of the work. It was highlighted that:
· Of the 79 audits planned, 58% had been completed and details of 19 were included in the report. A further 3 were almost ready to report. At the July meeting of the committee assurance would be provided for the Lancashire Pension Fund and the first ICT audit.
· The report included managers' progress in implementing agreed actions in response to audit work from 2016/17, 2017/18 and 2018/19. It was acknowledged that 86% had been completed or superseded, 3% were incomplete and 11% were awaiting a response.
In response to questions from members the following information was clarified:
· The increase in the number of planned audits from 2017/18 to 2018/19 from 51 to 79 was achievable as the newer members of the Internal Audit team had completed their training and coaching programme and so the team were now able to complete more audits.
· In terms of determining which local authority was responsible for meeting the care and support costs where a person moves between two local authorities; the specifics of who would be accountable for persons leaving Calderstones, Whalley when it closed was not known by the Internal Audit team. However the steering group set up to oversee such decisions had a negotiating strategy which followed a consistent approach to support the resolution of this type of issue and minimise the financial cost to the council. The Chair commented that the Health Scrutiny Committee had received information regarding closure of the Calderstone's site and this may be useful to the Internal Audit team.
· As detailed in the Corporate Risk and Opportunity register (item 7), it is likely that the European Structural and Investment Fund (ESIF) programme would continue to its planned conclusion at the end of 2020. The ESIF monies totalling circa £200m, were currently ring-fenced for use in Lancashire over the next 5 years.
· Action was underway to address the breaches to the council's contract and procurement financial limits that had occurred for the procurement of expert assessment and therapy provision.
· An action plan had been agreed with management in order to take steps to mitigate risks for those service areas with limited assurance. The responses to the action plan were discussed and followed up to ensure the agreed work had taken place as described.
· It was not necessarily typical for this number to be outstanding at this stage in the year, however as previously stated the Internal Audit service's productivity had now increased and the work would start earlier this year. In view of this it was anticipated that the plan would be at a better position this time next year.
Resolved: That the Internal Audit progress report as presented be noted.
Report author: Ruth Lowry
Date of decision: 20/05/2019
Decided at meeting: 20/05/2019 - Audit, Risk and Governance Committee