Audit Minutes 2009-07-01

Dc00213086

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CORPORATION OF DONCASTER COLLEGE AUDIT COMMITTEE Minutes of the meeting held in the Boardroom at the Hub on Wednesday, 1 July 2009 at 4.30 p.m. COMMITTEE Karen Finlayson (Chair) MEMBERS Ken Hays PRESENT: Gillian Knight John Toon (Vice Chair) ALSO IN Gillian Machin, Clerk to the Corporation ATTENDANCE: John Taylor, Interim Principal Ann Treacy, Chief Accountant Will Simpson and Ian Falconer, Grant Thornton (Internal Audit) Alastair Hunt, Tenon (External Audit) Min. ACTION DATE No. by whom by when 54. DECLARATION OF INTERESTS IN ANY OF THE ITEMS ON THE AGENDA The Chair reminded those present to declare at the start of the meeting interests held in any matter to be discussed. No interests were declared. 55. APOLOGIES FOR ABSENCE There were no apologies for absence and the meeting was Clerk 1 July confirmed to be quorate with four members present 56. MINUTES AGREED that the Minutes of the meeting held on 27 April 2009 be confirmed as a correct record and signed by the Chair. Chair 1 July 57. ACTIONS OUTSTANDING AND MATTERS ARISING There was one action outstanding and two matters arising from the Minutes of the last meeting, as follows: Planning Day (Minute No. 32 refers) It was agreed by those present that the planning day was still required and that a way to measure the effectiveness of the Committee’s activities, linked to a reflective self-assessment ...

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• Publié par: Eddo
• Nombre de lectures: 47
• Langue: English

Extrait

Audit Minutes 2009-07-01.doc

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COMMITTEE

MEMBERS

PRESENT:

Karen Finlayson (Chair)

Ken Hays

Gillian Knight

John Toon (Vice Chair)

ALSO IN

ATTENDANCE:

Gillian Machin, Clerk to the Corporation

John Taylor, Interim Principal

Ann Treacy, Chief Accountant

Will Simpson and Ian Falconer, Grant Thornton (Internal Audit)

Alastair Hunt,

Tenon (External Audit)

Min.

No.

ACTION

by w hom

DATE

by w hen

54.

DECLARATION OF INTERESTS IN ANY OF THE ITEMS ON THE

AGENDA

The Chair reminded those present to declare at the start of the

meeting interests held in any matter to be discussed.

No interests were declared.

55.

APOLOGIES FOR ABSENCE

There were no apologies for absence and the meeting was

confirmed to be quorate with four members present

Clerk

1 July

56.

MINUTES

AGREED

that the Minutes of the meeting held on 27 April 2009 be

confirmed as a correct record and signed by the Chair.

Chair

1 July

57.

ACTIONS OUTSTANDING AND MATTERS ARISING

There was one action outstanding and two matters arising from the

Minutes of the last meeting, as follows:

Planning Day (Minute No. 32 refers)

It was agreed by those present that the planning day was still

required and that a way to measure the effectiveness of the

Committee’s activities, linked to a reflective self-assessment

process, would be useful.

It was noted that an inevitable

consequence of being required to put together a recovery plan in

order to gain funding support from the Department of State, would

Clerk

Sept 09

CORPORATION OF DONCASTER COLLEGE

AUDIT COMMITTEE

Minutes of the meeting held in the Boardroom at the Hub on

Wednesday, 1 July 2009 at 4.30 p.m.

Audit Minutes 2009-07-01.doc

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Min.

No.

ACTION

by w hom

DATE

by w hen

be the need to evidence that Governor Committees had reflected on

past

work

and

re-focussed

the

emphasis

of

their

deliberations/actions to maximise their efficiency and effectiveness.

Implementation of Audit recommendations (Minute 46 refers)

This activity would be addressed through the Chief Accountant’s

Report later in the meeting.

Risk Management (Minute 51 refers)

It was reported that the advice from Governors on how they would

like to see the work of the Risk Management Group strengthened

and enhanced had been addressed and changes would be

managed through the Executive.

58.

CHAIR’S COMMUNICATIONS

There were no communications from the Chair.

AUDIT REPORTS

59.

INTERNAL AUDIT REPORTS:

The Committee received the following report from Grant Thornton:

Progress Report

Auditing work, as previously agreed, had been re-directed to focus

on specific issues.

Therefore the progress report reflected these

changes.

It provided the College and the Committee with a qualified

opinion on management controls on which systems and procedures

relied, as nothing could now be done to mitigate the college’s

absence of controls relating to the specific areas under review.

Five

days had been held back for follow-up work to be undertaken in late

July and it was expected that the end of year report to LSC and the

college’s external auditors would contain positive outcomes covering

evidenced assurances on improvements

Confirmation was provided that on the basis of reports concluded to

date, it was unlikely that the College would receive an unqualified

annual opinion from Grant Thornton at the year-end

.

The Internal Audit plan for 2009/10 would be presented to the

Autumn meeting and would, in addition to seven pre-set

requirements, focus on providing assurances that basic controls had

been re-established.

The Chair suggested areas of work for

consideration for inclusion in the next plan i.e. Finance, High Melton

activity, Human Resource Department activities, Basic controls and

accountability.

AGREED

a.

That the Grant Thornton Internal Audit Progress

Report to the Audit Committee dated 23 June

2009 be received and noted.

Audit Minutes 2009-07-01.doc

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Min.

No.

ACTION

by w hom

DATE

by w hen

b.

That Grant Thornton be approved as the college’s

internal auditors for 2009/10

60.

LSC EMPLOYER RESPONSIVE (TRAIN TO GAIN) ASSURANCE

VISIT : FINAL REPORT

Committee noted the conclusions of the Audit, undertaken by the

LSC, that the college had substantially met the contractual

conditions attached to payments and that the money had been used

for the purposes for which it was intended.

It therefore gave an

Unqualified (Satisfactory) opinion on the use of funds, and

Unqualified (Satisfactory) opinion on the college’s internal controls.

Attached to this opinion was an action plan to address weaknesses

of internal control which had been fully responded to by the college.

Relevant issues would be included in the Recovery Plan.

AGREED

That the LSC Employer Responsiveness (Train to Gain)

Final Audit Report be received.

61.

AUDIT PLANNING MEMORANDUM FOR THE YEAR ENDED 31

JULY 2009

Committee considered the Tenon planning memorandum, a

summary of the planned and proposed audit approach for the

college’s accounts for the year ended 31 July 2009. The Committee

was informed of the current position/risk factors in regard to Senior

Post-holders and the Vice Principal Resources, where only one

outstanding issue remained.

This would be referred to the Finance

Committee and/or Corporation for resolution.

The Committee discussed the following:

•

A challenge to the need for lines of additional cost in the fees

to be incurred in the coming year, as unnecessary expense

•

The impact of receiving a negative opinion and the need to

know levels of support to be attached to the college before a

signed opinion could be given.

AGREED

a.

That the Audit Planning Memorandum for the

year ended 31 July 2009 be received and the

contents noted

b.

That only the following fees be agreed:

for

production of Financial Statements & Regularity

£21,870, Additional Work arising from increased

risk £5,000 (Item 3 Review of Going Concern

and forecasts £4,500 being held in abeyance)

62.

MONITORING OF AUDIT RECOMMENDATIONS

(standing item)

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Min.

No.

ACTION

by w hom

DATE

by w hen

The Chief Accountant outlined the summary position of work to

address Audit recommendations, detailed information on which

would be presented to the Executive on a regular basis where

individuals responsible for actions would be held to account.

High

risk actions would be added to future audit work schedules as

substantive items.

The Committee noted the usefulness of the report, requesting that a

high, medium, low rating analysis be added to future reports.

Principal

AGREED

a.

the Monitoring of Audit Recommendations paper

be received and noted.

b.

that responsibility for this work be added to the

remit of the new Clerk to the Corporation

Clerk

Aug 09

63.

ANY OTHER ITEMS OF URGENT BUSINESS

There were no items of other urgent business

ITEMS FOR INFORMATION

64.

HEFCE REVIEW OF POST 16 INITIAL TEACHER TRAINING

BURSARIES

NOTED:

An HEFCE assurance and institutional risk team report

reviewing Post-16 Initial Teacher Training Bursaries.

There were no issues of concern for Governors to

address.

65.

LSC FINANCIAL NOTICE TO IMPROVE UPDATE

NOTED:

An LSC Financial Notice to Improve update letter

dated 29 May extending the period of the current

financial notice to improve and withdrawing the

general consents relating to capital transactions and

borrowing

levels

contained

in

the

financial

memorandum.

This financial position would be fully integrated into the

Recovery Plan being developed.

ANY OTHER ITEMS OF URGENT BUSINESS

There were no items of any other urgent business.

Audit Minutes 2009-07-01.doc

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CONFIDENTIAL ITEMS

66.

AGREED

that:

a.

the following items of business be treated as

confidential on the basis of the information to be

discussed

being

confidential

information

as

contained in Standing Order No. 19b, being

personal information relating to an individual.

i.

the Confidential Minutes of the meeting held on

27 April 2009;

ii.

Confidential Internal Audit Reports from Grant

Thornton

•

Controlling the Impact of recruitment and

promotion on payroll

•

Senior Management expenses / Use of

college credit cards.

The individual confidential minutes of these items are held in

separate records by the Clerk.

There being no further business, the Chair thanked everyone for

their attendance and participation and closed the meeting.

The meeting ended at 7.30 p.m.

G Machin

Clerk to the Corporation

Signed as a correct record on Monday 5 October 2009

…………………………………….. Chair