Issue - meetings

To consider the report of the Audit Manager

To approve the Revised Audit Plan for the period 1 April 2020 to 31 March 2021.

Submitted – the amended draft plan of Internal Audit work for the 2020/21 financial year for comment and approval by the Committee. It was highlighted that, in accordance with best practice and the Public Sector Internal Audit Standards, the Internal Audit plan was subject to continuous review in order to ensure that it remained up to date and reflected changes in the business.

It was explained that the plan had been updated in light of the Covid-19 pandemic and the fact that Internal Audit had been unable to conduct work as usual in the first quarter of the year. It was reported that Internal Audit officers had been redeployed to assist and support the Council by checking and processing Welsh Government Grants for Businesses, administrated by the Revenue Service. It was added that the projected expenditure of these grants was £63m, making Gwynedd the second highest council in Wales in terms of expenditure and transactions - with provision for the work reflected in the amended plan.

Attention was draw to one of the key priorities in the first quarter, as in the two previous financial years, namely to provide an Internal Audit service to approximately 70 community, town and city councils. In order to achieve this and to assist the councils in meeting their statutory timescale in terms of submitting their accounts by 30 June 2020, documentation was received via e-mail where possible, and meetings were conducted by using Zoom or Microsoft Teams, as well as by phone call. The Service received positive feedback from the Clerks/Responsible Financial Officers on the smooth transformation of conducting these audits.

It was reported that the amended Internal Audit plan for 2020/2021 would give appropriate consideration at all times to the possibility of fraud or corruption occurring.  It was explained that the service would take advantage of the National Fraud Initiative (NIF) and undertake proactive fraud prevention work with Audit Wales; the decision had also been made to extend the Initiative to target the fraud risks associated with Covid-19 grants or payments made by local authorities. It was added that the Audit officers who had been involved with the work of processing grant payments would not be undertaking this work, in order to ensure independence and appropriate separation of duties. The Service would also continue to give attention to specific grants, especially where the conditions of the grant asked for a review by Internal Audit.

Attention was drawn to the key changes in the amended plan, and it was noted that the plan would provide flexibility, allowing the Service to support the Council with any matters which became apparent, and to act promptly on any risks arising from those matters.

The Head of Finance thanked the staff for their willingness to transfer in order to assist with the high level of grant payments.

RESOLVED to approve the Revised Audit Plan for the period 1 April 2020 to 31 March 2021.