VOA Audit Committee - Report March 2007

1. Purpose

2. Recommendation

For information only. No action required.

3. Detail

3.1 Ian Orpwood provided an update of progress against the 2006-07 internal audit plan. Following the September meeting with Andrew Hudson, the full 750 days in the SLA had been allocated. One report would slip into the next financial year due to lack of staff availability. No major areas of concern had been identified.

3.2 Ian presented the draft audit plan for 2007-08. The committee agreed that the approach of reviewing the plan at the mid-year stage and determining what audits should take place in the second half of the year was working well and should be continued. The committee agreed the plan subject to recommending that a number of areas for possible audits needed to be kept under close review. Barny Todd would update fraud awareness guidance in light of the new Fraud Act.

3.3 Sue Townsend presented a paper on risk management along with the risk register that had been reviewed by the Management Board earlier in the day.

3.4 Barny presented the draft Statement on Internal Control for consideration by the committee. This was agreed, subject to formal clearance by the NAO.

3.5 Barny gave a verbal update on ERP.

3.6 Barny presented revised TOR to the committee following the updating of the Audit Committee Handbook last year. The committee were content with the revised TOR, subject to ensuring that the departure and replacement of any audit committee members should be staggered.

3.7 Steve Ardron provided a public sector update. He drew the committee’s attention to two recent NAO studies. The first was on the use of consultants in the public sector, following on from issues raised by Austin Mitchell, MP, a member of the PAC. The second looked at efficiencies gained following on from the Gershon review of potential efficiencies in the public sector.

3.8 Dawn confirmed that the report on the November audit committee meeting had been presented to the Management Board in December.