Agenda item

The Committee gave consideration to a report which sought to update Members of the progress by the Audit Partner, against the 16/17 annual programmes agreed by the Audit Committee in March 2016.  The report further provided details of the audit work undertaken during the period; the current position with agreed management actions in respect of previously issued reports; and details of other audit activity relevant to the Committee. 

The report advised on eight audits having been completed during the period; two having received a high assurance rating, namely, Payroll and Treasury Management, five having received substantial assurance rating, namely, Bank Reconciliation, Creditors, Debtors Contract Management (Follow up) and Land Property and Estate Management, and one having received a limited assurance rating, this being Choice Based Lettings.  The outcomes of each audit were outlined to Members in detail and it was noted that the Team Manager – Home Options was in attendance to answer any specific questions Members had on the outcome of the Choice Based Lettings.

The report further advised of the audits currently in progress, Section 7 of the report, and other significant audit work undertaken during the period and going forward.

Debate ensued and Members congratulated Officers on the successful Payroll audit. The Committee asked why the issues with the Choice Based Lettings arrangement had not been dealt with quicker.  In response the Team Manager – Home Options, was invited to address the Committee to provide the background to the audit having been requested (which had not been planned) and to give an update on the current position. 

The Audit had been requested by the Service as there were a number of ongoing issues which had caused concern around performance of other partners which the team had tried to resolve on an informal basis for a considerable period time. The Audit had put these issues on a formal footing, provided an independent judgement of the current situation and thus helped shape an improvement plan.  Running alongside the audit had been a partnership improvement plan which had been put in place by the Team immediately.  The Audit recommendations had greatly assisted Officers in raising the profile of the issues.  Unfortunately the partnership issues had been compounded by ongoing IT issues but the Committee noted that since the writing of the report, the situation was much improved and the Home Options Team Manager outlined the improvements to date, during which it was noted that: -

·      There was much improved strategic and operational relationships – Officers now met weekly with the Directors of ACIS and the two teams were working much more closely together. Both Chief Executives were also meeting.

·      Now monitor on a weekly basis every property advertised by ACIS through the CBL System in order that the team are clear about the outcomes of each and every nomination they make. 

·      Previously nominations were being made and refused outside of the policy with limited audit trails.  This was predominately a training issue and ACIS staff were not using the system effectively and had not received the training to do so.  Therefore WLDC Staff had undertaken training with them, both group sessions and 1-2-1s.  Significant improvements had been seen since and stats were shared with the committee.

In responding to the Chairman’s questions, Officers confirmed the relationship with ACIS was now a much more formalised one.  The formal partnership agreement had been reviewed with assistance from legal service. This had not happened since the stock transfer in 1999 and did not reflect current expectations. Furthermore an operating agreement had been developed underneath this which would guide the working relationship between ACIS and the Council, going forward.

In responding to questions, Officers clarified that the legal agreement referred to earlier was one between ACIS and WLDC.  There was a separate legal agreement which covered the wider partnership, specifically housing allocations, this was also under review.

West Lindsey were taking the lead in the wider partnership, it was meeting quarterly and was meeting its objectives.  West Lindsey had been applying pressure regarding a New Housing Register system.  The current system had been awaiting an upgrade by the current provider, had provided little clarity on how effective the system would be post upgrade and whether the stability issues would be resolved.  This matter would be addressed through the revised wider partnership agreement which would be submitted to the Prosperous Communities Committee with the revised Housing Allocations Policy.  Officers confirmed that unfortunately they had not been successful in recouping monies from Civica however much more assurance had been received that the upgrade would be effective.  Officers still however had reservations.  The upgrade would include a complete rebuild of servers.  Testing would be undertaken through August and September with the new system launched in October.  Demand analysis had been undertaken also, and unfortunately over 50% of this was failure demand as a result of the system.  As a separate piece of work Officers were looking at if an alternative system was available, what would they want it to look like.  This work was being monitored by the Transformation Board.

In relation to Appendix 4 of the report which detailed all outstanding actions, concern was expressed by an Independent Member that two of these related to actions assigned in November 2012 (Change Programme) and August 2013 (Infrastructure).  Further information was sought regarding the detail of these two actions.  In response, the Director of Resources advised that the Change Programme action related to the reviewing of all HR Policies.  As there were a considerable number of such policies, it was accepted that this action would take time to complete in its entirety.  However, assurance was offered that all policies were being reviewed, with a number having already been completed following consultation with the Joint Staff Consultative Committee and subsequent approval by the Corporate Policy and Resources Committee.  The Infrastructure action related to the development of an IT Strategy.  This was currently scheduled for approval by the Corporate Policy and Resources Committee in the Autumn.  On adoption the action would be deemed closed.

The Committee indicated that in future reports it would be useful if Appendix 4 could include a short summary setting out the detail of each outstanding action, and any ongoing related activity.

In response to a Member’s question assurance was given that bank reconciliations were regularly completed and reviewed by management.

A Member requested that regular reports be submitted to the Committee on the Progress being made with CBL.  In response Officers advised that progress reports on how the partnership was being developed would be submitted to the Prosperous Communities Committee. 

On that basis it was:-

RESOLVED that: -

(a)          the contentsofthe report be received and noted:and

(b)          having reviewed the content of the report the following identified actions be undertaken in relation to Choice Based Lettings: -

(i)                                                                                       Officers continue to maintain formal communications  with ACIS Group Ltd;

(ii)      Officers continue to provide operational and strategic       leadership to the wider partnership;

(iii)     assurance be sought on the new ICT system for Choice              Based Lettings; and

(iv)     the partnership agreement between ACIS and                   WLDC be completed.