Agenda item

To provide the Audit Committee with a summary of the work completed by Risk Services in quarter three of the 2016/2017 financial year.

The Committee considered the Risk Services Quarter Three Report which covered the period 1 October to 31 December 2016. The report was presented by Mrs Greenhalgh, Chief Internal Auditor, who outlined the key developments as detailed within the report, before responding to questions and comments from the Committee. She also pointed out that a new graph had been included in the report following a suggestion by the Audit Committee, which showed the percentage of Business Continuity Plans updated in line with the Quality Review Reports.

The Committee asked whether the £7,800 of identified corporate fraud in relation to Council Tax could be recovered. Mrs Greenhalgh explained that this matter was referred back to the Council Tax team for consideration, although Mr Thompson, Director of Resources, pointed out that the cost of recovery was likely to be greater than that of any monies recovered.

In response to a question about whether any patterns were emerging in the types of fraud being discovered, Mrs Greenhalgh explained that three cases of Direct Payments fraud had been referred to the Audit team recently. As a result, the Direct Payments team would be working closely with fraud investigators going forward. Additionally, as a result of the National Fraud Initiative data matching exercise, approximately 2,000 matches were currently being worked through and a number of those related to concessionary fares.

Mrs Greenhalgh was asked specifically about cases of blue badge fraud. She explained there had been a number of referrals and that currently, a more robust prosecution policy was being worked on, together with more pro-active observation work going forward.

In relation to the Council’s I pool training programme, Members asked whether there had been any improvement in the take up rate. Mrs Greenhalgh pointed to a slow improvement rate, but added that a targeted approach should bring about further improvements in 2017/2018.

The Committee raised questions about the status of Adult Services, and the measures put in place to address some of the issues highlighted that led to the inadequate assessment in relation to compliance. Specifically, Members were concerned whether the staff would have the time to carry out the actions required. Mrs Greenhalgh explained that the required measures would not be overly time consuming and that in addition, the new ‘Mosaic’ system was due to go live on 6 March 2017, which would lead to an improved recording system.

The Committee raised concerns about Placement Order Legal Costs, as highlighted within the report. It was requested that when in post, the new Children’s Services Director attend the Audit Committee to discuss this matter further.

In relation to the Regulation of Investigatory Powers Act 2000, it was noted that there had been no covert surveillance undertaken during the period of this report. The Committee asked why this was the case and Mrs Greenhalgh explained that RIPA surveillance was carried out only in the most serious of cases and that magistrates approval was needed in relation to each case. Asked specifically about dog issues, Mrs Greenhalgh confirmed that Regulation of Investigatory Powers Act 2000 approval would not be obtained for dog related matters. She further explained that the Council’s Legal Services team were currently working on a scheme for cases that would not be covered by the terms of the Regulation of Investigatory Powers Act 2000 but some level of surveillance would be appropriate..

The Committee noted that the total number and costs relating to public liability claims had reduced considerably during 2016/2017. Mr Thompson pointed out that the success of the Project 30 highways improvements scheme had impacted on this in a major way and that the Council would continue to bid for highways funding going forward. Members requested that a more detailed report on the trend in reduced claims be provided by Legal Services at a future meeting of the Committee.

The Committee agreed:

1.      To note the report.

2.      To request the attendance of the newly appointed Director of Children’s Services at the September meeting of the Audit Committee to discuss concerns around Placement Order Legal Costs.

3.      To request a detailed report on the trend in reduced claims be provided by Legal Services at a future meeting of the Committee.

Background papers: None.