Agenda and minutes

Minutes of the meeting held on 21 May 2019 (previously circulated).

RESOLVED that the Minutes of the meeting held on 21st May 2019 be signed as a correct record.

Items which in the opinion of the Chair should be considered at the meeting as a matter of urgency.

There was no item raised as a matter of urgency.

Report of the Head of Organisational Development (verbal update).

The members received a verbal update from the Head of Organisational Change and her team on the continued work of the County Council’s transformation approach called Doing What Matters.

During discussion reference was made to the following:

·        The programme is being rolled out across the organisation over the coming years.

·        Local communities are very much part of the redesign process.

·        Projects are underway in a diverse range of areas including in Highways, Corporate Workforce Development, Children’s and Adult Services.

·        Work that is underway to mitigate risks to the Local Authority.

·        The potential for saving work time through this approach.

·        The need to communicate Doing What Matters to all members, and the standing invite for councillors to G41 to get further information on the various projects the team are involved in.

·        The potential for an Audit masterclass on Doing What Matters.

Members welcomed the presentation and noted the work being undertaken to drive organisational improvement but stated their desire for further information in the future.

It was MOVED by Councillor Clatworthy, SECONDED by Councillor Saywell, and;

RESOLVED that the progress of the Doing What Matters Team be noted and that a Masterclass be organised for the Audit Committee on the morning 27 February 2020.

Report of the Council’s External Auditors (CT/19/75), attached.

The Committee considered the Reports of Grant Thornton (CT/19/75) for Devon County Council and (CT/19/76) for Devon Pension Fund for 2018/19 setting out the findings arising from the audit of the County Council’s financial statements, the work undertaken in relation to the value for money conclusion and the audit of the accounts of Devon Pension Fund

Grant Thornton delivered a presentation to Members that included an outline of materiality, audit risks and how those risks have been addressed.

The External Auditors concluded that Devon County Council has proper arrangements to secure economy, efficiency and effectiveness in its use of resources. Subject to outstanding queries being resolved they anticipated issuing unqualified audit opinions on the financial statements of the County Council and Devon Pension Fund.

It was MOVED by Councillor Clatworthy, SECONDED by Councillor Saywell, and;

RESOLVED that the Reports of Grant Thornton (CT/19/75), and (CT/19/76) outlining the findings arising from the audits of Devon County Council and the Devon Pension Fund for 2018/19 be noted.

Report of the County Treasurer (CT/19/77) together with the Statement of Accounts, attached.

The Committee considered the Report of the County Treasurer (CT/19/77) together with the Statement of Accounts booklet.  The Report highlighted the key messages from the Statements of Accounts 2018/19 including, inter alia:

·           the pension liability of just under £1,050 millions not representing an immediate call on the Authority’s reserves and was a snap-shot valuation in time based on assumptions.

·            earmarked reserves (excluding carry forwards and schools) have increased by £25.2 millions.

·           no new borrowing had taken place the year with capital expenditure due to be met from borrowing being financed from internal resources.

Since the Audit Committee meeting on 21 May 2019, the Grant Thornton have reviewed the Annual Governance Statement and advised that two paragraphs regarding the “Doing What Matters” approach and the Annual Audit Letter were not relevant to a review of the Audit Committee and Devon Audit Partnership and should not be included.

It was MOVED by Councillor Clatworthy, SECONDED by Councillor Peart, and;

RESOLVED

(a)   that the Letters of Management Representation for the Devon Pension Fund and the County Council be approved;

(b)   that the Statement of Accounts for 2018/19 be approved;

(c)   that the Pension Fund Statement of Accounts for 2018/19 be approved;

(d)   that the preparation of both the Statement of Accounts for the Pension Fund and County Council be approved on an ongoing concern basis, and;

(e)   that the two paragraphs advised by Grant Thornton not to be included in the Annual Governance Statement be removed.

The Committee to note the Annual Plan and forthcoming business, attached.

The Committee noted the current Work Programme and

It was MOVED by Councillor Clatworthy, SECONDED by Councillor Peart, and;

RESOLVED that the current outline Work Programme be noted subject to the inclusion of a Doing What Matters Masterclass (arising from this meeting) for future consideration.