Agenda and minutes

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Contact: Daksha Ghelani, Senior Democratic Services Officer  E-mail:  daksha.ghelani@harrow.gov.uk

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Items
No. Item

200.

Attendance by Reserve Members

To note the attendance at this meeting of any duly appointed Reserve Members.

 

Reserve Members may attend meetings:-

 

(i)            to take the place of an ordinary Member for whom they are a reserve;

(ii)          where the ordinary Member will be absent for the whole of the meeting; and

(iii)         the meeting notes at the start of the meeting at the item ‘Reserves’ that the Reserve Member is or will be attending as a reserve;

(iv)         if a Reserve Member whose intention to attend has been noted arrives after the commencement of the meeting, then that Reserve Member can only act as a Member from the start of the next item of business on the agenda after his/her arrival.

Additional documents:

Minutes:

RESOLVED:  To note that there were no Reserve Members in attendance.

201.

Declarations of Interest pdf icon PDF 96 KB

To receive declarations of disclosable pecuniary or non pecuniary interests, arising from business to be transacted at this meeting, from:

 

(a)          all Members of the Committee;

(b)          all other Members present.

Additional documents:

Minutes:

RESOLVED:  To note the declarations as published on the Council’s website prior to the meeting and the following additional declaration made by Councillor Kairul Kareema Marikar at the beginning of the meeting and during consideration of: Agenda Item 11 – Information Report - Q3 Corporate Risk Register 2021/22.

 

Councillor Marikar declared an interest in that she had a care business.  She would have an interest if funding for social care was raised at the meeting.  She would leave the meeting if the interest became pecuniary.

202.

Minutes pdf icon PDF 214 KB

That the minutes of the meeting held on 30 November 2021 be taken as read and signed as a correct record.

Additional documents:

Minutes:

A Member commented on the style of the minutes and the lack of questions having been recorded therein.

 

The Chair stated that the format of the minutes had not changed, the minutes were not a verbatim record of the meeting and that he was merely seeking Members’ approval in that they were accurate as no corrections had been notified as requested prior to the meeting and the minutes were considered to have been approved as published on the Council’s website.

 

The same Member was concerned that a pertinent question he had raised at the last meeting had not been answered by the Council’s external auditor.  The question related to the backing of the usable reserves within the financial statements in respect of the report on the Statement of Accounts 2020/21 and that he would raise this matter under a substantive items as suggested by the Chair [Minute 206 refers].

 

RESOLVED:  That the minutes of the meeting held on 30 November 2021, be taken as read and signed as a correct record.

203.

Public Questions

To receive any public questions received in accordance with Committee Procedure Rule 17 (Part 4B of the Constitution).

 

Questions will be asked in the order in which they were received.  There will be a time limit of 15 minutes for the asking and answering of public questions.

 

[The deadline for receipt of public questions is 3.00 pm, 20 January 2022.  Questions should be sent to publicquestions@harrow.gov.uk  

No person may submit more than one question].

Additional documents:

Minutes:

RESOLVED:  To note that no public questions were received.

204.

Petitions

To receive petitions (if any) submitted by members of the public/Councillors under the provisions of Committee Procedure Rule 15 (Part 4B of the Constitution).

Additional documents:

Minutes:

RESOLVED:  To note that no petitions had been received.

205.

Deputations

To receive deputations (if any) under the provisions of Committee Procedure Rule 16 (Part 4B) of the Constitution.

Additional documents:

Minutes:

RESOLVED:  To note that there were no declarations of interests made by Members.

Resolved Items

Additional documents:

206.

Treasury Management Mid-Year Report 2021/22 pdf icon PDF 201 KB

Reference from Cabinet.

Additional documents:

Minutes:

Prior to the consideration of the report, a Member (Minute 202 also refers) stated that one of his questions on the Statement of Accounts at the last meeting had not been answered by the external auditor in the written response provided after the meeting, which was also sent to all Members of the Committee.  The Director of Finance and Assurance agreed to follow this up and the Member undertook to provide the relevant correspondence to her. He would continue to raise this question until he was satisfied that it had been answered.

 

The Committee then went to consider the substantive item.

 

The Committee received a Reference from Cabinet entitled ‘Treasury Management Mid-Year Report 2021/22’ together with the report of the Director of Finance for review.  The report provided an update on the Council’s Treasury Management activity in 2021/22, presented performance to 30 September 2021 in accordance with the Council’s Treasury Management Practices and in compliance with the CIPFA Treasury Management Code of Practice.  The Council had complied with all elements of the Treasury Management Strategy Statement (TMSS) as the treasury management function. 

 

The Director of Finance and Assurance introduced the report and informed the Committee that Treasury Management activity had been kept to a minimum, no borrowing had taken place and that cash balances had been managed well and in a prudent manner.  In addition, the Capital Programme had been managed carefully, there was sufficient cash flow and the interest rate on small investment had been maintained.

 

The Director responded to questions in relation to the Treasury Management Services offered by the GLA (Greater London Authority) – page 18 of the agenda, paragraph 5 referred – and assured Members that this would be in place for 1 April 2022.  It would include the Council transferring its investment balances into the GLA Group Investment Syndicate (GIS).  She explained that:

 

-                 the GLA would invest the Council’s cash balances which would provide a better return for the Council due to the pooling of investments.  The Council would monitor its Treasury Management activity but the GLA would oversee the investments

 

-                 the Council would also be able to access borrowing if required, such as for its Regeneration Programme(s).  The Council would retain its  Treasury Management activities.  A key factor of using the GLA Service would be to access strategic advice and support

 

-                 currently, the Council held its cash balances in bank accounts which accrued interest but by joining the TMS offered by the GLA, a better return would be available to the Council.  The Council did not have the capacity to move its money frequently in order to receive a better rate of return.  It was intended to initially join the TMS for a period of six months and leave if there were no benefits.  It was important to note that other support would be available by joining the TMS, such as expertise and advice and the benefits were expected to outweigh the costs.  The cost of joining would be in  ...  view the full minutes text for item 206.

207.

Information Report - Invitation from Public Sector Audit Appointments to opt-in to external audits from 2023 - 24 to 2027- 28 pdf icon PDF 273 KB

Report of the Director of Finance and Assurance.

Additional documents:

Minutes:

The Committee received a report of the Director of Finance and Assurance, which provided an opportunity to consider the invitation from the Public Sector Audit Appointments (PSAA) to opt-in to the appointment of external auditors for the period 2023-24 to 2027-28.

 

An officer introduced the report and informed Members that:

 

-                 the length of the compulsory appointing period was for five consecutive financial years commencing 1 April 2023

 

-                 three options were set out in the report.  The officer outlined each of the options, including their advantages, disadvantages and associated risks and stated that the preferred option was Option 3 – to opt-in to a sector led body using the Public Sector Audit Appointments (PSAA) due to the benefits it provided.

 

The Chair reminded Members that a decision to become an opted in authority had to be made at a full Council meeting in accordance with the Local Audit and Accountability Act 2014 and the Local Audit (Appointing Person) Regulations 2015 (the Regulations).  He sought clarification of the role of Governance, Audit Risk Management and Standards Committee in respect of the report.  The Director of Finance and Assurance stated that an informal view of the Committee was being sought which would be reported to full Council.

Members asked a number of questions in relation to the pool of accountancy firms available and their specialist areas, whether Members would have any input in the firm appointed including its capacity and staffing situation.  The Director of Finance and Assurance and an officer responded as follows:

-                 nine large accountancy firms were expected to submit bids for the contract(s)

 

-                 as part of the process, the Council would be allocated a firm of accountants and it would be for the Council to accept or reject it and provide reasons for its decision.  If the reasons for rejecting the first allocated firm were accepted by the PSAA, then a different firm would be allocated.  The Director stated that the Society of London Treasurers had received a presentation from the PSAA and that improvements had been made to the process which would also look at the staffing levels of each firm.  A testing structure had been established and each firm would be required to pass the tests; otherwise, the firm would not be able to submit a tender for the contract

 

-                 the initial decision would need to be made by full Council.  It should be recognised that, previously, the National Audit Office allocated a firm to each Council and that for many years, the Council had not been able to appoint its own auditor.  Moreover, it was not ‘healthy’ to have the same firm of auditors over many years.

 

The Chair referred to paragraph 17 of the report and stated that he was satisfied that the procurement process was robust.  The firm would need to be both competent and have the capacity to provide a good service.  On behalf of his political Group, the Chair spoke in support of Option 3.  A Member from  ...  view the full minutes text for item 207.

208.

Exclusion of the Press Public

To resolve that the press and public be excluded from the meeting for the following item of business, on the grounds that it involves the likely disclosure of confidential information in breach of an obligation of confidence, or of exempt information as defined under paragraph 3 in Part I of Schedule 12A to the Local Government Act 1972 9as amended):

 

Agenda Item No

 

11.

Title

 

 

Information Report – Q3 Corporate Risk Register 2021/22

Description of Exempt Information

 

 

Information relating to the financial or business affairs of any particular person (including the authority holding that information)

 

Additional documents:

Minutes:

RESOLVED:  That in accordance with Part I of Schedule 12A to the Local Government Act 1972, the press and public be excluded from the meeting for the following item(s) for the reasons set out below:

 

Item

Title

 

Reason

11.

Information Report – Q3 Corporate Risk Register 2021/22

Information under paragraph 3 (contains information relating to the financial or business affairs of any particular person (including the authority holding that information).

 

209.

Information Report - Q3 Corporate Risk Register 2021/22

Report of the Director of Finance and Assurance.

Minutes:

The Committee received a confidential report of the Director of Finance and Assurance, which set out the Council’s Corporate Risk Register 2021/22 for Quarter 3 of the financial year to assist the Committee in monitoring progress on risk management in accordance with its Terms of Reference.

 

An officer introduced the report and responded to questions from Members.  Members discussed the report at length, and it was

 

RESOLVED:  That the report be noted.