APPENDIX 5

 

ARTICLE 9 – AUDIT COMMITTEE

 

Role

 

To provide assurance of the adequacy of risk management structures; scrutiny of the Council’s financial and non-financial performance (to the extent that it affects exposure to risk) and to oversee financial reporting processes – including approval of the Council’s accounts.

 

Composition

 

The Audit Committee will comprise those members who, from time to time, comprise the Scrutiny Committee.  The chair and vice chair of the Scrutiny Committee will fulfil these roles in relation to the Audit Committee.  Quorum will be 4 members.

 

Terms of Reference

 

·                     Annually, approve the internal audit strategy, plan and performance.

 

·                     Review summary internal audit reports and the main issues arising, and seek assurance that action has been taken where necessary.

 

·                     Consider the reports of external audit and inspection agencies.

 

·                     Consider the effectiveness of the authority’s risk management arrangements, the control environment and associated anti fraud and anti corruption arrangements.  Seek assurances that action is being taken on risk related issues identified by auditors and inspectors.

 

·                     Be satisfied that the authority’s assurance statements, including the Statement on Internal Control, properly reflect environment and any actions required to improve it.

 

·                     Ensure that there are effective relationships between external and internal audit, inspection agencies and other relevant bodies, and that the value of the audit process is actively promoted.

 

·                     Review the financial statements, external auditor’s opinion and reports to members, and monitor management action in response to the issues raised by external audit.

 

·                     Approve the Council’s accounts.

 

Entitlement

 

·                     Senior Officer input sufficient to enable at least 4 meetings per year – including attendance by statutory officers

 

·                     Access to the External Auditor, at least annually.

 

·                     Access to other member bodies, including the Cabinet.

 

·                     The ability to commission and submit reports to the Cabinet and/or Full Council.