Councillor Lisa-Marie Hughes and Councillor Jennifer Adam-McGregor (both Renfrewshire Council); Margaret Kerr and Dorothy McErlean (both Greater Glasgow & Clyde Health Board); Alan McNiven (third sector representative); and David Wylie (Health Board staff member involved in service provision).

Margaret Kerr, Chair, presided.

Andrea McMahon, Chief Internal Auditor, Lynn Mitchell, Managing Solicitor (Contracts and Conveyancing) and Elaine Currie, Senior Committee Services Officer (all Renfrewshire Council); David Leese, Chief Officer, Sarah Lavers, Chief Finance Officer, Jean Still, Head of Administration and James Higgins, Project Officer (all Renfrewshire Health and Social Care Partnership); and John Cornett, Audit Director and Paul Bonfanti, Auditor (both Audit Scotland).

The Chair intimated that there was an additional item of business in relation to Audit Scotland’s report entitled ‘Local Government in Scotland: Financial Overview 2018/19’ which had not been included in the notice calling the meeting.  The Chair, being of the opinion that the item, which is dealt with at item 7 below, should be considered as the Audit Director, Audit Scotland, would be in attendance, authorised its consideration.

There were no declarations of interest intimated prior to the commencement of the meeting.

The Minute of the meeting of the Integration Joint Board (IJB) Audit Committee held on 20 September 2019 was submitted.

It was noted that Dorothy McErlean’s apology had not been recorded in the Minute.

DECIDED: That the Minute, as amended to include Dorothy McErlean’s apology, be approved.

The Chief Internal Auditor submitted a report providing an update on the progress of the remaining areas of work of the internal audit plan 2019/20 and seeking approval of the amended internal audit plan for 2019/20.

The report intimated that in line with the requirements of the Public Sector Internal Audit Standards, a risk based internal audit plan for 2019/20 had been developed and approved by the IJB Audit Committee on 25 January 2019, a copy of which formed Appendix 1 to the report.

Since the plan had been approved, the Ministerial Strategic Group for Health and Community Care Integration Review Leadership published a self-evaluation tool for IJBs to review their progress with integration and this covered much of the remit for the planned assurance review of integration of services.  Following discussions with HSCP senior management it had been agreed that to avoid duplication, this review would be replaced with a governance review of the IJB and reporting arrangements and a facilitated self-assessment of the IJB Audit Committee using the CIPFA good practice self-evaluation tool.

The amended audit plan 2019/20 formed Appendix 2 to the report.

In relation to training, it was proposed (i) that the Chief Internal Auditor deliver training at a future development session for members of the IJB Audit Committee following completion of the facilitated self-assessment of the IJB Audit Committee; and (ii) that the Chief Internal Auditor forward details of the audit committee members training delivered by CIPFA to members of the IJB Audit Committee and that, if appropriate, arrangements be made for members to attend a training course. This was agreed. 

DECIDED: 

(a) That the proposed amendment to the internal audit plan 2019/20 be approved; 

(b) That the progress against the remaining areas of the internal audit plan 2019/20 be noted;

(c) That the Chief Internal Auditor deliver a future development session for members of the IJB Audit Committee to complete the facilitated self-assessment of the IJB Audit Committee that would help inform future training for members; and

 

 

 

(d) That the Chief Internal Auditor forward details of the audit committee members training delivered by CIPFA to members of the IJB Audit Committee and that, if appropriate, arrangements be made for members to attend a training course.

The Chief Internal Auditor submitted a report relative to the annual internal audit plan 2020/21, a copy of which was appended to the report.

The report intimated that in line with the requirements of the Public Sector Internal Audit Standards, a risk based internal audit plan for 2020/21 had been developed.  The plan set out a resource requirement of 35 days, including assurance work, time for follow-up of previous recommendations, ad-hoc advice and planning and reporting.

The allocation of internal audit resources was sufficient to allow emerging priorities and provide adequate coverage of governance, risk management and internal control to inform the annual assurance statement.  It was noted that the plan might be subject to amendment during the course of the year due to the emergence of issues of greater priority, or for unforeseen circumstances which would be reported to the committee.

It was proposed that the Chief Internal Auditor provide members with details of the audit activity to date and what the audit universe looked like moving forward.  This was agreed.

It was noted that the Chief Officer and Chief Finance Officer had responded to the Accounts Commission in relation to the work programme for 2020/25 and the proposed audit work in relation to the four broad risk areas Audit Scotland had identified.  The Chief Officer intimated that he would forward this response to members of the IJB Audit Committee.

It was proposed that the Chief Officer and the Chief Finance Officer meet with Audit Scotland and the Chief Internal Auditor to discuss the risk register and that the Chief Officer submit a report to the next meeting of the IJB Audit Committee in relation to risk.

DECIDED: 

(a) That the internal audit plan 2020/21 be approved; 

(b) That it be noted that the internal audit plan would be shared with the local authority and health board; 

(c) That the Chief Internal Auditor provide members with details of the audit activity to date and what the audit universe looked like moving forward; and

(d) That the Chief Officer and the Chief Finance Officer meet with Audit Scotland and the Chief Internal Auditor to discuss the risk register and that the Chief Officer submit a report to the next meeting of the IJB Audit Committee in relation to risk.

The Chief Finance Officer submitted a report relative to the annual audit plan 2019/20 for the IJB which outlined Audit Scotland’s planned activities in their audit for the 2019/20 financial year. 

The report highlighted that the annual audit plan 2019/20 included a section on Audit Issues and Risks and that within this section Audit Scotland had identified a risk of ‘management override of controls’. This risk had been included in the audit plans of all bodies which Audit Scotland worked with, in light of updated international standards on auditing. The inclusion of this risk was not a reflection of increased risk within the IJB.

John Cornett, Audit Director, Audit Scotland focussed on 3 sections of the audit plan being the risks identified in Exhibit 1, materiality and the audit fee which were then discussed by members.  Members also discussed issues around the use of the set aside budget for unscheduled care and the proposed changes to the terms of reference for the IJB Audit Committee and any knock-on effect for the IJB. 

In relation to the set aside budget for unscheduled care, it was noted that Audit Scotland were still in discussions around whether a national report would be produced or whether the focus would be on NHSGG&C’s use of the set aside budget for unscheduled care. It was felt that this could be misleading if figures for GG&C were detailed in Audit Scotland’s annual report but silent on other health board areas. 

In relation to the audit fee, it was noted that the Audit Director would reflect the Audit Committee’s conversation to Audit Scotland.

DECIDED: That Audit Scotland’s annual audit plan 2019/20 be noted.

The Chief Internal Auditor submitted a report providing a summary of internal audit activity undertaken in partner organisations during 1 April to 31 December 2019.

The report intimated that the IJB directed both Renfrewshire Council and NHSGG&C to deliver services that enabled the IJB to deliver on its strategic plan.  Both Renfrewshire Council and NHSGG&C had internal audit functions and conducted audits across each organisation, the findings of which were reported to the respective audit committees.  Members of the IJB had an interest in the outcomes of the audits at both Renfrewshire Council and NHSGG&C that impacted upon the IJB’s ability to deliver the strategic plan or support corporate functions.

In relation to internal audit activity within Renfrewshire Council, the report provided detail on reports submitted to the Council’s Audit, Risk and Scrutiny Board which were relevant to the IJB; contract management for home care; GDPR and the Data Protection Act 2018; the quick quote process; key financial controls and payroll.

 

In relation to internal audit activity within NHSGG&C, the report provided detail on reports submitted to the NHSGG&C Audit Committee; delayed discharges; financial systems health check; the grievance process and IT security.  

It was noted that a new grievance policy would be implemented in NHSGG&C from 1 March 2020 which would tighten up processes and that staff awareness sessions were currently underway.  It was further noted that, in relation to delayed discharges, NHS internal audit would follow-up on one specific aspect of the process.

 

It was proposed that the Chief Internal Auditor request further information from the NHSGG&C internal audit team on the improvements undertaken in IT security since publication of the internal audit report and that this be included in a future report to the IJB Audit Committee. This was agreed.

DECIDED: 

(a) That the report be noted; and

(b) That the Chief Internal Auditor request further information from the NHSGG&C internal audit team on the improvements undertaken in IT security since publication of the internal audit report and that this be included in a future report to the IJB Audit Committee.

The Clerk submitted a report relative to proposed dates of meetings of the IJB Audit Committee in 2020/21.

DECIDED:

(a) That the next meeting of the IJB Audit Committee be held at 10.00 am on 19 June 2020;

(b) That meetings of the IJB Audit Committee be held at 10.00 am on 11 September and 4 December 2020 and 12 March and 18 June 2021; and

(c) That meetings of the IJB Audit Committee be held in Renfrewshire House, Cotton Street, Paisley unless that venue was unavailable or unsuitable, in which case it be delegated to the Clerk and Chief Officer, in consultation with the Chair and Vice Chair, to determine an alternative venue.