To note the Audit Commission’s Annual Audit & Inspection Letter for 2008 and the comments made by the Audit & Corporate Governance Committee.

Cabinet considered the Audit Commission’s Annual Audit and Inspection Letter for 2008, and the comments made by the Audit and Corporate Governance Committee in relation to it.  The report listed the eight issues identified by the Audit Commission which required action to be taken by the Council, including amongst other things, resolution of the Waste Management contract, setting out a clear vision for joint working arrangements with the PCT, and developing a corporate approach to procurement. 

The Chief Executive reported that the District Auditor had presented the report to the Audit and Corporate Governance Committee for the first time this year, and this was the reason why she had not presented the report to Cabinet.  Members emphasised the importance of being able to discuss issues with her in person and requested that, in future years, the Audit Commission’s representative would also attend a joint meeting of Cabinet and SMC. 

The Director of Resources reported that the Council’s overall star rating had decreased from 3 to 2, and this was largely due to the financial irregularities highlighted in the ICT Department, and a low score in respect of Housing Services.  The latter score was anomalous because in reality, the performance in Housing Services had improved in relation to the number of people in temporary accommodation, but this had had a negative short-term affect on the performance indicators due to the way in which the scoring system worked. 

The Audit Commission had been satisfied that the Crookall Report had been thorough and independent, and that the Council had addressed the suggested actions quickly and effectively.  The Audit Commission would not conduct its own review, therefore, and would instead monitor progress. 

The Audit Commission had completed a review of the emerging PST in September 2007, and had written a report to the Chief Executive, to which he had responded.

Councillor Jarvis stated that, in relation to the Waste Management Private Finance Initiative outlined on Page 248 of the agenda, the Audit Commission was aware of the significant progress that had been made in the past 10 months. 

RESOLVED:   that Cabinet

(i)     notes the Audit Commission’s Annual Audit and Inspection Letter for 2008, and the comments made by the Audit and Corporate Governance Committee;

(ii)   approves the response to the action points in Paragraph 9 of the Annual Audit and Inspection Letter for 2008 in the light of the comments made by the Audit and Corporate Governance Committee; and

(iii)requests the Chief Executive to arrange for the District Auditor to present the Annual Audit and Inspection Letter to a joint meeting of Cabinet and Strategic Monitoring Committee in future years, and that the meeting also be open to all Members of the Council.