Issue - meetings

Although not a legislative requirement, best practice and a ‘2022 position statement’ by the Chartered Institute of Public Finance & Accountancy (CIPFA) endorsed by the Department for Levelling Up, Housing and Communities recommend that audit committees in local government should include at least two co-opted independent members.

Informal discussions, including at a recent BCP Council Audit & Governance Committee induction event, has shown there is widespread agreement that the principle of co-opted independent members is supported.

There are a number of local decisions required to enable suitable recruitment, through open advertisement, to the BCP Council Audit & Governance Committee.

The recommendations in this report will help shape that recruitment process, with an aim to have two co-opted members in place later in this calendar year.

The Head of Audit and Management Assurance presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'C' to these Minutes in the Minute Book.

It was explained that, although not a legislative requirement, best practice and a ‘2022 position statement’ by the Chartered Institute of Public Finance & Accountancy (CIPFA) endorsed by the Department for Levelling Up, Housing and Communities recommended that audit committees in Local Government should include at least two co-opted independent members.

Informal discussions, including at a recent BCP Council Audit and Governance Committee induction event, had shown widespread support for the principle of co-opted independent members. Consideration was given to the range of local decisions required to enable suitable recruitment through open advertisement, of independent persons, to the BCP Council Audit and Governance Committee with the aim of being in a position to make two independent member appointments later in the current calendar year.

Members were supportive of the proposal and there was reference to the benefits which stemmed from the Independent Person roles and functions already in place within the Standards Committee. The Committee also underlined the potential for helping with continuity by ensuring that the term of appointment of the independent members was such as to enable the appointments to straddle the date of the four-yearly BCP Council elections. This would be achieved by the allowing the initial period of appointment to run for slightly longer than two years concluding on 31 March 2026 with an optional further two years thereafter.

RESOLVED that

a)    Two independent members be co-opted to the BCP Council Audit and Governance Committee;

b)    The term of appointment be for an initial period ending at the close of the municipal year 2025/26 on 31 March 2026 with an option thereafter for a further two years if mutually agreed;

c)    An initial allowance of £1,084 per annum for each independent member is agreed with this initial figure subject to review by the Council’s Independent Remuneration Panel, with any changes being backdated should this be recommended and agreed by the Remuneration Panel;

d)    A selection and recruitment panel be created, comprising of the Chair of the Audit and Governance Committee and two other Audit and Governance Committee elected Members (supported by the Head of Audit and Management Assurance);

e)    Following the recruitment process, a report from the recruitment panel be presented to the next available Audit and Governance Committee, outlining the process and the panel’s recommendations. This report to be endorsed by the Audit and Governance Committee and a formal recommendation agreed for consideration by full Council;

f)      In accordance with BCP Council policies, Audit and Governance Committee delegate to the Head of Audit and Management Assurance, in consultation with the Chair of Audit and Governance Committee, any changes to the role profile and person specification required and the operational details associated with recruitment, shortlisting and interviews.

Voting: Unanimous