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Agenda Item No. 8

The Vale of Glamorgan Council

 

Council Meeting 28th September 2016

 

Report of Section 151 Officer

 

Statement of Accounts 2014/15 and 2015/16

 

Purpose of the Report

  1. To approve the Statement of Accounts and the Annual Governance Statement and agree the Final Letter of Representation for 2014/15 and 2015/16.

Recommendations

  1. That the Letter of Representation to the Wales Audit Office for 2014/15 and 2015/16 be noted and that they are agreed and signed and dated by the Mayor as Chairman of the Council.
  2. That the Annual Governance Statement (within the Statement of Accounts) for 2014/15 and 2015/16 be approved and signed and dated by the Leader of the Council.
  3. That the Statement of Accounts for 2014/15 and 2015/16 be approved and signed and dated by the Mayor as Chairman of the Council.

Reasons for the Recommendations

  1. That the signed representation letters are returned to Wales Audit Office.
  2. That the Annual Governance Statements are signed and dated as required.
  3. That the Statement of Accounts are approved prior to the deadline.

Background

  1. The Council's External Auditors have completed the audit of the Council's Financial Statements for 2015/16 and amendments have been incorporated therein.

Relevant Issues and Options

2015/16 Statement of Accounts

  1. The Audit Committee on the 21st September 2016 considered an agenda item entitled 'Audit of the 2015/16 Financial Statements - Reporting to Those Charged with Governance'. Committee recommended that the report of the Wales Audit Office be approved and the 2015/16 Financial Statements, including the Final Letter of Representation, be recommended for signature by those authorised.
  2. As mentioned above, the Wales Audit Office requires the Authority to sign a final Letter of Representation which is attached at Appendix 1. I have consulted with the monitoring officer and appropriate officers in order that I can sign the said letter as Section 151 Officer.
  3. Under the Accounts and Audit Regulations, the Statement of Accounts must be approved before the 30th September and signed and dated by the Mayor as Chairman of the Council. The Statement of Accounts is attached at Appendix 2 and has already been considered and endorsed by the Audit Committee.
  4. In addition the Annual Governance Statement needs to be formally approved by Council and signed and dated by the Leader of the Council. This statement has already been considered and endorsed by the Audit Committee.

2014/15 Statement of Accounts

  1. The 2014/15 Statement of Accounts was approved by Council on 26th September 2015. On 30 September 2015, the Appointed Auditor provided an opinion on the 2014/15 financial statements. However, at the time of providing this opinion, he was unable to certify the completion of the audit due to a number of issues raised by electors that remained outstanding at that date. These matters have now been resolved and have no impact in respect of the financial statements or upon the wider responsibilities of the Auditor General. On the basis that these matters are now closed, the Appointed Auditor now intends to re-issue the audit opinion for the 2014/15 financial statements and certify the completion of the audit subject to their re-approval by Council. As part of the 2015/16 audit, it was necessary to made a technical adjustment to the 2015/16 financial statements. This adjustment has also been actioned in the 2014/15 financial statements. Both these adjustments are of a technical nature and have no impact on the Council's useable reserves.
  2. The Audit Committee on the 21st September 2016 also considered and approved the revised 2014/15 Statement of Accounts and recommended them for signature by those authorised. A revised 2014/15 Statement of Accounts together with the original Annual Governance Statement is attached at Appendix 3 and require signing by the Mayor as Chairman of the Council and the Leader of the Council respectively.
  3. The Wales Audit Office requires the Authority to sign a final Letter of Representation for 2014/15 which is attached at Appendix 4 and must be signed by the Mayor as Chairman of the Council.

Resource Implications (Financial and Employment)

  1. There are no implications.

Sustainability and Climate Change Implications

  1. None as a direct consequence of this report.

Legal Implications (to Include Human Rights Implications)

  1. The Accounts and Audit (Wales) Regulations 2014 require the Council to prepare a Statement of Accounts for each financial year (with an Annual Governance Statement).

Crime and Disorder Implications

  1. There are no crime and disorder implications.

Equal Opportunities Implications (to include Welsh Language issues)

  1. There are no equal opportunity implications.

Corporate/Service Objectives

  1. Provide sound financial management and reliable advice in relation to all issues affecting the Council including the production of the statutory accounts.

Policy Framework and Budget

  1. The proposals in this report need to be approved by Council.

Consultation (including Ward Member Consultation)

  1. The appropriate Chief Officers have been consulted on this report. This report does not require Ward Member consultation.

Relevant Scrutiny Committee

  1. Corporate Resources

Background Papers

None

Contact Officer

Gemma Jones

Principal Accountant

01446 709152

Officers Consulted

Monitoring Officer and other appropriate officers.

Responsible Officer:

Carys Lord

Section 151 Officer.