Issue - meetings

Financial Procedure Rules

Meeting: 05/03/2020 - Constitution and Democratic Services Committee (Item 29)

29 Financial Procedure Rules pdf icon PDF 84 KB

To provide the Committee with updated Financial Procedure Rules for recommendation to County Council.

Additional documents:

Decision:

That the updated Financial Procedure Rules be endorsed and recommended to

Council for approval.

Minutes:

 

The Strategic Finance Manager presented the report on the proposed updated Financial Procedure Rules (FPRs) for consideration prior to approval at County Council on 5 May 2020.  She advised that the FPRs had been endorsed by the Audit Committee at a meeting held on 29 January 2020, and feedback was detailed in the report.  The updated FPRs, which included the minor amendments recommended by the Audit Committee, were appended to the report.

 

The Strategic Finance Manager reported on the main considerations.  She explained that when approved the new arrangements to ensure corporate oversight would be put in place.  Adherence to the FPRs would be monitored by the Finance Teams and any breaches or concerns reported to Chief Officers on a quarterly basis.

 

Councillor Mike Peers referred to page 48, paragraph 1.3.1, and commented on the annual Declaration of Interests which were completed by Members as part of the Statement of Accounts process and asked if this should also be referred to.  The Strategic Finance Manager explained that this was a specific requirement with regards to the Statement of Accounts process. The Chief Officer said this would be considered.

 

In response to a question from Councillor Peers on information provided on page 51 around unlawful entry in the Council’s accounts the Chief Officer provided clarification around reference to unlawful expenditure and unlawful entry in the Council’s accounts.

 

Referring to paragraph 1.3.1, page 48, Councillor Clive Carver commented on the reference to Members and officers in the first sentence and asked whether a reference to Members should also be included in paragraph 1.4.4, page 49.  The Strategic Finance Manager explained that Members had not been included as they were deemed to have an ‘oversight’ role.  During discussion it was agreed that paragraph 1.4.4 would be amended to read:  “Where any Officer or Member considers that complying with Financial Procedures in a particular situation.…”.

 

Councillor Clive Carver commented on the requirement of the S151 Officer to report unlawful entry in the accounts and asked if this should include if an error was made.  The Strategic Finance Manager responded that any significant error would be identified and reported as part of the Statement of Accounts process by the Wales Audit Office.

 

Councillor Paul Johnson referred to information on the maintenance of reserves on page 61 of the report and asked how an unexpected event would be funded if the cost was greater than the reserves available.  The Strategic Finance Manager explained the Council had a base level of reserve which was the last line of defence and when setting the budget a balance had to be achieved between protecting services, keeping council tax rises as low as possible, and maintaining a sufficient level of reserves for such instances.  The Chief Officer advised that if cost was greater than available reserves the Welsh Government may be asked to provide assistance from the Financial Assistance Fund.  The Strategic Finance Manager drew attention to page 57 of the report, paragraph (m), and said that the Chief Executive/Chief  ...  view the full minutes text for item 29