Issue - meetings

Minute 466 refers

RESOLVED – that East Herts Council “opts in” to the appointing person arrangements made by Public Sector Audit Appointments (PSAA) for the appointment of External Auditors.

(see also Minute xxx)

The Executive Member for Finance and Support Services submitted a report setting out the options available for appointing external auditors from 2018/19 and the process for achieving a successful procurement of external audit services.  The Local Audit & Accountability Act 2014 had abolished the Audit Commission, and required local authorities to appoint their own external auditors for the audit of the 2017/18 accounts by 31 December 2018.

The Executive Member outlined the four options for local authorities to appoint external auditors:

·        establishing their own auditor panel (which may be an existing committee or sub-committee of the authority);

·        jointly establishing an auditor panel with other authorities;

·        using the services of an auditor panel established by another authority; or

·        delegating appointment to a sector led body.

He detailed these options and suggested that the consensus amongst most local authorities was to pursue the fourth option and to delegate appointment to a sector led body.  In July 2016 Public Sector Audit Appointments (PSAA) were specified by the Secretary of State as an appointing person under regulation 3 of the Local Audit (Appointing Person) Regulations 2015. 

The Audit and Governance Committee, at its meeting held on 23 November 2016, had considered the options and had supported this option also.

The Executive supported the recommendation now detailed.

RECOMMENDED – that East Herts Council “opts in” to the appointing person arrangements made by Public Sector Audit Appointments (PSAA) for the appointment of External Auditors.

The Executive Member for Finance and Support Services submitted a report which set out the options available to the Council in appointing external auditors from 2018/19 and the process for achieving the successful procurement of external audit services.  The Head of Strategic Finance and Property provided a summary of the report.

In response to a query from the Chairman regarding setting the audit fee, the Head of Strategic Finance and Property explained the process.

The Committee recommend to Council via the Executive, that the Council “opts in” to the appointing person arrangements made by Public Sector Audit Appointments (PSAA) for the appointment of External Auditors.

RESOLVED – that Council via the Executive be advised that Audit and Governance support “opting in” to the appointing person arrangements made by Public Sector Audit Appointments (PSAA) for the appointment of External Auditors from 2018/19.