Internal and External Audit Report Follow Up 2023-24
Argyll and Bute Council · 14 September 2023
Back to Audit and Scrutiny Committee — 14 September 2023 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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ARGYLL AND BUTE COUNCIL AUDIT AND SCRUTINY COMMITTEE FINANCIAL SERVICES 14 September 2023 INTERNAL AND EXTERNAL AUDIT REPORT FOLLOW UP 2023-24 1.0 INTRODUCTION 1.1 Internal and external audit reports include an action plan with a management response establishing the agreed action, timescale and responsible officer. Internal Audit record these in a database and, on a monthly basis, follow them up to ensure they are being progressed. 1.2 This report updates the committee on all open actions as at 30 June 2023 including information on actions where the agreed implementation date has been rescheduled. 2.0 RECOMMENDATIONS 2.1 To endorse the contents of the report. 3.0 DETAIL 3.1 The two tables below provide a numerical summary of open audit actions with a split between actions due by and due after 30 June 2023. 3.2 Appendix 1 provides further detail on actions that have either been delayed and rescheduled or for which Internal Audit have received no response from the service to inform this follow up.
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Table 1 - Actions Due by 30 June 2023 Service Complete Delayed/ Rescheduled No Response Evidence Required Total Internal Audit DH – Legal & Regulatory 1 0 0 0 1 KF – Customer Support Services 1 0 0 0 1 KF – Development & Economic Growth 1 2 0 0 3 KF – Roads & Infrastructure Services 0 5 0 0 5 KF – Financial Services 1 6 0 0 7 H&SCP (IJB) – Finance & Transformation 0 1 0 0 1 H&SCP (SW) – Adult Services (Mental Health Learning Disability, Addictions & Lifelong Conditions) 1 4 0 0 5 H&SCP (SW) – Finance & Transformation 0 2 0 0 2 External Audit Nil TOTAL 5 20 0 0 25 Table 2 - Actions due after 30 June 2023 Service Complete Delayed/ Rescheduled No Response On Course Evidence Required Total Internal Audit DH – Commercial Services 0 0 0 3 0 3 DH – Legal & Regulatory 1 0 0 6 0 7 KF – Customer Support Services 1 1 0 11 0 13 KF – Development & Economic Growth 0 0 0 3 0 3 KF – Roads & Infrastructure Services 0 0 0 6 0 6 KF – Financial Services 1 0 0 31 0 32 H&SCP (IJB) – Adult Services (Older Adults & Community Hospitals) 0 0 0 4 0 4 H&SCP (IJB) – Strategic Planning & Performance 0 0 0 1 0 1 H&SCP (SW) – Adult Services (Mental Health Learning Disability, Addictions & Lifelong Conditions) 0 0 0 2 0 2 External Audit Nil TOTAL 3 1 0 67 0 71 4.0 CONCLUSION 4.1 Reasonable progress continues to be made implementing audit actions.
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5.0 IMPLICATIONS 5.1 Policy – None 5.2 Financial – None 5.3 Legal – None 5.4 HR – None 5.5 Fairer Scotland Duty – None 5.5.1 Equalities – None 5.5.2 Socio-Economic Duty – None 5.5.3 Islands Duty – None 5.6 Climate Change – None 5.7 Risk – None 5.8 Customer Service – None Paul MacAskill Chief Internal Auditor 14 September 2023 For further information contact: Paul MacAskill, 01546 604108 Paul.macaskill@argyll-bute.gov.uk APPENDICES Appendix 1 – Action Plan Points Delayed & Rescheduled or with No Response
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Appendix 1 Action Plan Points Due by 30 June 2023 - Delayed & Rescheduled/Evidence Required Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer VFM DEVELOPMENT & ECONOMIC GROWTH Building Standards 2. KPO Reporting Finding: MS Access is used to extract data from the IDOX system for KPO reporting, however, a move to corporate use of MS Office 365 means that MS Access is not included within that licence agreement. Support for MS Access 2013 will expire 31 March 2023 and newer existing versions by 31 March 2026 thereafter additional arrangements and licences will be required. Recommendation: Building Standards services should revisit the reporting functionality of the IDOX system to assess if historical issues have been addressed and raise any outstanding anomalies with the system provider. This will provide contingency for MS Access reporting. This will provide contingency for MS Access reporting. 1. Run all 7 IDOX standards reports and compare with the services MS Access reports 2. Identify and investigate differences 3. Report findings to IDOX and request feedback 30 June 2023 01 Aug 2023 Work is ongoing to assess the adequacy pf the IDOX standards reports against our own MS Access management reports. This was delayed due to resourcing issues and need to carry out full testing for the service upgrade to the UNIFORM system. Delayed and Rescheduled Building Standards Data Systems Technician HIGH DEVELOPMENT & ECONOMIC GROWTH Planning Applications 1. Procedure Document There are no established written procedural documents in place, staff follow a series of workflow processes which are aligned to legislative requirements and current guidance. Review and update of existing written procedures to provide a collated procedural document for the handling of planning applications. 31 Dec 2022 30 Jun 2023 31 Jul 2024 Staff availability to progress this action has again been limited and the requirement to prepare a current procedure note is being overtaken by ongoing work to review and update current work processes that are linked to the IT led project for the replacement of Civica with the IDOX Document Management System and internal development of a new Process and Productivity Improvement Officer
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer workflow system using IDOX Enterprise. The IDOX DMS project has been delayed as a result of matters out with the direct control of the DM Service and is currently expected to be completed by Summer 2024, it is recommended that the updated procedure notes be produced to align with the introduction of the new system environment (Summer 2024). Delayed and Rescheduled LOW ROADS & INFRASTRUCTURE SERVICES FLEET MANAGEMENT 3. Driving Hours Compliance Fleet drivers not subject to EU legislation maintain manual driving records which are handed to supervisors on a weekly basis to check and sign. This is a resource intensive process which is subject to human error. There would be clear process efficiency gains and less risk of error if the Council adopted the system already in place for fleet drivers subject to EU legislation and rolled out electronic driver cards to all fleet drivers. The key officer will ensure that all drivers hold and use tachograph cards to move away from the paper book records. 31 Dec 2020 31 Mar 2021 30 June 2021 31 Mar 2022 30 June 2022 31 Aug 2022 31 Mar 2023 31 May 2023 31 Aug 2023 Meeting was held 15 June where it was agreed to roll out the Digital Tachograph to one area (Helensburgh) starting in August, on a trial basis. A review will take place with roll out in other locations thereafter. The reason for progressing on a trial basis is down to new information coming to light relating to the council having implemented a tachograph system approximately 15 years ago following which VOSA made changes which allowed councils to continue to use log books for activities where drivers are only driving for a part of the working day. The Helensburgh trial will help to determine the suitability of tachographs vs logbooks. Also Procurement/ Technical Officer
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer at the June meeting it was agreed that enhanced logbook information will be produced which can also be compared with timesheets to ensure that we have a definitive record of driving activity. Note the existing use of tachographs, where drivers drive full time, will continue during the trial period. Delayed and Rescheduled VFM ROADS & INFRASTRUCTURE SERVICES FLEET MANAGEMENT 6. Management of Pool Cars A high level analysis of the use of pool cars suggests the Council could generate considerable savings through more efficient use of pool cars. Fleet Services should explore this further via a more detailed review which should consider the potential benefits of: a more centralised approach to the administration and booking of pool cars better promotion of the use of pool cars providing greater visibility of bookings and destinations to encourage pool car sharing implementing or developing a pool car booking system identifying ways of transferring the balance of pool car usage from shorter journeys to longer ones The pool car module will be released through Tranman. The pool car module offers a centralised approach to bookings and visibility. The Council’s internal communications department will be contacted to highlight the use of the pool cars. Work will be undertaken to increase usage. 30 Sep 2020 31 Dec 2020 30 June 2021 31 Dec 2021 30 Apr 2022 29 Jul 2022 30 Sep 2022 31 Dec 2022 30 Apr 2023 31 Aug 2023 Digital team contacted regarding procedure for system switch- over and comms to council staff. Revised go live date 1/8/23. Delayed and Rescheduled Procurement/ Technical Officer
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer LOW ROADS & INFRASTRUCTURE SERVICES STREET CLEANING 4. Updating of ELM Local Environment Teams (LETs) are not currently using tablet devices to indicate that work allocated has been completed. Supervisors are updating the system in some areas but this is not consistent across the Council. Reintroduce use of handheld devices subject to ongoing Covid restrictions etc. to allow efficient updates to ELM. 31 July 2022 31 Dec 2022 31 Mar 2023 30 Sept 2023 Refresher training for supervisors is nearing completion. Reintroduction of the tablet devices has not yet been fully implemented as issues have been identified in the performance of the devices and their usage is considered challenging for some employees. Further consideration will be taken to progress this action. Delayed and Rescheduled Operations Manager, Roads & Infrastructure Services HIGH ROADS & INFRASTRUCTURE SERVICES WARDEN SERVICES 3. Second Bin Service Verification Wardens are expected to verify the veracity of applications from customers for a second domestic bin service. This requires the warden to confirm that information provided by the customer is accurate and meets the defined criteria. The information provided to substantiate an application can be very personal and sometimes of a sensitive medical nature. Wardens have been asked to provide this service but have received no formal training in how to ensure a customer’s dignity is maintained or to ensure they are aware of the requirements of General Data Protection Regulation (GDPR) in relation to personal data for this specific process. Due to the sensitivity of this process, and the potential risks associated with data protection it is Review the process for; Review the second bins that are in place and the process for rationalising. This review to also give consideration to composition and identify opportunity to increase recycling and reduce general waste. 30 Sep 2022 30 Dec 2022 30 Jun 2023 30 Sep 2023 The list for the second domestic bins has been compiled as have the draft letters for both second domestic bins and assisted pull outs to send to residents to see if they still require this service. These letters will be sent out by Friday 28th July 2023 with a return date of Friday 1st September 2023. Delayed and Rescheduled Operations Manager, Roads & Infrastructure Services
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer recommended that the current verification process is reconsidered to determine if it is appropriate to maintain it in its current form. If it is decided it should be retained then there should be engagement with the Council’s Governance and Risk Manager to ensure it is being carried out in full compliance with GDPR. HIGH ROADS & INFRASTRUCTURE SERVICES WARDEN SERVICES 2. Second Bin Service Verification Wardens are expected to verify the veracity of applications from customers for a second domestic bin service. This requires the warden to confirm that information provided by the customer is accurate and meets the defined criteria. The information provided to substantiate an application can be very personal and sometimes of a sensitive medical nature. Wardens have been asked to provide this service but have received no formal training in how to ensure a customer’s dignity is maintained or to ensure they are aware of the requirements of General Data Protection Regulation (GDPR) in relation to personal data for this specific process. Due to the sensitivity of this process, and the potential risks associated with data protection it is recommended that the current verification process is reconsidered to determine if it is appropriate to maintain it in its current form. If it is decided it should be retained then there should be engagement with the Council’s Governance and Review the process for - Dealing with requests for new and replacement bins. 30 June 2022 30 Sep 2022 31 Dec 2022 30 Jun 2023 31 Jul 2023 Work is still ongoing on the waste policy and a draft procedure is with the Operations Manager for sign off. As per previous comment those customers who require a second bin for medical requirements will automatically receive their bin. The Wardens have received confidentiality training from KSB and the service receives annual training with regards to RIPSA from the Governance and Risk Manager. Delayed and Rescheduled Operations Manager, Roads & Infrastructure Services
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer Risk Manager to ensure it is being carried out in full compliance with GDPR. MEDIUM FINANCIAL SERVICES FIXED ASSET REGISTER (AIRS) 3. Asset Record Maintenance There are inconsistencies in descriptions when recording Council assets across the various systems and asset references are not always available to aid cross referencing. This results in difficulties reconciling assets held in service records to the fixed asset system AIRS. Work with Property Services and Fleet to ensure systems record the same assets and refer to references on other systems. 31 Dec 2022 31 Mar 2023 30 June 2023 30 Sep 2023 The bulk of the work for this has been completed, however, the information has not been transferred over to AIRS due to issues with the AIRS system requiring supplier support and also staff resources. Delayed and Rescheduled Accountant - Capital MEDIUM FINANCIAL SERVICES MANAGEMENT OF DEBT/DEBT RECOVERY 10. Raising of invoices and Recovery Routes Finding: Legal Services recovery is hampered due to lack of customer telephone and email contact details being entered when the Debtors records are created by Services. Recommendation: Phone number and email fields should be mandatory Speak to System supplier about making these fields mandatory for users to complete if raising a debtor account. 30 June 2023 31 Dec 2023 We have spoken to the System supplier and this is still under investigation with the supplier. Delayed and Rescheduled NDR & Income Manager VFM FINANCIAL SERVICES Management of Debt/Debt Recovery 17. Sharing of good practice Consideration should be given to whether it is possible to issues text message reminders for Non Domestic Rates missed payments. The service would like to look at the possibility of E-billing and text reminders for NDR in the future. There will be a cost to this, given that NDR income is pooled by the government it has never been our highest priority. That being said it would introduce improvements for our businesses. We will approach the systems supplier, 30 June 2023 31 Dec 2023 Action regarding E-billing had been progressing but was stalled around March due to Annual Billing and revaluation. We are looking to establish if this is possible to do in-house, or if we require to purchase 3rd party software. We have also still to approach the systems supplier (Northgate) about the possibility of using a text reminder service. NDR & Income Manager
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer Northgate (Orbis) and get quotes for this work. At that point a business case will need to be considered before any other progress can be made. Delayed and Rescheduled MEDIUM FINANCIAL SERVICES CAPITAL MONITORING 1. Capital Programme Planning & Management Guide The Council’s Capital Guide has not been revised since 2018 and requires a review to ensure it reflects current working practices and provides appropriate support to officers involved in the capital monitoring process. The Council is currently developing a new Capital Strategy which is to be presented to the Policy and Resources Committee in August 2021 and we recognise that a review of the Guide should be conducted after the Strategy has been finalised to ensure the two documents complement each other and. The Guide could also benefit from being linked to, or referencing, other relevant Council processes, in particular the Project Management section on the Hub. Capital Planning and Management Guide to be updated once the Capital Strategy has been approved to ensure the two are aligned and provide clarity. 31 Mar 2022 30 Sep 2022 31 Dec 2022 31 Mar 2023 30 Sep 2023 The completion of this action is dependent upon the agreement of the revised capital strategy. The latest update from the Head of Commercial Services is that the strategy is currently being refined and it is planned that it will be presented to the Policy and Resources Committee in June 2023. Delayed and Rescheduled Head of Commercial Services/Finance Manager MEDIUM FINANCIAL SERVICES CAPITAL MONITORING 2. Capital Programme Training There is no training programme to support officers involved in the management of the Council’s capital programme. It would be beneficial to engage with project managers to identify training needs and address these through the development of a training programme to help ensure a Training documentation to be created that project managers can refer to. Refresher training to be provided for existing Project Managers and a plan put in place for training for any new staff that have capital budget monitoring responsibilities. 30 Jun 2022 30 Sep 2022 31 Mar 2023 30 Jun 2023 30 Sep 2023 The completion of this action is dependent upon the agreement of the revised capital strategy. The latest update from the Head of Commercial Services is that the strategy is currently being refined and it is planned that it will be presented to the Policy and Resources Committee in June 2023. Finance Manager
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer consistent and robust approach to capital project management. In particular this should include training on capital project profiling. Delayed and Rescheduled HIGH FINANCIAL SERVICES FOLLOWING THE PUBLIC POUND 1. Guidance on Following the Public Pound (FtPP) Although the Council has an approved process to manage external funding requests it is limited in detail, is not closely aligned to the Code of Guidance on Funding External Bodies and Following the Public Pound and there is a general lack of awareness amongst officers that it exists. Audit testing identified a number of areas of good practice within the Council and overall compliance with the principles of FtPP however there were examples of inconsistent practice. A more comprehensive guidance document should be established which provides a more standardised and tiered approach providing greater clarity over roles and responsibilities and standardised templates for key stages in the process including funding assessments and post award monitoring and reporting. The audit team researched a number of examples of FtPP guidance which had been created by other councils during the planning phase of the audit and can make these available to inform the creation of an Argyll and Bute equivalent. Following the Public Pound guidance will be drafted to provide a consistent approach to managing the award of external funds. 30 Jun 2020 31 Dec 2020 30 Jun 2021 31 Dec 2021 30 Sep 2022 31 Dec 2022 31 Mar 2023 30 Jun 2023 30 Sep 2023 This cannot be completed until the Capital Investment Strategy has been completed. The latest update from the Head of Commercial Services is that the strategy is currently being refined and it is planned for it to be presented to the Policy and Resource Committee in June 2023. Currently waiting on the new asset management strategy being completed and ratified to complete. Delayed and Rescheduled Head of Financial Services
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer LOW FINANCE/TRANSFORMATION H&SCP - Complaints Handling 3. Training Training should be provided in the complaints handling procedures for the IJB Complaints Handling Training will be incorporated into staff training processes 30 Sep 2022 30 Nov 2022 30 Jun 2023 30 Sep 2023 Training took place in person on 9th June. Single agency training has been delivered with a plan to move towards joint training in the coming months- the plan is still being developed. Complaint handlers, investigators and responsible managers are also encouraged to access the SPSO online resources for training on complaints handling and investigations. Delayed and Rescheduled Chief Nurse-NHS Highland HIGH ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) Client Funds 2. Detail restricted. Detail restricted. 30 Jun 2023 31 Aug 2023 Detail restricted. Delayed and Rescheduled SW Admin Manager HIGH ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) Client Funds 4. Detail restricted. Detail restricted. 31 Mar 2023 30 Jun 2023 31 Aug 2023 Detail restricted. Delayed and Rescheduled SW Admin Manager HIGH ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) Client Funds 6. Detail restricted. Detail restricted. 30 Jun 2023 31 Aug 2023 Detail restricted. Delayed and Rescheduled SW Admin Manager
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer MEDIUM ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) Client Funds 9. Detail restricted. Detail restricted. 30 Jun 2023 31 Jul 2023 Detail restricted. Delayed and Rescheduled SW Admin Manager HIGH FINANCE/TRANSFORMATION Customer Service Centre 1. Failure to ensure CET have up to date Service information There is concern that some teams within HSPC are not fully engaging with CSC, despite repeated requests from Senior Managers to review their information. In addition, the Duty rotas and contact details on the HSPC SharePoint are not always up to date. HSCP must engage with CET to review the online and offline information available to agents and customers to ensure it is accurate, up to date and reflects current team structures and duty rotas. Provided by key officer HSCP management will work with the CET team to determine the best way to approach the current problem and implement the correct solution agreeable by HSCP and CSC. 30 Jun 2023 30 Sep 2023 A meeting with senior staff and service centre management is arranged for 20 July to review the information requirement and partnership working to address concerns. Highlighted evidence from CSC has been forwarded to management and action taken to ensure staff are responding appropriately. Some ongoing staffing issues suspended duty rotas in some areas which was not communicated. Other duty rotas are confirmed as up to date. If this is not operating as required it will be reviewed at the meeting. Delayed and Rescheduled Business Improvement Manager VFM FINANCE/TRANSFORMATION Customer Service Centre 6. Routing of calls to the appropriate channels Calls for HSPC represent the highest volume of both calls handled by CSC and transferred to the Service. The data provided detailing the teams the calls are transferred to indicates that it may be more appropriate for properly trained staff to handle and manage these calls. Contact Centre and HSCP Provided by key officer The service will engage in discussions with CET’s Customer Engagement Manager to ensure that suitable arrangements are in place which maximises efficiency and effectiveness of the handling of customer 30 Jun 2023 30 Sep 2023 This action will be a focal point of the forthcoming meeting on 20 July. Contact centre staff are regularly provided with training in public protection and this can be arranged as required. As noted previously we have responded to protection concerns by ensuring staff are directed to respond to CSC Business Improvement Manager
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Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer should analyse whether it is more efficient to route certain call types on the HSCP Golden Number directly to HSCP for them to manage or that specific issues which require more specialist or detailed knowledge are dealt directly by HSCP. contacts and enquiries via the HSCP Golden Number. appropriately. Delayed and Rescheduled
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Action Plan Points Due after 30 June 2023 - Delayed & Rescheduled Service, Report, Plan no. & Finding Agreed Action Dates Comment Responsible Officer / Status LOW CUSTOMER SUPPORT SERVICES Customer Service Centre 3. Performance Indicators Information gather using the Avoidable and Non Avoidable categories do not match real time concerns or trends identified by staff regarding arising issues as these are lagging indicators. Customer Service Centre should , with Services, review the definitions of the Avoidable and Non Avoidable Contacts with a view to gathering actionable data on the volume of repeat contacts due to lack of follow up, availability of information and establishing whether there is an issue with customers being unable to reach staff who have been named as a key contacts. Provided by key officer 1. CET will engage with Service Leads to review Avoidable Contact measures and reporting. 2. CET will send a report with Improvement Recommendations to DMT and ELT for approval by July 2023. 31 Jul 2023 30 Sep 2023 CET has been liaising with Govmetric regarding the latest thinking around Avoidable Contact and the potential to use it for efficiencies. A presentation on this was given to Budget Working Group on 26/6 where it was recognised as having longer term potential (see attachment item 6). The Avoidable Contact Consultation will now be integrated to the wider Customer Service Strategy Consultation, hence the completion date of this task will slip. Delayed and Rescheduled Customer Engagement Manager