Contact: David Jellings

Direct Dial: 01275 884219

E-mail: david.jellings@n-somerset.gov.uk

Date: 29th October 2003

Dear Sir or Madam

Standards Committee

Thursday 6th november 2003, 6.00 p.m., Rickford Room, TOWN HALL

A meeting of the Committee will take place as indicated above. The agenda is set out overleaf.

Yours faithfully

Solicitor to the Council

To: Members of the Committee

Councillors:

Ian Parker (Chairman), Nicholas Brown (Vice-Chairman), John Clark, Ian Peddlesden.

Independent Members:

Ms. Liz Lockwood, Mr. Tony Williams.

Parish Councillor Tony Horry.

All other Members of the Council (for information)

AGENDA

1 Apologies for Absence and Notification of Substitutes

2 Public Discussion (Standing Order SSO 9)

To receive and hear any person who wishes to address the Committee. The Chairman will select the order of the matters to be heard.

3 Declarations of Interest by Members

4 Minutes

4.1 Committee Meeting – 4th September 2003, (page 4)

5 Matters referred by the Council, the Executive, other Committees and Panels

Executive Meeting – 2nd September 2003

5.1 Internal Audit Annual Report 2002/2003 (EXE 48 refers) (page 7)

6 Regulations Under Section 66, Local Government Act 2000

6.1 Report of the Solicitor to the Council (page 25)

7 Other Business Permitted by the Local Government Act 1972 (if any)

For a matter to be considered as an urgent item, the following question must be addressed:

“What harm to the public interest would flow from leaving it until the next meeting?” If harm can be demonstrated, then it is open to the Chairman to rule that it be considered as urgent. Otherwise the matter cannot be considered urgent within the statutory provisions.

____________________________________

EXEMPT ITEMS

Should the Committee wish to consider a matter as an Exempt Item, the Committee will be invited to pass the following resolution –

“(1) That the press, public, and officers not required by the Members, the Chief Executive or the Director, to remain during the exempt session, be excluded from the meeting during consideration of the following item of business on the ground that its consideration will involve the disclosure of exempt information as defined in Section 100I of the Local Government Act 1972.”

Also, if appropriate, the following resolution should be passed –

“(2) That members of the Council who are not members of this Committee be invited to remain.”

MOBILE PHONES, PAGERS AND SIMILAR CALLING DEVICES

All persons attending this meeting are requested to turn off these devices in accordance with the Council’s statement concerning disturbance caused by such apparatus. The Chairman may approve an exception to this request in special circumstances.

EMERGENCY EVACUATION PROCEDURE

ON HEARING THE ALARM – (a continuous two tone siren)

Leave the room by the nearest exit door. Ensure that windows are closed.

Last person out to close the door.

DO NOT stop to collect personal belongings.

DO NOT use the lifts.

FOLLOW the green and white exit signs and make your way to the assembly point.

DO NOT re-enter the building until authorised to do so by the Fire Authority.

GO TO ASSEMBLY POINT D – THE CAR PARK OPPOSITE MAIN RECEPTION

ITEM 4.1

MINUTES

OF THE MEETING OF THE

Standards Committee

Thursday 4th September 2003

HELD AT THE TOWN HALL, WESTON-SUPER-MARE, SOMERSET.

Meeting Commenced: 6.00 p.m. Meeting Concluded: 7.00 p.m.

PRESENT: Councillors Ian Parker (Chairman), Nicholas Brown (Vice-Chairman), John Clark and Ian Peddlesden

Independent Members

Liz Lockwood and Tony Williams

Parish/Town Council Member

Parish Councillor Tony Horry

STD

Welcome and Introductions

The Chairman on behalf of the Committee welcomed the two new Independent Members, Liz Lockwood and Tony Williams, and introduced the other Committee members, and the officers present.

STD

Minutes of the Meeting held on 10th June 2003 (Agenda Item 4.1)

RESOLVED: that the minutes be approved as a correct record and signed by the Chairman

STD

The Local Authorities (Code of Conduct) (Local Determination) Regulations 2003

The Committee considered a report which provided information about the regulations which would affect this Committee, and enable it to deal locally with complaints made about Councillors who it is alleged have broken the Code of Conduct.

A draft procedure for Standards Committee determinations was tabled, together with guidance from the Standards Board for England.

The Solicitor to the Council referred in particular to the pre-hearing procedure and the determination of sanction if a breach of the Code is found.

Discussion ensued and the following points were raised:

1. Whether a Member of the Committee sitting on a Panel have to declare an interest if the person being complained about was a Member of the same Ward.

It would be a matter of judgement for the individual Panel Member concerned. Each case would be considered on its merits. The guidance referred to a friend or relative. The general principles of Article 6 of the Human Rights Act would apply. The Panel sitting in judgement must be manifestly fair and unbiased.

2. A Member commented on a situation where a Councillor may have been censured and the censure used against that person by political opponents in an election campaign, whilst an appeal was pending.

3. Members of the Committee were asked to read the guidance and proposed procedure for determinations prior to the next meeting.

RESOLVED: that the report be noted.

STD

Process for the Election of a Second Town/Parish Council Representative to the Standards Committee

The Committee considered a report of the process for the election of a second Town/Parish Council representative to the Standards Committee.

The Solicitor to the Council drew attention to the fact that the Committee had recently agreed to elect the existing Town/Parish Council representative on the basis of one Town/Parih Council, one vote. Therefore, it would be inconsistent so soon after, to elect a second representative on a different basis. Any change in the process should be considered prior to electing two representatives next time. The majority of the Committee concurred with these comments. It was pointed out that Councils were not obliged to carry out an election process with many having filled the position by appointment.

Councillor Brown demurred from the majority view, and commented that in his opinion, the current election process was inherently undemocratic, and biased in favour of small parishes, and against the large towns.

RESOLVED: (5 votes in favour, one vote against) that the current process for the election of a Town/Parish Council representative to the Standards Committee remain unchanged, and be used for the election of a second representative.

[Councillor Brown requested that his vote against be recorded).

STD

Exclusion of Press and Public

RESOLVED: that the press and public be excluded from the meeting during consideration of the following item of business on the grounds that its consideration will involve the disclosure of exempt information as defined in Section 100I of the Local Government Act 1972”.

Item Reason for Exemption

Minute No. 8 Paragraph 1 of Part 1 of Schedule 12A to the Local Government Act 1972 (information relating to a particular office-holder of the Authority).

STD

Allegations Regarding A Member of North Somerset Council (URGENT EXEMPT ITEM)

The Chairman agreed to take this exempt item as an urgent item of business. The reason for urgency was to avoid unnecessary delay in allaying public concern regarding the handling of a current planning application.

The member subject to the allegations had asked for them to be referred to the Standards Committee. The Solicitor to the Council outlined the issues, and responded to the Committee’s questions and queries.

RESOLVED: that the Committee notes the allegation made, and considers that it is unable to consider the matter at a local level, and therefore not able to comment. Further, that the Solicitor to the Council write to the complainant to advise that it is a matter for the complainant to refer the matter to the Standards Board for England, if he considers there is sufficient evidence to do so.

________________________________

Chairman

________________________________

NORTH SOMERSET COUNCIL

REPORT OF AN OFFICER TO THE

Executive MEETING ON 2nd September 2003

OFFICER:	Richard Penska, Head of Audit, revenues & benefits
OF:	Finance & Resources
SUBJECT:	Internal Audit Annual Report 2002/03
KEY DECISION:	N

1. SUMMARY

The Internal Audit Annual Report provides an opinion on the effectiveness of the internal controls operating over the Council's key financial systems based on the audit coverage of 2002/03. This work forms the basis of the Statement on the System of Internal Financial Control included within the Council's Statement of Accounts.

2. RECOMMENDATIONS

The Executive notes the report, requests any further information considered necessary and refers the report to the Finance & Resources Scrutiny & Policy Panel for further consideration.

3. PROPORTIONALITY ISSUES

None.

4. HUMAN RIGHTS ISSUES

None.

5. FUNDING IMPLICATIONS

	Approved Budget	Extra Bid?	Recurring/Base Budget?
Revenue	-	-	-	-
Capital	-	-	-	-

6. OTHER/RESOURCE IMPLICATIONS

Legal	Crime & Disorder	Health & Safety	Equal Opportunities	Trades Unions	Youth Voice	Other
N	N	N	N	N	N	N

7. COMMUNITY IMPACT

Corporate	Environment	Lifelong Learning	Health & Welfare	Prosperity
Y	Y	Y	Y	Y

8. POLICY IMPLICATIONS (if any)

None.

9. DETAILS

The Annual Report attached sets out the conclusions of audit work carried out over the last financial year detailing any significant findings to provide the Executive with assurance over the Council’s internal control framework and to allow an opportunity for the Executive to request further information or explanation of issues contained within the report.

Overall the level of assurance gained from detailed coverage of the Council’s core financial systems is satisfactory, there are aspects of systems that have been identified as weak or inadequate and these are identified in the report. In all cases recommendations have been made to improve the control framework and remedial action has been agreed by appropriate management. In that sense the report is historic, recording weaknesses identified in the audit reviews, which have now been addressed.

Contact Officer: Richard Penska, Head of Audit, Revenues & Benefits 01934 634629

richard.penska@n-somerset.gov.uk

North Somerset Council

Internal Audit Services

Annual Report

2002/03

1.Background

The primary aim of the Internal Audit Service is to provide an independent and objective opinion to the Council on the degree to which the internal control environment supports and promotes the achievement of the Council’s objectives. It objectively examines, evaluates and reports on the adequacy of internal control as a contribution to the proper, economic, efficient and effective use of resources. This is a statutory responsibility of the Council under the 1972 Local Government Act.

In order to fulfil this requirement an Annual Assurance Audit Plan for 2002/03 was approved by the Leader, the Financial Accountability Select Committee and the Director of Finance & Resources as Section 151 Officer.

In addition to this primary function, the Internal Audit Service also provides two other main functions:

1. Benefit Fraud Investigation;

2. Providing a consultancy service to the Council for a wide range of projects and investigations.

Auditors. The Internal Audit Section comprises of 10 staff in total with an annual budget of £369,650. The cost of the Audit Team is subject to Internal Trading and Directorates were charged for the actual time spent in their areas.

Investigators. The investigation of Benefit Fraud is a separate function within Internal Audit and is carried out by the Corporate Anti-Fraud Team. The cost of the Team for the year was £160,000 this cost was largely offset by the subsidy and incentive income generated by the Team.

2.The Annual Report

This Annual Report has been produced for all stakeholders in Internal Audit, to explain the role of the service, the major conclusions and findings this year and highlight any significant issues of concern.

In common with any organisation there is always more the Council could do to improve internal control. This year’s work has identified some areas for improvement, although few fundamental weaknesses. All audit findings are graded on a scale of seriousness using a three-point scale:

Œ. Major significant change required – system failure that materially impacts adversely on the integrity of financial systems.

. Important change required – system failure representing poor control procedures.

Ž. Relatively minor change required – strengthening of existing controls.

Any recommendation in the Œ category is referred to the Director of Finance & Resources (Section 151 Officer) and is included in this report.

Approved Budget

2.The Annual Report

This Annual Report has been produced for all stakeholders in Internal Audit, to explain the role of the service, the major conclusions and findings this year and highlight any significant issues of concern.