Council Constitution

Part 2 - Articles of the Constitution

Article 13 - Audit Panel

13.1

To provide independent assurance of the adequacy of the risk management framework and the associated control environment, independent scrutiny of the authority’s financial and non financial performance to the extent that it affects the authority’s exposure to risk and weakens the control environment and to oversee the financial reporting process.

13.2

The Panel shall comprise a membership of seven Members, including two Members of the Opposition Groups subject to the rules of political balance.

13.3 Terms of Reference

1. To overview the arrangements for internal control (both financial and non financial);
   
   
2. Appointment of external auditors.
   
   
3. Consider the Annual Audit Letter from our External Auditors.
   
   
4. Approve (but not direct) both external and internal audit’s strategy, annual plans and monitor performance.
   
   
5. Consider accounting policies and review of the statement of accounts (but not agreement).
   
   
6. Review summary internal audit reports and the main issues arising and seek assurance that management action has been taken where necessary.
   
   
7. Consider the reports of other regulators and inspectors.
   
   
8. Consider the effectiveness of the authority’s risk management arrangements, the control environment and associated anti fraud and anti corruption arrangements. Seek assurances that action is being taken on risk related issues identified by auditors and inspectors.
   
   
9. Be satisfied that the authority’s assurance statements, including the Statement on Internal Control, properly reflect the risk environment and any actions required to improve it.
   
   
10. To review existing and proposed arrangements, recommend changes and receive assurance that the systems of corporate governance are operating effectively and in accordance with best practice.