Annual Report 2006
Internal Audit
and
Checking Section
Contents
Internal Audit Annual Report 2006
Page No.
- Introduction2
- Audit Work 20062
2.1Internal Audit General2
2.2Completed Audits including Audits brought forward from 20052
2.3Audits in Progress2
3.Outcome of Audit Work 20062
3.1Procurement and Tendering2
3.2Traffic and Litter Warden Service3
3.3Capital and Euro Expenditure3
3.4Building Maintenance3
3.5Housing and Differential Rents3
3.6Public Lights3
4.Checking General3
4.1Motor Tax3
4.2Revenue Collectors3
4.3Finance Section Cash Office4
4.4Planning Cash Office4
4.5Manual Receipt Books4
4.6Landfill Checking4
4.7Naas Town Council4
4.8Athy Town Council4
4.9Newbridge Parking4
4.10Burial Grounds5
4.11Public Conveniences5
4.12Miscellaneous5
4.13Summary on Checking Outturn5
5Staffing 5
6Training, Staff Development and Conferences 6
7Conclusion 6
Location of Documents on Intranet
- Internal Audit Strategy 2006-2009
Address:-
- Annual Audit Plan 2007:- Address to be posted
- Internal Audit Annual Report 2006:- Address to be posted
- Review of Audit Recommendations:- Address to be posted
Internal Audit Annual Report 2006
- Introduction
During 2006, a number of audits were carried out, checking was kept up to date, a
Review of Recommendations of previous Internal Audit Reports was carried out, the Internal Audit Strategic Plan 2006-2009 was finalised and the Annual Audit Plan 2007 was drafted and agreed in early 2007. These documents and this annual report itself can be located on the intranet from the addresses listed in the contents page.
- Audit Work 2006
The emphasis in 2006 was on completing audits brought forward from 2005 and on preparing and completing the Internal Audit Strategic Plan 2006-2009. A review of recommendations of previous Internal Audit reports was also carried out.
The details of work undertaken are as follows:
2.1Internal Audit general
- Review of recommendations of Internal Audit Reports
- Internal Audit Strategy 2006-2009
2.2Completed audits including audits brought forward from 2005
- EU audit on Non-National Roads
- Road Maintenance (VFM)
- Differential Rents (VFM)
- Housing Stock (VFM)
- Audit on the Control of Computer Equipment in the Kildare Local Authorities
- Audit on Verification of EU Funded Expenditure incurred in 2005
- Newbridge Stores Stocktake Report 2005
- Flood Alleviation
2.3Audits in progress
- Housing Stock - Naas and Athy (VFM)
- Housing Rents – Naas and Athy (VFM)
- Housing Loans - Kildare County Council
3.Outcome of Audit Work 2006
Arising from the review of audit recommendations the following can be noted:
3.1Procurement and Tendering – A Manager’s Order (No FIN701) for purchase of goods and services has been brought into effect. However, tender procedure, quotation procedure and revised purchasing limits have not been finalised. The Council has been informed that new procedures apply to employment of consultants from 1st January 2007 and that new standard forms of contracts have been devised. Seminars on Corporate Procurement are proposed for 2007. The procurement area is one in which the Kildare Local Authorities are weak from a procedural point and could be subject to challenge.
3.2Traffic and Litter Warden Service – This service is undergoing structural change and is being subcontracted to contractors in some towns. Experience with the Newbridge subcontractor indicates that close supervision is needed on the contractors to ensure that the agreed requirements are met.
3.3Capital and Euro Expenditure – The introduction of the quarterly Capital Report to the Council is a welcome step in controlling the Capital Account. However, a large number of over 700 accounts with dormant balances remain within the Capital Account. The majority are debit balances and require examination by experienced officials to reach resolution. Apart from distorting the financial position these balances also make it difficult to manage the Capital statement.
3.4Building Maintenance – In this audit the absence of an Asset Register was highlighted.
3.5Housing Stock and Differential Rents – Audit work in both these areas will be undertaken as proposed in the Strategic Plan for 2006-2009 period as a result of the weaknesses identified during the audit carried out under the previous Strategic Plan.
3.6Public Lights – This audit noted that there was no clear procedure for taking lights in charge. Since then high level meetings have taken place at a national level but nothing has changed on the ground. It is also noted that dealing with ESB for provision of new lights has become very difficult.
4.Checking General
4.1Motor Tax
A revised checking programme was agreed with the authorised officer in 2006 and checking of cancelled documents, quarterly stocktakes and returns was carried out during the year. No major discrepancies were detected.
4.2Revenue Collectors
Checking of the revenue collectors returns take place on a weekly basis, and the revenue collectors are summoned on a 3 monthly basis to examine lodgement books and manual receipts. Some minor inconsistencies detected were noted and resolved.
4.3Finance Section Cash Office
Receipts and lodgements have been checked to end of 2006. Originals of cancelled receipts were not always present but suitable explanations were given in these cases. These explanations are now required in written form. The Supervisor in charge has addressed all issues raised during the year.
4.4Planning Cash Office
Receipts and lodgements have been checked to end of year. Our recommended procedure for monitoring cancelled receipts was put in place in August 2006.
The matter of monies being held pending validation of planning applications was investigated in September 2006 and a detailed report sent to the Planning Section. New procedures were put in place for the holding of application fees.
4.5Manual Receipt Books
An examination was carried out on the allocation of manual receipt books by the Finance Section. It was found that 3 books of receipts (150 receipts) were unaccounted for. Despite investigation by the Finance Section these receipts have not been located.
4.6Landfill Checking
Daily checking of the returns from both Silliott Hill and Athy Civic Amenity Centre is undertaken. Problems regarding credit card payments and end of day closing routines at Silliott Hill were investigated during the year and have now been resolved.
4.7Naas Town Council
Checking of the Cash Office and parking fees at Naas Town Council have been carried out on a regular basis and no significant problems have been detected.
4.8Athy Town Council
Checking of the Cash Office and parking fees collected by Athy Town Council have been carried out during the year and any problems have been satisfactory resolved.
4.9Newbridge Parking.
Fees collected through disc parking were spot checked on a regular basis during the year and found to be in order.
However it was found that the pay over of parking fines collected by Parkrite on our behalf was not being examined and credit card payments were being held by Parkrite rather than paid over to the Council. The Roads Section is devising a system to monitor these payments and have made arrangements to have credit card payments paid directly to the Council account.
4.10Burial Grounds
Regular checking has been carried out in this area. Issues raised by the caretakers during our visits have been referred to the Environment Section for attention.
In some cases checking is difficult due to the caretakers/registrars inability to keep proper records.
4.11Public conveniences
Public conveniences known as superloos are located in Athy, Naas, Newbridge and Kildare. Lodgements for these facilities have been checked through Agresso but it has not been possible to certify the monies collected, because there are no readings for their use.
4.12Miscellaneous
The following locations were checked during the year and no problems detected:
a)Newbridge Sports Centre.
b) Naas Pool.
c)Athy Pool.
d)Naas Library
e)Newbridge Library and Headquarters
f)Halting Sites.
g)Central Fire Station.
h)Kill weighbridge.
i)Monasterevin Hall – Not checked during 2006.
j)Compost bin sales – Any money collected by Kildare County Council Staff was lodged through the Cash Office in 2006.
4.13Summary on Checking Outturn
Overall I am satisfied that the checking carried out is effective and helps to avoid or detect problems at an early stage. Regarding collection of accounts the circle should be closed with statement of accounts issuing to the payees. This happens in connection with commercial rates, water and refuse and I am assured that it will extend to loans and rents in 2007.
5.Staffing
A complement of 5 staff is assigned to Internal Audit. During 2006 the actual complement of personnel was reduced due to sick leave and resignations and the section operated at an average level of 3½ whole time equivalent staff. At the moment in 2007 the full staff complement is in place.
6.Training, Staff Development and Conferences
During 2006 the following training took place:
- Advanced Excel Course – Ms L Sex
- Business Writing to Impress Course (Kildare County Enterprise Board) – Ms A Dooley, Ms B Keane, Ms Y Allen and Ms L Sex
- I.I.A. Annual Conference – Mr M Bermingham
Arrangements were also entered into with the approval of the County Manager for Mr M Bermingham to undertake P.I.I.A. Certificate Course with I.I.A. under the tutelage of PricewaterhouseCooper. This course has commenced in 2007.
7.Conclusion
I wish to express my appreciation of the courtesy and consideration shown to me and my staff while conducting audits and carrying out checking.
Internal Audit Annual Report 2006
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