TB097

University Audit Committee Update

Purpose:Toinform Board of outcome from recent AuditCommittee

Recommendation:Note a formal response from the board

Summary:Audit Committee have agreed actions that have implications for the Union

Financial impact:Unknown

Student impact:Unknown

Risk:Potential misunderstanding of role of Students’ Union

ContactCaroline Bates, Union Development Manager

Introduction

We received minutes on 30th June of the university’s Audit Committee dated 19th June. The following notes were included:

Students’ Union

In accordance with the agreed action plan, the Committee had received the

nine months accounts to 31st April 2014 and it was noted that the report had

been considered and accepted by Finance and General Purposes Committee.

The Committee had also received a budget forecast for 2014-15 and a proposal

for a new staffing structure within the Students’ Union. This included copies of

the application packs for the posts of part-time Advice Worker and full-time

Student Activities and Engagement Coordinator.

Members shared the concerns expressed by the members of Finance and

General Purposes Committee regarding the investment of the predicted surplus

in increased staffing costs. Members recognised the risk that this strategy

presented to the long term financial viability of the Students’ Union but

accepted that the University was required to maintain an arms-length

relationship in terms of management decisions and governance.

In recognition of those concerns, members proposed that an Internal Audit of

the University’s relationship with the Students’ Union be undertaken early in the

next academic year. It was suggested that the scope of the review should

include an evaluation of the roles of the new post-holders and the elected

sabbatical officers. The purpose of the review would be to examine how these

roles operated in relation to the professional student support services provided

by the University in order to determine whether value for money was being

achieved in terms of the block grant allocation. It was agreed that the Chair

and University Secretary would provide a detailed scope for the audit to the

Internal Auditors and that the review would be incorporated in the Internal Audit

Plan for 2014-15.

Points to Consider

  1. Advise that we cautiouslywelcome audit asitcouldbe a great opportunity
  2. Consideration needs to be given to who conductsaudit: someone who understands SU’s and their role who is also valued by the University
  1. Is there any misunderstanding of what SU’s are about, in particular the necessity for independence and autonomy?
  1. Are university overplaying their regulatory role?
  1. Board needs to recognise the importance of autonomy: how do you want to clarify this?
  1. Agree with the University a Relationship Agreement and “CODE OF PRACTICE Education Act 1994 Section 22: Requirements to be observed in relation to Students’ Unions”
  1. Relationships with the institution are a key part of good governance and this can be included in our post NUS diagnostic support package as a starting point

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