LGA Audit Committee
The primary objective of the LGA Audit Committee Committee is to protect and create value for the Board and its stakeholders.
It will provide advice and recommendations to the Board, contributing to a systematic and disciplined approach to evaluating and improving the effectiveness of financial management, risk management, internal controls and governance processes.
As part of its governance reform agenda, in September 2015 the LGA Board resolved to establish an LGA Audit Committee, in line with best practice principles that have already been adopted by many councils.
LGA Audit Committee Meeting
LGA Audit Committee Meeting Papers
Member councils will need to click on the link above to access the full agenda and minute documents.
Committee: LGA Audit Committee
About the LGA Audit Committee
The Board is delighted to have the following persons as the Committee’s inaugural members:
- Mr Alan Tregilgas (Independent Member appointed for 1 year)
- Ms Yvonne Sneddon (Independent Member appointed for 2 years)
- Ms Rosina Hislop (Independent Member appointed for 3 years) (appointed as Chair at the January LGA Board meeting)
- Mayor David Parkin (LGA Board Member represented appointed for the duration of his current term on the Board)
For further information about the LGA Audit Committee, please contact email@example.com
In the meantime, the following elements summarise some of the better practice approaches encompassed within the Committee’s Charter and Terms of Reference. It is anticipated that these elements will contribute to the success of the Committee over time:
- A majority of the Committee’s members are independent. This brings external, independent review of the LGA’s strategies, systems and processes. The chair of the Committee is an independent member. Independent members are sourced via executive search processes. The Audit Committee’s Terms of Reference provides guidance as to the skills and experience the LGA Board requires its independent members to have.
- Independent members have been appointed on a staggered basis so as continuity is maintained, as well as a degree of renewal.
- The Committee has no delegated powers. All decisions within the scope of the Committee’s role are made by the LGA Board, via recommendations from the Committee.
- There is two way communication between the Committee and the LGA Board. Strategies for communication include:
A copy of the agenda and reports for all Committee meetings are distributed to Board Members and placed on the LGA website subject to confidentiality.
Audit Committee meetings are held in the open, where all Board Members are able to attend and listen to the Committee’s discussions.
Minutes of Audit Committee meetings provide a record of the discussion, as well as the recommendation to the Board. These minutes are presented to the next possible Board meeting for ratification of the recommendations as required.
The Board Member representative on the Committee acts as a conduit of information between the LGA Board and the Committee and the Committee and the LGA Board. As such, the Board Member representative can pass on comments from other Board Members during an Audit Committee meeting, and can debrief the Board on discussions of the Committee when the Committee’s minutes are being considered.
The Chair of the Audit Committee presents a formal report to the Board in October / November of each year detailing the work of the Committee for the year. Following consideration of the report, the Board provides feedback to the Committee regarding its operations and any specific areas of focus for the following year.
- On an annual basis, the Audit Committee meets with representatives from the LGA’s external auditors without management present to receive a briefing regarding relationships with management. Board Members who are present at the meeting during this time are able to remain as an observer(s).
- An annual workshop between the Audit Committee and the Board will be held on a topic of relevance. This workshop provides opportunity for Board Members to share with the independent members of the Audit Committee the Board’s vision and direction. This in turn ensures that the Audit Committee’s discussion on matters during the year are within the context of the Board’s vision.
- A review of the Committee’s effectiveness will be undertaken on an annual basis. The review will gather 360 degree feedback (from the Board, the Committee, and management) about the Audit Committee’s operations. Following the review, an improvement plan will be developed and implemented during the ensuing year.