NO PREVIOUS MEETING MINUTES AGAIN.
Oakham Town Council
Rol House, Long Row, Oakham, Rutland, LE15 6LN
01572 723627
enquiries@oakhamtowncouncil.gov.uk
www.oakhamtowncouncil.gov.uk
TO: All members of the Town Council
In accordance with the requirements of the Local government Act 1972, you are hereby
summoned to attend a meeting of Oakham Town Council on Wednesday 22nd February
2023 at 6.30 p.m. The meeting will be held at the offices of the Town Council, Rol House,
Long Row, Oakham, LE15 6LN.
Ben Tassell
Clerk to the Council
NOTICE OF MEETING
Public Notice of the meeting has been given in accordance with schedule 12, Para
10(2) of the Local Government Act 1972. The Meeting is open to the press and
public. Members of the public attending this meeting are advised that it may be
filmed and recorded.
AGENDA
1. APOLOGIES AND REASONS FOR ABSENCE: To receive and approve apologies
for absences.
2. DECLARATION OF MEMBERS’ INTERESTS AND APPLICATIONS FOR
DISPENSATION: Reminder to Members to disclose either a Pecuniary Interest or
Other Interest in any item on the agenda. The clerk cannot advise members on this.
Members are personally responsible for declaring an interest. Members are
respectfully advised to read the Code of Conduct for more information. Councillors are
also responsible for ensuring that their Registers of Interests are up to date (within 28
days of any changes)
3. DEPUTATIONS FROM MEMBERS OF THE PUBLIC: An opportunity for members
of the public to speak in accordance with Standing Orders 1 (d)- 1(i)
4. FULL COUNCIL
4.1 Minutes: To confirm the accuracy of the minutes from the meeting
held on 8th February 2023
5. COUNCILLOR’S QUESTIONS
To answer questions previously notified to the Clerk under Standing Order 9
6. CLERK’S REPORT: To receive information
7. CHAIRMAN’S REPORT: To receive information
8. WORKING GROUPS AND OUTSIDE BODIES
8.1 To receive and consider reports from members, working groups
and outside bodies.
8.2 Events Update attached.
8.3 Christmas Decorators Out of Hours payment.
Report No. Appendix: Agenda Item No. |
|
OAKHAM TOWN COUNCIL |
|
Report Author: Cllr Sally-Anne Wadsworth
|
Subject: Request from the Christmas Decorators
|
|
Claim for Call outs for lighting not due to our Lights.
|
|
Members are being asked to consider requests from:
Unless agreed otherwise with the Council the Callout charge for issues not the responsibility of the contractor are £100 for the first hour plus £40 per subsequent hour per operative. All charges are subject to VAT
In line with the contract, the nominal charge for these call outs would be a minimum £1400 plus VAT calculated as follows:
Number of callouts 7 Number of operatives per call out – minimum of 2 plus a manager
Call-outs times 2 operatives = £1400
Under the circumstances and because you were genuinely not aware that the cause of the problem was outside our control, we would be willing to settle the matter for £700 plus VAT.
|
|
8.4 Hanging Baskets Agenda
The Council provide hanging baskets and flower displays around the Town, this includes supply of displays and watering. This not only helps Oakham be presented as attractive place to visit, it contributes to the OIB competitions in Midland In Bloom.
The contract has now concluded, and the Council should consider if they intend to invite companies to tender for another three-year scheme. It may take the opportunity to review the current offering and reduce or increase the tender.
Proposal:
OTC agree to invited tenders for Hanging Baskets
OTC agree to invite tenders for a waiting contract.
The Council instruct the Clerk to advertise.
The Council instruct the Clerk to approach companies.
Tenders received should be received by a set date and opened by the Clerk and a Councillor.
9. TO CONSIDER CORRESPONDENCE RECEIVED
9.1 London Bridge Updates
Report No. Appendix: Agenda Item No. |
|
OAKHAM TOWN COUNCIL |
|
Report Author: Cllr Sally-Anne Wadsworth
|
Subject: Request from Kate Haworth RCC
|
|
Strategic Aim: Confirm Resources Needed
|
|
Members are being asked to consider requests:
Below is the cost breakdown for the resources purchased on behalf of OTC relating to the Forth Bridge and London Bridge Plans. Official Image of HM The Queen (X1) | | £77 | Official Image of the Duke of Edinburgh (X1) | | £77 | Books of Condolence (X2) | £26.99 | £53.98 | Black Ties (X4) | £4.99 | £19.96 | Black Arm Bands (X12) | £0.59 | £7.08 | Black Collarette (X1) | | £13.65 | | Total | £248.67 |
Going forward, new plans will be produced, and we will need to purchase the Official Images of The King and Queen Consort together with any other items. Currently we have 4 books of condolence, 8 black ties and 10 black arm bands in storage for you. Do you need any more books, ties, or armbands along with a new black collarette?
|
|
9.2 Oakham Bins
The polythene unit, this costs in the region of £380 per bin to purchase and install.
The Glass Fibre Composite Unit, this bin costs in the region of £560 to purchase and install.
10. REPORT FROM THE DCK ACCOUNTING SOLUTIONS
Unit 1 Uffcott Farm I Uffcott I Swindon I Wiltshire I SN4 9NB
Tel: 01793 739110 I www.dckaccountingsolutions.co.uk I admin@dckaccountingsolutions.co.uk
DCK Accounting Solutions Ltd I Registered office as above I Registered in England No. 3832919
REPORT TO OAKHAM
TOWN COUNCIL
10th JANUARY 2023
Report to the members of Oakham Town Council
Prepared by: Melodie Beevers.
Following request to attend the Council offices by Cllr Sally-Anne Wadsworth (Chairman) on 4th
January 2023 to review financial systems in use at the Council and prepare a report with particular
attention to any risks and weaknesses in procedures.
INTRODUCTION
DCK Accounting Solutions Limited were engaged by the council to report on financial operations and
whether these were in accordance with proper practices and whether the council’s financial regulations
and standing orders were being adhered to.
The objective of financial regulations and standing orders is to ensure inter alia that the council has in
place “robust and effective systems of control over expenditure”. This requirement stems from a binding
undertaking given to enable section 150 (1) if the local Government Act 1972 (the two signature rule) to
be repealed and thereby cease to be a statutory requirement. Any significant failure to follow financial
regulations is likely to constitute a breach of this undertaking and is therefore extremely serious.
BACKGROUND
The Councils uses the Rialtas ‘Omega’ accounting package. This program is designed for Town and
Parish councils and is one of the better systems in use by councils. It is considered ‘safe’ as alterations
and amendments are not possible within the software and a full audit trail is provided along with a sound
budget program and good reporting facilities for councils with emphasis on a number of different options
available. The package includes the option to use purchase and sales ledgers, but only the cash book is in
use at the moment. The RFO may like to consider using the purchase ledger facility before too long. The
amount of invoices being processed suggests that it is desirable rather than necessary at this time.
The council is not registered for VAT but VAT on expenditure is claimed through a special arrangement
(a Section 33 claim). The VAT Act 1994 allows Councils that received no income that could be subject
to VAT to reclaim refunds under this special provision without having to register for VAT.
The Clerk is also the RFO and carries out all the financial work and makes the data entries on the Omega
software.
We would perceive this as a weakness and believe the council should review the risks of only one person
being able to use the software.
The council receives very little income of any kind and the only cash used is an occasional withdrawal
for petty cash use. We noted that it is possible that there may be unclaimed VAT on part of the £80.00
worth of Petty Cash payments already incurred and we have advised the clerk to check that all VAT is
included in the next VAT claim.
Reimbursement is made by the council on an ad hoc round sum basis. We suggest that the exact amount
of petty cash expenditure only is re-imbursed on production of receipts and vouchers for inspection.
INTERNAL CONTROL
A proper system of Internal Control is designed to ensure that no one individual is responsible for the
whole chain of authorisation, recording and payment/receipt of any one transaction. An essential element
is therefore that at least two (and preferably more) are involved in the transaction from order through
recording in the accounting records and (eventually) payment of the debt incurred or banking of amounts
due and receivable. In a small council, with limited staff members, this inevitably requires the involvement
of councillors in the chain of responsibility, as quite clearly set out in Financial Regulations
Page 1 of 3
FINANCIAL REGULATIONS
Financial Regulation 6.3 and 6.4 require (between them) that:
All payments …. shall be signed by two members
Financial Regulation 6.14 requires that:
Where internet banking arrangements are made with any bank, the Clerk/RFO shall be appointed as the Service
Administrator. The bank mandate approved by the Council shall identify a number of Councillors who will be
authorised to approve transactions on those accounts.
We note the following as specified within the financial regulations;
1.14 The Council must
Determine and keep under regular review the bank mandate for all Council bank accounts.
It would appear that any review carried out by the Council has not complied with financial regulation 6.3 (see
below)
2.2 Annually, a member other than the Chairman or a cheque signatory shall be appointed to verify bank
reconciliations.
We were unable to verify that this is being carried out.
4.8 The RFO shall provide the Council with a statement of receipts and payments under each head of budgets.
On examining the software set up, we would suggest that this isn’t possible as income is not allocated under a
budget head. We would suggest that either the Financial Regulations are updated or the budget set up is
changed to enable such reporting.
5.1 The council’s banking arrangements, including the bank mandate, shall be made by the RFO and approved
by the Council. They shall be reviewed for safety and efficiency.
In as much as we have not seen a copy of the bank mandate, we are unable to confirm whether this in
accordance with the above extract.
In any event, regulation 6.4 makes it clear that authorisation of payments is by two members. Our
examination of the records during our visit indicate that such authorisation has been by the clerk/RFO and
thus is in direct contravention to the financial regulations.
5.2 requires that “the RFO shall prepare a schedule of payment requiring authorisation, forming part of
the agenda for the meeting”. To be of any effect, this authorisation must, of necessity, precede actual
payment. We note, however, that such schedules are being approved retrospectively and are thus,
meaningless.
ACCOUNTING RECORDS
We took the opportunity to check the accounting records on the Omega Cash Book software. The records
were up to date and our examination of the purchase invoices indicated that they are checked and signed
off by Councillors. We made a few amendments to the VAT records, but nothing that materially affects
the VAT claims and arranged to send the clerk a comprehensive guide to VAT. We were aware that the
clerk is not fully aware of the potential of the Omega software and the various reports that are available
and suggested he contacts us if there is any additional information that councillors would like to review
as it is possible alternative reports could be provided. Some further training on the Omega system is
recommended in order to gain full benefit from the reports available and to obtain a greater understanding
of how to fault find and correct any anomalies.
Page 2 of 3
INTERNAL AUDIT –
The primary responsibility of the Internal Auditor is to critically review, comment on and (where
appropriate) recommend improvement in the council’s governance, procedures and systems. It will be
apparent from the foregoing observations that in the most recent Internal Audit report, there is no mention
of the various issues we have highlighted. Should these issues have been brought to the attention of the
council in earlier reports we would have hoped that he/she would followed up as a matter of urgency. The
council, in its Annual Governance Statement as part of the AGAR certifies that they “have maintained an
effective system of Internal Audit”. This is patently not the case, and we would urge a stringent review of
the areas of work to be undertaken by the Internal Auditor before the 2022/23 Annual Governance
Statement is completed and signed.
Councillors may like to note that there is guidance within Section 4 of the Practioners Guide concerning
required competences when appointing an Internal Auditor.
Our main area of concern is to bring to the Council’s attention that current banking arrangements are such
that payments are being made from the council’s account on the sole signatory of the current Clerk. This
is in direct contravention of the Council’s own Financial Regulations and constitutes a lack of
“robust and effective system of control over expenditure” and should be changed as a matter of
urgency. We believe this may mean it is necessary for the Council to change bankers as it may not
be possible to set up a duel signature electronic process with HSBC.
As RFO, the clerk, we suggest, should be making arrangements to ensure the council follows the
Financial Regulations and updates arrangements for making safe and legal payments with all haste.
Melodie A Beevers
DCK Accounting Solutions Ltd
10th January 2023
Page 3 of 3
11. RCC/OTC MEETINGS
When OTC worked with RCC on the Kilburn Rd Cemetery we had a working group, the Joint Cemetery Committee between RCC and OTC.
As we are becoming more involved with RCC and there are significant issues, for example the Catmose Sports centre, in Oakham that could or should involve OTC
OTC creates a working group or have specified Councillors who will meet with RCC on a regular basis to encourage a better working relationship.
Proposal: OTC approach RCC about this initiative for the New Council of 2023/24 to adopt moving forward.
12. EXEMPT ITEM
To consider the following resolution: “That in view of the confidential nature of the
following agenda item, the press and public be excluded from the meeting, in
accordance with the Public Bodies (Admission to Meetings) Act 1960, section 1
13.STAFFING ISSUES
To discuss staffing
14. DATE AND TIME OF NEXT MEETING: 8th March 2023 @ 6.30pm
NOTES:
a) The meeting is open to the press & public.
b) The Town Council allows a short period of time at meetings of the Full Council
when residents can put questions to the council. At other times, the public are not
able to take part in the proceedings except at the discretion of the Chairman who
may at a convenient time in the transaction of business adjourn the meeting and
suspend standing orders to allow any member of the public to address the meeting
and ask questions requiring answers of a factual nature
c) Mobile phones are to be turned off during the meeting
