Issue - meetings

To receive and consider the report of the Director of Finance.

Louise Mattinson, Director of Finance presented the report which presents the audited Statement of Accounts for 2021/22 for approval, subject to the final pieces of work to be undertaken by Grant Thornton.

Members were advised that if any material adjustments were identified between now and the conclusion of the sign off, then the Governance Committee would need to reconvene to approve the accounts.  Since the publication of the Statement of Accounts work has continued and three adjustments have been identified for consideration as follows;

1.    Land and buildings valuation (in relation to Whittle GP Surgery) – The valuation of land and buildings produced a differing value in the accounts and the valuation by £82k. This has not been adjusted as it is considered minor in nature and immaterial. This unadjusted misstatement will be amended in the Letter of Representation which is provided to the Committee for signature by the Director of Finance and the Chair of the Governance Committee, as well as the final version of the Audit Findings Report from Grant Thornton.

2.    Heritage assets (in relation to Astley Hall) – there was an insurance valuation of £2.9m but the Council also undertook a professional valuation. The Code of Practice allows the authority to value those assets by any method considered appropriate and relevant. Grant Thornton are content with the council’s approach of using the professional valuation. This creates a slight variation between the carrying value of assets in the Statutory Accounts and the professional valuation of £642k, therefore the figures in the accounts need uplifting by £642k. The council proposes to include this adjustment in the Statement of Accounts.

3.    Plant at leisure centres – double counting of some plant at one of the leisure centres has led to the need to adjust an overstatement in the accounts to the value of £2.2m. Although this is not a significant change (more about the presentation of the figures in the accounts), it is considered a material adjustment and therefore the council proposes to include this adjustment.

The recommendations remained to approve the audited Statement of Accounts subject to the amendments above; two are considered material and therefore will be adjusted and one has not been actioned in the accounts as it is not material to the accounts.

The Committee noted a rounding error in the draft Statement of Accounts which would be amended in the final version. Members also discussed the lease in relation to Logistics House.

Resolved -

1.          To approve the audited Statement of Accounts for 2021/22 (Appendix A), subject to any amendments which, in the opinion of the Director of Finance (Section 151 Officer), are minor in nature, i.e. defined as non-material to the financial position of the council;

2.          To delegate authority to the Director of Finance, in consultation with the Chair of Governance Committee, to make such amendments;

3.          If the Director of Finance is of the opinion that any such amendments are material to the financial position of the council, to reconvene  ...  view the full minutes text for item 27