Agenda item

(Service Director – Commercial & Regulatory) To consider the attached report (AGC-009-2019/20).

The Chief Internal Auditor introduced a report on Risk Management within the Council.

The Chief Internal Auditor stated that the views of the Committee were being sought as to whether there were any new or emerging risks that had not been included on the current Corporate Risk Register, or whether there were any changes to the existing risks that should be considered. The views of the Committee would be considered at the next meeting of the Officer Risk Management Group.

The Chief Internal Auditor informed the Committee that the current format of the Corporate Risk Register was based on an established model and was understood by Officers and Members. However, a new Risk Register template was being trialled with Service Directors based on best practice, which had a number of advantages including the better articulation of risks using an ‘if-then’ format and the use of colour coding to focus attention on the highest risks. The Committee was being requested to endorse the future use of this new format for the Corporate Risk Register.

The Chief Internal Auditor highlighted that it was best practice for the review of the Corporate Risk Register and subsequent recommendation of amendments to the Cabinet to be undertaken by this Committee, and not the Finance & Performance Management Cabinet Committee as at present. The views of the Chairmen of both Committees had been sought and they had concurred with this proposal. If the Committee was in agreement with this proposal, then a report would be submitted to the next meeting of the Constitution Working Group on 12 March 2020 prior to obtaining the approval of the Council. It was intended for the Audit & Governance Committee to review the Corporate Risk Register on a quarterly basis, with further in-depth reviews of individual risks.

The Chairman stated that Climate Change had been highlighted as the number one priority at Council, but it was not included in the Corporate Risk Register. The Council’s impact on Climate Change within the District should be given some consideration. In addition, the Local Plan was due to be adopted nine years after its original implementation date, and the Council should be asking how it could prevent this situation happening again.

Councillor Hadley asked why the Transformation Programme had been removed from the Corporate Risk Register? The Chief Internal Auditor responded that the Transformation Programme had been a huge risk when it had started, but had now been broken down into different areas such as the People Strategy and the Accommodation Strategy. Consequently, the risks were now being dealt with at an operational level and the corporate level risk had been removed.

Councillor Hadley also pointed out that there was no corporate risk in relation to the establishment of the new group company, Qualis. However, the Chief Internal Auditor reassured the Committee that the risk register for the establishment of the new group company would be considered at the next meeting of the Risk Management Group.

            Resolved:

            (1)        That the Officer Risk Management Group be requested to consider             Climate Change and the establishment of the new Group Company, Qualis,             as new or emerging risks for inclusion on the Corporate Risk Register;

(2)        That the proposal to enhance the Committee’s Risk Management responsibilities be recommended to the Council for approval, following consideration of the issue by the Constitution Working Group; and

(3)        That the proposal to revise the format of the Corporate Risk Register be endorsed.