Policies & Procedures

Aim

Risk

Method used to Minimise Risk

Person(s)

Responsible

1.   To ensure compliance with Acts of Parliament, Council’s financial regulations and code of conduct.

Including:

Freedom of Information

Data Protection

Child Protection

Protection of vulnerable people

Local government legislation

Equality of opportunity

Racial equality

Disability legislation

Localism Act

Transparency Code for Smaller Authorities

1. Lack of knowledge of regulations and codes.

2. Absence of standing orders

3. Actions by the PC outside its powers as set out by Parliament.

4. Lack of commitment to regulations and procedures.

5. Items purchased without proper tendering procedures, resulting in accusations of commercial favoritism.

6. Payments made without prior approval and

    adequate control.

7. Lack of control of signatories to cheques.

8. VAT not properly accounted for, resulting in over-claims and large demands from HMRC.

9. Members fail to declare interests and participate in inappropriate decision making which has a material impact on Council decisions and public perception of the Council

Ensure that all Members have copies of relevant Acts, Code of Conduct, and Standing Orders.

Provide training where possible.

Ensure that Standing Orders are understood by Members, and reviewed at least once per year.

As at 1 above, but ensure that powers are highlighted or extracted into effective summary.

Regular reference to appropriate regulations in agenda items.

Delegation of responsibilities to individual Members.

Ensure that all Members are aware of regulations re estimates and full tender procedures.

Introduce practice of estimates for all purchases over an agreed figure.

Ensure all payments are approved in Council meetings and recorded in minutes.

Keep cash payments to a minimum, and avoid if possible.

Keep authorised signatories to a minimum but consistent with practicalities.

Ensure appropriate publications held and that RFO has good knowledge of regulations. Provide training where necessary.

All Members to be reminded to abide by the Code of Conduct and the register of interests and to be alert to potential breaches of both.  As far as is possible, the Clerk to ensure the register of interests are complete and up to date.

Chairman

Clerk

Chairman

Clerk

Chairman

Clerk

Chairman

Appointed Member

Clerk

Chairman

Clerk

RFO

Clerk

RFO

RFO

RFO

Clerk

All Members

NKDC

2.   To identify and regularly review the Council’s priorities.

1. Lack of knowledge of setting objectives, setting priorities, and identifying risks to their achievement.

2. Lack of commitment by Members

3. No risk analysis carried out.

4. No steps taken to combat identified risks

All Members to be made aware of need for objectives and identification of risk.

Attend training sessions if practicable.

Add risk assessment to agenda at least quarterly, reviewing particular items, and results against those items.

As at 1 above. Ensure that completion of the risk assessment is given high priority.

As at 2 above.

Clerk

Clerk

All Members

3.   To influence East Lindsey District Council. Lincolnshire County Council and Government organisations and Agencies to fulfil the requirements of the Parish population.

1. Lack of effective lines of communication with other organisations.

2. Lack of effective lines of communication with parishioners.

3. Lack of preparation on subjects requiring influence.

4. Lack of confidence of Members.

Note all communication lines which are essential or beneficial and make information available to all Members.

Establish contacts by name and where possible face-to-face.

Take every opportunity to publicise the role of the Parish Council.  Make full use of ‘The Tower’ newsletter, Village website, Notice Boards and flyers.

Use key issues to raise profile of PC and to test parishioners’ views.

Add social event to occasional meeting. 

Create Annual PC plan and put to parishioners for comment.

Ensure all Members are aware of need for careful research and are guided as to where to obtain relevant information.

As at 1 above.  Experienced Members to assist newcomers to establish essential contacts.  Delegate responsibility for specific contacts to individual Members.

Clerk

Clerk

Chairman

Clerk

All Members

4.  To keep appropriate books of account accurately and up-to-date through out the financial year.

1. Lack of knowledge of accounting requirements

2. Lack of commitment to accounting requirements.

3. Bank charges unnecessarily incurred

4. Inaccuracies in recording amounts and totals in books of account.

5. Inaccuracies and interest losses caused by account transfers.

6. The most beneficial interest terms not being employed.

7. Inadequate control of cash receipts and payments.

8. Books of account not kept up to date/ invoices not posted promptly.

9. Internal controls not in place or not operated.

 10. Payments missed or delayed due

11  Fund raising not properly controlled or not in accordance with regulations.

Ensure all Members are familiar with current financial regulations and include them in the Council’s Standing Orders.

Regularly review Standing Orders.

Appoint separate RFO to ensure another line of responsibility for financial management.

As at 1 above. RFO to produce financial reports at all meetings.

Internal audit reports to be made available to all Members and any recommendations acted upon promptly.

RFO to carry out regular inspection of books of account.

Internal audit to be undertaken periodically during the current financial year.

RFO to ensure that books of account are formatted in such a way that internal controls are included and activated.

Keep number of accounts to a minimum but ensure that any large credit balances are deposited in an interest bearing account.

Ensure that favourable interest rate is obtained in deposit accounts and review against alternatives.

Avoid cash payments and receipts if possible.

Where cash payments and receipts are unavoidable use a properly controlled petty cash account with a set maximum balance.

Regular checks by RFO and internal auditor.

Financial reports at all PC meetings.

As at 8 above.

As at 8 above.

All Members to be aware of need to check regulations before fund-raising activities are commenced and such activities are in accordance with the wishes of residents.

Chairman

RFO

RFO

RFO

All Members

RFO

RFO

RFO/Internal auditor

All Members

5.   To ensure that the annual precept requirement results from an adequate budgetary process; progress against the budget is regularly monitored; and reserves are appropriate.

1. Lack of knowledge of budgetary process, and of Council regulations.

2. Lack of commitment to budgetary process.

3. Inadequate consideration of requirements for annual precept.

4. Calculation not in accordance with Council regulations.

5. Inadequate internal controls with regard to monitoring expenditure.

6. Reserves too low.

Place item on agenda in adequate time before the new financial year to remind Members of budget process and actions required.

Delegate responsibility for managing initial budgetary process to RFO.

As at 1 above

Involve all Members in budgetary process, not solely the RFO/Clerk.

Delegate responsibility for managing initial budgetary process to RFO.

Start consideration of need at least 4 months prior to submission date.

Create annual and 2/3 plans to assist in process.

Checks by RFO and Internal Auditor.

Checks by RFO and Internal Auditor.

Financial and budget progress reports to all PC meetings.

As at 5 above.

Clerk

Chairman

RFO

RFO

6.   To explore all possible sources of income, and ensure that expected income is fully received.

1. Lack of knowledge of possible sources of income e.g. grants.

2. Lack of commitment to pursue possible sources of income.

3. Receipts not banked or not banked promptly.

4. Debts not pursued promptly.

5. VAT claims not made promptly or made incorrectly.

Appoint a Member as Grants Officer to gain experience of all grants available and application procedures.

As at 1.

Regular checks by RFO.

Internal audit checks.

As at 3 above.

Ensure RFO has appropriate and up-to-date VAT official publications.

Regular checks by RFO.

Internal audit checks.

Appointed Member

RFO/Internal Auditor

RFO

7.To ensure that salaries paid to

 employees and amounts paid to

 contractors are paid in line with

 council regulations, and are

 adequately monitored.

1. Inappropriate rate of pay to employees.

2. Tax and NI arrangements not in accordance with regulations.

3. Amounts paid to contractors not in accordance with contract and inadequately monitored.

Ensure employee regulations are available and understood by Clerk.

Checks by RFO.

Internal audit checks.

As at 1 above.

Internal audit checks.

Checks by RFO.

Appoint councillor to monitor contract work carried out.

Chairman

Appointed Member

8.   To ensure that year end accounts are prepared on the correct accounting basis, on time, and supported by an adequate audit trail.

1. Lack of knowledge of Council regulations and procedures.

2. Late or non- submission of annual accounts.

3. Year end accounts not prepared, inaccurate, or not in accordance with Council requirements.

4. Inadequate audit trail from records to final accounts.

Include financial regulations in Standing Orders.

Attend training seminars where available.

Include a time table in Standing Orders.

RFO to monitor progress against timetable and report to PC meetings.

Checks by RFO.

Internal audit checks.

As at 3 above

9.   To identify, value, and maintain all the assets of the Council, and ensure that asset and investment registers are complete, accurate and properly maintained.

1. Lack of knowledge of assets of Parish Council.

2. Assets lost or misappropriated

3. Inadequate or inaccurate valuation of the council’s assets.

4. Asset register not established or inadequately maintained.

Maintain permanent asset register.

Establish who is responsible for security and maintenance of each asset.

Appoint Member responsible for regular monitoring of location and use of assets.

Arrange for periodic review of valuations and arrange for professional valuation where necessary.

Internal audit checks.

Maintain asset register.

RFO

Chairman

Appointed Member

RFO

10     To carry out adequate safety checks on all properties, street furniture and groundwork equipment for which the Council is responsible and that operators of such equipment are suitably trained and protected.

1. Lack of information on properties, buildings and equipment.

2. Lack of knowledge of safety requirements.

3. Lack of commitment to carrying out safety checks.

4. Risk of injury to volunteers operating equipment in the use of equipment

5. Risk of injuries to third parties and third party property.

Ensure that all current legislation and advice is held by Clerk.

Include in asset register all properties and equipment for which Council is responsible.

Ensure that all current legislation and advice is held by Clerk.

Place subject as item on Council meeting agenda at regular intervals.

As at 2 above.

Delegate responsibility for supervision of particular properties/equipment to individual councillors, reporting back to council for any action.

Ensure a proper training programme in the use of groundwork equipment is established, carried out and that records of training are maintained.  Ensure that appropriate Personal Protective Equipment is provided and used. Appoint an individual councillor to be responsible for Health and Safety procedures in use of all groundwork equipment and ensuring adequate insurance cover is in place.

Clerk

Chairman

Appointed Member

11.   To comply with appropriate  legislation regarding disability, racial equality, safeguarding children etc.

1. Lack of knowledge of applicable legislation

2. Lack of public awareness of applicable legislation.

3. Failure to comply with applicable legislation.

Clerk to have all appropriate legislation available.

Review liabilities and responsibilities periodically at Council meetings.

Include, as appropriate, in any public consultations.

Clerk