Agenda item

Members received an overview of the Statement of Accounts 2019-2020, following the completion of the external audit.

Officers highlighted that the draft Statement of Accounts was presented to Audit Committee during June 2020 and there had been some changes to the accounts since that date.

Officers went on to explain that Local Authorities were originally required to complete and submit a set of accounts to audit by the15 June, with a requirement to gain Audit Committee approval.  Due to the impact of Covid-19 these dates had been subsequently amended.  It was necessary to amend the final sign off date for the accounts to 15 September 2020, this was still in line with legislation.

It was explained that a new valuation by the Pension Actuary came into effect from 1 April 2020 for the next 3 years, this had taken into account what had been anticipated to be the major impacts of the McCloud Judgement, and as a result Auditors were satisfied.

In terms of the Property Asset Valuations, mentioned by Audit Wales under the previous agenda item, these were based on independent valuations for the City and County of Swansea Local Government Pension Scheme. These valuations were carried out annually, and if required, adjustments would be actioned through the pension accounts, which would then be reflected in the Council’s Statement of Accounts.  The Auditors had highlighted that as a result of valuation reductions they could have an impact on the overall viability and sustainability of the Pension Scheme.  The Director of Finance and Corporate Services stated that there was no concern at the present time, and this would be addressed as part of next year’s audit of the Pension Fund accounts.

Members questioned whether the former Director of Environment and Regeneration was a paid Director of Neath Port Talbot Waste Management Company?  Officers confirmed that the former Director was, but that the current Director of Environment and Regeneration was not a paid Director of Neath Port Talbot Waste Management Company nor Neath Port Talbot Recycling Limited.  It was highlighted that the service provider up until 30 September 2019 was Neath Port Talbot Recycling Limited, but since 1 October 2019 all staff and functions had been transferred and operating directly by the council. Members were also informed that Neath Port Talbot Recycling Limited would be going into liquidation during the next calendar year and that Members would need to consider a way forward in relation to the Waste Management Company.

It was noted that the acronyms listed under the Grant Income Section were not covered in the glossary.  Officers agreed to expand on these in the final version of the accounts. 

Members thanked Audit Wales and officers for the work put in to preparing the accounts and for enabling closure. 

RESOLVED:        1.     That the report be noted.

2.    That approval be granted for the Director of Finance and Corporate Services to amend acronyms in the Statements of the final published version of the accounts; 

3.        That the Letter of Representation, included as Addendum 1 of the circulated report, be approved;

4.        That the final 2019-2020 Statement of Accounts, as included in Addendum 2 of the circulated report, be approved;

5.        That the Chair of the Audit Committee be authorised to provide his electronic signature for the Letter of Representation and the Statement of Accounts.