THE REGIONAL MUNICIPALITY OF PEEL

AUDIT SUBCOMMITTEE

M I N U T E S      ASC-2006-1


The Audit Subcommittee met on February 16, 2006, at 8:35 a.m. in the Council Chamber, Regional Administrative Headquarters, 10 Peel Centre Dr., Brampton.

Members Present: N. Iannicca, E. Kolb, G. Miles*, N. Stewart
     
Members Absent:   R. Paterak, due to other municipal business
     
Also Present:   D. Szwarc, Acting Chief Administrative Officer; D. Labrecque, Treasurer and Commissioner of Finance; M. Zamojc, Commissioner of Public Works; J. MacCrae, Acting Commissioner of Housing and Property; S. Hewitt, Director, Business and Information Services, Public Works; B. Wilson, Director, Internal Audit; K. Travers, Associate Partner, KPMG; S. Jurrius, Acting Legislative Co-ordinator, Legislative Services

*see text for arrivals
¨see text for departures


Chaired by Councillor N. Stewart


1. DECLARATIONS OF CONFLICTS OF INTEREST


2. APPROVAL OF AGENDA

RECOMMENDATION ASC-1-2006:

That the agenda for the February 16, 2006 Audit Subcommittee meeting be approved.


3. DELEGATIONS/PRESENTATIONS


4. REPORTS

a) 2005 Status of Management Action Plans - Financial Controls and Practices Review of Victim Services of Peel (VSOP)

Received

Beate Wilson, Director of Internal Audit, provided an update of the 2005 management action plans that Victim Services of Peel (VSOP) committed to implement. Sixty-five per cent of the recommendations have been implemented by VSOP to strengthen its control environment. Action plans for the remaining five recommendations require VSOP Board approval which will be sought at the VSOP Annual General Meeting to be held in June 2006.

Beate Wilson commended Fred Chorley, Executive Director, Victim Services of Peel and his staff for their proactive and positive approach in implementing the recommendations. She further thanked management and staff of the Region of Peel and Peel Regional Police for taking the time in assisting Mr. Chorley with the implementation of some of the recommendations contained in the subject report.

b) Review of Cash Controls

Received

Beate Wilson provided an update on the review of the cash controls at the Region of Peel. The subject report focused on ensuring that adequate controls are in place and are being applied to mitigate the business risk associated with cash handling. The review is conducted on a regular basis and was conducted Region-wide with the exception of Peel Regional Police and the Health Department.

Beate Wilson further stated that the majority of Regional staff in charge of handling petty cash controls have been adequately trained and are aware of their responsibilities. However, Internal Audit staff feels additional training on petty cash handling and revenue collection will be beneficial for all Regional departments.

Beate Wilson commended management in TransHelp, Children's Services, Public Works and Finance for implementing 17 of the 25 recommendations before the subject report was completed. The remaining recommendations are scheduled to be implemented by July 2006. No major issues were identified during the audit process.

Chair Kolb asked why the Health Department and Peel Regional Police were excluded from the review. Beate Wilson explained that Health and Peel Police conduct their own audit of petty cash funds and cash floats. The Business Information Services division of the Health Department audits its cash controls twice per year and have been proactive in ensuring everything is in place. Peel Regional Police has its own Audit Bureau that conducts such audits on a regular basis.

Councillor Miles arrived at 8:45 a.m.

c) 2005 Internal Audit Work Plan Budget vs. Actual Time Report

Received

The Committee was informed that the Internal Audit division was able to substantially accomplish the 2005 work plan committed to by the Director of Internal Audit.

d) Internal Audit Risk Based Work Plan 2006 to 2008

Received

Beate Wilson provided an overview of the risk based Internal Audit work plan for 2006 to 2008. The risk assessment process involves a high level update to the corporate-wide risk assessment work plan on an annual basis. In 2005, Internal Audit worked with all departmental management teams to identify significant changes which have occurred in each program area that would require a change to the previously assigned risk ranking of low, medium or high risk. Where significant changes were noted, the individual risk rankings were adjusted accordingly. In addition, the Peel Regional Police internal audit work plan was reviewed to confirm the projects the Region of Peel Internal Audit division will be conducting on behalf of the Police. Some of the areas Internal Audit will focus on for 2006 are as follows:

Internal Audit staff is looking forward to the successful accomplishment of the work plan. This will assure senior management and the Audit Subcommittee that sound risk management processes are in place and that Regional programs are being managed efficiently, effectively and economically.


5. COMMUNICATIONS


6. SCHEDULE OF FUTURE MEETING

a) Thursday, April 27, 2006
8:30 a.m. - 9:30 a.m.
Regional Council Chamber, 5th Floor
Regional Administrative Headquarters
10 Peel Centre Dr.
Brampton, Ontario

Additional Item Meeting Scheduled

b) Thursday, May 18, 2006
8:30 a.m. - 9:30 a.m.
Regional Council Chamber, 5th Floor
Regional Administrative Headquarters
10 Peel Centre Dr.
Brampton, Ontario


7. OTHER BUSINESS


8. ADJOURNMENT

The meeting adjourned at 8:50 a.m.