## 

# Bishopthorpe Infant School City Of York Council Internal Audit Report 2015/16

 Business Unit: Primary Schools: Headteacher: Miss J Langley 
Date Issued: 9th May 2016 
Status: Final 
Reference: 15603/003 

## Summary And Overall Conclusions Introduction

The audit was carried out on Tuesday 8th and Wednesday 9th March as part of the Internal Audit plan for Children's Services, Education and Skills  for 2015/16. Schools are audited in accordance with a detailed risk assessment. 

Objectives and Scope of the Audit The purpose of this audit was to provide advice to the Governors, Head Teacher and the Authority's Section 151 Officer about the financial management procedures and assurance that internal controls of the school are operating effectively to manage key risks, both financial and otherwise. The audit covered the following areas in accordance with the specification issued on 21st January 2016 : - 
Governance and Financial Management 

- 
Payroll and Staff Costs 
- 
System Reconciliation 
- 
School Meals 
- 
Banking Arrangements 
- 
Pupil Numbers 
- 
Contracts, Purchasing and Authorisation 
- 
School Fund 
- 
Income 
- 
Data Protection and Information technology 
- 
Capital and Property 
- 
Insurance and Risk Management 
- 
Extended Schools Provision 
- 
Inventories 
- 
Human Resources 
- 
Safeguarding 
 

## Key Findings

Systems within the school are operating well. The school has faced challenges this year with the implementation of the new CYC finance system and significant effort has been put into working around these to ensure that the finances are well managed even when it was not possible to undertake all the standard financial procedures. The findings in the report relate to Safer Recruitment training, Free Meals for staff and the publication scheme. 

Overall Conclusions It was found that the arrangements for managing risk were very good. An effective control environment appears to be in operation. Our overall opinion of the controls within the system at the time of the audit was that they provided High Assurance. 

## 1 Human Resources

| Issue/Control Weakness                                 | Risk                                            |
|--------------------------------------------------------|-------------------------------------------------|
| The Head has not undertaken safer recruitment training | Safer recruitment practices may not be followed |

## Findings

The Head has not yet undertaken safer recruitment training due to a lack of availability. Safer recruitment training is important to help ensure that inappropriate persons are not employed.  

## Recommendation

The Head should undertake safer recruitment training as soon as possible 

Agreed Action 1.1 
Agreed 
Priority 
3 
Responsible Officer 
Head 
Timescale 
30.6.16 
 

## 2 School Meals

Issue/Control Weakness 
Risk 

Some members of staff receive free school meals. As this is not universal provision this may be classed as a benefit in kind and have tax implications as well as the provision having a financial cost for the school. 

## Findings

The school currently allows free school meals for some MSA's. The provision of a free school meal to staff is not  a contractual requirement, has an impact on the budget and may have tax implications. 

## Recommendation

Governors should consider whether they should continue to provide free school meals to some staff and the cost implications o f doing so. HR should be contacted to ensure any tax implications are correctly addressed for any staff receiving benefits in kind. 

Agreed Action 2.1 
Agreed 
Priority 
3 
The school may be incurring unnecessary expenses 
Responsible Officer 
Head, BM, CoG 
Timescale 
September 2016 
 

## 3 Data Protection Issue/Control Weakness Risk

| The publication scheme adopted by the school has not been subject to review.    |
|---------------------------------------------------------------------------------|
| under the Data Protection Act (DPA), Environmental                              |
| Regulations (EIR) and Freedom of Information Act (FOIA)                         |
| and statutory requirements may be breached.                                     |

## Findings

Although the school has adopted the Information Commissioners model publication scheme, it is now due for review  

## Recommendation

The latest Information Commissioners Model Publication Scheme for Schools including the guide to information can be obtained from the ICO website. The scheme should be adopted in full, unedited and promoted alongside the guide to information. The approved Publication Scheme and guide to information schedule should be made available to parents eg published on the schools website. 

Agreed Action 3.1 
Agreed 
Priority 
3 
Responsible Officer 
Head, CoG 
Timescale 
30.4.16 
 

## Audit Opinions And Priorities For Actions

Audit Opinions Audit work is based on sampling transactions to test the operation of systems. It cannot guarantee the elimination of fraud or error. Our opinion is based on the risks we identify at the time of the audit. Our overall audit opinion is based on 5 grades of opinion, as set out below. 

Opinion Assessment of internal control 

| High Assurance                                                                                               |
|--------------------------------------------------------------------------------------------------------------|
|                                                                                                              |
| Substantial                                                                                                  |
| Assurance                                                                                                    |
| Overall, good management of risk with few weaknesses identified.  An effective control environment is in     |
| operation but there is scope for further improvement in the areas identified.                                |
|                                                                                                              |
| Reasonable                                                                                                   |
| Assurance                                                                                                    |
| Overall, satisfactory management of risk with a number of weaknesses identified.  An acceptable control      |
| environment is in operation but there are a number of improvements that could be made.                       |
| Limited Assurance                                                                                            |
| Overall, poor management of risk with significant control weaknesses in key areas and major                  |
| improvements required before an effective control environment will be in operation.                          |
| No Assurance                                                                                                 |
| Overall, there is a fundamental failure in control and risks are not being effectively managed.  A number of |
| key areas require substantial improvement to protect the system from error and abuse.                        |
|                                                                                                              |

 

## Priorities For Actions

Priority 1 
A fundamental system weakness, which presents unacceptable risk to the system objectives and requires urgent attention by management. 
Priority 2 
A significant system weakness, whose impact or frequency presents risks to the system objectives, which needs to be addressed by management. 
Priority 3 
The system objectives are not exposed to significant risk, but the issue merits attention by management. 

Where information resulting from audit work is made public or is provided to a third party by the client or by Veritau then this must be done on the understanding that any third party will rely on the information at its own risk.  Veritau will not owe a duty of care or assume any responsibility towards anyone other than the client in relation to the information supplied. Equally, no third party may assert any rights or bring any claims against Veritau in connection with the information. Where information is provided to a named third party, the third party will keep the information confidential.