Minutes of the VSS Audit and Risk Committee
Wednesday 12 January 2022, 14:00pm
Remote – via Zoom
ARC Members Present:
Colm Doran (CD) Chair
Bertha McDougall (BMcD) Board Member
Briege Lafferty (BL) ARC Member
Jonathan McCullough (JMcC) ARC Member
VSS Officers in Attendance:
Margaret Bateson (MB) Chief Executive Officer
Ivor Johnston (IJ) Temporary Head of Corporate Services
David Murray (DM) Acting Finance and Governance Manager
Evelyn Kelly (EK) Acting Finance and Governance Manager
Melissa McCartan (MMcC) Business Support Officer (Minutes)
Others in Attendance:
Stephen Lindsay (SL) Cavanagh Kelly
Susanne Walsh (SW) NIAO
A Apologies
Apologies received from Marie Mathews and Sinead Brown (TEO).
B Minutes of Previous Meeting
The minutes of the previous Audit and Risk Committee meeting held on 13 October 2021 were agreed.
C Action Points
There were no outstanding action points to be discussed.
D Conflict of Interest
All papers were noted by the Committee and no conflicts of interest were declared.
E Accounting Officer Update
E1 CEO/AO Exception Report
MB provided an update on the progress against the business plan. The Committee noted 3 delivery plan targets currently at risk of not being met:
1. RTN - Preliminary and ongoing engagement with the Interim Clinical Director for the RTN and Independent Facilitator is due to take place and VSS is committed to engaging with all stakeholders in a facilitated co-design process when possible, ahead of reconstituting a Partnership Board but is now at risk of non-delivery. The Committee noted a letter was issued to DoH on 10.01.22 to request an update on the current status of RTN.
2. Partnership Agreement - The establishment of a Partnership Agreement has yet to be progressed due to prioritisation in other key areas (by both TEO and VSS). It was highlighted that VSS considers this an urgent priority for Q4 2021/22.
3. PEACE IV Volunteering Programme - This target will not now be achieved due to Covid-19 pressures being faced by VSS funded organisations, as well as the pressures of other new activity such as VSS working groups and new PEACEIV initiatives. Given the small numbers involved, VSS will not be taking any further remedial actions in this area.
The Committee noted that 7 HIA targets relating to ‘Step 2 and 3’ types of interventions will be below estimated ‘business case’ demand and ‘Step 1’ interventions such as Outreach, Welfare and Listening Ear will significantly be over and above the estimated ‘business case’ demand. MB highlighted that overall, HIA will meet its target in terms of survivors supported and that given the service has been in operation for one year, VSS will not be taking any mitigating actions and will be driven by emerging need rather than estimations.
In respect of the delivering on outcomes, the following key points were noted:
- TPDPS: VSS has engaged with key stakeholders to agree draft ToR for an independent Real Time Review, which is due to start imminently. The Committee noted that at November month end, 386 SARs/VPB requests have been received.
- Co-Design (MBI-MLW): Interim business has been approved. Approval of final business case anticipated by end of March 2022.
- Peace IV/Plus: Key concerns raised around Peace Programme timeliness and the issue of gap funding between Peace IV and Peace Plus. Letter issued to TEO on 13.01.22 outlining concerns.
- HIA: MB advised TEO have set up a HIA Agile Programme Board, with regular engagements every two weeks.
MB highlighted VSS has initiated engagement with Business Consultancy Services in preparation of the review of VSS structure in Q4. The Committee noted this will be complemented with a review of the strategic direction of the organisation with Power of Choice.
E2 Progress against Budget
MB advised that the total expenditure reported within the 2021/22 annual accounts is expected to be within the 1.5% underspend tolerance level for funding relating to Troubles/Conflict. It was noted the budget for HIA is currently at risk of underspend outside of the 1.5% tolerance but mitigating actions planned in January 2022 are likely to resolve this.
E3 Strategic Risk Register
The Committee noted updates relating to two risks coming forward, STG51 and STG57, which have been escalated from amber to red risk.
Chair asked MB to provide rationale around STG 51, paragraph 3, to understand the nature of the requests highlighted.
BL noted some points raised within the CEO exception report are not effectively captured within the strategic risk register. MB advised VSS will review the strategic risk register and recalibrate accordingly to ensure it is a true reflection.
It was noted MB met with TEO in December 2021 to highlight the issues and risks discussed. The Committee asked to be kept informed on these matters.
F Quarterly Reports
F1 Quarterly ALB Report
The Committee noted this paper.
F2 Quarterly Assurance Statement
The Committee noted this paper.
F3 Quarterly M&E Report
The Committee noted this paper.
G Internal Audit Update
SL provided an update on Internal Audit. The following key points were noted:
- Fieldwork for TPDPS has been completed, with no significant issues identified.
- VSS have made a request to postpone the final three areas (Needs Based Frameworks, Financial Management and Corporate Governance) of internal audit, due to current staff capacity and pressures.
- SL advised the audit plan has been amended, with a view of completion in June 2022, rather than March 2022.
The Committee confirmed they were content with the revised audit plan on the basis discussed.
H External Audit Update
SW provided an update on External Audit. The following key points were noted:
- NIAO have identified two areas that require further testing in order to get the appropriate level of assurance, therefore, the audit timetable has been extended.
- NIAO are working closely with VSS and have received the requested documentation, which is currently being reviewed.
- SW is hopeful that no further testing will be required, with audit certification anticipated February 2022.
I Standing Agenda Items
I1 2019/20 ARC Self-Assessment Report and Action Plan
The Committee noted this paper.
I2 ARC Training Update and Requirements
The Committee noted this paper.
DM asked Committee members to make VSS aware of any training requirements before end of March 2022.
I3 Audit Recommendations
The Committee noted this paper.
I4 Gifts and Hospitality Update
The Committee noted this paper.
I5 Compliance Update
IJ provided the Committee with an update on the four suspected fraud cases open at the quarter end.
Of the 3 active cases open at the quarter end, two have been referred on to TEO and GFIS, who have subsequently engaged the PSNI in respect of one case. It was noted a Governance Review has been initiated in respect of the third case.
Of the four debtor balances identified at quarter end, it was noted all cases are actively being sought by VSS.
The Committee noted there were no new whistleblowing allegations raised in the quarter and one governance review initiated, in respect of the suspected fraud case mentioned above. There was one assembly question received in the quarter, with a response provided within the timescale.
One FOI request was received during the quarter. The response to the request was released within the required timeframe.
IJ advised two complaints were received by VSS during the quarter, both referring to funded individuals. Neither complaint was upheld.
The Committee noted that were no Ombudsman complaints received in the quarter to 30 December 2021. One Ombudsman complaint was carried forward from the previous quarter. This case remains open with no response yet received.
It was noted incoming calls decreased in Q3 as calls relating to the Troubles Permanent Disablement Payment Scheme reduced during October and November. IJ highlighted the missed call statistics, which showed a noticeable improvement in the quarter.
GDPR Update
A revised Data Sharing Agreement has been agreed and is currently being finalised. This will then be shared with all funded organisations at the earliest opportunity.
I6 Procurement Update
The Committee noted this paper.
I7 Data Protection
Covered in I4.
J Any Other Business
J1 Annual Review of Risk Management Policy
The Committee reviewed this paper and are content.
K Date of Next Meeting
The next VSS Audit and Risk Committee meeting is scheduled to take place on 13 April 2022.