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HomeMy WebLinkAboutAudit - 2016-12-12AUDIT COMMITTEE MINUTES DECEMBER 12, 2016 CITY OF KITCHENER The Audit Committee met this date commencing at 1:52 p.m. Present: Mayor B. Vrbanovic - Chair Councillors S. Davey, F. Etherington, Y. Fernandes, K. Galloway-Sealock, J. Gazzola, B. loannidis, Z. Janecki, S. Marsh, P. Singh and D. Schnider. Staff: J. Willmer, Chief Administrative Officer D. Chapman, Deputy CAO, Finance & Corporate Services M. May, Deputy CAO, Community Services J. Readman, Interim Executive Director, Infrastructure Services C. Fletcher, Interim Executive Director, Infrastructure Services J. Miller, Executive Director, Office if the CAO R. Hagey, Director, Financial Planning B. Johnson, Director of Accounting, Finance & Corporate Services R. Lebrun, Manager of Accounting, Finance & Corporate Services S. Brisbane, Supervisor, Financial Planning C. Tasker, Internal Auditor D. Saunderson, Committee Administrator 1. FCS -16-177 - EXTERNAL AUDIT PLAN FOR FISCAL 2016 The Committee considered Finance and Corporate Services Department report FCS -16-177, dated December 1, 2016, to which is attached KPMG report titled "City of Kitchener: Audit Planning Report for the year ending December 31, 2016". Ms. S. Brisbane provided an introduction and presented the staff report. Mr. M. Betik, KPMG, was in attendance and presented the external audit report prepared by KPMG. Councillor S. March entered the meeting at this time. On motion by Councillor Y. Fernandes - it was resolved: "That the 2016 External Audit Planning Report prepared by KPMG, attached as Appendix 1 to Finance and Corporate Services report FCS -16-177 dated December 1, 2016, be approved." The Committee recessed at 2:13 p.m. and reconvened at 2:20 p.m. Chaired by Mayor B. Vrbanovic with all members present, except for Councillors P. Singh and B. loannidis. FCS -16-183 - 2017 SERVICE REVIEW & INTERNAL AUDIT WORK PLAN The Committee considered Finance and Corporate Services Department report FCS -16-183, dated December 1, 2013, regarding the Internal Audit work plan and service review prioritization for 2017. Ms. C. Tasker presented the Report. Councillor P. Singh and B. loannidis entered the meeting at this time. On motion by Councillor S. Marsh - it was resolved: "That the 2017 Internal Audit work plan be approved as outlined in Finance and Corporate Services report FCS -16-183 dated December 1, 2016." FCS -16-170 - 4T" QUARTER AUDIT STATUS REPORT The Committee considered Finance and Corporate Services Department report FCS -16-170 dated December 5, 2016, which provides a summary of the Internal Audit activities completed during the 4th quarter of 2016. Ms. C. Tasker presented the Report and responded to questions from the Committee. In response to questions related to the un -controllable stock and the differences identified in the inventory, Ms. Tasker advised that the differences are not significant to warrant concern; AUDIT COMMITTEE MINUTES DECEMBER 12, 2016 - 6 - CITY OF KITCHENER FCS -16-170 - 4T" QUARTER AUDIT STATUS REPORT (CONT'D) rather it is likely challenges within the notification process that created the differences. She further advised Supply Services will be working with Facilities Management, Operations and Kitchener Utilities to improve the controls of this inventory, noting she would provide a follow- up on those improvements. Questions were raised about the possibility of the Welcome Centre location being expanded for use as a possible Community Hub. In response, Mr. M. May advised the Region of Waterloo is currently managing this initiative and information was circulated to Council regarding the work that has already been undertaken. He further advised he could recirculate a copy of that email. FCS -16-188 - 4T" CORPORATE RISK PROFILE The Committee considered Finance and Corporate Services Department report FCS -16-188 dated December 1, 2016, regarding the City's Corporate Risk profile and the work undertaken to complete a corporate risk assessment. Ms. C. Tasker was in attendance and responded to questions from the Committee. ClefDille] 110kiIkhI:IkiII This meeting adjourned at 3:24 p.m. D. Saunderson Committee Administrator