SECTION 151 OFFICER

1. Advising on corporate risk profiling and management, including safeguarding assets, risk avoidance and   insurance.
2. Advising on effective systems of internal control.
3. Ensuring there is an effective system of internal financial control, including signing the authority’s published statement on internal financial control in line with the SORP.
4. Ensuring that financial management arrangements are sound and effective.
5. Ensuring a prudential financial framework is in place, including ensuring that budget calculations are robust and reserves adequate.
6. Ensuring that any partnership arrangements (or other innovative structures for service delivery) are underpinned by clear and well-documented internal financial controls.
7. Securing effective arrangements for prudential borrowing, treasury management, pensions and trust funds, including ensuring compliance with Copra’s Code on a Prudential Framework for Local Authority Capital Finance and CIPFA’s Code of Practice for Treasury Management.
8. Ensuring there is an effective internal audit function and assisting management in providing effective arrangements for financial scrutiny.
9. Advising on anti-fraud and anti-corruption strategies and measures.
10. Securing effective systems of financial administration.
11. Ensuring that statutory and other accounts and associated claims and returns in respect of grant are prepared, including certifying that the annual statement of accounts presents fairly the financial position and transactions of the authority.

Financial Management Standards

• Section 151 of the Local Government Act 1972 requires the Authority to appoint a suitably qualified officer responsible for the proper administration of its financial affairs. 
• A legal duty to submit a section 114 report on unlawful expenditure, a loss or deficiency or an unlawful item of account as a result of the exercise of executive functions, to the executive, and must send copies of the report to every member of the authority, the external auditor and the mayor.
• Personal responsibility for the stewardship and safeguarding of public money and for demonstrating that high standards of probity exist.
• Duty to report inappropriate financial management as well as wrongdoing.
• Accountable to the Council and the appropriate Accountancy Body through the relevant disciplinary procedures for the maintenance of proper financial standards.
• Accountable to the Council Taxpayer and other residents for the maintenance of proper financial standards.
• Maintaining a continuous review of the Financial Framework and submitting any additions or changes necessary to the Cabinet for Council approval. 

 
Revenue Budget Monitoring

Maintaining systems that will provide financial information to enable budgets to be monitored effectively. 

Producing monthly corporate monitoring information and related advice to Cabinet.

Advising Members and Directors of potential overspending where solutions are not being addressed.

Advising Members Chief Executive, Directors and Business Unit Heads of any other areas of Budget concern.

Virements – Revenue

Consulting with Business Unit Heads on the maintenance and operation of the virement rules.

Treatment of Year End Balances – Revenue

Informing  Business Unit Heads as soon as possible after the completion of the Revenue Outturn for the year of the carry forwards to be actioned.

Capital and Contracts Monitoring

Maintaining systems that will provide financial information to enable budgets to be monitored effectively. 

Producing monthly corporate monitoring information and relevant advice to Cabinet.

Accounting Policies

Complying with the Statement of Recommended Practice.

Recommending accounting policies for approval by the Council.

Ensuring consistent application and awareness across the Council.

Maintenance of Accounting Records

Determining the standards and procedures concerning accounting records for the Authority. 

Consulting and providing advice to Business Unit Heads regarding how records should be maintained and treated.

 
The Annual Statement of Accounts

Preparing and publishing the Authority’s audited accounts in accordance with the SORP for each financial year with the approval of the full Council, within the statutory timescale.

Signing the Statement of Responsibilities for the Statement of Accounts.

Providing accounting guidance for the maintenance of accounts and their closure.

Annually drawing up a detailed timetable for final accounts preparation, approval and audit.

Annually drawing up a Revenue Outturn report for Council summarising the Statement of Accounts and informing Members of the implications of the results.

Performance Plans

Assist in supplying and advising on the financial information required for performance plans in accordance with statutory requirements and agreed timetables.

Contributing to the development of corporate and service targets, and objectives and performance information.

Monitoring the overall financial performance of the Authority.

Producing the timetable for the production of budgets.

Financial Strategy

Developing a multi-year Financial Strategy covering at least the forthcoming three financial years for approval.

Advising on the maintenance of the Financial Strategy.

Monitoring compliance with the Financial Strategy across the Council and making appropriate recommendations.

To report to Council prior to the commencement of each financial year on the robustness of estimates and the adequacy of reserves.

Resource Allocation – Revenue

Within the guidelines, and any annual parameters set by the Cabinet, produce and update the resource allocation model and administer the resource allocation framework.  A timetable matching resource allocation to the budget and service planning process will be included with the guidelines.

Advising, Cabinet, Directors’ Management Team, and Business Unit Heads of different bases of resource allocation.

Resource Allocation – Capital

Preparing a resource allocation method in consultation with Chief Executive, Directors, Business Unit Heads and other relevant Officers.

Advising on the maintenance of the resource allocation method.

Monitoring compliance with the resource allocation method and making appropriate recommendations.

Developing a minimum of a three year Capital Programme, taking account of significant projects beyond this timeframe.

Monitoring the robustness and affordability of business cases, and endorsing capital proposals.

Preparing a Capital Strategy as part of a combined Capital Strategy and Corporate Asset Management Plan.

Budget Format

Recommending the formats in consultation with users.

Ensuring consistency of approach.

Ensuring the inclusion of a statement dealing with the robustness of the budget estimates.

Revenue Budget Preparation

Ensuring that a 3-year revenue budget is prepared on an annual basis for consideration by the Cabinet, before submission to the Council. 

Produce a timetable for budget preparation that will match with resource allocation and Service Plan preparation.

Preparing detailed budget preparation guidance.

Capital Expenditure

Ensure all capital expenditure proposals are considered by Cabinet.

In consultation with  Business Unit Heads prepare and issue advice/instructions regarding the treatment of capital expenditure

Maintaining the Prudential Indicators against those approved by Council.

Capital Funding Sources

Certify bids for capital grants.

Provide advice and support for identification of and application for funding sources.

Fees & Charges

Assisting in the development and improvement of the Fees and Charges Strategy.

External Funding

Sign all bids, subject to receipt of robust business case

Reserves

Maintaining and operating the Borrow & Invest to Save Scheme.
Advising the Cabinet and/or the Council on prudent levels of the General Fund Balance, and the Housing Revenue Account balance. 

Advising the Cabinet and/or the Council on levels and utilisation of reserves.  The budget report to the Cabinet will include a statement showing the estimated opening general reserve fund balance for the year ahead, the addition to/withdrawal from balances, and the estimated end of year balance.  Reference should be made to the extent to which such reserves are to be used to finance recurrent expenditure

Maintaining and reviewing the adequacy of the General Fund balance with regard to the strategic, operational and financial risks, in conjunction with the medium term financial plan.

Setting clear rules for the establishment and use of reserves, by considering the underlying budget assumptions and financial management arrangements of the authority.

Consideration during the preparation of the annual budget:
• The level of reserves needed for estimating future expenditure
• The establishment and maintenance of reserves

Managing the Local Improvement Fund.

Reviewing requests for the creation of appropriate new reserves.

Borrow to Invest to Save

Deal with application in accordance with the scheme regulations.

Determine the annual amount available for the scheme.

Make all the relevant accounting entries to give effect to approved schemes.

Fix the interest rate applicable each year.

 
External Financial Audit

Liaising with external auditors to enable them to undertake their duties.

Advising the External Auditor of the timetable for final accounts and ensuring that they are given reasonable access in order for them to complete their duties.

Monitoring the implementation of External Audit recommendations with regards to any financial issues.

Referring any non-financial External Audit recommendations to Directors’ Management Team for assignment to a responsible officer for action.

Inventories

In consultation with  Business Unit Heads setting basic standards of records and processes.

Security of Assets

Ensure that an asset register is maintained in accordance with good practice.

Advise Business Unit Heads on matters of security.

In consultation with  Business Unit Heads produce detailed guidance for acquiring assets.

Ensure suitable insurance cover is arranged in consultation with Business Unit Heads. Should this be the HOLCG in light of insurance and risk management transferring Business Units?

Stocks

Preparing and monitoring the procedures which govern the maintenance of stocks within the Authority.

Inspection and verifying the various stocks of the Authority via the Internal Audit function.

Dealing with reported discrepancies in the appropriate manner.

Asset Disposal

Preparing the Asset Disposal Procedures.

Advising on best practice for the disposal of assets and on the appropriate accounting entries.

 
Treasury Management

Responsibility for the execution and administration of treasury management decisions.

All executive decisions on borrowing, investment or financing (including leasing) are delegated to the Section 151 Officer who will act in accordance with the Council’s agreed Treasury Management Strategy.

Acting as the Council’s registrar of stocks, bonds, mortgages, and to maintain records of all borrowing by the Council.

Reporting the proposed Treasury Management Strategy for the coming financial year to the Cabinet, including as a minimum, an annual strategy and plan.

Reporting on the performance of the Treasury Management operation to the Cabinet. 

Responsibility for ensuring compliance with the Prudential Code Indicators set as part of the Treasury Management Strategy.

Submitting changes to the Prudential Code Indicators to Full Council for approval.

Monitoring the interest rate market and reporting any decisions on borrowing strategy to Cabinet, at the next available opportunity.

Reporting to Cabinet any debt rescheduling activity at the next available opportunity.
Reporting to the monitoring of Prudential Indicators.

Grant Claims and Bids

Signing all bids and claims for which the Council is the Accountable Body or has a financial interest.

Arranging processes ensuring that appropriate grant deadlines are met.

 Ensuring that grant records have been kept in accordance with proper practices and are up to date.

Staffing

Providing proper training in financial procedures and management.

Setting out the standards expected from staff dealing with financial matters.

Promoting and encouraging a basic level of financial awareness amongst all staff.

 
Information Systems

Operation of the Authority’s accounting systems, the form of accounts and the supporting financial records.

Approve any changes to the existing financial systems or the establishment of new financial systems.

Income

Agree arrangements for the collection of all income due to the Council and approve the procedures, systems and documentation for its collection.

Ordering and supplying Services with all receipt forms, books or tickets and similar items and approving the arrangements for their control.

Recommending a framework for charging policies of the Council.

Payments to Employees & Members

The payment of all salaries, wages, pensions, compensation, other emoluments, travel and subsistence and financial loss allowances to all Members of the Council, Officers, and former Officers except where provided externally after competitive tender.

Recording and controlling tax, pension and other deductions.

Provide advice on and secure the payments by the most economical means.

Ordering/Paying for Goods

Approve the format of official orders, and associated terms and conditions.

Make payments on the  Business Unit Head’s certification that the expenditure has been properly incurred.

Making payments, whether or not provision exists within the estimates, where the payment is specifically required by statute or is made under a court order, or as advised by the Head of Law and Corporate Governance.

Make payments to contractors on the certificate of the appropriate Business Unit Head.

Provide advice on and make payments by the most economical means.

 
Banking Arrangements & Cheques

All arrangements with the Council’s bankers.

Authorised to open any account deemed necessary.

Approval of relevant stationery.

Arranging safe custody of stationery.

Ensuring reconciliation of Council’s Bank Accounts.

Petty Cash/Imprest Accounts

Issuing instructions on the operation of petty cash/imprest accounts.

Unofficial Funds

Agreeing to the setting up of all unofficial funds and to issue and update accounting instructions for these funds where necessary.

Claims for Expenses & Allowances

Establishing the arrangements for the reimbursement of expenses incurred in the course of Council business.

Taxation

Provide advice on all taxation issues that affect the Authority.

Complete all Inland Revenue and H.M. Customs and Excise returns.

Provide details to the Inland Revenue regarding Construction Industry Tax Deduction Schemes (CITDS).

Provide sufficient information to Business Unit Heads on the accounting requirements and policies of Customs and Excise and the Inland Revenue to enable this framework to be fully complied with.

Identify the appropriate officers to liaise with the tax authorities.

Trading Accounts

Advise on the establishment and operation of trading accounts.

Write-Offs

Counter sign all write-offs covered by Part IV.

 
Partnerships

Ensure financial arrangements relating to Partnerships, joint ventures etc. are consistent with this Framework and are clearly referenced in any agreement/contract.

Advise on effective controls that will ensure that resources are not wasted.

Advise on the key elements of funding a project.

Establish the accounting arrangements required. 

Work for Third Parties

Issue guidance with regard to the financial aspects of third party contracts and the maintenance of the contract register.