THE REGIONAL MUNICIPALITY OF PEEL

AUDIT SUBCOMMITTEE

M I N U T E S      ASC-2007-3


The Audit Subcommittee met on May 3, 2007, at 8:33 a.m. in the Council Chamber, Regional Administrative Headquarters, 10 Peel Centre Dr., Brampton.

Members Present: C. Corbasson, E. Kolb, R. Paterak
     
Members Absent:   G. Miles, due to vacation; R. Whitehead, due to other municipal business
     
Also Present:   D. Szwarc, Chief Administrative Officer; R.K. Gillespie, Commissioner of Corporate Services and Regional Solicitor; D. Labrecque, Treasurer and Commissioner of Finance; K. Ward, Commissioner of Housing and Property, and General Manager, Peel Living; J. Smith, Acting Commissioner of Health; B. Wilson, Director, Internal Audit; Dr. D. Mowat, Medical Officer of Health; K. Travers, Associate Partner, KPMG; C. Thomson, Legislative Specialist, Legislative Services

Chaired by Vice-Chair Councillor C. Corbasson


1. DECLARATIONS OF CONFLICTS OF INTEREST - Nil


2. APPROVAL OF AGENDA

RECOMMENDATION ASC-5-2007:

That the agenda for the May 3, 2007 Audit Subcommittee meeting be approved.


3. DELEGATIONS/PRESENTATIONS

a) Internal Audit Awareness Day
Presentation by Beate Wilson, Director, Internal Audit

Received

The members of the Audit Subcommittee and Beate Wilson, Director, Internal Audit presented prizes to the following winners of the Internal Audit Awareness Day quiz:

Jaswant Munday, People, Information and Technology Department
Nanci Moore, Health Department
Alda Santos, Public Works Department
Meta Giff, Health Department
Loida Sevilla, Social Services Department


4. REPORTS

a) Public Health Performance Measurement Framework Review

Received

b) 2007 Status of Management Action Plans for Peel Regional Police

Received

Chair Kolb advised that members of the Peel Regional Police Services Board noted that the joint Audit Subcommittee for the Region of Peel and Peel Regional Police is working very well.

c) 2007 Status of Management Action Plans

Received

Beate Wilson, Director, Internal Audit noted that this was the fourth year Internal Audit conducted a follow up process on Management Action Plans and that both management and staff are committed to following through on action items.

d) Review of the 10 Peel Expansion Project Governance

Received

Beate Wilson, Director, Internal Audit advised that no major control weaknesses were identified through the review of the 10 Peel Expansion Project Governance and that since the time of printing the report, all six recommendations have been implemented.

Beate Wilson further noted that Internal Audit would be reviewing payments to contractors to ensure compliance with the contract and will be reporting their findings to the Audit Subcommittee in October, 2007.

e) Reappointment of External Auditors

RECOMMENDATION ASC-6-2007:

That Request for Proposal #2002-075P for the External Audit Service contract which was awarded to KPMG LLP for a five year period from 2002 to 2006, inclusive, be extended for three additional years to 2009 at an overall Region of Peel and Peel Housing Corporation audit fee increase of 4.7 per cent in each of the three years for a total of $551,500 excluding GST.

Chair Kolb enquired as to how the 4.7 per cent increase was evaluated and was advised by Dan Labrecque, Treasurer and Commissioner of Finance that the increase was based on estimated volume and inflation growth.


5. COMMUNICATIONS - Nil


6. SCHEDULE OF FUTURE MEETINGS

NEXT MEETING

June 21, 2007
8:30 a.m. - 9:30 a.m.
Regional Administrative Headquarters
Council Chamber, 5th Floor
10 Peel Centre Dr.
Brampton, Ontario


7. OTHER BUSINESS

Additional Item 7 a):

a) Public Sector Accounting Board Requirement Concerning Tangible Capital Assets (Oral)

Received

Chair Kolb inquired if the evaluation of the Regional assets would include those assets that were in place prior to the incorporation of the Region and was advised by the Treasurer and Commissioner of Finance that everything that is currently in place to service the citizens of Peel could be included in the scope, however staff will be working with KPMG to define the scope of the evaluation.

Councillor Paterak inquired whether the Regional corporation would be able to set the threshold with respect to the value of the assets that will be included in the evaluation, so that time is not spent on assets of insignificant value.


The Treasurer and Commissioner of Finance advised that as more information becomes available, updates would be provided to the Audit Subcommittee, including any issues regarding the threshold to be used. He further noted that staff will be organizing consultations with area municipal staff to identify common areas so that the evaluations conducted by the Region and area municipalities interconnect.


8. ADJOURNMENT

The meeting adjourned at 9:09 a.m.