M I N U T E S ASC-2008-3
The Audit Subcommittee met on June 12, 2008, at 8:37 a.m. in the Council Chamber, Regional Administrative Headquarters, 10 Peel Centre Drive, Brampton.
|Members Present:||E. Kolb; G. Miles; R. Paterak; R. Whitehead|
|Members Absent:||C. Corbasson, due to vacation|
|Also Present:||D. Szwarc, Chief Administrative Officer; R.K. Gillespie, Commissioner of Corporate Services and Regional Solicitor; D. Labrecque, Chief Financial Officer; L. Nashman, Commissioner of Employee and Business Services; K. Ward, Commissioner of Human Services and General Manager of Peel Living; M. Zamojc, Commissioner of Environment, Transportation and Planning Services; N. Trim, Director, Corporate Finance; J. MacCrae, Director, Integrated Business Support; G. O’Brecht, Director Residential Operations, Peel Living; B. Wilson, Director, Internal Audit; K. Travers, Associate Partner, KPMG; R. Martin, Committee Clerk|
Chaired by Councillor R. Whitehead
1. DECLARATIONS OF CONFLICT OF INTEREST - Nil
2. APPROVAL OF AGENDA
That the agenda for the June 12, 2008 Audit Subcommittee meeting be approved.
a) Corporate Asset Management
Presentation by Troy Mander, Manager, Corporate Asset Management
Troy Mander, Manager, Corporate Asset Management, provided an overview of how the Region is approaching corporate asset management. Troy Mander noted that the infrastructure base in Peel has become very large and complex to manage as the Region is moving from serving growth to sustaining assets in a state of good-repair. Troy Mander advised that the Corporate Asset Management team will continue to work with area municipalities, Peel Regional Council and staff to develop a long-term view of infrastructure needs along with tax and rate requirements in order to remain sustainable.
Regional Chair Kolb requested that staff classify categories of infrastructure expenditures into groups such as housing, water and wastewater, roads and bridges, buildings and equipment. He noted that this process would assist Regional Council in developing priorities during the budget process. Regional Chair Kolb requested staff report back to a future meeting of the Audit Subcommittee regarding the different categories.
Councillor Paterak asked if Corporate Asset Management staff will be able to provide Regional Council with additional information to assist in decisions regarding future infrastructure expenditures during the budget process. Troy Mander responded that staff will provide Regional Council with a broader understanding of the financial implications of expenditures related to infrastructure. Dan Labrecque, Chief Financial Officer, also responded that the Corporate Asset Management report will include a longer-term strategy, setting standards and policies to look at the life-cycle of infrastructure expenditures rather than just up-front costs. He added that the information will also assist Regional Council when making commitments to infrastructure projects.
Councillor G. Miles arrived at 8:50 a.m.
b) Tangible Capital Asset Accounting Update
Presentation by Norma Trim, Director, Corporate Finance
Norma Trim, Director, Corporate Finance, provided an update on Tangible Capital Asset Accounting at the Region. She advised that the Canadian Institute of Chartered Accountants have issued new accounting rules that require municipal governments to recognize and depreciate fixed assets in their external financial statements starting in 2009. Norma Trim also noted that Regional staff are sharing information with other municipalities through the City Treasurers and that the Request For Quote (RFQ) for a Tangible Capital Assets Accounting (TCAA) system solution would be issued in June. In conclusion, Norma Trim advised that the Region of Peel is progressing towards meeting the 2009 external reporting deadline and that Regional staff would provide a further update at the November 13, 2008 meeting of the Audit Subcommittee.
a) Status of Internal Audit Recommendations
Beate Wilson, Director, Internal Audit, Corporate Services, reported that each year Internal Audit follows up on the status of audit recommendations from previous audit reports. She advised this is the fifth year of this process and once again the implementation rate is good. Beate Wilson noted that this indicates that management and staff are committed to strengthening controls and processes throughout the corporation.
b) Results of the 2007 Audit Effectiveness Surveys
Beate Wilson reported that the results of a survey of ten audit reports show the Internal Audit department is meeting or surpassing the expectations of their clients.
Regional Chair Kolb departed at 9:15 a.m.
c) Audit of Peel Housing Corporation Rental Revenues
Presentation by Jeff MacCrae, Director of Integrated Business Support and Glen O’Brecht, Director, Residential Operations, Peel Living
Jeff MacCrae, Director of Integrated Business Support, Peel Living, presented a review the audit of Peel Living rental revenues. Jeff MacCrae noted that Peel Living clients make rental payments by pre-authorized payments, certified cheques or money orders and with cash at a PACE Credit Union Branch within Peel. He advised that Peel Living is liaising with Corporate Finance to provide clients with additional payment methods such as on-line banking, telephone banking and automatic teller machine (ATM) bill payments. Jeff MacCrae informed that by providing additional payment options to clients, Peel Living anticipates an improvement in customer satisfaction, security and a reduction of administrative costs through improved timelines on deposits. In conclusion, Jeff MacCrae stated that Peel Living staff appreciated the support of the Audit Subcommittee and will report on future progress as required.
Councillor Paterak stated that many Peel Living clients lack the computer skills required to pay bills on-line. In order to improve the level of computer skills of Peel Living clients, Councillor Paterak recommended Peel Living work with staff of local libraries to offer computer classes to clients. Glen O’Brecht, Director, Residential Operations, Peel Living indicated his support for this idea and that he would take it under advisement.
d) Audit of Payroll Timekeeping Applications and Manual Timekeeping Processes
Laura Nashman, Commissioner, Employee and Business Services reported that the audit was helpful and that staff is working through the recommendations in order to consolidate the various timekeeping processes into one.
5. COMMUNICATIONS - Nil
6. IN CAMERA MATTERS - Nil
7. OTHER BUSINESS - Nil
8. NEXT MEETING
October 9, 2008
8:30 a.m. - 9:30 a.m.
Council Chamber, 5th floor
Regional Administrative Headquarters
10 Peel Centre Drive
The meeting adjourned at 9:19 a.m.