Beyond the AGAR: External Audit Insights for 2024

A Guide to Getting it Right

Oh hey there, fellow local government enthusiasts! 👋 Grab your favourite beverage (mine's a strong coffee with a side of AGAR forms), because we need to talk about everyone's favourite topic: external audits!

I've just finished reading through this year's auditor feedback (so you don't have to), and let me tell you, it's quite the rollercoaster. But fear not! I'm here to break it down into bite-sized pieces that won't make your head spin.

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A huge thank you to the Internal Audit Forum for sharing this invaluable feedback from our external audit colleagues. Your work in collecting and sharing these insights helps us all improve! 🌟

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Public Rights Period: The "30 Days of Summer" Drama 🌞

You know that feeling when you're trying to count 30 working days and suddenly forget if Bank Holidays count? Yeah, me too. Here's the deal:

• It MUST be exactly 30 working days - not 29, not 31, just 30. Like Goldilocks, the auditors want it just right!
• Think of it as a movie premiere - you need to announce it before it starts (and no, announcing it the same day doesn't count)
• Pro tip: Don't just slap that confirmation form on your website and call it a day. The full public rights notice is what your residents need to see

Money Talks: Financial Reporting Without the Headaches 💰

Let's talk about everyone's favourite topic: explaining why you spent more on paperclips this year than last year (I'm kidding... sort of).

• When explaining variances, don't just throw numbers at the wall and hope they stick. Tell the story behind the changes
• Staff costs explanations need to be as clear as your coffee order: "Extra £5,000 because we hired a new clerk assistant at £10/hour for 20 hours/week from October" - See? Easy!
• Grants are like birthdays - you celebrate them (and record them!) when they happen, not when you feel like it

The Independence Day: Internal Audit Edition 🎆

Here's a shocking revelation: your internal auditor isn't supposed to be your AGAR's ghostwriter! I know, wild right? Some key points to remember:

• Internal auditors are like referees - they can't play the game AND make the calls
• Get those engagement letters signed (think of them as love letters to good governance)
• Document their appointment in your minutes (because if it's not in the minutes, did it even happen?)

The AGAR Adventure: Common Pitfalls 🕳️

Let's talk about those pesky boxes that seem designed to trick us:

• Boxes 11(a) and (b) about trust funds are like a puzzle wrapped in a riddle. Remember: if you don't have trust funds, it's "No" then "N/A" - not that hard, yet somehow we keep dancing around it!
• Amendments need initials and dates (like signing your homework, but more official)
• Each year stands alone - your auditor isn't going to play detective with last year's files

The Admin Chronicles: Keeping It Together 📋

Some practical tips to keep your sanity:

• Keep your contact details fresh (because auditor emails in your spam folder are about as useful as a chocolate teapot)
• Only send what's asked for (resist the urge to send your entire filing cabinet)
• If you're running late, just say so! Auditors are people too (shocking, I know)

Looking Ahead: Your Audit Success Toolkit 🔧

Want to be the star pupil next audit season? Here's your checklist:

• Review those Financial Regulations and Standing Orders (yes, they're as exciting as watching paint dry, but they're important!)
• Document everything (if it's not written down, it's just a lovely dream)
• Keep your internal auditor independent (and well-caffeinated)

The Last Word 🎤

Remember, we're all in this together! Audits might seem scarier than a horror movie marathon, but they're really just about showing that we're doing right by our communities. Plus, think of all the stories you'll have for the next clerk's gathering!

Meet Your Auditors: A Field Guide 🔍

Let's take a quick tour of what each audit firm is particularly keen on (because knowing your auditor is half the battle!):

PKF Littlejohn: The Detail Lovers 🔎

• Super focused on those internal auditor objectives (especially L, M, and N - the transparency code stuff)
• They want explanations for ANY 'No' responses (they're curious like that!)
• Really keen on proper variance explanations (numbers alone won't cut it, folks)
• Pro tip: They process files in strict date order, so early birds get the worm!

Mazars and Moore: The Process Perfectionists ⚖️

• They're on a mission to demystify those tricky trust fund boxes (11a and 11b)
• Big fans of properly timed public rights periods
• They want to see your homework on internal auditor independence
• Love a good bank reconciliation (don't we all?)

BDO: The Timing Tacticians ⏰

• Super particular about those public rights dates and timing
• They're keeping tabs on whether you've learned from last year's feedback
• Big on getting approvals in the right order (no time traveling allowed!)
• Extra attention to those internal audit tests being complete

Remember: Each auditor has their own style, but they're all working toward the same goal - helping us maintain good governance and transparency. Think of them as your accountability pen pals!

Stay awesome, keep those records straight, and remember: somewhere out there, an auditor is probably having a worse day than you are! 😉

P.S. If all else fails, there's always chocolate. Chocolate understands.

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