Certificate of Exemption – AGAR 2019/20 Part 2

To be completed by smaller authorities where the higher of gross income or gross expenditure did not exceed £25,000 in the year of account ended 31 March 2020, and that wish to certify themselves as exempt from a limited assurance review  under Section 9 of the Local Audit (Smaller Authorities) Regulations 2015

There is no requirement to have a limited assurance review or to submit an Annual Governance and Accountability Return to the external auditor, provided that the authority has certified itself as exempt at a meeting of the authority after 31 March 2020 and a completed Certificate of Exemption is submitted no later than 30 June 2020 notifying the external auditor.

Gittisham Parish Council

certifies that during the financial year 2019/20, the higher of the authority’s total gross income for the year or total gross annual expenditure, for the year did not exceed £25,000

£20,602

£23,175

Total annual gross income for the authority 2019/20:

Total annual gross expenditure for the authority 2019/20:

There are certain circumstances in which an authority will be unable to certify itself as exempt, so that a limited  assurance review will still be required. If an authority is unable to confirm the statements below then it  cannot certify itself as exempt and it must submit the completed Annual Governance and Accountability Return Part 3 to the external auditor to undertake a limited assurance review for which a fee of £200 +VAT will be payable.

By signing this Certificate of Exemption you are confirming that:

• The authority was in existence on 1st April 2016
• In relation to the preceding financial year (2018/19), the external auditor has not:
• issued a public interest report in respect of the authority or any entity connected with it
• made a statutory recommendation to the authority, relating to the authority or any entity connected with it
• issued an advisory notice under paragraph 1(1) of Schedule 8 to the Local Audit and Accountability Act 2014 (“the Act”), and has not withdrawn the notice
• commenced judicial review proceedings under section 31(1) of the Act
• made an application under section 28(1) of the Act for a declaration that an item of account is unlawful,  and the application has not been withdrawn nor has the court refused to make the declaration
• The court has not declared an item of account unlawful after a person made an appeal under section 28(3) of the Act.

If you are able to confirm that the above statements apply and that the authority neither received gross income, nor incurred gross expenditure, exceeding £25,000, then the Certificate of Exemption can be signed and a copy submitted to the external auditor either by email or by post (not both).

The Annual Internal Audit Report, Annual Governance Statement, Accounting Statements, an analysis of  variances and the bank reconciliation plus the information required by Regulation 15 (2), Accounts and Audit Regulations 2015 including the period for the exercise of public rights still need to be fully completed and, along with a copy of this certificate, published on a public website* before 1 July 2020. By signing this certificate you are also confirming that you are aware of this requirement.

03/06/2020

30/06/2020

42/20

Signed by Chairman

30/06/2020

Signed by the Responsible Financial Officer                                  I confirm that this Certificate of Exemption was approved by this authority on this date:

                                                                               Date as recorded in minute reference:

Email of Authority                                                                                                    Telephone number

01404 851442

*Published web address    https://gittisham.org.uk/

Annual Internal Audit Report 2019/20

Gittisham Parish Council

This authority’s internal auditor, acting independently and on the basis of an assessment of risk, carried out a selective assessment of compliance with relevant procedures and controls to be in operation during the financial year ended 31 March 2020.

The internal audit for 2019/20 has been carried out in accordance with this authority’s needs  and planned coverage. On the basis of the findings in the areas examined, the internal audit  conclusions are summarised in this table. Set out below are the objectives of internal control  and alongside are the internal audit conclusions on whether, in all significant respects, the control objectives were being achieved throughout the financial year to a standard adequate to meet the needs of this authority.

Internal control objective	Agreed? Please choose one of the following
Yes	No*	Not covered**
A.  Appropriate accounting records have been properly kept throughout the financial year.	Yes
B.  This authority complied with its financial regulations, payments were supported by invoices, all expenditure was approved and VAT was appropriately accounted for.	Yes
C.  This authority assessed the significant risks to achieving its objectives and reviewed the adequacy of arrangements to manage these.	Yes
D.  The precept or rates requirement resulted from an adequate budgetary process; progress against the budget was regularly monitored; and reserves were appropriate.	Yes
E.  Expected income was fully received, based on correct prices, properly recorded and promptly banked; and VAT was appropriately accounted for.	Yes
F.  Petty cash payments were properly supported by receipts, all petty cash expenditure was approved and VAT appropriately accounted for.			Not used
G. Salaries to employees and allowances to members were paid in accordance with this authority’s approvals, and PAYE and NI requirements were properly applied.	Yes
H. Asset and investments registers were complete and accurate and properly maintained.	Yes
I. Periodic and year-end bank account reconciliations were properly carried out.	Yes
J. Accounting statements prepared during the year were prepared on the correct accounting basis (receipts and payments or income and expenditure), agreed to the cash book, supported by an adequate audit trail from underlying records and where appropriate debtors and creditors were properly recorded.	Yes
K. If the authority certified itself as exempt from a limited assurance review in 2018/19, it met the exemption criteria and correctly declared itself exempt. (If the authority had a limited assurance review of its 2018/19 AGAR tick “not covered”)	Yes
L. The authority has demonstrated that during summer 2019 it correctly provided for the exercise of public rights as required by the Accounts and Audit Regulations.	Yes
M. (For local councils only)       Trust funds (including charitable) – The council met its responsibilities as a trustee.	Yes	No	Not applicable
		Not Applicable

For any other risk areas identified by this authority adequate controls existed (list any other risk areas on separate sheets if needed).

Date(s) internal audit undertaken                                                    Name of person who carried out the internal audit

29/05/20

Alison Marshall

Signature of person who carried out the internal audit                                              

Date   29/05/2020                             

*If the response is ‘no’ please state the implications and action being taken to address any weakness in control identified (add separate sheets if needed). **Note: If the response is ‘not covered’ please state when the most recent internal audit work was done in this area and when it is next planned; or, if coverage is not required, the annual internal audit report must explain why not (add separate sheets if needed).

Section 1 – Annual Governance Statement 2019/20

We acknowledge as the members of:

ENTER NAME OF AUTHORITY

our responsibility for ensuring that there is a sound system of internal control, including arrangements for the preparation of the Accounting Statements. We confirm, to the best of our knowledge and belief, with respect to the Accounting Statements for the year ended 31 March 2020, that:

Agreed
	Yes	No	‘Yes’ means that this authority:
1. We have put in place arrangements for effective financial management during the year, and for the preparation of the accounting statements.	Yes		prepared its accounting statements in accordance   with the Accounts and Audit Regulations.
2. We maintained an adequate system of internal control including measures designed to prevent and detect fraud and corruption and reviewed its effectiveness.	Yes		made proper arrangements and accepted responsibility  for safeguarding the public money and resources in  its charge.
3. We took all reasonable steps to assure ourselves                  that there are no matters of actual or potential  non-compliance with laws, regulations and Proper     Practices that could have a significant financial effect         on the ability of this authority to conduct its              business or manage its finances.	Yes		has only done what it has the legal power to do and has complied with Proper Practices in doing so.
4. We provided proper opportunity during the year for  the exercise of electors’ rights in accordance with the requirements of the Accounts and Audit Regulations.	Yes		during the year gave all persons interested the opportunity to inspect and ask questions about this authority’s accounts.
5. We carried out an assessment of the risks facing this authority and took appropriate steps to manage those risks, including the introduction of internal controls and/or external insurance cover where required.	Yes		considered and documented the financial and other risks it faces and dealt with them properly.
6. We maintained throughout the year an adequate and  effective system of internal audit of the accounting  records and control systems.	Yes		arranged for a competent person, independent of the financial controls and procedures, to give an objective view on whether internal controls meet the needs of this smaller authority.
7. We took appropriate action on all matters raised  in reports from internal and external audit.	Yes		responded to matters brought to its attention by internal and external audit.
8. We considered whether any litigation, liabilities or  commitments, events or transactions, occurring either during or after the year-end, have a financial impact on this authority and, where appropriate, have included them in the accounting statements.	Yes		disclosed everything it should have about its business activity during the year including events taking place after the year end if relevant.
9. (For local councils only) Trust funds including  charitable. In our capacity as the sole managing  trustee we discharged our accountability  responsibilities for the fund(s)/assets, including  financial reporting and, if required, independent  examination or audit.	Yes	No	N/A	has met all of its responsibilities where as a body corporate it is a sole managing trustee of a local trust or trusts.
		N/A

*For any statement to which the response is ‘no’, an explanation must be published

 This Annual Governance Statement was approved at a  Signed by the Chairman and Clerk of the meeting where approval was given:                                                           meeting of the authority on:

03/06/2020                                                                                   Chairman

Recorded as minuet reference:  44/20                                        Clerk

Section 2 – Accounting Statements 2019/20 for Gittisham Parish Council

	Year ending	Notes and guidance
31 March 2019 £	31 March 2020 £	Please round all figures to nearest £1. Do not leave any boxes blank and report £0 or Nil balances. All figures must agree to underlying financial records.
1. Balances brought  forward	17,698	20,118	Total balances and reserves at the beginning of the year  as recorded in the financial records. Value must agree to Box 7 of previous year.
2. (+) Precept or Rates and Levies	8,016	8,160	Total amount of precept (or for IDBs rates and levies) received or receivable in the year. Exclude any grants received.
3. (+) Total other receipts	8,039	12,442	Total income or receipts as recorded in the cashbook less the precept or rates/levies received (line 2). Include any grants received.
4. (-) Staff costs	2,583	2,940	Total expenditure or payments made to and on behalf  of all employees. Include gross salaries and wages,  employers NI contributions, employers pension  contributions, gratuities and severance payments.
5. (-) Loan interest/capital repayments	0	0	Total expenditure or payments of capital and interest made during the year on the authority’s borrowings (if any).
6.  (-) All other payments	11,052	20,235	Total expenditure or payments as recorded in the cashbook less staff costs (line 4) and loan interest/capital repayments (line 5).
7. (=) Balances carried forward	20,118	17,545	Total balances and reserves at the end of the year. Must equal (1+2+3) – (4+5+6).
8. Total value of cash and short term investments	20,118	17,545	The sum of all current and deposit bank accounts, cash holdings and short term investments held as at 31 March – To agree with bank reconciliation.
9. Total fixed assets plus long term investments  and assets	14,803	16,523	The value of all the property the authority owns – it is made up of all its fixed assets and long term investments as at  31 March.
10. Total borrowings	0	0	The outstanding capital balance as at 31 March of all loans from third parties (including PWLB).
11. (For Local Councils Only) Disclosure note re Trust funds (including charitable)	Yes	No	The Council as a body corporate acts as sole trustee for and is responsible for managing Trust funds or assets.
	No	N.B. The figures in the accounting statements above do not include any Trust transactions.

I certify that for the year ended 31 March 2020 the Accounting

Statements in this Annual Governance and Accountability Return have been prepared on either a receipts and  payments or income and expenditure basis following the guidance in Governance and Accountability for Smaller  Authorities – a Practitioners’ Guide to Proper Practices  and present fairly the financial position of this authority.

Signed by Responsible Financial Officer before being  presented to the authority for approval

  Date 01/06/2020

I confirm that these Accounting Statements were approved by this authority on this date:

03/06/2020

as recorded in minute reference:

45/20

Signed by Chairman of the meeting where the  Accounting Statements were approved