Internal audit of Derry & Strabane Council Building Control Service identifies changes needed

During an update report to members, at an Assurance, Audit and Risk Committee meeting on Monday, May 20, Head of Internal Audit, Deborah Blackwood, reminded members that the audit was carried out between March and May this year as part of an overall approved Internal Audit Plan of work.

The Building Control section of the council provides a number of council services including examination of submitted applications, inspection of building work on site, provision of information for Property Certificate enquiries, and providing advice on building regulations and associated matters.

It has a statutory duty to enforce building regulations as specified in The Building Regulations (Northern Ireland) 2012 and The Building (Prescribed Fees) Regulations (Northern Ireland) 1997.

The audit reviewed the areas of income collection, debt management, relevant risks on the Building Control Risk Register and performance management.

It noted that all income due to Building Control was received with only two small exceptions, but a number of “control weaknesses” were identified across the areas reviewed.

Ms Blackwood added: “The internal audit identified weaknesses in written procedures for all areas of Building Control Income Collection operations, and control weaknesses in the Building Control software system.

“A lack of reconciliation of expected income to actual income was identified, as well as inaccuracies in how income information was recorded.

“Weaknesses were identified in cash handling processes and in the application process and a lack of supervisory checks over many areas of Building Control Income Collection operations was noted.

“The audit also identified weaknesses in the invoicing process and in the process to manage outstanding debt.

“Based on the control weaknesses identified, there is considerable risk that the system will fail to meet its objectives and as a result this audit has been given the audit opinion of “Improvement Needed”.”

The audit made a total of 45 recommendations for improvement including development of a range of written procedures covering all areas of income collection, supervisory checks on the income collection process, calculation and approval of fees, and accurate recording of information to address errors and omissions.

Sinn Féin councillor Fergal Leonard said it was “disappointing to see so many actions” that had to be actioned.

He added: “However, they’re identified now and it really emphasises the importance of the role of internal audit and the role if this Committee as well.”

People Before Profit councillor Shaun Harkin said he was “somewhat alarmed” reading the improvement recommendations, as some were for “very basic things”.

“From a public transparency point of view, it’s good we’ve had this audit and I’m glad to see the recommendations.” Councillor Harkin concluded. “But I was surprised that [recommendations for improvement were for] basic stuff”.

Andrew Balfour,

Local Democracy Reporter