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Lib Dem Councillor Barry O'Leary Mendip Cabinet Member for Finance |
UPDATE (2/2/21): Mendip District Council's Cabinet, which includes Lib Dem Councillor Barry O'Leary (above) who is councillor responsible for the finances of the Council, received a report yesterday which stated:
"28. The Council’s External Auditor, Ernst & Young, gave an unqualified opinion on the 2019-20 financial statements. The Value for Money opinion has been delayed due to an objection to the accounts by a member of the public. The external auditor is yet to complete his investigation into this matter. The Council has considered the issues raised and has taken steps to mitigate the issue which was identified. We will continue to work closely with the External Auditors and react positively to any issues identified"
Leader of Somerset Independents, Andrew Pope, who was one of the Somerset Independents investigators into Mendip's accounts that led to Ernst and Young investigating, says:
Andrew Pope
Leader of Somerset Independents
"In other words, the Council's own report shows that Ernst and Young are not prepared to state that the taxpayer (you and I) got value for money for our council tax.
In a democracy where we pay taxes to councils, it is essential that residents know whether YOUR MONEY is being spent correctly by those councils. And if it isn't, councillors must answer our questions. If they don't want to, then it looks suspicious.
Mendip Lib Dems, especially Finance Cabinet Member Councillor Barry O'Leary, are not spending our money on the correct priorities. And they want to hide their spending.
Councillor O'Leary and his Lib Dem mates are gambling millions of taxpayers' pounds on property, but the streets in places like Frome and Evercreech aren't being cleaned, despite it being Mendip's responsibility!
They want volunteers, who pay their council tax, to clean the street for free instead!
Which in a democracy, is wrong.
This shows that we were right to raise the Council's accounts with Ernst and Young. And we look forward to their investigations being concluded and reported on."
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UPDATE (1/2/21): The Audit Committee stopped the public from seeing the agenda item
"14 SECTION 25 REPORT OF THE SECTION 151 OFFICER "
Why would they not want the public to see a Section 25 report?
We quote from the Surrey County Council minutes:
"The Local Government Act 2003 (Section 25) requires that when a local authority is agreeing its annual budget and precept, the Section 151 Officer must report to it on the following matters: the robustness of the estimates made for the purposes of the calculations, and; the adequacy of the proposed financial reserves."
Surely it is in the public interest to know?
And especially so, given Ernst and Young is investigating the property investment of the Council's accounts?
Other councils such as Surrey and Waltham Forest did not seem to have a problem with it.
But Mendip District Council does.
WHAT ARE THEY TRYING TO HIDE?
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There was an Audit Committee meeting for Mendip District Council this evening (27/1/21) at 6.30pm, where our Lead on Governance Denise Wyatt spoke about the "External Audit Update" that relates to her formal Objection to Mendip District Council's accounts.
Denise mentioned the real-life impact on people's lives, that the mismanagement of Mendip Council's finance by the Liberal Democrats has had. She mentioned the Easthill proposal by the Lib Dems to sell their land to Aster for social housing.
And she mentioned the failure of Lib Dem, Tory and Green councillors to hold them to account.
This is the purpose of the Audit Committee.
But those councillors on the Committee HAVEN'T AUDITED THE COUNCIL.
This is why Ernst and Young (E & Y) is investigating Mendip District Council. Kevin Suter of E & Y mentioned the Objection in his comments.
What Denise said is below:
Leading on Governance
Denise Wyatt
"Good EveningMy name is Denise Wyatt and I am here to speak about the Council’s accounts and governance.
For your information, I am an experienced governance officer.
Early last year I needed to find some information about the Council. I couldn’t find it. I asked questions. I hit a brick wall.
I looked more deeply at the Councils finance, governance, and decision making. I could not believe your practices and constitution. I was appalled that the Council appeared not to comply with the law.
I made further enquiries and sought assurance from the Monitoring Officer. I was unhappy with the replies.
I spoke at various council meetings including Full Council. I also emailed councillors. My concerns were ignored.
My concerns, particularly regarding finance, and councillors decision making was not a matter for the Ombudsman, as it did not personally affect me.
It was therefore my duty to ask questions about the council’s draft accounts.
I thank the s151 Officer, Richard Bates for his forbearance. I know he had some difficulties, getting prompt and clear replies to my questions on the accounts.
I would also like to thank Kevin Suter of Ernst and Young for his assistance.
YES, I am the Objector to the Councils accounts.
This authority claims openness and transparency and yet as a Council you appear to ignore the Law of Meetings, as it applies to local government.
I refer you to the Local Government Act 1985. This Council is quick to apply the Act when you want to move to private session such as with Easthill, but in other respects you seem to fail to apply the law and best practise.
Following my objection to the Council’s accounts, I was delighted to hear at a recent meeting, that the Council is now seeking advice on governance from the Local Government Association. Finally you are listening - thank you.
Councillors your function as a committee is to provide an independent assessment of the Councils governance and public finance.
Members you are not here to rubber stamp reports. You are here to question. I had to do it, because this Committee failed to do so. You MUST challenge challenge and challenge again.
If a member of the public comes to you with concerns about governance and finance please don’t dismiss or ignore them.
Councillors I repeat something I said to you all at the Council meeting last July.
Your practices and process of council meetings NEED to change,
You NEED to ensure the Council applies the law of meetings: and
Your Constitution NEEDS to change –
So please change it..
Thank you"
The Chair made no comment in response to Denise's speech.
The only councillor to reference Denise's Objection was the new Vice-Chair of the Committee, Councillor Michael Gay. He asked what actions E & Y can take.
Mr Suter confirmed that he could make any recommendation at any time.
This can include a Public Interest Report. We have asked that E & Y make this recommendation. This has happened at Croydon, Nottingham and York councils, to give three examples.
Mr Suter also confirmed that he could not take questions on the Objection from councillors, on the detail of the Objection.
This is because it is, in his words, a "quasi-judicial" process. In other words, a legal process governed by law applying to the audit process in councils.
E & Y's investigation into Mendip District Council's investment in property continues.
The new Section 151 Officer Richard Bates later commented that the rules regarding property investment are changing. He asked councillors to be aware of the Council's Treasury Management, and the Council's policy.
He will report back to the Committee and the External Auditor.Somerset Independents will continue to hold Somerset councils to account on the mismanagement of public monies, and report back to Somerset residents.
If you want more info on what happened at the meeting, our live-tweet of the meeting starts at the Twitter link below:
There is an Audit Committee meeting for @MendipCouncil this evening at 6.30pm, where our Spokesperson Denise Wyatt will be speaking about the "External Audit Update" that relates to her formal Objection to Mendip District Council's accounts. More here: https://t.co/p6is2f4fo2 pic.twitter.com/oIcL2pFjkR
— Somerset Independents Putting Residents First (@SomerInds) January 27, 2021
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