Issue - meetings

RECOMMENDED:  That Council approve the following:

1. The terms of reference for the external KLIC inquiry as set out in Appendix 2 of the report
2. Delegate to the leaders of the Councils three groups the appointment of the Chair of the External Inquiry.

Reason for Decision

To respond to the Notice of Motion agreed by Council on 26th March 2019. To ensure that external expertise and insights are utilised to assist the council in improving its systems procedures for the management if large scale capital projects and partnerships.

Cabinet considered a report responding to the Council’s decision of 26^th March 2019:

“That the Council establish an independent inquiry into the partnership with Norfolk and Waveney Enterprise Services (NWES) and its subsidiaries and associated companies and those with common shareholders or directors, regarding the award of and administration of the KLIC project and all aspects of its (their) financial relationship with the Borough Council of King’s Lynn and West Norfolk.

To ensure the impartiality and independence of the Inquiry, the Chair and personnel of such an Inquiry to be chosen by an outside body, such as the Local Government Association (LGA) and consideration be given to requesting further assistance from such an outside body if required.

This enables the proposed Audit Committee Task Group to focus on the future composition and operation of the Major Projects Board, the Major Projects Progress overview and other lessons learnt from the ‘KLIC Lessons Learnt Review’.

The independent Inquiry will have access to all council documents associated with NWES, subsidiaries etc as detailed above.”

Members were reminded that the Audit Committee established a cross party Audit Committee working group to further examine the findings of the Internal Audit Committee report into the KLIC project. This group held an initial meeting prior to the May elections and recommended terms of reference for the review to the Audit Committee meeting of the 3^rd June. These were attached at appendix 1 to the report.

This report presented proposed terms of reference to cabinet for the external review which sought to build upon and add value to the work of the Audit Committee Cross Party Working Group. This approach was designed to be cost effective and to focus the external enquiry onto areas not covered by the Working Group. The draft terms of reference were set out at Appendix 2 to the report. The report also made proposals for the selection of a Chair for the inquiry from the persons identified by the Local Government Association.

Under standing order 34 Councillor Joyce expressed the view that the LGA would know what to look for and where and that it should be new councillors who make the appointment of the chairman and panel.

Under standing order 34 Councillor Pope asked whether the cost of the inquiry could be reclaimed from NWES.  It was confirmed that as the Council had requested the inquiry it would have to pay the associated costs.

RECOMMENDED:  That Council approve the following:

1. The terms of reference for the external KLIC inquiry as set out in Appendix 2 of this report
2. To delegate to the leaders of the Councils three groups the appointment of the Chair of the External Inquiry.

Reason for Decision

To respond to the Notice of Motion agreed by Council on 26th March 2019. To ensure that external expertise and insights are utilised  to assist the council in improving its systems procedures for the management of large scale capital projects and partnerships.