Agenda and minutes
Venue: Conference Room 4B - Tŷ Hywel
Contact: Clerk: Kathryn Hughes Deputy Clerk: Buddug Saer
No. | Item |
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Introductions, apologies and declaration of interests Minutes: 1.1 The Chair welcomed
everyone to the meeting. 1.2 No interests were
declared. |
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Minutes of 27 April, actions and matters arising Minutes: ARAC (23-03) Paper 1 –
Draft Minutes of 27 April 2023 ARAC (23-03) Paper 2 –
Summary of actions 2.1 The minutes of the 27
April were formally approved and updates to the actions were noted. 2.2 The Chair advised
that, following a discussion with the Clerking team, future minutes would be a
more concise record of the discussion held. |
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Governance & Assurance Update Report Minutes: ARAC (23-03) Paper 3 –
Governance & Assurance update report
3.1 Gareth Watts presented
his Governance and Assurance update report which outlined governance, assurance
and audit activity since the February meeting. He outlined the following work
which had been completed: 3.2 The Annual Governance
Statement was now complete and incorporated into the Annual Report and
Accounts. 3.3 Fieldwork for the
Executive Board Effectiveness Review and audits of the regulatory framework
risk and business continuity were also complete, the reports on which would be
shared in due course. 3.4 Gareth and Kathryn
presented an item on risk at a recent Leadership Team meeting. Heads of Service
were invited to assess the management of risks across all service areas,
including those relating to programmes and projects. There was a useful
discussion around risks captured on the Commission’s risk register, risk
appetite and horizon scanning. 3.5 Gareth thanked Clare
James, Audit Wales for updating the Joint Working Protocol, which had been
circulated to the Committee. 3.6 Before his departure,
Gareth planned to complete an audit within the Senedd Business Directorate,
relating to the Public Appointments Process. The Committee welcomed this and
encouraged him to include interviews with individuals going through the process,
in order to ascertain their perspective of the process. |
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Audit Wales update Minutes: ARAC (23-03) Paper 4 -
Audit Wales update - June 2023 4.1 The Chair welcomed
Ann-Marie Harkin and Clare James to the meeting. Clare reported that her team
had almost completed their audit of the 2022-23 financial statements and
remained on track for certification by the Auditor General for Wales on 22 June
2023. 4.2 The Committee thanked
Clare for her update and noted the paper. |
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Consider External Audit opinion (ISA 260 Report) for the financial year 2022-23 Minutes: ARAC (23-03) Paper 5a –
ISA 260 Report 5.1 An interim Audit of
Accounts (ISA 260) Report and Management Letter was circulated prior to the meeting.
Clare highlighted the areas of work that remained outstanding; the most
concerning one for the Committee was receipt of the Auditor’s Expert’s report
on the work of the Senedd Members Pension Fund Actuary. 5.2 There was one
uncorrected misstatement in the accounts. This related to classification of
capital expenditure and was not material but over the threshold for reporting.
A recommendation on this had been included in the report. 5.3. Audit Wales thanked
the Senedd Commission’s Finance team for their support. 5.4 The Committee
challenged one recommendation which was the ‘Identification of related party
transactions’ and asked for clarification on who this related to. It was noted
that Members of the Senedd already completed a register of interest and similar
controls and checks were also in place within the Commission for staff. Audit Wales agreed to discuss this
recommendation with officials in due course. 5.5 The Committee
expressed concern at the unsatisfactory position they had been put in by the
Audit Wales delays which prevented them giving a clear recommendation to the
Accounting Officer. Delays in presenting the accounts to the Commission and
signing them threatened the tight timetable for publishing all of the end of
year reports. The Chair, Committee members and Simon paid tribute to the
Finance team for delivering to such tight timescales. They noted that the Chief
Finance Officer would be holding a lessons learned meeting with Audit Wales and
the Committee would return to the outcome of this at its November meeting. 5.6 The Committee
recommended to the Accounting Officer that the financial statements for 2022-23
should be signed as long as no issues were raised following receipt of the
Expert’s actuarial report. Committee members would be asked to confirm their
agreement on recommending the signing of the accounts on receipt of the final ISA 260 Report. |
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Consider the Commission's Annual Report and Statement of Accounts 2022-23 (to recommend the signing of the accounts) Minutes: ARAC (23-03) Paper 5 – ARA
2022-23 – cover paper ARAC (23-03) Paper 5 –
Annex A – ARA 2022-23 6.1 The Chair invited
Arwyn to introduce this item and Committee members to comment on the following
components of the Commission’s draft Annual Report and Accounts (ARA): · The narrative (overview and performance analysis) · Accountability, including the Governance Statement; and · Financial Statements. 6.1 Arwyn informed the
Committee of discussions which had taken place around the identification of
directors by disclosing their gender, given the small cohort. Officials had
agreed to consider if this could be removed or anonymised in future reports but
pointed out this information was already in the public domain. 6.2 The Committee praised
staff for the comprehensive content being presented but questioned the length
of the report and potential to reach a wider audience. The Committee also
discussed the levels of public understanding of the work of the Senedd and agreed
to return to this when it considered the Commission’s communication and
engagement strategy, at a future meeting.
6.3 Officials welcomed the
constructive feedback and recognised the need for the information in the report
to reach a wider audience across Wales and the need to develop further
mechanisms for gathering feedback on its presentation. 6.4 In terms of the length
of the report, officials reminded the Committee of the praise the Commission
had received from the Senedd’s Public Accounts and Public Administration, and
Finance Committees for the structure and clarity of the reports. They also
highlighted that the on-line version would include accessible video content in
an attempt to make the information as accessible as possible. 6.6 The Committee welcomed
the reference to social mobility in the Diversity and Inclusion section of the
report and the announcement at the recent all staff meeting of proposals for a
social mobility champion. 6.7 The Committee agreed
that a comprehensive set of accounts had been presented and thanked the Finance
team for their efforts. Thanks were also expressed to all those involved in the
production of the narrative and the Governance Statement. |
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Budget Update Minutes: Oral update 7.1 Simon Hart was pleased
to report that the financial outturn for 2022-23 was within 0.84% of the
forecast, which was well within target range. He then summarised the ongoing
work on supplementary budgets and setting future budgets. 7.2 Simon reminded the
Committee that Kate Innes, Chief Finance Officer would be in post for the July
meeting. The Committee thanked Simon for all his work over recent months and
wished him well for the future. |
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Corporate updates on: Senedd Reform Programme and Ways of Working Programme Minutes: Senedd
Reform Programme – oral update 8.2 Siwan outlined the following ongoing, or planned work in her update: · discussions around the cost estimates which had been submitted to the Welsh Government for inclusion in the Regulatory Impact Assessment; · the planning in place for a procedural review and legislative scrutiny in the autumn, and engagement in wider electoral reform; · discussions around resource and workforce planning work, in conjunction with the Ways of Working (WoW) programme; · a review of the Senedd Reform corporate risk and the SRP risk register; · development of a communications plan to supplement the internal communications already delivered through vlogs and at all staff meetings; · development of external communications plans in conjunction with the Welsh Government to be presented to the Joint Assurance Board; · discussions around interdependencies with WoW programme, such as work to redesign the Siambr, and streamlining reporting to the Joint Assurance Board, for example; · discussions around resources to support the Remuneration Board’s updated work programme and using the information gathered from consultation with Members and party groups on preferred ways of working; and · responding to scrutiny on proposals for change, including the related costs. 8.3 In response to questions from Committee members, Siwan elaborated on points relating to communications and ongoing dialogue with staff and Members, and relationships and collaboration with the Remuneration Board. She also explained that Senedd Reform costings included adapting facilities in Ty Hywel and the Senedd building, but did not include the future accommodation of the WoW Bay 2032 Project. Ways of
Working Programme ARAC (23-03)
Paper 6 – WoW Bay 2032 update.docx ARAC (23-03)
Paper 6 Annex A - Commission Paper (e)P2 WoW Bay 2032 Project ARAC (23-03)
Paper 6 Annex A - Commission Paper (e)P2 Annex 1 WoW Bay Project. 8.4 Ahead of the substantive discussion on the Ways of Working programme planned in July, Ed Williams summarised the options to address future accommodation needs included in the papers, stating that these were driven by the end of the lease on Tŷ Hywel as opposed to plans for Senedd Reform. 8.5 There had been consensus at a recent Commission meeting that the recommended options should be explored. Work was underway to develop a Strategic Outline Case and discussions would continue with the Tŷ Hywel lease holder. 8.6 In response to questions relating to the impact of the Future Generations Act on the proposals, Ed explained how, whilst the Act did not apply to the Senedd, this would be taken into account through the futures workstream which incorporated sustainability and diversity. He confirmed that there were carbon neutral options and that all options were in line with the Commission’s agreement to abide by its sustainable development principles. He also agreed to share the benefits and risks of each option with the Committee and evidence of how ... view the full minutes text for item 8. |
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Departure Summary Minutes: ARAC (23-03)
Paper 7 – Departure Summary 9.1 The Committee noted two departures from normal procurement procedures and raised no concerns. |
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Update on Cyber Security Minutes: ARAC (23-03) Paper 8 –
Cyber Security Assurance Report 10.1 The Chair welcomed
Mark Neilson and his team to the meeting, including the recently appointed ICT
Security Officer. 10.2 Mark introduced the
Cyber Security Assurance Report and offered to arrange a briefing session for
Committee members not familiar with the Commission’s cyber security
arrangements. 10.3 Tim Bernat
highlighted the timely information-sharing by Zellis following a recently
reported cyber-attack on their systems. He confirmed that the Commission’s data
had not been affected and provided the necessary assurance of the controls in
place. This included the use of multi-factor authentication functionality for
key systems. 10.4 Tim outlined how the
team were responding to the constantly changing threat landscape. He
highlighted how the Security Operations Centre (SOC), which was established in
March, protected the Senedd 24/7/365 and the improvements this brought in terms
of monitoring, detection, and response capabilities. There had been no reports
of cyber breaches in the past two years and lessons learned were applied from
any near misses and false positives. 10.5 Tim provided an
update on the outstanding action relating to plans for a cyber security event.
He was liaising with the Members’ Business Support team to establish a suitable
date for Members and was also securing guest speakers. The Committee welcomed this
update and urged the team to finalise the plans, which had been delayed a
number of times. 10.6 In terms of ongoing
awareness-raising, internal communications and training had been delivered
around the threat of phishing attacks and the necessary actions to take. Additional controls had also been put in
place to improve mitigation against unwanted software downloads and installs. 10.7 In response to
questions from the Committee, officials accepted that the lack of compulsory
training for all users (including Commission staff, Members of the Senedd and
support staff) was potentially exposing the Senedd to cyber-security risks.
Plans were already underway to introduce compulsory training for Commission
staff. In terms of mandating training for Members and their staff, Ken Skates
agreed to raise this at a future Commission meeting. A cyber awareness week was
still being planned for the autumn. 10.8 The Committee
welcomed this update and reminded officials of the need for cyclical training
to supplement awareness-raising activities, to keep pace with the changing
threat landscape, noting the increased risk of complacency without continuous
education. Actions · Mark Neilson to deliver a briefing session on cyber-security to the new ARAC members. ·
Arwyn Jones to arrange for mandatory training of
Members and staff to be discussed at a future Commission meeting. |
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Corporate Risk Minutes: ARAC (23-03)
Paper 9 – Corporate Risk ARAC (23-03)
Paper 9 – Annex A - Summary Corporate Risk Register ARAC (23-03)
Paper 9 – Annex B – Corporate Risks plotted 11.1 The Committee noted that, whilst the status of the risks had been updated, there had been no changes to the risks, or risk ratings in the Commission’s Corporate Risk Register since the April meeting. |
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Critical examination of one identified or emerging risk or issue - UK-related Constitutional Change Minutes: Oral item (referring to
the update in the Corporate Risk Register - UK-related Constitutional Change
STS-R-151) 12.1 The Chair welcomed
Julian Luke and Alun Davidson to the meeting for this item. 12.2 Siwan provided an
update on the mitigation in place for the risk relating to UK-related
constitutional change, details of which were included in the Corporate Risk
Register. 12.3 She outlined how
proactively managing the risk had helped prepare for what might happen and
highlighted the following on-going activities: · active horizon scanning through information-sharing across the Commission on changes, such as a general election, which might impact on the Senedd; · effective structures to facilitate inter-parliamentary engagement, and to ensure procedures and precedents, such as legislative consent and scrutiny of inter-government working, were aligned with other legislatures; and · effectively supporting the Senedd through information-sharing and scenario planning to inform resources which might be required to react to changes, particularly around retained EU law. 12.4 The Committee noted
the complexity of the risks, particularly given uncertainty around direction of
travel and the pace of change and commented on how well Commission officials
were mitigating this as far as possible. It also noted the importance of access
to specialist legal advice and the value of existing networks for expert
research and academic frameworks. |
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Committee's Annual Report to the Commission and Accounting Officer Minutes: ARAC (23-03) Paper 10 –
cover paper ARAC (23-03) Paper 10
draft ARAC Annual Report 13.1 The Chair invited
Committee members to provide their comments on the Committee’s Annual Report to
the clerking team. He was particularly interested in their views on the areas
to highlight when the report was presented to the Commission on 10 July,
indicating this would include reference to corporate and resource planning. |
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Forward work programme Minutes: ARAC (23-03) Paper 11 –
Forward Work Programme 14.1 The Committee noted
the forward work programme. It was agreed that further consideration would be
given to the inclusion of items relating to communication and engagement,
including external relations. |
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Any other business Minutes: 15.1 The Chair noted that
this would be Simon’s last meeting. Simon confirmed that he would remain in
post until the financial statements had been signed by the Auditor General for
Wales, and that arrangements were in place for a handover with the new Chief
Finance Officer. Manon Antoniazzi, Chief
Executive and Clerk attended a private session with members of the Committee
once formal proceedings had concluded. No Commission officials were present and
no minutes were taken. Next meeting is scheduled
for 3 July 2023. |