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Local Government (Wales) Measure 2011

Changes over time for: CHAPTER 2

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Version Superseded: 05/05/2022

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CHAPTER 2W [F1GOVERNANCE AND] AUDIT COMMITTEES

Textual Amendments

81Local authorities to appoint [F2governance and] audit committeesW

(1)A local authority must appoint a committee [F3(a “governance and audit committee”)] to—

(a)review and scrutinise the authority's financial affairs,

(b)make reports and recommendations in relation to the authority's financial affairs,

(c)review and assess the risk management, internal control [F4, performance assessment] and corporate governance arrangements of the authority,

(d)make reports and recommendations to the authority on the adequacy and effectiveness of those arrangements,

[F5(da)review and assess the authority's ability to handle complaints effectively,

(db)make reports and recommendations in relation to the authority's ability to handle complaints effectively,]

(e)oversee the authority's internal and external audit arrangements, and

(f)review the financial statements prepared by the authority.

[F6(1A)See Chapter 1 of Part 6 of the Local Government and Elections (Wales) Act 2021 (performance and governance of principal councils) for further functions of governance and audit committees.]

(2)A local authority may confer on its [F7governance and] audit committee such other functions as the authority considers suitable to be exercised by such a committee.

(3)It is for [F8a governance and] audit committee to determine how to exercise its functions.

Textual Amendments

Commencement Information

I1S. 81 in force at 30.4.2012 by S.I. 2012/1187, art. 2(1)(j)

82MembershipW

(1)A local authority is to appoint the members of its [F9governance and] audit committee.

(2)A local authority must secure that—

(a)at least two-thirds of the members of [F10that committee] are members of the authority;

(b)at least one member of [F11that committee] is a lay member;

(c)no more than one of the members of [F12that committee] is a member of the authority's executive;

(d)the senior member of its executive is not a member of [F13that committee].

(3)Subsection (2)(c) does not require the membership of a local authority's [F14governance and] audit committee to include a member of the authority's executive.

(4)The appointment of a person as a member of [F15a governance and] audit committee has no effect if the membership of the committee breaches subsection (2) immediately after the appointment (whether or not by virtue of the appointment).

(5)In a case where one or more persons are to become, or to cease to be, members of [F16a governance and] audit committee at a particular time, all those changes of membership are to be taken into account in determining whether the membership of the committee breaches subsection (2).

(6)An act of [F17a governance and] audit committee is invalid if the membership of the committee breaches subsection (2).

[F18(7)[F19A governance and] audit committee is to be treated as a body to which section 15 of the Local Government and Housing Act 1989 (duty to allocate seats to political groups) applies.]

Textual Amendments

Commencement Information

I2S. 82 in force at 30.4.2012 by S.I. 2012/1187, art. 2(1)(j)

83Proceedings etcW

(1)[F20A governance and] audit committee is to appoint the person who is to chair the committee (who may be a member of the authority or a lay member but who must not be a member of an executive group).

(2)If there are no opposition groups, the person who is to chair [F21the governance and] audit committee may be a member of an executive group but must not be a member of the local authority's executive.

(3)All members of [F22a governance and] audit committee may vote on any question that falls to be decided by the committee.

(4)[F23A governance and] audit committee of a local authority—

(a)may require members and officers of the authority to attend before it to answer questions, and

(b)may invite other persons to attend meetings of the committee.

(5)It is the duty of any member or officer of a local authority to comply with any requirement imposed under subsection (4)(a).

(6)A person is not obliged by subsection (5) to answer any question which the person would be entitled to refuse to answer in, or for the purposes of, proceedings in a court in England and Wales.

(7)[F24A governance and] audit committee is to be treated as a committee of a principal council for the purposes of Part 5A of the Local Government Act 1972 (access to meetings and documents of certain authorities, committees and sub-committees).

(8)For the purposes of subsections (1) and (2), the expressions “executive group” and “opposition group” have the same meaning as in section 75.

Textual Amendments

Commencement Information

I3S. 83 in force at 30.4.2012 by S.I. 2012/1187, art. 2(1)(j)

84Frequency of meetingsW

(1)[F25A governance and] audit committee must meet once in every calendar year.

(2)The [F26governance and] audit committee of a local authority must also meet if—

(a)the local authority resolves that the committee should meet, or

(b)at least one-third of the members of the committee requisition a meeting by one or more notices in writing given to the person who chairs the committee.

(3)It is the duty of the person who chairs [F27a governance and] audit committee to secure that meetings of the committee are held as required by subsections (1) and (2).

(4)This section does not prevent [F28a governance and] audit committee from meeting otherwise than as required by this section.

Textual Amendments

Commencement Information

I4S. 84 in force at 30.4.2012 by S.I. 2012/1187, art. 2(1)(j)

85GuidanceW

(1)The Welsh Ministers may give guidance to local authorities—

(a)about the functions of [F29governance and] audit committees and the exercise of those functions, or

(b)about the membership of [F30such] committees.

(2)A local authority and its [F31governance and] audit committee must have regard to guidance given by the Welsh Ministers under subsection (1).

Textual Amendments

Commencement Information

I5S. 85 in force at 30.4.2012 by S.I. 2012/1187, art. 2(1)(j)

86Termination of membership on ceasing to be member of authorityW

(1)This section applies to a person (P) who is—

(a)appointed to be a member of [F32a governance and] audit committee of a local authority, and

(b)is a member of the authority at the time of that appointment.

(2)If P ceases to be a member of the authority, P also ceases to be a member of the [F33governance and] audit committee.

(3)But subsection (2) does not apply if P—

(a)ceases to be a member of the authority by reason of retirement, and

(b)is re-elected a member of the authority not later than the day of retirement.

(4)Subsection (3) is subject to the standing orders of the authority or the [F34governance and] audit committee.

Textual Amendments

Commencement Information

I6S. 86 in force at 30.4.2012 by S.I. 2012/1187, art. 2(1)(j)

87Interpretation etcW

(1)Expressions used in this Chapter and in Part 2 of the Local Government Act 2000 (or in an instrument made under that Part of that Act) have the same meanings in this Chapter as in that Part of that Act (or in that instrument).

(2)In this Chapter—

  • F35...cred

  • “lay member” (“aelod lleyg”) means a person who is not a member of a local authority;

  • “senior member of a local authority” (“aelod hŷn awdurdod lleol”) means—

    (a)

    in the case of a local authority which operates a leader and cabinet executive (Wales), the executive leader;

    (b)

    in the case of a local authority which operates a mayor and cabinet executive, the mayor.

F36(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

Commencement Information

I7S. 87 in force at 30.4.2012 by S.I. 2012/1187, art. 2(1)(j)

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