Association of Police Authority Chief Executives and Police Authority Treasurers’ Society

Joint Seminar13, 14 September 2012

The Role of the Chief Financial Officer(s)

BOB SUMMERS Treasurer to Norfolk Police Authority

• Statute• Fiduciary Duty (personal)• Professional Standards/Codes

The Role of the Chief Finance Officer(s)

• Appointment S151 Local Government Act 1972 S113 Local Government Act 1988 S58 Local Government Act 1958 S25 Local Government Act 2003 Para 7, Schedule 1, Para 5, Schedule 2, PRSR Act

2011 Accounts and Audit Regulations

• Unlawful expenditure/insufficient resources S114, Local Government Act 1988/S118, Schedule 16

PRSR Act 2011NB. Additional/separate statute requirements for London and Wales

The Role of the Chief Finance Officer(s)Statute

• Unlawful expenditure/Unbalanced budget• CFO reporting• Personal statutory duty

The Role of the Chief Finance Officer(s)S114 Local Government Act 1988

• Attorney General v De Winton (1906)• CFO Support/Para 4 FMCP

The Role of the Chief Finance Officer(s) Fiduciary Duty

• Status 2012 CFO Statement Adoption, Comply/Explain, Non CIPFA CFOs

• IFAC 2010 Code of Ethics Integrity, Objectivity, Professional

Competence, Due Care, Confidentially, Professional Behaviour

• Codes of Practice/Standards/Best Practice Prudential Capital Finance, Treasury

Management, Accounting, Audit, Governance, Pensions etc.

The Role of the Chief Finance Officer(s)Professional Standards

Principle 1The Chief Finance Officer of the PCC and CC is a key member of the Leadership Team, helping it to develop and implement strategy and to resource and deliver the PCC’s strategic objectives sustainably and in the public interest.

The Role of the Chief Finance Officer(s)The Principles

Principle 2The CFO must be actively involved in, and able to bring influence to bear on, all material business decisions (subject to the operational responsibilities of the Chief Constable) to ensure immediate and longer term implications, opportunities and risks are fully considered, and align with the overall financial strategy.

The Role of the Chief Finance Officer(s)The Principles

Principle 3The CFO must lead and encourage the promotion and delivery of good financial management so that public money is safeguarded at all times and used appropriately, economically, efficiently, and effectively.

The Role of the Chief Finance Officer(s)The Principles

Principle 4The CFO must lead and direct, a finance function that is resourced to be fit for purpose.

The Role of the Chief Finance Officer(s)The Principles

Principle 5The CFO must be professionally qualified and suitably experienced.

The Role of the Chief Finance Officer(s)The Principles

• Consultation/Information Sharing• Mutual Confidence • Responsibilities• Principles• Management/Personal skills• Experience• Accountability

The Role of the Chief Finance Officer(s)Practical Application

• CIPFA Bye-laws• Disciplinary Proceedings• Examples

The Role of the Chief Finance Officer(s)Breaching Professional Standards

THANK YOU