Wales Charity Law and Governance Conference 2014

Breakout Group 1- Evidencing policies and good governance

Presented by:-

Carol Green Director SCVS

Chris Watson SCVS Trustee and Company Secretary

Introduction

• Context of Governance regulation in Wales

• Scrutiny of Governance• Principles of good governance• Exercise/Quiz• Evidencing Good Practice for Audit

Context of Governance Regulation in Wales

• Guidance on Governance from Charity Commission

• Guidance from Intermediary Bodies (CVCs/WCVA)

• October 2012 Awema Report –highlighted deficits in governance

• Plas Madoc Community 1st Partnership

Closer Scrutiny

• Early 2013 BIG Lottery Board established a group to consider implications of AWEMA and response of major funders in Wales

• November 2013 Welsh Government set up Good Governance Group as part of its Grants Management Project.

Welsh Government Good Governance Group

• Membership– All lottery boards– Welsh Government Audit Commission– Health Boards– WLGA– WCVA– Wales Association of CVCs

• Aims and purpose of group– Sharing information and concerns– Developing guidelines/sharing good practice– Raising awareness of governance issues– Consideration of ‘early warning’ signs giving cause for concern– Consider notification on a case by case basis

Principles of Good Governance

An effective Board will provide good governance and leadership by:-

• Understanding their role• Ensuring delivery of organisational purpose• Working effectively both as individuals and as a team• Exercising effective control• Behaving with integrity and• Being open and accountableSource: The Code of Good Governance – putting the code

into practice – www.governancecode.org

Exercise/Quiz

Evidencing for Audit – A folder of policies is not enough

An organisation needs to prove that the Board:-• Has systems for regular review• Annual meeting with Audit (without staff)• Trustees are aware of processes• Trustees are aware of legal & financial compliance• Processes for control and evidence for decisions taken

particularly (where these may not conform to norm)• Trustees can demonstrate probity and integrity by:-

– Complaints procedure– Codes of conduct– Conflict of interest policy and register (also standing declaration at

each Board meeting

What constitutes proof? – Some examples

• Policies (use footer that shows review dates)• Board and sub-group Minutes (signed)• Clear minutes that show decisions taken with action to be

followed up• Agendas• Completed EO forms, conflict of interest forms (signed/dated)• Staff supervision notes (signed/dated)• Notes of regular review meetings, with list of attendees• Roles and remits • Trustee induction programme and note of attendance• Trustee letter of appointment showing the documents/information

given to them and a signed acceptance receipt.