RCVS Audit and Risk Committee to be prioritised

2 December 2011

The President of the Royal College of Veterinary Surgeons (RCVS), Dr Jerry Davies, has committed to prioritise the establishment of a new Audit and Risk Committee, to strengthen good governance, following publication of the recommendations of a report into two overspends at the College.

At RCVS Day on 1 July 2011, outgoing President Peter Jinman announced that a review would be carried out into the circumstances that led to higher-than-expected expenditure on the College's new database and building development works in the Lower Ground Floor at Belgravia House.

The RCVS Officer team asked Professor Bill McKelvey – a member of the College's Governance Review Group – and two of the College's Privy Council-appointed Council members to look at all aspects that related to its budgeting and expenditure process of those projects, and propose lessons that should be learned.

"That such a review was required is regretted, but I would like to thank Professor McKelvey, Richard Davis and Judith Webb for their diligence in this work," says Dr Jerry Davies, RCVS President. "Their recommendations will be a very helpful addition to the work that is currently underway to ensure corporate governance is fit for purpose and, in particular, that the management of capital projects within the College is optimised."

The full Overspend Report (one sentence was redacted on legal advice) was considered by Council at its meeting on 3 November. Council agreed that the recommendations should be made public. The College is currently seeking further legal advice on whether it is proper for the report to be made available under the Freedom of Information Act.

"The recommendations of the report are under consideration by a group of five past Presidents, together with Richard Davis and Judith Webb as lay members of Council, under the Chairmanship of Peter Jinman, and their proposals will be considered by Council in due course," said Dr Davies. "The recommendation that an Audit and Risk Committee be set up will be prioritised, as this was highlighted as an imperative. Other related activities, such as the development of a protocol for the management of major projects, had already been put in place by Officers prior to the overspend review."

Regarding the two projects at the heart of discussions, the building work in the Lower Ground Floor at Belgravia House has been complete for some time and the new rooms and their facilities are being used, particularly when Disciplinary Committee hearings render much of the rest of the building out of bounds. In the past, it has been necessary to hire external meeting venues to cope with ‘overflow' meetings.

The new data management system is in use and will continue to evolve throughout its lifespan; as with many IT projects, it needs to react to ongoing demands. To ensure that the system is optimised, an external consultant is currently looking at the work that has been carried out so far, and will make recommendations for the future.

"Meanwhile, although there are many lessons to be learned from the report, it's business as usual in terms of bringing to a conclusion many of our important ongoing initiatives, such as the introduction of the new Code of Professional Conduct, the consultations on the recommendations of the Specialisation Working Party and a draft Performance Protocol, and, of course, the ongoing work of the Disciplinary and Preliminary Investigation Committees," said Dr Davies.

The recommendations of the report, which were adopted by Council, can be downloaded from www.rcvs.org.uk/McKelvey.

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