Corporate Affairs and Audit Committee (CAAC) Meeting - November 27, 2014

Public Agenda

1. Approval of Public Meeting Agenda and Review of Agenda Order 

Action: Approval

Pre-read: Agenda

Presenter: Chair

2. Chair’s Poll re: Conflict of Interest

Action: Declaration

Pre-read

• Agenda
• Conflict of Interest Policy

Presenter: Chair

3. Confirmation of the Public Meeting Minutes of September 23, 2014

Action: Approval

Pre-read: Minutes

Presenter: Chair

4. Business Arising from the Minutes and Committee Action Items Update

Action: Discussion

Pre-read: Action Item List

Presenter: Chair

Reports from Management

5. 2014 CAAC Work Plan Review

Action: Information

Pre-read: CAAC:2014-51

Presenter: Chief Financial Officer, Legal Counsel and Assistant  Corporate Secretary

Reports from the Chief Internal Auditor

6. Internal Audit 2015 Work Plans

CAAC Terms of Reference: Internal Audit, Accounting System & Controls

Action: Information

Pre-read: CAAC:2014-52

Presenter: Chief Internal Auditor

7. Internal Audit: 2015 Budget

CAAC Terms of Reference: Internal Audit, Accounting System & Controls

Action: Information

Pre-read: CAAC:2014-53

Presenter: Chief Internal Auditor

8. Review of Board, President and CEO and Senior Management Expenses Q3 2014

CAAC Terms of Reference: Internal Audit, Accounting System & Controls

Action: Information

Pre-read: CAAC:2014-54

Presenter: Chief Internal Auditor

Reports from from the Commissioner Housing Equity

9. Office of the Commissioner of Housing Equity: 2015 Budget

CAAC Terms of Reference: Financial Reporting

Action: Information

Pre-read: CAAC:2014-55

Presenter: Commissioner of Housing Equity

TERMINATION

Public Meeting Minutes

The Corporate Affairs and Audit Committee (“CAAC”) of Toronto Community Housing Corporation (“TCHC”) held a public meeting on November 27, 2014, in the Main Floor Conference Room, 931 Yonge Street, Toronto, and via teleconference, commencing at 2:28 p.m.

Committee Directors Present:

Christian Buhagiar

Brian Kwan (via teleconference)

Committee Directors Absent:

Zahir Bhaidani, Chair

Councillor Frances Nunziata 

Karen Newman

Other Directors in Attendance:

Norman (Bud) Purves

Also Present:

Marta Asturi, Legal Counsel and Assistant Corporate Secretary

Jason Gorel, Chief Financial Officer and Treasurer

Graham Leah, Vice President, Asset Management

Sheila Penny, Vice President, Facilities Management

Liz Reid, Vice President, Information & Technology Services

Ken Scott, Seior Director, Procurement

Greg Spearn, Interim President and Chief Executive Officer/ Chief Development Officer

Pamela Spencer, General Counsel and Corporate Secretary/ Interim Vice President, Human Resources

Michael Vear, Chief Internal Auditor

ON MOTION DULY MADE by Mr. Brian Kwan, seconded by Mr. Bud Purves and carried, the CAAC elected Mr. Christian Buhagiar as Chair of the CAAC meeting in the absence of the CAAC Chair.

A quorum being present, Mr. Christian Buhagiar called the meeting to order and Ms. Mirela Bolentiru served as recording secretary.

Item 1 - Approval of Agenda

Motion carried

ON MOTION DULY MADE by Mr. Brian Kwan, seconded by Mr. Bud Purves and carried, the CAAC unanimously approved the agenda as presented.  

Item 2 - Declaration of Conflict of Interest

The Chair requested members of the CAAC to indicate any agenda item in which they had a conflict of interest, together with the nature of the interest. None were declared.

Item 3 - Confirmation of Public Minutes of September 23, 2014

The Committee had before it the draft Corporate Affairs and Audit Committee minutes for the June 27, 2014 meeting.

Motion carried

ON MOTION DULY MADE by Mr. Brian Kwan, seconded by Mr. Bud Purves and carried, the CAAC unanimously confirmed the September 23, 2014 public minutes as presented.

Item 4 - Business Arising from the Minutes and Committee Action Items Update

The Committee had before it the above captioned report. The CAAC noted that the reporting on the development of the whistleblower policy remain under the CAAC’s mandate, and not transfer to GRHRC as noted in the report.

Motion carried

ON MOTION DULY MADE by Mr. Brian Kwan, seconded by Mr. Bud Purves and carried, the CAAC unanimously received the report for information.

Item 5 - 2014 CAAC Work Plan Review, CAAC:2014-51

The CAAC had before it the above-captioned report (CAAC:2014-51) from the Chief Financial Officer and Treasurer.  

A discussion ensued with respect to the current format of the Work Plan as to whether it delivers enough details.

Motion carried

ON MOTION DULY MADE by Mr. Purves, seconded by Mr. Kwan and carried, the CAAC unanimously received the report for information.

Item 6 - Internal Audit 2015 Work Plans, CAAC:2014-52

The CAAC had before it the above-captioned report (CAAC:2014-52) from the Chief Internal Auditor.

The Chief Internal Auditor introduced the report and responded to queries raised by the CAAC, in particular the following:

• The CAAC asked for details with respect to the follow up process on the recommendations from the Chief Internal Auditor. The Chief Internal Auditor explained that the process is similar to the process followed by the Office of the Auditor General. At the end of each year, all the Internal Audit recommendations from prior Internal Audits are assessed with respect to the level of their implementation and then a report from the Chief Internal Auditor is submitted in the following year to the CAAC for its review.
• Managing execution risks with respect to resources and time allocation is a key component for consideration by the Internal Audit in 2015.
• The CAAC noted the discussions regarding the entry access to the TCHC buildings (master keys and fobs) that were held at the November 26, 2014 Committee meetings and suggested this topic as a potential task for the Internal Audit to address in 2015. The CAAC also inquired with respect to addressing the waiting list administration in 2015 for Access Housing Connections Inc.
• The CAAC discussed with the Chief Internal Auditor how to address the number of work plan carryovers into the 2015 work plan.

Motion carried

ON MOTION DULY MADE by Mr. Kwan, seconded by Mr. Purves and carried, the CAAC unanimously adopted the report and approved the 2015 Internal Audit Work Plans.

Item 7 - Internal Audit: 2015 Budget, CAAC:2014-53

The CAAC had before it the above-captioned report (CAAC:2014-53) from the Chief Internal Auditor.  

A discussion ensued and the Chief Financial Officer & Treasurer confirmed that TCHC has adequate funds to support the 2015 Internal Audit Budget.

Motion carried

ON MOTION DULY MADE by Mr. Purves, seconded by Mr. Kwan and carried, the CAAC unanimously adopted the report and recommended that the report be forwarded to the Board of Directors for approval. 

Item 8 - Review of Board, President and CEO and Senior Management Expenses Q3 2014, CAAC:2014-54

The CAAC had before it the above-captioned report (CAAC:2014-54) from the Chief Internal Auditor.  

The Chair of the Board of Directors asked that going forward, all future quarterly reports contain a comparison of the total expenses for the current quarter versus the same from the previous year. Management confirmed that the requested comparison will be added in all future reports.

In response to question raised by CAAC, Management explained that three employees have taken professional development courses during the third quarter 2014.

Motion carried

ON MOTION DULY MADE by Mr. Kwan, seconded by Mr. Purves and carried, the CAAC unanimously received the report for information.

Item 9 - Office of the Commissioner of Housing Equity: 2015 Budget, CAAC:2014-55

The CAAC had before it the above-captioned report (CAAC:2014-55) from the Commissioner of Housing Equity (COHE).

• At its November 26, 2014 meeting, the Resident Services Committee (RSC) adopted the COHE budget and requested that the report be provided firstly to the CAAC prior to its submission to the Board of Directors for final approval.
• The CAAC agreed to provide guidance with respect to the 2015 COHE budget while the authority sits with the RSC to recommend to the Board for approval.
• The 2015 COHE budget has been reduced by two staff members. Should the COHE activity levels increase in 2015, a request for gap staff funding would need to be made by the COHE to the CFO at that time.
• The COHE has identified the need of a resident file tracking system.
• The CAAC requested clarity for the increase of $100K in the budget from $624K in 2014 to $724K in 2015.

Motion carried

ON MOTION DULY MADE by Mr. Kwan, seconded by Mr. Purves and carried, the CAAC unanimously deferred the report and directed Management to forward the report onto the appropriate Committee and/or TCHC Board of Directors, in order to obtain the requisite approvals required for budgetary approval, noting that the report was not within the CAAC terms of reference.

TERMINATION

ON MOTION DULY MADE by Mr. Kwan, seconded by Mr. Purves and carried, the CAAC resolved to terminate the public meeting at 3:03 p.m.