Contribution to the Parliament

The contribution of performance audit services to the work of the Parliament is measured, in part, by a review of comments in Parliamentary committee reports and at committee hearings. Parliamentary committee review of audit reports gives an impetus to entities in their implementation of audit recommendations, and to the overall improvement of public administration resulting from performance auditing. Committees continued to be supportive of audit conclusions and recommendations.

JCPAA

The JCPAA reviews all audit reports and conducts public inquiries into selected audit reports. The ANAO gives evidence at these inquiries and assists the JCPAA in its review work. The JCPAA tabled Report 407, Review of Auditor-General’s Reports tabled between 18 January 2005 and 18 April 2005 in September 2006. The report reviewed audit reports on: the investment of public funds and Commonwealth debt management; regulation of Commonwealth radiation and nuclear activities; the Edge Project;12 and Centrelink’s customer feedback systems.

The JCPAA supported the findings and conclusions contained in the audit reports reviewed, noted agencies’ advice about the implementation of our recommendations, and made their own recommendations in relation to the reports reviewed.

The JCPAA also held hearings into a number of our audits during the year. The reports of this work had not been completed by 30 June 2007, the end of the reporting period. The reports examined by the JCPAA in 2006–07 are listed below:

  • Audit Report No.12 2006–07, Management of Family Tax Benefit Overpayments;
  • Audit Report No. 3 2005–06, Management of the M113 Armoured Personnel Carrier Upgrade Project, Department of Defence;
  • Audit Report No. 6 2005–06, Implementation of Job Network Employment Services Contract 3;
  • Audit Report No. 11 2005–06, BSP Senate Order for Departmental and Agency Contracts;
  • Audit Report No. 17 2005–06, Administration of the Superannuation Lost Members Register;
  • Audit Report No. 21 2005–06, Audits of the Financial Statements of Australian Government Entities for the period ended 30 June 2005;
  • Audit Report No. 23 2005–06, IT Security Management;
  • Audit Report No. 27 2005–06, Management and Reporting on Expenditure on Consultants;
  • Audit Report No. 28 2005–06, Management of Net Appropriation Agreements;
  • Audit Report No. 29 2005–06, Integrity of Electronic Customer Records;
  • Audit Report No. 31 2005–06, Roads to Recovery;
  • Audit Report No. 32 2005–06, Tender for Detention Centre Contract;
  • Audit Report No. 34 2005–06, Advance Passenger Processing;
  • Audit Report No. 41 2005–06, Administration of Primary Care Funding Agreements;
  • Audit Report No. 43 2005–06, Assuring Centrelink Payments — The Role of the Random Sample Survey Programme;
  • Audit Report No. 47 2005–06, Funding for Communities and Community Organisations;
  • Audit Report No. 49 2005–06, Assuring Job Placement and Matching Services;
  • Audit Report No. 45 2004–05, Management of Selected Defence System Program Offices;
  • Audit Report No. 50 2004–05, Drought Assistance;
  • Audit Report No. 51 2004–05, DEWR’s oversight of Job Network services to job seekers; and
  • Audit Report No. 58 2004–05, Helping Carers: the National Respite for Carers Program, Department of Health and Ageing.

In addition, submissions were prepared and evidence provided to the JCPAA inquiry reviewing Certain Taxation Matters within Australia and the inquiry into Financial reporting and equipment acquisition at the Department of Defence and Defence Materiel Organisation.

We also provided submissions and evidence to the Senate Committee on Finance and Public Administration for the following inquiries:

  • the Transparency and Accountability of Commonwealth Public Funding and Expenditure Inquiry tabled in February 2007. It was recommended, that there be an examination of the proposals made by the Auditor-General for measures to assist the Legislative and General Purpose Standing Committees in their consideration of the estimates; and
  • the Departmental and Agency Contracts Inquiry tabled in March 2007. A number of recommendations were made which involve the ANAO in the reporting, implementation and management of departmental and agency contracts.

The House of Representatives Standing Committee on Health and Ageing reviewed Audit Report No. 19, 2006–07, Administration of State and Territory Compliance with the Australian Health Care Agreements. The Committee report had not been tabled by the end of June 2007.

Audits undertaken by formal request of the Parliament or Ministers or Parliamentarians

There were three audits undertaken by formal request. One was requested by the Senate and two were requested by parliamentarians. These audits are described briefly below.

Audit Report No. 5 2006–07, The Senate Order for Departmental and Agency Contracts (Financial Year 2005 Compliance) was conducted at the request of the Senate. This audit examined FMA Act agencies’ compliance with the Senate Order for Departmental and Agency Contracts, first issued on 20 June 2001. The audit was the eighth audit in a series of audits commencing with Audit Report No. 33 2001–02. The ninth audit is currently in progress.

Audit Report No. 8 2006–07, Airservices Australia, Upper Airspace Management Contracts with the Solomon Islands Government was requested by Mr Warren Truss MP, the former Minister for Transport and Regional Services following a review of civil aviation by the Solomon Islands Auditor-General.

The scope of Audit Report No. 39 2006–07, Distribution of Funding for Community Grant Programs took into account concern raised by Mr Chris Bowen MP, the Federal member for Prospect, regarding the administration of two rounds of funding for the Local Answers and Volunteer Small Equipment Grant programmes.

12 The Edge Project was a joint project between the Australian Government Department of Family and Community Services and Centrelink to develop expert systems for the Family Assistance Office.