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Auditor-General Bill 2009
Auditor-General Bill 2009
Explanatory Notes
Title of the Bill:
Auditor-General Bill 2009.
Objective of the legislation:
The policy objective of the Auditor-General Bill 2009 (the Bill) is to
replace and update Parts 5 and 6 of the Financial Administration and Audit
Act 1977 (the FA&A Act). The Bill will:
· further emphasise and enhance the independence of the Queensland
Auditor-General;
· address a number of operational issues to improve the ability of the
Queensland Audit Office to carry out its functions; and
· consolidate audit provisions contained within other parts of the FA&A
Act and the Government Owned Corporations Act 1993 into one
piece of legislation and make further miscellaneous amendments.
Reasons for the objective and how it will be achieved:
Part 5 of the FA&A Act establishes the role of the Auditor-General and the
Queensland Audit Office and defines the method, terms and conditions of
appointment for the Auditor-General. Part 6 of the Act defines the
Queensland Audit Office's powers to audit the consolidated fund and
public sector entities, and provides for the strategic review and independent
audit of the Queensland Audit Office.
Parts 5 and 6 of the FA&A Act are administered by the Premier, while the
remaining provisions are administered by the Treasurer.
The Treasury Department has undertaken a comprehensive review of the
FA&A Act, with a view to introducing a new public sector financial
management Act (the Financial Accountability Bill). It is considered that
the separation of Parts 5 and 6 of the Act into audit specific legislation will
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Auditor-General Bill 2009
serve to emphasise and enhance the independence of the Auditor-General
and clarify the administration of these parts of the FA&A Act.
The Public Accounts Committee and the Auditor-General support this
approach.
Alternative method of achieving the policy objectives:
There is no alternative method of achieving the policy objectives as all
require amendment of existing legislation.
Estimated cost for Government implementation:
None of the proposed substantive changes are expected to have any direct
financial implications.
Consistency with Fundamental Legislative Principles:
The Bill has been drafted with due regard to the Fundamental Legislative
Principles as outlined in the Legislative Standards Act 1992.
The Bill could be considered to infringe Fundamental Legislative
Principles as clause 30 has the potential to authorise the amendment of the
operation of the Bill through a regulation. The regulation could be used to
exclude a public service entity from the requirement that it be audited by
the Auditor-General.
However, it is considered that appropriate checks are in place to ensure that
regulations are made only in appropriate cases. Clause 63 provides
authority for the Auditor-General to report to the Legislative Assembly if
he or she considers that a regulation should not have been made or should
have been made differently. A report to the Legislative Assembly in
accordance with clause 63 would facilitate parliamentary scrutiny of a
proposed regulation.
Clauses 46(5), 47(3) and 48(8) of the Bill have been carried over from the
FA&A Act and provide that self-incrimination is not a reasonable excuse
for failing to provide information requested by an authorised auditor.
These clauses seek to ensure that authorised auditors retain the power to
access documents, information or evidence relevant to an investigation,
while also protecting the interests and liberties of the individual. While the
provisions could be considered to infringe Fundamental Legislative
Principles, they are considered to be justified in this instance as the
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questions posed concern matters which are peculiarly within the
knowledge of the person to whom they are directed, and would be difficult
or impossible for the Crown to establish by any alternate evidentiary
means.
In addition, clauses 46(6), 47(4) and 48(9), which have also been carried
over from the FA&A Act, provide immunity in relation to any information
obtained as a direct or indirect consequence of the information that the
Auditor-General has obtained during an investigation. The breach of
fundamental legislative principles is considered justified on the basis that
the power is designed to encourage appropriate cooperation with the
Auditor-General, which is necessary to allow the Auditor-General to
perform his or her operational responsibilities.
Clause 55 provides for the protection of an authorised auditor from civil
liability for acts or omissions done honestly and without negligence.
Liability would instead attach to the State. While the provision could be
considered to infringe Fundamental Legislative Principles, this is a
standard clause in Queensland legislation where there is a need to protect a
public official from personal liability. The protection only applies for
actions taken honestly and without negligence in the course of the official's
duties, and continues to provide an avenue of redress for any affected
individuals by providing that liability attaches to the State.
Clauses 46(6), 47(4), 48(9) and 55 seek an appropriate balance between the
abrogation of privilege and self incrimination.
Clause 46 also confers entry and post-entry powers for authorised auditors
to enter premises without a duly issued warrant. These powers are
considered necessary for the Auditor-General to carry out his or her
operational responsibilities. The Bill is considered to contain sufficient
safeguards to protect the rights and liberties of individuals through, for
example, identity cards for authorised auditors (clause 44), compensation
(clause 49) and confidentiality (clause 53).
Consultation:
Extensive consultation was undertaken with the Queensland Audit Office
and the Treasury Department during drafting of the Bill. Crown Law was
consulted on certain proposed amendments to the existing provisions
contained within the FA&A Act.
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Auditor-General Bill 2009
Notes On Provisions
Part 1 Preliminary
Clause 1 states that, when enacted, the Bill will be cited as the
Auditor-General Act 2009.
Clause 2 states that the Bill is intended to commence on a day fixed by
proclamation.
Clause 3 is a new provision which details the main objects of this Act
recognising the principle that the Queensland Auditor-General conducts
independent audits of the Queensland public sector and related entities on
behalf of the Parliament.
Clause 4 provides that the dictionary in the schedule defines particular
words used in this Act.
Clause 5 provides for the definition of control and controlled entity. The
concept of control has been derived from relevant Australian Accounting
Standards to determine when a subsidiary entity is controlled, either
directly or indirectly, by a parent entity.
Part 2 Queensland Auditor-General and
Queensland Audit Office
Division 1 General
Clause 6 is sourced from sections 47 and 58 of the FA&A Act and
establishes the office of Queensland Auditor-General, Queensland Deputy
Auditor-General and the Queensland Audit Office.
Clause 7 is sourced from section 48 of the FA&A Act and provides that the
Queensland Audit Office is under the control of the Queensland
Auditor-General.
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Auditor-General Bill 2009
Clause 8 is sourced from section 49 of the FA&A Act and states the
principle that the Queensland Auditor-General is not subject to any person
in relation to the Auditor-General's exercise of powers or audit priorities
Division 2 Provisions relating to Auditor-General
Clause 9 is sourced from section 50 of the FA&A Act and provides for the
Governor in Council to appoint an Auditor-General on the
recommendation of the Minister. However, prior to making a
recommendation to the Governor in Council, the Minister must place
national press advertisements for suitably qualified persons for all new
appointments to the office of Queensland Auditor-General. The Public
Accounts Committee must be consulted on the selection process, and the
proposed nomination, in respect of new appointments to the office of
Queensland Auditor-General.
A new subsection is proposed which states that the requirement for press
advertisements and consultation with the Public Accounts Committee on
the process of selection for appointment does not apply to the
reappointment of a person as Auditor-General.
Clause 10 is sourced from section 51 of the FA&A Act and provides that
the Auditor-General holds office for the term, of not more than 7 years,
stated in the instrument of appointment.
A new provision has been included that a person may be reappointed for a
consecutive term. However, a person must not be reappointed if the total of
the person's terms of appointment would be more than 7 years.
Clause 11 is partially sourced from section 52 of the FA&A Act and
provides that the Auditor-General is to be appointed on a full-time basis
and is to be paid remuneration and allowances decided by the Governor in
Council. Prior to making a recommendation to the Governor in Council
about the remuneration, allowances and other terms and conditions for the
Auditor-General, the Minister must consult with the Public Accounts
Committee.
A new provision has been included that the rate of remuneration of the
Auditor-General must not be reduced during the term of office without the
Auditor-General's written consent.
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Auditor-General Bill 2009
Clause 12 is sourced from section 53 of the FA&A Act and provides that
the Queensland Auditor-General and the Deputy Auditor-General (under
Clause 25) are to submit a statement of their pecuniary interests to the
Speaker. The information contained in the statement must be the same as
that required for Members of the Legislative Assembly.
The clause also provides for the Speaker to receive allegations from
Members of non-compliance by the Queensland Auditor-General and
Deputy Auditor-General with the requirements for registration of their
pecuniary interests. However, the Bill does not address the procedure for
the investigation of such allegations. It is considered that the procedure
should be left to the Legislative Assembly to determine in the event of an
allegation being made.
Clause 13 prohibits the Auditor-General from holding an office of profit
other than that of the office of Queensland Auditor-General. The clause
also prohibits the Auditor-General from taking on any remunerative
employment or undertaking outside the duties of the office of
Auditor-General.
Clause 14 is sourced from section 54 of the FA&A Act and provides that,
where the person appointed as Auditor-General was a public service officer
immediately before being appointed to be the Auditor-General, that person
is entitled to retain any accruing and existing rights.
If the person ceases to be the Auditor-General and again becomes an officer
of the public service, the person's service as Auditor-General is to be
regarded as service of a similar kind in the public service for the purpose of
working out the person's rights as an officer of the public service.
Clause 15 is sourced from section 55 of the FA&A Act and provides that
the Minister is to approve the leave of absence for the Auditor-General in
accordance with the terms and conditions of employment approved by the
Governor in Council.
Clause 16 is sourced from section 56 of the FA&A Act and provides that
the Auditor-General may, at any time, resign office as Auditor-General by
signed writing, addressed to the Governor, the Speaker or the Clerk of the
Parliament (in the absence of the Speaker).
Clause 17 is sourced from section 57(1) and (4) of the FA&A Act which
establishes that proved incapacity, incompetence or misconduct and
conviction of an indictable offence are grounds for removal or suspension
of the Auditor-General from office. Additional reasons of insolvency and
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Auditor-General Bill 2009
holding an office of profit (under clause 12) other than that of the office of
Auditor-General have been included as additional grounds for termination
or suspension of the appointment of the Auditor-General.
Clause 18 is sourced from section 57(2), (3), (5) and (11) of the FA&A Act
and provides that the Governor may, on an address from the Legislative
Assembly, remove or suspend the Auditor-General from office. The motion
for the address may be moved only by the Premier if:
· the Premier has given the Auditor-General a statement setting out the
reasons for the motion;
· to afford natural justice, any written response by the Auditor-General
has been tabled in the Legislative Assembly;
· the Premier has consulted with the Public Accounts Committee about
the motion; and
· agreement to the motion has been obtained from all members of the
Public Accounts Committee or a majority of members of the Public
Accounts Committee other than a majority consisting wholly of
members of the political party or parties in government in the
Legislative Assembly.
Clause 19 is sourced from section 57(7) to (11) of the FA&A Act and
provides a procedure to suspend the Auditor-General when the Legislative
Assembly is not sitting.
This procedure is a temporary measure until the Legislative Assembly sits.
The clause provides that the Governor in Council may suspend the
Auditor-General from office only if the Premier has given the
Auditor-General a statement setting out the reasons for the suspension and
the Premier has considered any response by the Auditor-General to the
statement.
The Premier must table the statement and any written response by the
Auditor-General in the Legislative Assembly within 3 sitting days after the
day the suspension begins.
The suspension stops having effect at the end of seven sitting days after the
day the suspension begins and the procedure under clause 18 will need to
be carried out to suspend the Auditor-General for a further period. During
this period, the Auditor-General may be suspended or removed from office
on an address from the Legislative Assembly in accordance with the
procedure under clause 18 or 19.
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If the suspension stops having effect at the end of seven sitting days after
the suspension begins, the Auditor-General is entitled to be paid salary and
allowances for the period of the suspension.
Clause 20 is sourced from section 66 of the FA&A Act and provides that
the Auditor-General may delegate powers under an Act to an authorized
auditor, with the exception of the delegation of a power to report to the
Legislative Assembly.
Clause 21 is sourced from section 68 of the FA&A Act and provides that
the Auditor-General must prepare for each financial year estimates of
receipts and expenditure of the audit office with the Public Accounts
Committee, and give the estimates to the Treasurer. The Treasurer must
consult with the Public Accounts Committee in developing the budget for
the Queensland Audit Office.
Division 3 Provisions relating to Deputy
Auditor-General
Clause 22 is sourced from section 60 of the FA&A Act and provides for the
Deputy Auditor-General to be a public servant. However, when the Deputy
Auditor-General acts as Auditor-General, the Act applies to the Deputy as
if he or she were the Auditor-General. For example, when acting as
Auditor-General, the Deputy cannot be suspended from office except in
accordance with clauses 18 and 19.
Clause 23 is sourced from section 59 of the FA&A Act and provides for the
Deputy Auditor-General to act in the office of Auditor-General during any
vacancy of that office or if the Auditor-General is absent from duty or
unable to perform the functions of the office. While a person is acting in the
office of Auditor-General, he or she is to perform all the functions of the
Auditor-General and has the same immunities and independence as the
Auditor-General. The actions of a person purporting to act in the office of
Auditor-General are not invalid merely because the occasion to act had not
arisen or had ceased.
Clause 24 is sourced from section 62 of the FA&A Act and states the
principle that the Queensland Deputy Auditor-General is subject only to
direction by the Auditor-General in the Deputy Auditor-General's exercise
of powers or audit priorities.
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Clause 25 is sourced from section 61 of the FA&A Act and provides that
the Deputy Auditor-General is to submit a statement of pecuniary interests
to the Speaker in the same way as required by the Auditor-General, as
indicated at clause 12.
Division 4 Staff of audit office
Clause 26 is sourced from section 63 of the FA&A Act and establishes that
the staff of the Queensland Audit Office are appointed as public servants.
Clause 27 is sourced from section 65 of the FA&A Act and provides that
staff of the audit office are subject to direction only by the Auditor-General,
the Deputy Auditor-General or a person authorised by the Auditor-General
in the exercise of powers or audit priorities.
Division 5 Other matters
Clause 28 is sourced from section 70 of the FA&A Act and retains the
position that specific directions or guidelines for the audit office can only
be issued by the Public Service Commission Chief Executive with the prior
approval of the Auditor-General.
Clause 29 is sourced from section 71 of the FA&A Act and provides that a
management review of the Audit Office cannot be conducted without the
invitation to do so by the Queensland Auditor-General. It is not considered
appropriate that an agency of Executive Government should have the
capacity to review the Audit Office, except at the invitation of the
Auditor-General.
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Auditor-General Bill 2009
Part 3 Audit of consolidated fund and
public sector entities
Division 1 Scope of Auditor-General's mandate
Clause 30 is sourced from section 73 of the FA&A Act and provides that
the Queensland Auditor-General is to audit the public accounts and all
public sector entities other than the Queensland Audit Office. The
Auditor-General does not have the power to audit any entity exempt by
regulation under clause 31 or any controlled entity that may be audited by
an auditor approved by the Auditor-General under clause 32.
Public sector entities is defined in the Bill to include a department; a local
government; a statutory body; a government owned corporation; an entity
that is controlled by 1 or more public sector entities; or an entity controlled
by an entity that is a public sector entity. The definition has been broadened
to include government owned corporations and their subsidiaries.
The Auditor-General's mandate to audit government owned corporations
and their subsidiaries is currently given effect through the Government
Owned Corporations Act 1993. Government owned corporations have been
included within the definition of a "public sector entity" for this Bill to
ensure that all public sector entities that are audited by the Auditor-General
are covered by one Act. Consequential amendments are proposed as part of
the Financial Accountability Bill to the Government Owned Corporations
Act 1993 to remove the audit provisions from that Act.
Clause 31 is sourced from section 74 of the FA&A Act and enables the
Governor in Council by regulation to exempt a public sector entity from
audit by the Queensland Auditor-General. However, the Governor in
Council may not exercise this delegated power without the Minister having
first consulted with the Auditor-General.
Under clause 63, the Queensland Auditor-General may report to the
Legislative Assembly if he or she considers that a regulation made under
clause 31 should not have been made or should have been made differently.
Clause 32 is a new provision which recognises that, in certain
circumstances, the Auditor-General may approve the appointment of a
contract auditor to undertake audits of controlled entities. Such
circumstances may be where a controlled entity is based in or has
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significant operations outside of Australia, or operates within a corporate
group or requires specialist skills to conduct the audit. The object of this
clause is to ensure that, in these instances, the Auditor-General may
approve the appointment of a contract auditor to undertake the work and
receive a report on any audit undertaken in relation to the controlled entity.
Clause 33 is sourced from section 75 of the FA&A Act and ensures that the
Queensland Auditor-General is informed where a public sector entity is
abolished or an entity becomes a public sector entity. The clause amends
section 75 of the FA&A Act by clarifying that the board of a government
owned corporation or its subsidiaries provides information about a
notifiable event directly to the Auditor-General. This procedure will
continue to exclude changes in departmental arrangements.
Clause 34 is sourced from section 76 of the FA&A Act and places a duty
on the shareholders of a public sector entity that is a company to appoint
the Queensland Auditor-General as the company auditor. This section will
apply to all companies controlled by a public sector entity, except where
the company has been exempted from audit by the Auditor-General or
where an auditor has been approved by the Auditor-General to undertake
the audit.
Clause 35 is sourced from section 77 of the FA&A Act and recognises that
there may be occasions where the Legislative Assembly wishes to request
the Queensland Auditor-General to investigate a particular matter. Clause
35 requires the Auditor-General to comply with the request,
notwithstanding clause 8 (Auditor-General not subject to direction).
Clause 36 is sourced from section 78 of the FA&A Act which authorises
the Queensland Auditor-General to audit an entity that is not a public sector
entity on a by-arrangement basis at the request of a Minister or a public
sector entity. Such arrangements are instituted where there is a public
interest in having the Auditor-General undertake the audit. The proposed
clause requires the entity to agree to the audit by the Queensland
Auditor-General.
Division 2 Conduct of audits
Clause 37 is sourced from section 79 of the FA&A Act which empowers
the Auditor-General to conduct audits in the way in which the
Auditor-General considers appropriate.
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Auditor-General Bill 2009
Clause 38 is sourced from section 80 of the FA&A Act and will retain the
Auditor-General's mandate to conduct performance management systems
audits to determine whether an entity's management systems enable it to
assess whether its objectives are being achieved economically, efficiently
and effectively. An assessment of the relevance of the published measures
used by public sector entities can also be undertaken to assess an entity's
performance. The requirement for the Auditor-General to have regard to
any prescribed requirements relating to the establishment and maintenance
of performance management systems will continue to exclude government
owned corporations or a controlled entity of a government owned
corporation in line with the previous provisions of the Government Owned
Corporations Act 1993.
Clause 39 is sourced from section 81 of the FA&A Act and requires the
Auditor-General to audit the consolidated fund accounts.
Clause 40 provides for the audit of the annual financial accounts of public
sector entities and the preparation of an audit report. The section will cover
the reporting requirements of all public sector entities and is to be similar
to that currently contained in sections 40(4) to (7), 46G, 105M(3) to (7) and
105O of the FA&A Act. In accordance with current arrangements, it is
enough for a government owned corporation or a controlled entity of a
government owned corporation to provide the financial statements that it is
currently required to provide under the Corporations Act.
Clause 41 is sourced from section 40AE of the FA&A Act and requires the
Auditor-General to audit the expenditure of Ministerial Offices.
Clause 42 provides for the audit of the consolidated whole of government
financial statements and the preparation of an audit report.
Clause 43 is sourced from section 82 of the FA&A Act and authorises the
Auditor-General to appoint public accountants from outside the Audit
Office to conduct an audit. In conducting an audit, "contract auditors" may
exercise all the powers of the Auditor-General. Clause 58 requires the
Auditor-General to prepare standards relating to the selection, engagement
and quality control of contract auditors.
Clauses 44 to 52 are sourced from sections 83 to 91 of the FA&A Act and
retain the existing powers of the Auditor-General and other authorised
auditors to obtain information necessary to conduct audits.
Clause 53 is sourced from section 92 of the FA&A Act and maintains the
obligation on authorised auditors and their staff to respect the
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Auditor-General Bill 2009
confidentiality of information obtained in the course of audits and not to
divulge such information except where there is a duty to disclose. An
additional provision has been included at subsection 1(d) to clarify that any
person who receives a draft audit report under clause 64 must also treat the
information as confidential.
The section permits disclosure of audit information to the Public Accounts
Committee, the Public Works Committee, the Crime and Misconduct
Commission, a Police officer or a court.
Significant penalties will continue to be imposed for breach of confidence.
A new provision has been included at clause 53(4) to ensure that discretion
is retained over the disclosure of protected information to an entity
responsible for an investigation or prosecution of offences.
New clause 53(5) has been included to enable matters to be disclosed to the
Australian Securities and Investments Commission, where appropriate,
without first being requested to provide the information or in cases where
there is no investigation or prosecution already under way.
Clause 54 is sourced from section 93 of the FA&A Act and maintains the
obligation on the Auditor-General to give observations or suggestions
arising out of an audit which require attention to the appropriate person.
A new provision has been included within the clause which enables the
Auditor-General to forward draft reports to any other person who, in the
Auditor-General's opinion, has an interest in the audit report to provide
comment. The process of considering submissions or comments from all
relevant parties will not compromise the audit process and is likely to
enhance the quality of audit reports. Clause 64 (Comments on proposed
audit reports) has been amended to include a similar provision.
Clause 55 prevents civil action against an authorised auditor for acts or
omissions done honestly and without negligence, but provides for liability
in such circumstances to attach to the State. This personal protection for
auditors is sourced from section 94 of the FA&A Act and is considered
necessary and appropriate in view of the involvement of the
Auditor-General in the audit of joint ventures and other commercial
undertakings involving third parties.
Clause 56 is sourced from section 95 of the FA&A Act and allows the
Auditor-General to charge fees for any audit conducted. The
Auditor-General also charges direct costs associated with undertaking
audits. A new provision has therefore been included which recognises the
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Auditor-General Bill 2009
current practice of the Auditor-General charging reasonable costs and
expenses incurred in conducting the audit.
Clause 57 is sourced from section 96 of the FA&A Act and indicates that
this Bill will not limit the powers of the Auditor-General apart from as
indicated in this Bill.
Division 3 Reports to the Legislative Assembly
Clause 58 is sourced from section 97 of the FA&A Act and maintains the
requirement for the Auditor-General to report to the Legislative Assembly
on the general standards used or proposed to be used in audits. The report
must be accessible to the public. When reporting on audits to the
Legislative Assembly, the Auditor-General will be required to indicate
where any audit departed significantly from the published standards.
Clauses 59 and 60 are sourced from sections 98 and 99 of the FA&A Act
which deal with the Auditor-General's annual reports on the consolidated
fund accounts and the audit of public sector entities. The clauses retain the
provisions for the Auditor-General to report action or inaction by auditee
management in remedying significant deficiencies noted in previous audit
reports.
Clauses 61 to 63 are sourced from sections 100 and 102 of the FA&A Act
which deal with the preparation of audit reports by the Auditor-General for
the Legislative Assembly.
Clause 64 is sourced from section 103 of the FA&A Act and requires the
Auditor-General to give a summary of findings of an audit to the Treasurer,
Minister, accountable officer, chairperson or equivalent responsible officer
of an entity, as the case may be, to ensure that organisations and individuals
who are the subject of an audit are afforded an opportunity to respond to
the findings, as required by natural justice.
Recipients have a time limit of 21 days to report to the Auditor-General.
The Auditor-General must include any submission or comments, or a fair
summary of them, in the report to the Legislative Assembly.
Clause 65 imposes a requirement on the recipient of a summary of findings
to preserve confidentiality in respect to all matters contained in the
summary of findings and not to disclose the contents, except in connection
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Auditor-General Bill 2009
with making submissions or comments to the Auditor-General or obtaining
legal advice in relation to those matters.
Clause 66 is sourced from section 104 of the FA&A Act and details the
circumstances under which the Auditor-General must not disclose
information in an audit report on the basis that doing so would be against
the public interest. Where such matters arise, the Auditor-General must
instead include the information in a report to the Public Accounts
Committee.
Clause 67 is sourced from section 105 of the FA&A Act and states that the
Auditor-General must give audit reports to the Speaker or, in the absence of
the Speaker, the Clerk of the Parliament. The Speaker or the Clerk must
cause a copy of the report to be laid before the Legislative Assembly on its
next sitting day.
Part 4 Strategic review of the audit
office
Clause 68 is partially sourced from section 72 of the FA&A Act and retains
provision for the Minister to appoint an appropriately qualified person to
undertake a strategic review of the Queensland Audit Office at least once
every five years. This is the maximum period between reviews and a
strategic review may be commissioned at any time.
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Auditor-General Bill 2009
There is currently uncertainty regarding the timing of the strategic reviews
in instances where the Minister tables a response to the Public Accounts
Committee report on the previous strategic review which does not contain
any recommendations. Subclause 68(2) provides that the five years
commences from the date that the Minister's response to the Public
Accounts Committee report is tabled, regardless of whether the Public
Accounts Committee has made any formal recommendations. This will
ensure that the Auditor-General is able to implement the strategic review
recommendations in full knowledge of the views of the Public Accounts
Committee and the Minister.
The Public Accounts Committee and the Auditor-General are to be
consulted on the terms of reference for the review and the appointment of
the person to conduct the review. The remuneration and other terms of
appointment of the reviewer are to be decided by the Governor in Council.
Clause 69 is sourced from section 72(A) of the FA&A Act which
establishes that, in conducting the strategic review, the reviewer has the
powers that an authorised auditor has for an audit of an entity.
Clause 70 is sourced from section 72(B) of the FA&A Act and provides
that the reviewer must give a copy of a proposed report on the review to the
Minister and the Auditor-General. Provision currently exists within section
72(B) for the Auditor-General to comment on the draft report within 21
days after receiving the proposed report, and have those comments
incorporated into the final report. A new provision has been included
within this clause which also provides for the Minister to comment on and
have those comments incorporated into the final report.
The Minister must table the review report in the Legislative Assembly
within 3 sitting days after the Minister receives the report.
Part 5 Independent Audit of
Queensland Audit Office
Clauses 71 and 72 are sourced from section 69 of the FA&A Act and
provide for the Governor in Council to appoint an independent registered
company auditor to undertake the audit of the Queensland Audit Office for
each financial year for a period of up to five consecutive years. Audit
reports on the Queensland Audit Office will continue to be provided
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Auditor-General Bill 2009
directly to the Minister, with a copy to the Treasurer and to the
Auditor-General.
Part 6 General provisions
Clause 73 states that the Governor in Council may make Regulations which
prescribe matters required or permitted by the Bill that are necessary for
giving effect to the Bill. The Regulations may create offences and prescribe
penalties for the offences of not more than 5 penalty units.
Part 7 Transitional Provisions
Clauses 74 to 85 aim to ensure that there is no ambiguity in relation to the
change of legislation from the FA&A Act to the Auditor-General Act.
Areas covered include:
(a) the appointment, employment conditions and duties of the
Auditor-General and Deputy Auditor-General are to continue;
(b) any delegation of power by the Auditor-General made under section
66 of the FA&A Act is to continue;
(c) any rulings on or requests for reviews under the Public Service Act
2008 are to continue;
(d) if a strategic review has commenced under the FA&A Act, it is to
continue;
(e) audits and reports commenced under the FA&A Act are to continue;
(f) continuance of reports on auditing standards made under section 97 of
the FA&A Act;
(g) continuance of appointment of contract auditors of the Queensland
Audit Office under section 82 of the FA&A Act;
(h) the appointment of an independent auditor of the Audit Office and the
audit of the Queensland Audit Office is to continue; and
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Auditor-General Bill 2009
(i) a reference to the repealed FA&A Act is to be taken to be a reference
to this Act.
© State of Queensland 2009
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