Guide to Using this Report cont… Information Technology Audits Information technology audits are undertaken as audits of key agency or acrossgovernment systems. Each of the systems selected for audit plays an important role in processing data and providing information for the purposes of financial management and, more particularly, for the purposes of financial reporting and the preparation of the Treasurer’s Annual Financial Statement. End of Year Reviews The End of Year Review provides an audit focus on year end balances particularly within agencies. The nature of the review is determined annually whilst planning the audit of the Treasurer’s Annual Financial Statement, but includes testing of transactions occurring around year end to provide a degree of confidence about the data provided to Treasury and which will form part of the overall reporting on the Public Account. Controls and Compliance Audits Controls and Compliance Audits are conducted of selected systems or accounting processes to determine whether the systems and processes achieve compliance with legislated or otherwise mandated requirements. These audits are intended to assist me in my audit of the Public Account. Performance Management System Audits The audit process determines whether existing systems or practices, or management controls over systems, are adequate to provide relevant and reliable performance information that will assist intended users of the information make decisions relating to accountability and achieving results. These audits are also intended to assist me in my audit of the Public Account. Public Information Act Referrals The Public Information Act requires the Auditor-General, upon receipt of a written request of an Assembly member, or on the Auditor-General’s initiative, to conduct a review of particular public information to determine whether the Act is contravened in relation to the information. If review of the information suggests a contravention, I issue a preliminary opinion to the public authority that gave the relevant public information. When preparing my report about the review, I take into consideration any comments provided by the public authority following my preliminary opinion. The associated reports are included in my reports to the Legislative Assembly.
Batchelor Institute of Indigenous Tertiary Education cont… Financial Position at year end 2017 2016 $’000 $’000 Cash and cash equivalents 3,457 5,340 Receivables and other current assets 6,988 5,228 Less current liabilities (7,348) (7,806) Working Capital 3,097 2,762 Add non-current assets 32,550 33,274 Less non-current liabilities (334) (917) Net Assets 35,313 35,119 Represented by: Reserves 30,741 30,338 Retained earnings 4,572 4,781 Equity 35,313 35,119
Department of Health cont… The evolution of the project is demonstrated in Table 1. Table 1: Changes to the Project Mark 1 (2009 - 2012) Mark 2 (2014-2015) Mark 3 (2015 – time of audit) Completion May 2018 (with work commencing in April 2012) 2018 (with work commencing in April 2014) 15 March 2018 and PRH would become operational in the third quarter of 2018 (with work commencing in 2016) Cost $110 million $40 million – NTG $70 million – Commonwealth (included $7m for fixtures, furnishings and equipment (FFE)) $193.9 million (included $17m for FFE) $150 million $40 million – NTG $110 million – Commonwealth (included $0 for FFE) Site Lot 8408 Temple Terrace Farrar Section 4231 Hundred of Bagot Section 4231 Hundred of Services 60 bed facility 79 bed facility Floor plate of 14,345 square metres 4 levels 116 bed facility Floor plate of 22,421 square metres 2 levels Delivery Options Design then Construct Design then Construct Managing Contractor Design and Construct Project Owner / Governance Jointly undertaken by: DoH (ultimate owner and final operator); and DoI (project management of the construction phase). DoH had sole carriage of the concept. Reported to Project Development Board, Project Delivery Group, Palmerston Regional Hospital Project Team, Project Working Group DoH had sole carriage of the concept. Cross Government Project Steering Committee, Project Leadership Team and Project Management Team were established
Department of Trade, Business and Innovation cont… # 2016 Audit Recommendation Assessment of Current Status 3 “Planning should involve the early identification and involvement of key departments that are expected to have responsibility throughout the project.” The draft NTPDF requires agencies to engage with relevant stakeholders, including other NT Government departments, throughout the project. On review of the framework, it was noted that agencies are only “encouraged to utilise the NTPDF project status”. The Detailed Business Case Template requires a communication management plan to be documented that can be customised depending on the size and complexity of each project. 4 “Key performance indicators should be established for use in the planning, evaluation and delivery of all future major projects.” Proposed project outcomes are to be identified clearly within the Strategic Business Case Template. In the Detailed Business Case Template, the project’s objective and proposed outcomes are to be clearly identified. Guidance information is provided to ensure outcomes are relevant, measurable and achievable. Stage 10 “Project Close and Evaluation” (refer to Diagram 1) of the draft NTPDF requires projects to be evaluated by delegated officers to determine whether the outcomes sought are being achieved. The draft NTPDF Benefits Realisation Template is to be used for this purpose.
Department of Trade, Business and Innovation cont… Conclusion The objective of the audit was to assess the performance management system in place at the Agency that enable it to manage the Project. It is my opinion that a robust competitive process was undertaken by DTBI to seek and evaluate the responses from private sector proponents at each stage of the competitive process. The governance documents, assessments, reports and documentation maintained by the evaluation committee were comprehensive. My opinion in relation to my assessment of the performance management system at the Agency that enable it to manage the Project should not be interpreted as a conclusion related to the probity of the processes leading to the announcement of the preferred proponent. Systems and processes are in place at the Agency to manage the Project. The audit identified that the Agency has some opportunities to enhance processes and systems relating to the Project. Recommendations Recommendations to enhance the effectiveness of the performance management system have been reported Enhance financial analysis Two cost benefit analyses were sought by LDC in relation to the Marine Industry Park as a whole. At the time of audit fieldwork, no cost benefit analysis had been performed by the Territory to determine the effects of increasing the Territory’s investment to $100 million or the risks and benefits associated with accepting terms proposed by the preferred proponent that were not consistent with those terms initially established prior to issuing the Request for Proposals. It would be prudent for the Territory to recalculate the net present value and undertake an updated cost benefit calculation to reflect key decisions including, but not limited to, levels of NT Government funding, variations to the length of the lease periods relevant to the Project and transactions relation to the contribution of land within the Marine Industry Precinct. I recommended the Agency consider updating the assessment of the cost benefit analysis attributable to the development of the Marine Maintenance Precinct including the Ship Lift in order to inform the decision to proceed or not to proceed with the Project at the conclusion of Phase One.
Matters Referred to the Auditor-General Pursuant to Section 6 of the Public Information Act cont… (v) preserve order in the event of an emergency; (vi) promote awareness of rights, responsibilities, duties or entitlements; (vii) encourage of, or familiarity with, government products or services; (b) the purpose of the information is to do any of the following: (i) report on performance in relation to government undertakings; (ii) communicate functions of government (for example, education campaigns, recruitment, community engagement, expressions of interest, future plans); (iii) communicate on matters of social cohesion, pride, community spirit or tolerance. The content of the email contravenes Section 3 of the Public Information Regulations. In addition, I have listed below some specific elements from the referred email content that I have determined have contravened the provisions of the Act and/or the Regulations. Element Determination “Program ‘SerPro’ will help support frontline police officers by significantly improving access to police records digitally across the Territory in real time, regardless of location and enable use on mobile devices. This will result in officers spending less time at desks and more time on the streets to better enable them to prevent crime and anti-social behaviour.” Contravention of Public Information Act Section 6(2)(c) in that this element is not clearly distinguished as a statement of or a statement of comments. There are no facts presented or referenced within the email to substantiate the comment that the introduction of the new system will result in officers spending less time at desks and more time on the streets.