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Commonwealth Parliamentary Seminar   0905
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Commonwealth Parliamentary Seminar 0905

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financial scrutiny of the executive nsw pac

financial scrutiny of the executive nsw pac

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  • 1. Financial Scrutiny of the Executive PUBLIC ACCOUNTS Paul McLeay MP COMMITTEE Chair, PAC
  • 2. Sunlight is the best of disinfectants
  • 3. 3
  • 4. Spenders
  • 5. Auditors
  • 6. Public Representatives
  • 7. Re ini & ts ns op pr ons n o ou ini es & c p en in ac it o ts te ts d pu res re au rp bl t te ains ic In pl ex Produces accounts of expenditure
  • 8. PUBLIC ACCOUNTS COMMITTEE Functions Public Finance and Audit Act 1983, Section 57 • PAC’s primary functions are to examine:  Total State Sector Accounts  Financial reports of State authorities  Opinions and reports of the Auditor-General Restrictions on the Committee x Government policy, unless inquiry referred by Assembly or Minister x Estimates of proposed expenditure
  • 9. PUBLIC ACCOUNTS COMMITTEE Source of Inquiries Referral by:
  • 10. • Referral by:  Legislative Assembly
  • 11. • Referral by:  Legislative Assembly  Minister
  • 12. • Referral by:  Legislative Assembly  Minister  Auditor-General
  • 13. The NSW Public Accounts Committee
  • 14. Referral by:  Legislative Assembly  Minister  Auditor-General  the Committee
  • 15. Inquiries Functions include reporting on circumstances connected with Auditor-General’s reports
  • 16. PUBLIC ACCOUNTS COMMITTEE Review of Performance Audits • Seek submission from agency 12 months after audit • Refer agency’s submission to A-G for comment • Hearings with agency and A-G • Report to Parliament • Debate in Parliament • Government response within 6 months
  • 17. • A-G made 15 recommendations • Main issue: Need targets • Committee found Legal Aid implementing 9, considering 2, rejected 3 • Reporting against targets rejected
  • 18. • PAC made 3 recommendations • Government agreed to primary rec: Legal Aid to report services against targets • Government did not agree to 2 minor recs.
  • 19. PUBLIC ACCOUNTS COMMITTEE Review of Performance Audits Purpose: • Bring together the professional expertise of the Audit Office and political authority and accountability of the PAC
  • 20. PUBLIC ACCOUNTS COMMITTEE Review of Performance Audits Purpose: • Bring together the professional expertise of the Audit Office and political authority and accountability of the PAC • Ensure recommendations of value are not forgotten Agency revised responses for hearing
  • 21. PUBLIC ACCOUNTS COMMITTEE Review of Performance Audits Purpose: • Bring together the professional expertise of the Audit Office and political authority and accountability of the PAC • Ensure recommendations of value are not forgotten • Allow both recommendations and responses to be tested in the political arena Explain any rejection of recommendations Demonstrate how any problems have been addressed
  • 22. PUBLIC ACCOUNTS COMMITTEE Review of Performance Audits Purpose: • Bring together the professional expertise of the Audit Office and political authority and accountability of the PAC • Ensure recommendations of value are not forgotten • Allow both recommendations and responses to be tested in the political arena • Ensure CEOs account to the Parliament for how they respond to recommendations Outline changes to address issues Explain any lack of progress
  • 23. PUBLIC ACCOUNTS COMMITTEE Review of Performance Audits Purpose: • Bring together the professional expertise of the Audit Office and political authority and accountability of the PAC • Ensure recommendations of value are not forgotten • Allow both recommendations and responses to be tested in the political arena • Ensure CEOs account to the Parliament for how they respond to recommendations • Provide reality check to Audit Office External assessment of recommendation in light of experience
  • 24. PUBLIC ACCOUNTS COMMITTEE Review of Performance Audits Outcome: • Improved accountability & performance of State agencies
  • 25. Represents public interest Interprets the accounts Spends the money
  • 26. www.parliament.nsw.gov.au/publicaccounts

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