Report of the Auditor-General 2015-16 Financial Audits Volume 4 - PowerPoint PPT Presentation

Report of the Auditor-General 2015-16 Financial Audits Volume 4 Audits of State entities 30 June and 31 December 2016 Presentation to Members of Parliament 23 May 2017

Report Contents • 31 December Audits – University of Tasmania – other 31 December entities • 30 June Audits – River Clyde Trust • Final audits for entities dissolved during the year • 2016 Financial Audit Cycle – Audit findings – Timeliness and quality of financial reporting – Audit opinions – Audits dispensed with – Setting audit fees • Developments in financial accounting and auditing • Reporting Non-Financial Performance 1

2016 Audit Cycle 40 Our financial Local 31 governments audit clients GGS 16 31 Government Other 45 businesses 13 entities (inc TasWater) Other legislation Corporations 17 36 including Audit Act 2001 Act 2008 Financial Local 7 Management Government and Audit Act Act 1993 1990 Government Business Enterprises Act 1995 2

Submission of Financial Statements (statutory deadline 15 August 2016) Number of Financial Statements Submitted 60 50 40 30 20 10 0 1 Jul 16 Jul 31 Jul 15 Aug 30 Aug Size of circle represents number of financial statements submitted  submissions within deadline  submissions close to deadline  submissions outside deadline 3

Audit Opinions 117 1 2 2 Unmodified Qualified Emphasis of Other matter matter National Trust of Forestry Tasmania West Coast Council Australia (Tasmania) Tasmanian Water and Sewerage Corporation Pty Ltd 4

Findings from 2016 Audits 209 matters YEAR 60 entities 2016 277 matters YEAR 63 entities 2015 5

Audit findings by risk rating/sector  22 5 22 15 High  risk 102 3 22 22 Moderate 85 risk  Low risk 13 47 38 Other 1 11 10 6

University of Tasmania (including University Foundation and AMC Search) $618 M $603 M ($18 M ) $15 M Total income Total expenses Underlying result Net result     $354 M 1.1 : 1 Employee costs Academic Non-academic (excl.restructuring) Staff Staff 7

University of Tasmania (including University Foundation and AMC Search) 4 : 1 Domestic International Student Load Student Load $69 M $9 M $2 M $70 M Higher Education HECS-HELP Post-graduate International Loan Programs student payments domestic students student fees fees     8

University of Tasmania (including University Foundation and AMC Search) $912 M $605 M $306 M $103 M Net assets Land and Cash and Borrowings buildings investments     Future University transformation projects • Relocation of Launceston campus from Newnham to Inveresk (estimated cost $260m) and Burnie campus from Mooreville Road to West Park (estimated cost $40m). Australian Government committed $150m. • Proposal to move Science, Technology, Engineering and Maths (STEM) research and training facilities into Hobart CBD. 9

Reporting Non-financial Performance (continued) Future Performance Accounting Trends in Key AASB Performance Performance Drafting Reporting Indicators Standard Government Service Visions and Effectiveness Intentions Indicators Agency Efficiency Strategic Indicators Planning Evaluating Budget and Outcomes Performance and Statements Reporting Attestation Cost - in Annual Effectiveness Reports Indicators 10

Reporting Non-financial Performance (continued) C’lth WA ACT Qld Vic Government planning Long-term strategic plans link with      Government direction      Plans include performance measurement Budget statements      Include KPIs      Include targets Include minimum KPI requirements      (effectiveness, efficiency, cost or a balanced set) 11

Reporting Non-financial Performance (continued) C’wth WA ACT Qld Vic Entity reporting      Performance reporting in annual reports Annual reporting consistent with planning      documents (budget or strategic plan)      Planned KPIs reflected in annual reports      Planned targets reflected in annual reports Analysis required (KPIs, material variances      between budget targets and actual results)      Changes to KPIs require explanation Framework allows for performance  1     information to be audited 1. Minister’s discretion 12

Questions Thank you 13