Examining the Commonwealth financial statements

THE Joint Committee of Public Accounts and Audit has tabled its report on the Commonwealth Financial Statements, based on Audit Report No. 33 (2016-17), Audits of the Financial Statements of Australian Government Entities for the Period Ended 30 June 2016.

Committee Chair Senator Dean Smith said that the Auditor-General’s financial statement audits play a critical role in ensuring accountability to the Parliament and the Australian public for the expenditure of public funds.

“The audits provide independent assurance that this information is accurate and that the financial management of Commonwealth entities is effective,” Senator Smith said.

“The Committee has made a number of recommendations in its report to further improve the effectiveness and transparency of financial reporting by Commonwealth entities. In doing so, the Committee commends the Australian National Audit Office for its work each year in auditing the Consolidated Financial Statements and entity financial statements.”

The Committee’s report makes six recommendations, including that:

• a number of agencies should report back to the Committee on their progress in responding to any significant or moderate findings in next year’s financial statement audits;
• the Northern Land Council should report back on its progress in responding to two significant legislative breaches and any such breaches reported next financial year; and
• the Department of Finance should: reinstate, as a formal reporting requirement, disclosure of senior executive remuneration by all Commonwealth entities, consistent with previous practice; report back on options to further strengthen remuneration disclosure requirements; and develop benchmarks to enable entities to assess their own financial sustainability against agreed parameters over time.

Interested members of the public may wish to track the Committee via the website. 

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