31 August 2005
COMPLACENCY A RISK FOR PUBLIC SECTOR,
WARNS AUDITOR GENERAL
In his annual report on the operations of his Office during 2004-05,
tabled in Parliament today, WA Auditor General Des Pearson has cautioned
public sector managers against complacency.
The caution follows an appraisal by Mr Pearson of the findings and matters
raised in his reports during the reporting year, and his subsequent assessment
that the public sector has continued to improve and progress in terms
of accountability.
The spur for that progress, he says, has been a drive for improved corporate
governance and such initiatives as the establishment of the Corruption
and Crime Commission, introduction of Public Interest Disclosure legislation
and a renewed focus on integrity through such bodies as the Integrity
Coordination Group.
And whilst acknowledging that the issues raised in his reports to Parliament
throughout the year were significant and his concerns serious, Mr Pearson
said that this did not necessarily indicate that standards in the public
sector had slipped or were unsatisfactory – rather, the matters
of significance identified were indicative of an increasingly open and
accountable public sector.
He was pleased to note that there was no evidence of systemic impropriety,
but what had emerged were largely operational issues of controls or compliance
or the need for better management.
“In such a climate I see the real risk confronting the public
sector as complacency, for when things are running relatively smoothly
it is all too easy to assume that the job is done,” he says.
“Public sector managers must remain ever vigilant, being acutely
aware of the shifts and changes going on around them and continue to
manage purposefully, cognisant of the risks inherent in all aspects of
their operations.
“They must not take their eye off the ball – in this way
the public interest will be best served.”
Through its core operations during the year the Office of the Auditor
General undertook 219 financial statement and 152 performance indicators
audits, conducted eight Controls, Compliance and Accountability Examinations
across 29 agencies, three Performance Examinations and one Follow-up
Examination – thereby identifying 63 matters of significance that
were reported to Parliament in eight reports.
Reporting highlights in 2004-05 included:
- The Controls and Compliance Examination “Setting Fees – The
Extent of Cost Recovery” which tested the processes behind the
setting of thousands of fees raised across government. This generated
substantial Parliamentary and public interest and a government commitment
to review and enhance the fairness and transparency of the cost recovery
practices used in the setting of fees.
- The Performance Examination “Responding to Major Bushfires” which
identified the need to establish a more cohesive fire fighting structure
and a sound authoritative basis for managing major bushfire emergencies.
The examination produced considerable debate and consultation amongst
the relevant responsible agencies as to how this could be best established.
- Ongoing interest in the Performance Examination “Developing the
State – The Management of State Agreement Acts”, which
outlined attempts to remove iron ore royalty concessions and resulted
in renewed Government efforts to claw back over $40million per year
concessions. This report and the issues raised were the catalyst in
2005 for Parliamentary debate and a major government initiative to
renegotiate the concessions.
Ends/.
Media Contact: Peter Villiers, Manager Reporting and Communications
Tel: (08) 9222 7558. Mobile: 0417 936 171 Fax: (08) 9322 5664
4th Floor Dumas House 2 Havelock Street West Perth
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