The WA Auditor General, Caroline Spencer has summarised the results of 143 State Government entities’ annual financial audits.
Her report contains insights into the various impacts of the COVID-19 pandemic response on the Government sector.
Ms Spencer said COVID-19 and responses to the pandemic late in the financial year presented an uncommon environment in which public sector entities were required to continue their normal service delivery and accountability.
“Many entities were adapting to service disruptions, incurring additional expenses, and administering stimulus initiatives announced by the State and Federal Governments. Many employees were working from home which presented additional risks for entities,” Ms Spencer said.
“During 2019-20, entities were required to adopt new accounting standards for reporting leases and revenue, and implement new processes to address revisions to two key Treasurer’s instructions.”
She said the number of entities with serious deficiencies increased from three last year to seven this year.
“In addition, the audits identified over 100 more financial management control weaknesses than last year, including an increase of almost 60 in those considered significant,” Ms Spencer said.
She said a good number of the additional control deficiencies reported were identified earlier in the financial year or were ongoing from prior years and did not all result from COVID-19 pandemic measures implemented under pressure.
“‘This year we established a Forensic Audit business unit that provided valuable oversight of the very large financial datasets of Health entities and in-flight review of some discrete financial audit referrals,” Ms Spencer said.
She commended the Department of Treasury, entity finance and leadership teams, and audit staff and contractors working together to complete the 2019-20 reporting and audit program within an almost normal timeframe.
“This is a major achievement in a year like few others,” Ms Spencer said.
The Auditor General’s 75-page report can be accessed at this PS News link.
