Contents

Introduction

Part 1: Matters arising from auditing the 2008/09 financial statements of the Government

Audit opinion | Summary of significant matters arising from the 2008/09 audit | Significant matters arising from the 2008/09 audit

Part 2: Assessing entities’ environment, systems, and controls

Background | The areas we examine | Our grading system | Results for the management control environment and financial information systems and controls | Results for service performance information and associated systems and controls

Part 3: The Controller function and the appropriation audit

Summary | Public expenditure principles | Operating the Controller function | Unappropriated expenditure in 2008/09 | Unappropriated expenditure in 2009/10 | Net asset holdings | Remeasurements

Part 4: Non-standard audit reports issued in 2009

Why are we reporting this information? | What is a non-standard audit report? | Adverse opinions | Disclaimers of opinion | Except-for opinions | Explanatory paragraphs

Part 5: Our intentions for improving service performance information and reporting

Our views on performance information and reporting | Our recent work to improve the quality of performance reporting | Concluding comments |

Part 6: Results of district health board audits for 2008/09

What is the health sector? | How are district health boards funded and for what? | Size of the district health boards | Governance and accountability arrangements | Financial performance of district health boards | Key areas of audit focus in the 2008/09 annual audits | Non-financial performance reporting

Part 7: Service performance information of district health boards – the accountability framework

Audit work during 2008/09 | DHBs’ planning and accountability framework | The Ministry of Health’s review of accountability documents | Issues with the accountability framework for district health boards | Our recommendations

Part 8: Results of tertiary education institution audits for 2008

What is the tertiary education institution sector? | Governance and accountability arrangements | Roles and responsibilities of tertiary education institutions | Other agencies with a role in the tertiary education institution sector | Recent changes to the operating environment | How tertiary education institutions are funded | Summary of tertiary education institutions’ 2008 financial performance | Tertiary education institutions’ audit results for 2008

Part 9: Accountability for public funding of integrated schools

Integrated schools and their funding | Risks associated with public funding of integrated schools | Actions taken by the Ministry to address funding issues | Concluding comments

Part 10: Tertiary Education Commission’s monitoring of the tertiary education institution sector

Tertiary Education Commission Funding changes in the tertiary education institution sector | Monitoring financial and operational viability | Reasons for postponing our performance audit

Part 11: Our audit role in Māori immersion schools

What are Māori immersion schools? | Accountability and funding arrangements | Other entities with an interest in Māori immersion schools | Common challenges for Māori immersion schools | Common issues identified in our audits of Māori immersion schools | Improving the accountability of Māori immersion schools

Appendix: Details of the non-standard audit reports issued in 2009

Adverse opinions | Disclaimers of opinion | Except-for opinions for public entities other than schools | Except-for opinions for schools | Explanatory paragraphs for public entities other than schools | Explanatory paragraphs for schools