Report of the Audit and Risk Committee

for the year to 30 June 2017

Current Audit and Risk Committee members are: Warren Allen FCA, FCIS, MInstD, CEO External Reporting Board (Chair), Susie Johnstone BComm, FCA, CFInstD, CPP, Geoff Dangerfield QSO, MSc, FCILT, CMInstD, and Greg Schollum BMS, FCA, Deputy Controller and Auditor-General. The change in the names will be reflected in the new report that will be issued in 2019.

Members

  • Fred Hutchings BBS, FCA, Director, Chairman
  • Simon Murdoch MA, CNZM
  • Susie Johnstone BComm, FCA, CFInstD, CPP
  • Greg Schollum BMS, FCA, Deputy Controller and Auditor-General

The Audit and Risk Committee is an independent committee established by and reporting directly to the Auditor-General. The purpose of the Committee is to oversee:

  • risk management and internal control;
  • audit functions (internal and external) for the Office;1
  • financial and other external corporate reporting;
  • the governance framework and processes; and
  • compliance with legislation, policies, and procedures.

The Committee has no management functions.

During the past year, the Committee:

  • met on four occasions to fulfil its duties and responsibilities;
  • received briefings from the Auditor-General and other senior managers on the Office’s key business activities, as a basis for ensuring that risks facing the Office are being appropriately addressed;
  • reviewed the Office’s strategic risks with the Auditor-General, and advised the Office on the review of the risk management framework;
  • discussed with the external auditors their audit findings;
  • oversaw the internal audit programme;
  • monitored the implementation of recommendations made by both the external auditors and internal auditors;
  • reviewed the annual report and annual financial statements of the Office prior to their approval by the Auditor-General, having particular regard to the accounting policies adopted, major areas of judgement, and compliance with legislation and relevant standards; and
  • reviewed the Auditor-General’s Strategic Intentions to 2025 and the Draft Annual Plan 2017/18.

The Committee has reported to the Auditor-General on the above, and on other relevant matters. There are no outstanding or unresolved concerns that the Committee has brought to the attention of the Auditor-General.

On 2 August 2017, the Auditor-General tendered his resignation to the Speaker. Until such time that a new Auditor-General is appointed, the Deputy Auditor-General will fulfil the role rather than being a member of the Committee.

 

Fred Hutchings
Chair

Audit and Risk Committee

5 September 2017

1: The “Office” encompasses both the Office of the Auditor-General and Audit New Zealand.

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