Appendix 2: Modified opinions
Results of the 2016 school audits.
| School | Reason for the modified opinion |
|---|---|
| Al-Madinah School (31 December 2014) | We could not determine whether all related party transactions had been disclosed because the controls over identification and disclosure are limited. We also drew readers’ attention to potential conflicts with the proprietor and funds raised on behalf of the school being given to the proprietor. |
| Ballance School | We could not get enough assurance about locally raised funds because the Trustees had limited controls over that revenue. |
| Elmgrove School | We could not get enough assurance about network fundraising revenues because the Trustees had limited controls over those revenues. The school had a similar qualification in 2015. |
| Grey Lynn School | We could not get enough assurance about fundraising revenues for 2015, so our opinion was qualified on the comparatives only. We were able to obtain enough assurance for the current year. |
| Hagley Community College Preschool (31 December 2015 and 2016) | We could not get enough assurance about revenue from parents’ fees and the related income in advance and accounts receivable, because the board did not keep enough records. |
| Havelock North Intermediate School | We could not get enough assurance about locally raised funds because the Trustees had limited controls over revenue from activities. |
| May Road School | We could not get enough evidence to support the provision for cyclical maintenance because the school did not have an up-to-date 10-year property plan. |
| Norsewood School | We could not get enough assurance about revenue from trading, fundraising, and other sources because the Trustees had limited controls over that revenue. |
| Opawa School | We could not get enough evidence to support the provision for cyclical maintenance. The school had a similar audit opinion for 2015. |
| Opoutere School | We could not get enough assurance about revenue from trading because the Trustees had limited controls over that revenue. |
| St Mary's School (Gore) | We could not get enough evidence to support the provision for cyclical maintenance. |
| Saint Joseph's School (Taihape) | We disagreed with the Use of Land and Buildings revenue and expense recognised by the board, which is a proxy for the rent the school would have to pay on the land and buildings provided by the proprietor. The amount recognised in the financial statements related only to the proprietor’s buildings, but this school also uses buildings provided by the Ministry that are not recognised in its financial statements. |
| Tangaroa College (31 December 2013, 2014 and 2015) | We could not get enough assurance about procurement, purchases, and payments because the Trustees had limited controls over this expenditure. We could gain enough assurance over payroll, notional lease and depreciation expenses from other procedures. |
| Taumarunui High School & Community Trust | We could not get enough assurance about revenues because the Trustees had limited controls over those revenues. The school had a similar opinion for 2015. |
| Te Kura Kaupapa Māori o Tamarongo School (31 December 2014) | We were unable to form an opinion because we could not obtain enough appropriate audit evidence about transactions being properly recorded in the financial statements. A significant number of financial records were intentionally destroyed in a fraud. A police investigation found $100,934 of expenditure misappropriated between 2012 and 2015. We also drew attention to the resulting financial difficulties of the school. |
| Te Kura Kaupapa Māori o Te Kura Kokiri (31 December 2012) | We could not get enough evidence on the income statement because there were limited controls over expenditure. We also drew attention to several unusual payments. |
| Te Mahia School | We could not get enough assurance about revenue from trading, fundraising, and other sources because the Trustees had limited controls over that revenue. |
| Te Ra School | We disagreed with the Trustees not recognising a settlement payment between the school and an employee as a liability at 31 December 2016. |
| Te Wharekura o Mauao (31 December 2013) | We could not get enough assurance about revenue because the Trustees had limited controls over those revenues. |
| Waitara High School | We could not get enough assurance about revenue from trading because the Trustees had limited controls over that revenue. |
| Whanganui City College | We disagreed with the board not preparing group financial statements to consolidate the financial statements of its subsidiary, the College House Hostel Trust. The school had a similar opinion in 2015. |
| Wellington Activity Centre | We were unable to form an opinion on all of the comparative information in the school's financial statements because the school had not previously been audited. It had previously been audited as part of the lead school’s financial statements. |
| William Colenso College | We disagreed with the board not preparing group financial statements to consolidate the financial statements of its subsidiary, the William Colenso College Charitable Trust. The school had a similar opinion in 2015. |