Auditor-General
Objectives
Consistent with the functions of the Auditor-General, as set out in the Auditor‑General Act 1996, the objectives of the Auditor-General’s Office (the Office) are to:
•	inform the ACT Legislative Assembly and the community of the performance of the public sector; and
•	contribute to the improvement of the performance of public sector agencies.
The Office performs its role mainly through conducting financial statement and performance audits and reporting the results to the ACT Legislative Assembly.
The Office also performs other activities such as responding to representations by the members of the Legislative Assembly and the community, providing advice and briefings to Legislative Assembly committees and agencies, conducting investigations under the Public Interest Disclosure Act 1994 and reporting under the Government Procurement Act 2001.
2006-07 Priorities
Strategic and operational issues to be pursued in 2006‑07 include:
•	completing the financial audit program in accordance with the whole-of-government timetable and within budgets;
•	implementing a new financial audit methodology, including new audit software;
•	assisting agencies with the smooth transition to reporting under the international accounting standards framework;
•	delivering timely and cost effective performance audits and other investigations;
•	improving the Office’s capacity to provide advice to agencies on a range of matters, including legislation and governance; and
•	conducting staff training and development through the Office’s ‘Learning and Development Program’.

Changes to Appropriation
Changes to Appropriation - Departmental						
 	2005-06	2006-07	2007-08	2008-09	2009-10	
Government Payment for Outputs	Est. Outc.	Budget	Estimate	Estimate	Estimate	
 	$'000	$'000	$'000	$'000	$'000	
						
2005-06 Budget	1,380	1,446	1,481	1,531	1,531	
						
2006-07 Budget Policy Adjustments						
Additional Compliance and Performance Audit Capacity	 - 	500	513	525	538	
						
2006-07 Budget Technical Adjustments						
Revised Indexation Parameters	 - 	 - 	 - 	 - 	26	
						
2006-07 Budget	1,380	1,946	1,994	2,056	2,095	

Auditor-General	
Operating Statement	
  2005-06			  2005-06	   2006-07		  2007-08	  2008-09	  2009-10		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		Income								
		Revenue								
1,380		Government Payment for Outputs	1,380	1,946	41	1,994	2,056	2,095		
260		User Charges - Non ACT Government	208	200	-4	276	285	292		
2,176		User Charges - ACT Government	2,452	2,421	-1	2,308	2,377	2,437		
25		Interest	25	25	-	25	25	25		
3,841		Total Revenue	4,065	4,592	13	4,603	4,743	4,849		
		Gains								
0		Total Gains	0	0	-	0	0	0		
3,841		Total Income	4,065	4,592	13	4,603	4,743	4,849		
		Expenses								
2,208		Employee Expenses	2,436	2,934	20	2,817	2,900	2,942		
280		Superannuation Expenses	290	350	21	359	359	365		
1,309		Supplies and Services	1,342	1,291	-4	1,412	1,458	1,495		
54		Depreciation and Amortisation	54	38	-30	35	30	30		
3,851		Total Ordinary Expenses	4,122	4,613	12	4,623	4,747	4,832		
-10		Operating Result	-57	-21	63	-20	-4	17		

Auditor-General	
Balance Sheet	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/06			as at 30/6/06	as at 30/6/07	   Var	as at 30/6/08	as at 30/6/09	as at 30/6/10		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
		Current Assets								
323		Cash	498	553	11	608	677	767		
852		Receivables	839	839	-	839	839	839		
400		Investments	650	650	-	650	650	650		
0		Other	8	8	-	8	8	8		
1,575		Total Current Assets	1,995	2,050	3	2,105	2,174	2,264		
		Non Current Assets								
610		Property, Plant and Equipment	493	455	-8	420	390	360		
610		Total Non Current Assets	493	455	-8	420	390	360		
2,185		TOTAL ASSETS	2,488	2,505	1	2,525	2,564	2,624		
		Current Liabilities								
157		Payables	397	397	-	397	397	397		
251		Employee Benefits	263	295	12	329	364	399		
16		Other	23	23	-	23	23	23		
424		Total Current Liabilities	683	715	5	749	784	819		
		Non Current Liabilities								
452		Employee Benefits	531	553	4	575	598	621		
52		Other	64	48	-25	32	17	2		
504		Total Non Current Liabilities	595	601	1	607	615	623		
928		TOTAL LIABILITIES	1,278	1,316	3	1,356	1,399	1,442		
1,257		NET ASSETS	1,210	1,189	-2	1,169	1,165	1,182		
		REPRESENTED BY FUNDS EMPLOYED								
1,257		Accumulated Funds	1,210	1,189	-2	1,169	1,165	1,182		
1,257		TOTAL FUNDS EMPLOYED	1,210	1,189	-2	1,169	1,165	1,182		

Auditor-General	
Cash Flow Statement	
  2005-06			  2005-06	   2006-07		  2007-08	  2008-09	  2009-10		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		CASH FLOWS FROM OPERATING ACTIVITIES								
		Receipts								
1,380		Cash from Government for Outputs	1,380	1,946	41	1,994	2,056	2,095		
2,436		User Charges	2,660	2,621	-1	2,584	2,662	2,729		
25		Interest Received	25	25	-	25	25	25		
215		Other Revenue	215	215	-	215	215	221		
4,056		Operating Receipts	4,280	4,807	12	4,818	4,958	5,070		
		Payments								
2,436		Related to Employees	2,674	3,230	21	3,120	3,201	3,249		
1,293		Related to Supplies and Services	1,326	1,307	-1	1,428	1,473	1,510		
215		Other	215	215	0	215	215	221		
3,944		Operating Payments	4,215	4,752	13	4,763	4,889	4,980		
112		NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES	65	55	-15	55	69	90		
112		NET INCREASE/(DECREASE) IN CASH HELD	65	55	-15	55	69	90		
611		CASH AT BEGINNING OF REPORTING PERIOD	1,083	1,148	6	1,203	1,258	1,327		
723		CASH AT THE END OF THE REPORTING PERIOD	1,148	1,203	5	1,258	1,327	1,417		

Auditor-General	
Statement of Changes in Equity	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/06			as at 30/6/06	as at 30/6/07	   Var	as at 30/6/08	as at 30/6/09	as at 30/6/10		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
1,267		Opening Balance	1,267	1,210	-4	1,189	1,169	1,165		
		Accumulated Funds								
-10		Operating Result for the Period	-57	-21	63	-20	-4	17		
		Reserves								
-10		Total Income And Expense For The Period	-57	-21	63	-20	-4	17		
		Transactions Involving Equity Holders Affecting Accumulated Funds								
1,257		Closing Balance	1,210	1,189	-2	1,169	1,165	1,182		
Notes to the Budget Statements
The Auditor-General’s budget is determined by a procedure set in legislation.  After consultation with the Auditor-General, the Standing Committee on Public Accounts advises the Treasurer of the level of funding which the Committee considers appropriate for the Auditor-General’s Office.
Significant variations are as follows:
Operating Statement
•	government payment for outputs:  the increase of $0.566 million in the 2006‑07 Budget  from 2005‑06 estimated outcome is due to the additional resources provided to improve the audit and investigative capacity of the Office;
•	user charges – ACT Government:	  the increase of $0.276 million in the 2005‑06 estimated outcome from the original budget is due to increased audit activity; and 
•	employee and superannuation expenses: 
–	the increase of $0.238 million in the 2005‑06 estimated outcome from the original budget reflects higher staff level associated with increased audit activity and higher costs; and
–	the increase of $0.558 million in the 2006‑07 Budget from the 2005‑06 estimated outcome reflects the additional resources provided to improve the audit and investigative capacity of the Office. 
Balance Sheet
•	cash and investments:  the increase of $0.425 million in the 2005‑06 estimated outcome from the original budget largely represents the flow-on effect of higher cash and investment balances in the 2004-05 audited outcome;
•	property, plant and equipment:  the decrease of $0.117 million in the 2005‑06 estimated outcome from the original budget represents a lower level of asset purchases in the 2004‑05 audited outcome;
•	payables:  the increase of $0.240 million in the 2005‑06 estimated outcome from the original budget is due to revised estimates of the level of outstanding accounts at the end of the financial year; and
•	employee benefits:  the increase of $0.091 million in the 2005‑06 estimated outcome from the original budget and the increase of $0.054 million in the 2006‑07 Budget from the 2005‑06 estimated outcome represents the higher salary costs noted above.