South Australian Current Acts South Australian Current Acts (1) A council must
have an auditor.
(2) The auditor will
be appointed by the council on the recommendation of the
relevant audit and risk committee.
(2a) The
relevant audit and risk committee must, in making a recommendation under
subsection (2), take into account any factor prescribed by the
regulations.
(3) The auditor must
be—
(a) a
registered company auditor; or
(b) a
firm comprising at least one registered company auditor.
(4) A person is not
eligible to be the auditor if—
(a) the
person is a member of the council; or
(b) the
person is a nominated candidate for election as a member of the council.
(4a) The term of
appointment of an auditor of a council must not exceed 5 years (and,
subject to this section, a person may be reappointed at the expiration of a
term of office).
(5) The office of
auditor becomes vacant if—
(a) the
auditor dies; or
(b) the
auditor resigns by written notice to the chief executive officer; or
(c) the
auditor is not or ceases to be eligible for appointment as the auditor; or
(d) the
auditor accepts remunerated office or employment from the council; or
(e) the
term of appointment of the auditor expires and the auditor is not reappointed;
or
(f) the
auditor is removed from office by the council for reasonable cause.
(6) If a firm
comprising at least 1 registered company auditor has held office as
auditor of a council for 5 successive financial years (the
"first firm"), the council—
(a) must
ensure another auditor is appointed as auditor of the council (being a
registered company auditor (who is not part of a firm) or another firm
comprising at least 1 registered company auditor); and
(b) must
not appoint the first firm as its auditor until at least 5 years have
passed since the first firm last held the office.
(7) The appointment of
an auditor will be subject to any other terms or conditions prescribed by the
regulations.
(8) A council, and the
auditor of a council, must comply with any requirements prescribed by the
regulations with respect to providing for the independence of the auditor.
(9) A council must
ensure that the following information is included in its annual report:
(a)
information on the remuneration payable to its auditor for work performed
during the relevant financial year, distinguishing between—
(i)
remuneration payable for the annual audit of the
council's financial statements; and
(ii)
other remuneration;
(b) if a
person ceased to be the auditor of the council during the relevant financial
year, other than by virtue of the expiration of his or her term of appointment
and not being reappointed to the office—the reason or reasons why the
appointment of the council's auditor came to an end.
(10) For the purposes
of this section, a person plays a significant role in the audit of a council
if the person would, if the council were a company, play such a role in the
audit of the company within the meaning of section 9 of the
Corporations Act 2001 of the Commonwealth.