South Australian Current Acts South Australian Current Acts (1) Subject to
subsection (1a), the auditor of a council must undertake an audit
of—
(a) the
council's financial statements within a reasonable time after the statements
are referred to the auditor for the audit (and, in any event, unless there is
good reason for a longer period, within 2 months after the referral); and
(b) the
controls exercised by the council during the relevant financial year in
relation to the receipt, expenditure and investment of money, the acquisition
and disposal of property and the incurring of liabilities.
(1a) If the
Auditor-General undertakes an audit under the Public Finance and Audit
Act 1987 of financial statements and controls of a council referred to in
subsection (1) for a financial year—
(a) the
auditor of the council is not required to undertake an audit of, provide an
opinion or advice on, or report to the Minister on, those statements or
controls under this section; and
(b) the
Auditor-General may recover reasonable costs incurred in relation to
undertaking the audit as a debt due from the council.
(2) An audit must be
carried out in accordance with standards prescribed by the regulations.
(3) The auditor must
provide to the council—
(a) an
audit opinion with respect to the financial statements; and
(b) an
audit opinion as to whether the controls audited under subsection (1)(b)
are sufficient to provide reasonable assurance that the financial transactions
of the council have been conducted properly and in accordance with law.
(4) The auditor must
also provide to the council written advice on particular matters arising from
an audit.
(5) The auditor must
specifically identify in the advice under subsection (4) any irregularity
in the council's accounting practices or the management of the council's
financial affairs identified by the auditor during the course of an audit.
(5a) The auditor will
provide the opinions under subsection (3) and the advice under
subsection (4)—
(a) to
the principal member of the council (who must ensure that copies of the
documents are provided to the chief executive officer, and that copies are
provided to the other members of council for their consideration at the
relevant meeting under subsection (5b) or subsection (5c)); and
(b) to
the relevant audit and risk committee.
(5b) Unless
subsection (5c) applies, the opinions and advice must be placed on the
agenda for consideration—
(a)
unless paragraph (b) applies—at the next ordinary meeting of the
council;
(b) if
the agenda for the next ordinary meeting of the council has already been sent
to members of the council at the time that the opinions and advice are
provided to the principal member of the council—at the ordinary meeting
of the council next following the meeting for which the agenda has already
been sent, subject to the qualification that this paragraph will not apply if
the principal member of the council determines, after consultation with the
chief executive officer, that the opinions and advice should be considered at
the next meeting of the council as a late item on the agenda.
(5c) The opinions and
advice may be the subject of a special meeting of the council called in
accordance with the requirements of this Act (and held before the ordinary
meeting of the council that would otherwise apply under subsection (5b)).
(5d) The opinions
under subsection (3) may be kept confidential until they are received at
the relevant meeting of the council held under subsection (5b) or
subsection (5c).
(5e) The advice under
subsection (4) may be kept confidential until it is received at the
relevant meeting of the council held under subsection (5b) or
subsection (5c) or, if the council so resolves at that meeting, until a
later date specified by the council (being not later than 60 days after
the date of the meeting).
(6) The auditor must
report to the Minister—
(a) a
failure by the council or the chief executive officer to rectify within a
reasonable time or in a reasonable manner an irregularity identified by the
auditor; or
(b) a
breach of this or another Act that comes to the attention of the auditor; or
(c)
evidence that, in the opinion of the auditor, indicates or suggests a serious
financial irregularity; or
(d) an
irregular or unauthorised act or omission, of a substantial nature, relating
to the receipt, expenditure or investment of money, the acquisition or
disposal of property, or the incurring of liabilities; or
(e) the
reasons for any adverse audit opinion and any recommendations given to the
council by the auditor as a result of that opinion; or
(f) if
an audit opinion is provided subject to qualifications or
limitations—the reasons for the provision of the opinion on the
qualified or limited basis; or
(g) any
other matter that, in the opinion of the auditor, ought to be reported to the
Minister; or
(h) any
other matter of a kind prescribed by the regulations.
(7) An auditor is not
required to report under this section on a minor irregularity or breach.
(9) The opinions under
subsection (3), provided to a council under this section, must accompany
the financial statements of the council.