Audits in progress

The following audits are in progress:

Environment and Sustainability Sector: Performance Reporting

The Department of Sustainability and Environment, Parks Victoria and the Environment Protection Authority use a range of public reports to externally communicate how well their programs and activities are performing.

Public reports normally compare performance against preselected performance measures and indicators or targets of satisfactory performance, and include agency annual reports as well as various forms of program and performance reporting.

The audit will determine the accuracy, reliability and representation of program and performance reporting in the environment and sustainability sector. It will examine agency annual reports and a selection of other external performance reports and their data sources.

The report is expected to be tabled by end of June 2013.

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Flood Relief and Recovery

Between September 2010 and January 2011, Victoria experienced extensive rainfall and subsequent flooding. The floods caused damage to agriculture, businesses and residential dwellings, community assets, transport infrastructure and the environment. Initial estimates of the damage costs were around $1.1 billion. This figure included the direct costs to the Victorian and Commonwealth governments, agricultural losses, repair and restoration costs, and other recovery measures.

Under the Natural Disaster Relief and Recovery Arrangements, the Commonwealth Government supports states where there has been a natural disaster. This support is typically financial, and occurs through a combination of advance payments and reimbursements. The Commonwealth Government advanced Victoria $500 million under this arrangement for a range of disaster relief and recovery projects.

Victoria has established arrangements under a National Partnership Agreement with the Commonwealth Government to repair, replace or restore essential public assets, as well as support the recovery of communities and local economies. This audit will assess the effectiveness of the flood response and recovery arrangements in achieving these outcomes, with a particular focus on community relief and recovery programs

The report is expected to be tabled by the end of June 2013.

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Operating Water Infrastructure using Public Private Partnerships

The Public Private Partnership (PPP) model can be an effective way of delivering water infrastructure projects because it draws on the strengths of the public and private sectors. However, gaining value-for-money is reliant on the delivery of services as intended and at the expected cost. It is also dependent on having sound contracts and contract management arrangements which give private operators continued incentive to perform at a high level.

Typically, around half of the cost of individual PPPs fund the operation of the facilities over the lifespan of the partnership, which range from 10 to 25 years. The operation of many of the facilities has been challenged in recent years by both long-term drought and exceptional flooding.

The audit will assess the operational effectiveness of PPPs for water and wastewater treatment. It will examine whether contracted services have been delivered as intended and represent value-for-money, and whether contracts have been managed effectively and are supported by sound governance.

The report is expected to be tabled by end of August 2013.

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Developing Transport Infrastructure and Services for Population Growth Areas

Melbourne’s population is growing rapidly and is expected to reach over 5 million before 2030. Around 60 per cent of this population growth will be in the outer Melbourne growth areas of Cardinia, Casey, Hume, Melton, Mitchell, Whittlesea and Wyndham.
Past and ongoing rapid population growth is creating a major challenge for the state to provide the transport infrastructure and services needed to sustainably support these growing communities.

The audit will assess the effectiveness of agencies in planning and delivering transport infrastructure and services for population growth areas. It will consider whether planning for growth areas is effective in identifying current and future transport needs, and whether implementation and funding strategies support the timely delivery of required transport infrastructure and services.

The report is expected to be tabled by the end of August 2013.

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Asset Confiscation Scheme

The Asset Confiscation Scheme (the Scheme) commenced in 1998, following the introduction of the Confiscation Act 1997 (the Act). The main objectives of the Act are to:

  • deprive persons of proceeds of certain offences and of ‘tainted’ property
  • deter persons from engaging in criminal activity
  • disrupt criminal activity by preventing the use of ‘tainted’ property for further criminal activity.

The Act establishes the processes for the restraint and forfeiture of property that is tainted, or property reasonably suspected to be tainted. The types of property that can be restrained and forfeited under the Act are wide-ranging and include household items, houses, land, share portfolios, jewellery, motor cars and cash.

There are three key agencies that work together to achieve the objectives of the Scheme: Victoria Police, the Office of Public Prosecutions and the Asset Confiscation Operations, which is part of the Department of Justice.

The audit will assess how effective, efficient and economical the Scheme is in achieving the objectives of the Confiscation Act 1997. To address this objective, the audit will assess the arrangements in place to identify and restrain property, the arrangements in place to manage and dispose of forfeited property, and the Scheme’s governance arrangements.

The report is expected to be tabled by end of September 2013.

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Managing telecommunications usage and expenditure

Telecommunications services, in particular fixed line and mobile phones, are essential to support the delivery of government services. In 2011–12, total expenditure on fixed line and mobile services through state arrangements was significantapproximately $50 million.

Effectively managing this expenditure is critical to minimising waste and achieving value for money. This requires:

  • developing clear policies governing usage
  • applying effective controls to prevent and detect overcharging and inappropriate usage
  • regularly reviewing usage and spend against contracts to ensure value for money.

The audit will examine whether selected agencies are effectively managing their telecommunications usage and expenditure.

The report is expected to be tabled by end of September 2013

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WOVG Information Security Management Framework

The Victorian public sector is heavily reliant on Information and Communications Technology (ICT) to deliver services and to effectively manage its internal business and activities. Emerging threats to information security pose an escalating risk for ICT systems in the Victorian public sector.

Victoria has adopted information security standards and guidelines for key departments and agencies that align with the Australian Government’s Information Security Management Framework. The responsibility for this framework will move from the Department of Treasury and Finance to the Department of State Development, Business and Innovation from 1 July 2013.

The purpose of this audit is to assess the effectiveness of ICT security policy, standards, as well as data and system protections within the Victorian public sector. This audit will: ·

  • examine the existence and appropriateness of information security policy direction and guidance, for the protection of public sector ICT systems and data
  • examine whether selected agencies have established effective information security policy, standards and processes
  • examine the effectiveness of the role of central agencies in coordinating and monitoring implementation of the framework
  • test the effectiveness of the controls in place in a number of departments and agencies.

This report is expected to be tabled by the end of September 2013.

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Prevention and Management of Drug Use in Prisons

Drugs are a significant factor at all stages of the criminal justice system, and the use of drugs is linked to criminal activities and an increased risk of reoffending. In addition, drug use by prisoners is linked to a range of negative health outcomes, and some of these health outcomes may be transferred to the broader community upon release.

While drug use in prisons can cause a range of prison-specific issues, imprisonment also provides an opportunity for prisoners to undergo rehabilitation, and deal with any drug addictions they may have. Effectively preventing drugs from entering prisons and managing prisoners’ drug use is therefore important for the safe and orderly management of prisons, and to rehabilitate prisoners with drug addictions to help break the cycle of reoffending.

The Department of Justice (DOJ), through the Victorian Prison Drug Strategy 2002, aims to 'prevent drugs entering Victoria's prisons and to minimise the harm caused by drugs to prison staff, prisoners and society.'

The audit will assess how effectively and efficiently DOJ has prevented the supply of, demand for, and harm caused by, drugs in prisons. This will include assessing how effectively DOJ prevents drugs from entering the prison system and detects drugs within prisons, identifies and treats prisoners with drug issues and evaluates, monitors and reports performance. 

The report is expected to be tabled by end of October 2013.

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Implementation of the Strengthening Community Organisations Action Plan

The not-for-profit (NFP) and community sector plays an important role in providing a range of community services. Victoria has around
140 000 community and NFP organisations that contribute to the delivery of services, including health, education, aged care, social services and sport and recreational activities. In 2008 the government released the Strengthening Community Organisations Action Plan aimed at improving the capacity and long-term sustainability of the community sector.

The Office for the Community Sector (OCS) was established to implement the action plan. The audit will assess how effectively the OCS has implemented the action plan and the extent to which expected outcomes have been achieved.

The report is expected to be tabled by the end of October 2013.

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Clinical ICT Systems in the Victorian Public Health Sector

Information and Communications Technology (ICT) systems and applications that are used to assist clinicians in the delivery of patient care are commonly referred to as ‘clinical ICT systems’.

The Department of Health implemented the $134.8 million HealthSMART clinical systems program in four state health services. Six other health services initially included in the implementation plan did not receive the system. Outside the HealthSMART program, some health services have managed to implement their own clinical systems. This occurred before and during the same period as when the HealthSMART program was underway.

The audit will examine the effectiveness of a selection of the clinical ICT systems that have been rolled out across the Victorian public health sector, and determine whether intended benefits from these investments are being realised. The audit will focus on the four health services that received the HealthSMART clinical system and four others who implemented their own systems.

The report is expected to be tabled by the end of October 2013.

Implementation of the Government Risk Management Framework

An important component of public sector governance is the identification, assessment, management and reporting of risks. It is therefore essential that a risk management framework is in place to manage public sector risk to best practice standard. Risk management should be embedded in practices and processes in a way that is relevant, effective and efficient, and should enable agencies to meet the Risk Management Standard AS/NZS 31000:2009 as well as their obligations under the Financial Management Act and the Victorian Government Risk Management Framework.

This audit will examine the government's risk management framework, and assess how effectively it is being implemented to manage risk by assessing whether:

  • the framework is sound and provides clear and comprehensive information and instructions to support good practice
  • Department of Treasury and Finance and Victorian Managed Insurance Authority provide adequate support and guidance to agencies to implement and maintain compliance with the framework
  • agencies effectively acquit their responsibilities under the framework.

This report is expected to be tabled in October 2013.

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