372d6357-5fed-42bf-b7aa-4845c9aea086

PLANNING & ORGANISATION COMMITTEE MEETING AGENDA                                    25 FEBRUARY 2014


Audit Committee
While Noosa Council is a category 4 council, and is not required to establish an Audit Committee,
it is proposed that one be established. The Audit Committee’s function is to act on behalf of
Council to offer independent advice and assurance to the CEO and Council on the adequacy of
financial and management controls in policy making and operational areas, and systems for
identifying strategic and operational risks. It is recognised as an important feature of good
governance, and will provide an additional layer of scrutiny to assist Council with its financial
sustainability challenges moving forward.
Sections 208 - 211 of the Regulation provide for the composition of the Audit Committee and its
responsibilities which include:
      the requirement to meet at least twice each financial year; and
      to review and report on the internal audit plan, internal audit progress reports, Council’s draft
       financial statements, and the Auditor General’s report.
In relation to the membership of the Committee, Section 210 of the Regulation provides that the
Audit Committee consist of 3 - 6 members including 2 Councillors appointed by Council, and that
at least one member must possess significant experience and skills in financial matters.
It is proposed that the Audit Committee meet quarterly and comprise the Mayor, one Councillor
and two independent members, supported by the CEO and Council officers. In relation to the
independent members, it is proposed that the CEO invite applications for these roles and
external members be paid an appropriate sitting fee for attendance at set meetings.
A draft Audit Committee Charter outlining the terms of reference for the Audit Committee has
been prepared for consideration by Council and further review by the Audit Committee (refer
Attachment 1).

FINANCE & RISK
The cost of engaging an external auditing firm to provide the necessary audit services to Council
to deliver an internal audit plan is estimated to be $10,000 per quarter or $40,000 per year.
The cost of engaging two external members on the Audit Committee is estimated to be $500 per
person per sitting or $1,000 per quarter or $4,000 per year.
The current budget provides for these expenses and a recommendation will be made for the
inclusion of these items in the 2014-15 Budget.

CONSULTATION
External Consultation - Community & Stakeholder
Nil.
Internal Consultation
Nil.
Departments/Sections Consulted:
       Community Infrastructure                        Community & Development
       Asset Planning & Delivery                       Community Services
       Civil Operations                                Planning & Development
       Environmental Services                          Health & Regulatory Services
       Waste Management                                Business Facilitation
                                                       Community Resilience & Disaster Management


x      Executive Office                            x   Organisational Services
       Communications & Governance                     Financial Services
       Human Resources                                 ICT
       De-amalgamation Coordination                    Property & Contracts




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