The Public Accounts and Estimates Committee has three functions:

Public accounts function

Reviewing financial and performance documents

The committee undertakes a review process in October-November with the committee seeking information from departments on the outcomes of the previous financial year. This process involves a review of the annual reports of departments, the government's annual financial report, the Auditor-General's report on the annual finances of the State of Victoria, and a review of departments' corporate and business plans.

Questionnaires are forwarded to all departments seeking information on financial and performance outcomes for departments and related agencies. After responses are received, the committee prepares a report on financial and performance outcomes which is usually tabled in March.

This review process focuses on the operation and performance of departments over the previous financial year and complements the estimates process. This process enhances the accountability of departments and agencies and gives the Parliament more meaningful information about results achieved compared to the results expected.

Reviewing reports of the Auditor-General

The committee can follow up the reports of the Auditor-General.

Undertaking general inquiries relating to some aspect of financial administration or public sector management

The committee can initiate its own inquiries on financial administration or public sector management. Inquiries have arisen from the government's reform program such as the inquiry into the options for strengthening government and parliamentary accountability in Victoria; or from emerging public policy issues such as the inquiry into private investment in public infrastructure. The committee also has inquiries referred to it by Parliament or the Governor in Council such as the inquiry into trustee arrangements for governing the Parliamentary Contributory Superannuation Fund.

Estimates function

Reviewing the budget documents

This is one of the committee's most important functions. Effectively the committee, on behalf of the Parliament, undertakes a detailed review of the government's budget. The committee seeks information from departments about proposed government expenditure and departmental performance.

Before the budget is released by the Treasurer, the committee forwards a questionnaire to all departments seeking information to supplement the details that will be contained in the budget papers.

After the budget is brought down, public hearings are held in May with the Premier, the Presiding Officers and all ministers and senior departmental officers.

The Committee's objective in its scrutiny of the budget estimates is to:

• constructively contribute to improving the presentation of budget information to the Parliament and the community of Victoria;
• facilitate a greater understanding and transparency of the budget estimates;
• encourage clear, full and precise statements of the government's objectives and planned budget outcomes; and
• encourage economical, efficient and effective administration.

The aim of the Committee is to table a full report of the hearings during debate on the appropriation bills in the Parliament, and then follow this up with a more detailed analytical report.

Auditing function

 The Committee is involved in:

• recommending the appointment of the Auditor-General and the independent auditors of the
  Auditor-General's Office (both financial and performance); and
• considering and reporting to Parliament on the budget estimates and the annual plan of the
  Auditor-General's Office.

The committee also has a consultative role in determining the objectives and terms of reference of performance audits and identifying any particular issues that need to be addressed as part of the audits and in advising the Auditor-General on the audit priorities for the year; and can also exempt, if necessary, the Auditor-General from any legislative requirements applicable to government agencies on staff employment conditions and financial reporting practices.

Last Updated on Tuesday, 22 February 2011