Public Records Act 2005 Audit Programme

Update presented toGovernment Recordkeeping Forum, Auckland

John Roberts, Acting Group Manager, Government Recordkeeping November 30 2009

Presentation Overview

• Overview of the Audit Programme

• The PRA Audit Tool

• Reporting

• Audit process – roll-out timeframes, selection of public offices, etc

Overview of the PRA Audit Programme• The Public Records Act requires Archives New Zealand to

commission audits of recordkeeping in public offices

• Audits begin in 2010

• Audits occur on a 5 year cycle

• Audits based on key requirements of the Public Records Act

• Creation and maintenance of full and accurate public records• Provision for preservation and access • Managed disposal (destroy and transfer, etc)

• 200 core state sector entities will be audited

• Local authorities are not covered

• State schools are not subject to the mandatory standards. Approach to auditing schools is yet to be determined

Audit Programme Focus Areas

• Three Mandatory Standards• Create and Maintain• Storage• Metadata

• Current position • Direction and planned outcomes • Likelihood of achieving outcomes• Recommendations for capability

development

• Business Risk and Productivity

Audit Process Overview• Audit client CEs notified six months prior to commencement of audit

• Engagement is with a designated Senior Responsible Officer (SRO)

• Kick-off meeting in January/February to agree process/timings

• Clients use an audit self-assessment tool to profile their capability

• Archives reviews profile and, using intelligence sources, develops programme for field audit which –

– Validates client self-assessments– Examines high probability/high impact business risk areas– Examines productivity monitoring

• Reports benchmark client against other (c.40) public offices audited

• Draft report findings and recommendations discussed with SRO

• Final report delivered

Audit Reporting

Reporting to the public office client:• Summary of the public office’s current position and planned

direction• Benchmarking of current position with other organisations audited• Assessment of management of high probability-high impact risk• Assessment of business performance improvement (productivity)

opportunities

Reporting to Parliament (via Minister):• Annual Parliamentary Report providing an overview of audit

findings• Commentary on trends • Identification of common themes and issues

Business risk from poor recordkeeping1. Failure to meet legislative and regulatory requirements 2. Unlawful disposal of records 3. Inability to provide assurance of legislative compliance

Compliance

4. Inability to produce records or provide evidence 5. Inability to transfer data across organisational systems 6. Inability to deliver services due to the loss of information 7. Inability to retrieve and interpret records in obsolete formats or systems 8. Information is inaccessible or unsuitable for the conduct of business 9. Inability to provide a record of specific transactions

Operational

10. Inconsistent, ineffective and inefficient conduct of business 11. Inability to provide reliable evidence summarising activities or undertakings 12. Reduced capability to demonstrate good performance

Reporting

13. Misleading the minister or other key stakeholders 14. Embarrassment to the chief executive, minister, the government and individuals Reputation

15. Damage to reputation, loss of credibility, lowered public confidence 16. Loss of records which support New Zealand’s cultural and national identity 17. Poor strategic planning and poor decisions made on inaccurate information 18. Inability to use organisational information and knowledge to full potential 19. Constrained business and information management strategies

Strategic

20. Inability to automate processes and to secure efficiency benefits

Selection of public offices for audit

• The audit schedule will be announced on an annual basis with a lead-time of around six months

• All entity types will be covered each year

• Sampling within entity type will be random

Typical year -

• 5 Autonomous Crown Entities• 6 Crown Agents• 3 Crown Research Institutes• 5 District Health Boards• 3 Independent Crown Entities• 1 Non Public Service Department• 1 Office of Parliament• 1 Crown Entity Company• 5 Polytechnics• 8 Public Service Departments• 4 SOEs• 1 Trust• 3 Universities

PRA Audit Programme – Indicative Roll-out Timeframes

Incorporation of Consultation

Feedback into an updated Audit

Tool

Emerging consultation themes:

Audit scheduling

Audit reporting

Audit methodology

Development of methods and procedures

Team recruitment

Refinement of Public Office

self-assessment version of Audit

Tool

Commencement of full-scale PRA Audit Programme

Approx 40 Public Office

Audits per annum

June 2009 January 2010 January 2011

6 months lead time notice of Annual PRA

Audit Schedule

Commence pilot audits (approx.

15 Public Offices)

September 2009

Summary• The audit tool will be developed

as a web-based self profiling tool

• Reports benchmark client against other (c.40) public offices audited

• Reporting to Parliament and CEs will focus on business risk and productivity

• The schedule will be announced on an annual basis, with a lead-time of six months

• All entity types will be covered each year - sampling within entity type will be random

• See the Archives NZ website for information on recordkeeping and the Public Records Act

http://www.archives.govt.nz/

• Contact:

Richard Hipgrave

PRA Audit Programme Manager

richard.hipgrave@archives.govt.nz