Indigenous Land Corporation gpo box 652 Adelaide sa 5001

Audit and Risk Management Committee

Sub-section 45 (1) of the Public Performance Governance and Accountability Act 2014 (PGPA Act) (previously Section 32 of the CAC Act) requires an Accountable Authority to establish an Audit Committee.

The ILC Board’s Audit and Risk Management Committee (ARMC) has the primary purpose of oversight and provision of independent assurance and advice to the Board on the systems of risk, internal control and compliance frameworks, financial and performance reporting and the external accountability framework for the ILC and its subsidiaries. The committee is governed by a charter which is reviewed annually.

Reporting directly to the full Board, the committee operates in accordance with applicable Commonwealth legislation and the Australian National Audit Office’s Better Practice Guide for Public Sector Audit Committees August 2011.

The committee:

• Provides advice and assurance to the Board on the preparation and review of the financial statements and compliance with legislative requirements for the ILC and subsidiaries;

• Acts as an advisory body to the Board on management, administrative, operational and financial controls with particular regard to the diverse nature of ILC operations;

• Oversees both the internal and external audit programmes; and

• Oversees the enterprise risk management programme including workplace health and safety, business continuity, insurance, anti-fraud initiatives and security.

This is achieved through reviewing, monitoring and where necessary recommending improvements to the enterprise-wide risk management framework, internal controls, internal and external audit, financial management, governance arrangements and performance management systems.

The committee has access to independent professional advice as required.

The committee members are ILC Directors Ms Alison Page and Mr Graham Atkinson. Ms Jenny Morison is an independent member and Chair. The committee met on four occasions during the year (refer to Appendix 3, page 204 for meeting dates and attendance).

The committee’s activities included:

• Playing a key role in the establishment of an Audit Committee for the National Centre for Indigenous Excellence Ltd and supporting the newly constituted Voyages Indigenous Tourism 
Australia Pty Ltd Audit Committee;

• Providing assistance to the Board and management in responding to the external 
review of the ILC;

• Providing advice and assurance to the Board 
on management’s approach to the compilation and compliance of the ILC consolidated 
financial statements;

• Reviewing and recommending to the Board the signing of the 2013 ILC Consolidated Financial Statements and;

• Reviewing and recommending to the Board 
the signing of the 2013 Compliance Report;

• Reviewing the Enterprise Risk Management Framework, including the risk register;

• Receiving senior management presentations across key corporate risk areas;

• Reviewing the ILC’s internal controls compliance framework;

• Reviewing the financial reporting format provided to the Board to enhance understanding of the ILC consolidated group and subsidiaries costs;

• Monitoring the conduct of external reviews, external audit and the ANAO performance audit;

• Monitoring the Internal Audit and Review Programme, including oversight over the progress and performance of internal auditors and implementation of recommendations; and

• Reviewing insurance coverage and liability limits for the ILC and subsidiaries.