Local government 2024

Tabled Report 13: 2024–25

Tabled date

2025-04-17

Report year

2024-25

Local government

Entities audited

Not identified in the published HTML audit scope.

Recommendations

1. QAO's text Addressed to: We recommend that all councils implement policies and procedures that specify when ex-gratia payments (which an entity is not legally required to make under a contract or otherwise) are appropriate. The policies and procedures

   We recommend that all councils implement policies and procedures that specify when ex-gratia payments (which an entity is not legally required to make under a contract or otherwise) are appropriate. The policies and procedures should outline:

   • who is authorised to approve ex-gratia payments
   • under what circumstances is it appropriate for such payments to be made
   • documentation to support
     • the reason and nature of the payment
     • the amount, including supporting calculations
   • when it is appropriate to enter into non-disclosure agreements in making such payments.

2. QAO's text Addressed to: councils

   We recommend that councils assess climate risks and develop strategies to address them.

   They should consider updating their strategic plans, risk registers, and long-term budgets to reflect the financial and operating impacts of these risks.

3. QAO's text Addressed to: We recommend all councils review the asset consumption ratio for their water infrastructure assets. Where the ratio is below 60 per cent, councils

   We recommend all councils review the asset consumption ratio for their water infrastructure assets. Where the ratio is below 60 per cent, councils should assess the need for repairs/renewals to their water infrastructure assets that will reinstate these assets to a level that provides the appropriate level of service to their community.

4. QAO's text Addressed to: We recommend that the department develops guidance material for councils to determine when ex-gratia payments are made. The guidance

   We recommend that the department develops guidance material for councils to determine when ex-gratia payments are made. The guidance should:

   • include expectations for internal governance
   • specify the required documentation, including supporting calculations, to support ex-gratia payments
   • specify the financial reporting and disclosure requirements
   • address the use of non-disclosure agreements and the circumstances when these would be appropriate.

5. QAO's text Addressed to: the department amends the sustainability guideline so that councils are required to calculate and

   We recommend that the department amends the sustainability guideline so that councils are required to calculate and report on the asset consumption of each asset class in their financial statements.

Authoritative report — Queensland Audit Office

Report PDF on QAO