Dáil Éireann díospóireacht -
Thursday, 8 Nov 2001

Vol. 543 No. 4

Written Answers. - Departmental Accounting Practices.

Ruairí Quinn

Ceist:

22 Mr. Quinn asked the Minister for Arts, Heritage Gaeltacht and the Islands the steps which have been taken to address the shortcomings in the annual accounts of her Department identified in the Annual Report of the Comptroller and Auditor General; and if she will make a statement on the matter. [27154/01]

Minister for Arts, Heritage, Gaeltacht and the Islands (Miss de Valera)

The shortcomings in my Department's accounting procedures identified in the Report of the Comptroller and Auditor General on the Appropriations Accounts for 2000 are attributable in the main to an outdated accounts system which will be discarded as soon as a replacement system being developed under the management information framework initiative has been installed.

In the meantime, remedial action as follows is being taken to ensure that my Department will provide an effective and accurate financial service within the existing constraints.

Review of Structures and Staffing

A full internal review of the structures and staffing in the accounts branch of my Department has been carried out. A lack of professional accountancy expertise has been identified and this is being addressed in the short-term through consultancy help – Deloitte & Touche.

A further outcome of the review was the identification of a lack of resources at middle management and general clerical level. Two extra appointments have been made and a further six are envisaged.

Turnover of personnel has been a contributor to problems in the accounts area of my Department and efforts are being made to manage this, in so far as is feasible.

Manuals and Documentation of Procedures

Manuals have been drafted that document procedures, and outline the steps that must be carried out, on a daily, monthly and annual basis, with particular emphasis on recording receipts and reconciling monthly with the PMG, the issue which gave rise to particular concern in the audit of my Department's accounts by the Office of the Comptroller and Auditor General.

Training

Most of the initial training for accounts personnel is in-house, with the help of consultants. This is the only realistic approach given that most of the major problems arise from our accounts sys tem. We are also looking at the options for general training for accounts personnel going forward and this will be followed up in the context of the performance management and development system process.

Fixed Assets Register

An interim fixed assets register system has been put in place on a spreadsheet basis. My Department recognises that recording capital assets in a spreadsheet format is only a short-term solution, which must be superseded by fixed asset software. It is recognised that the procurement of assets management software is a priority. My Department, in conjunction with external consultants, is working on the drawing up of a specification at present. When the most appropriate software is identified and acquired, a considerable amount of checking and inputting will be needed before the system is fully operational. It is the aim to have a computerised central assets register for the 2002 Appropriation Account.

Internal Audit

The internal audit function of my Department has been strengthened to ensure that we will in future have a more robust system of internal checks and balances. The unit is undertaking a major risk evaluation project in relation to all of my Department's responsibilities in conjunction with the Institute of Public Administration.

In the light of these and other connective measures taken, I am confident that my Department will meet the challenge of providing a first class accounts service into the future.