Summary Report on Recipient Audit Performed on Peter Ballantyne Cree Nation
Name: Peter Ballantyne Cree Nation
Location: Saskatchewan
Population: 5,259 on reserve; 10,112 total registered
Default status at time of audit: Co-Managed
Current default status: Recipient Appointed Advisor
Current Chief: Peter A. Beatty
Time period covered by audit: April 1, 2010 to March 31, 2012
Amount of AANDC funding audited: $93,704,737
Background
Indigenous and Northern Affairs Canada (INAC), formally known as Aboriginal Affairs and Northern Development Canada (AANDC), selected the Peter Ballantyne Cree Nation in Saskatchewan for a recipient audit based on their 2011-2012 risk assessment results and other risk factors.
The objective of the recipient audit was to provide assurance that funding provided to the recipient by INAC was spent for its intended purposes and is in compliance with the terms and conditions of the 2010-2011 and 2011-2012 Funding Agreements.
The objective was achieved through:
- Examination of the effectiveness of the operations of the Financial Management Control Framework in place at the Peter Ballantyne Cree Nation;
- Conduct of audit procedures on the eligibility of the expenditures claimed under the terms and conditions of the Funding Agreements with INAC.
Samson and Associates, an independent audit firm, was commissioned by INAC to undertake the recipient audit. The audit procedures were performed from March 4, 2013 to March 14, 2013. The audited amounts detailed in the audit report present fairly, in all material respects, the costs eligible for the period of April 1, 2010 to March 31, 2012 under the financial terms and conditions of the Funding Agreement and its amendments.
Findings
The procedures performed identified that internal financial control processes are mostly in place, and well managed. There are, however, a few procedures that identified control weaknesses within governance, program administration, and financial management. Addressing these internal controls will strengthen how the Recipient manages and allocates it funds in accordance to the agreement. The following are some key findings and key recommendations identified in the audit report.
Governance by Chief and Council
The procedures performed identified areas where there are opportunities to improve governance and administration in support of programs funded by INAC. The Band should formalize their policies and procedure and have them approved by Chief and Council. Policies and procedures should provide more specific structure in regards to funding activities to ensure reporting requirements are met.
Band Management
The procedures performed also identified the following observations and areas of improvements with respect to Band financial management procedures. It is recommended the Band standardizes their approval processes by developing an Approval Framework which would detail the roles and responsibilities of positions in the organization that have spending authority. This can include the type of expenses each position can approve and the maximum dollar value each position can approve. It is recommended that the recipient keep records supporting the transfers of funds and expenditures between programs.
Current status
A copy of the final report has been sent to the recipient. INAC and the recipient are working together to address the findings.
Disclaimer: This audit summary was prepared based on information contained in a Recipient Audit Report on Peter Ballantyne Cree First Nation for INAC. The report produced for INAC is intended solely for the information and use of the Recipient and INAC Management. The audit summary only presents limited information on the general findings based on the audit procedures performed and does not provide information on the detailed procedures of findings. Consequently, this summary may not be appropriate for the purpose and use of the reader.