TERMS OF REFERENCE / CHARTER

Audit Committee
of the Government of Nunavut

Purpose of the Audit and the Audit Committee

The Internal Audit Services Branch carries out an independent appraisal activity as a service to the organization. The purpose of the Audit Branch is to assist the management of departments and Crown agencies effectively discharge their responsibilities. To this end, the Audit Branch furnishes them with analyses, appraisals, recommendations, counsel, and information concerning the activities reviewed.

The Internal Audit Services Branch functions under policies articulated in the Financial Administration Manual. The Director of the Branch reports administratively and functionally to the Deputy Minister of Finance/Comptroller General, and also functionally to the “Audit Committee”.

Responsibilities in the Area of “Corporate Governance”

The responsibility of the Audit Committee in the area of corporate governance is to provide assurance that the Government of Nunavut is in compliance with pertinent laws and regulations, is conducting its affairs ethically, and is maintaining effective controls against employee conflict of interest and fraud.

Responsibilities in the Area of “Internal Control”

It is necessary for the Audit Committee to fulfill its oversight responsibilities in the area of internal control, without unnecessary or inappropriate intervention with the prerogatives of senior management.

Responsibilities in the Area of “Financial Reporting”

The responsibility of the Audit Committee in the area of financial reporting is to provide assurance that financial disclosures made by management accurately portray the Government of Nunavut’s financial condition, results of operations and plans, and long-term commitments.

In addition, it is the mandate of the Audit Committee to provide strategic direction to the Internal Audit Services Branch, including the identification of key areas and issues for review; review, approve, and oversee the Internal Audit program, policy, and annual plans; and assist and support the Branch in fulfilling the mandate and responsibilities inherent to all internal audit functions.

Membership

• The Audit Committee is composed of six (6) members.
• The Deputy Minister of Finance/Comptroller General is Chair the Committee.
• Membership also includes a Deputy Head representing each of the following major areas of governmental responsibility, namely social programs, economic and infrastructure programs, and Crown agencies. The Director of Internal Audit Services Branch is the Secretary to the Committee.
• The Deputy Ministers of the Departments of Education, Community & Government Services, and Economic Development & Transportation, and a senior executive from the Qulliq Energy Corporation are current Committee members serving for a two to three year term.
• The Deputy Minister of Finance/Comptroller General and the Director of Internal Audit Services Branch are permanent members of the Committee.
• The Audit Committee holds regularly scheduled meetings every quarter, and convenes special meetings as required.
• The Director of Internal Audit Services Branch is responsible for preparing the Audit Committee meeting agenda and distributing all material relevant to the Order of Business, and serves as a resource person for the Committee.
• The “minutes” of Audit Committee meetings along with appropriate documents, are distributed to all deputy heads.