The Auditor-General in his 1995 Report on Special Expenses Allowances and Other Expenses of New South Wales Parliamentary Members raised the issue of the need for improved accountability in processing payments met on behalf of Ministers.

To this end it is necessary to ensure that expenses incurred by or on behalf of each Minister are correctly and fully recorded. Depending on the nature of the activity undertaken the expenditure will be recorded in either the general ledger of the host agency or the Legislature.

The following definitions should assist officers determining where expenditure is to be charged:

Ministerial Expenditure

Expenditure incurred as a result of undertaking the duties of the Minister's portfolio. This is to be charged against the Ministerial Office cost code within the host agency's general ledger.

Departmental Expenditure

Expenditure incurred associated with the programs or activities of the agency or agencies under the Minister's administration. This is to be charged against the relevant cost code within the particular agency's general ledger.

Legislature Expenditure

Expenditure incurred relating to the Minister's role as a Member of Parliament. This is to be charged against the Minister's cost code within the Legislature's general ledger.

I would appreciate you bringing these issues' to the attention of relevant staff within your administration.

Any enquiries on this matter should be directed to Terry Willison on telephone 9228 5515.

KEN CRIPPS
Commissioner