Public Accounts Committee Research Articles

Promotion of good governance within local government: a case of municipal public accounts committee in South Africa

The aim of this article was to explore the role of Municipal Public Accounts Committee (MPAC) in promoting good governance, with the contextual setting being Blouberg Local Municipality. There is general consensus among academics, practitioners and policy makers alike in South Africa that the allocation of functions and responsibilities of municipal council and that of executives are often not clear, thus creating confusion in the officialdom and weakening oversight structures including MPAC. Hence the qualified audit reports in four consecutive years in Blouberg Municipality (see Auditor General, 2016-2021), signals internal failure not only to improve the municipal financial health status but to promote good governance generally. Methodologically, the study adopted qualitative designs and used interviews as instrument to collect data from key members of the committee. Consequently, the study revealed many underlying weaknesses, but the critical one was the demonstrable poor capacity within the committee which is twofold; (1) lack of expertise to facilitate oversight and (2) insufficient budget to enable performance of the Committee. Essentially, these challenges affect the proper functioning of MPAC which is constitutionally bestowed the responsibility of holding the executive accountable and guard against any misappropriation of municipal funds. The study recommended a number of solutions to improve the state of MPAC in the municipality, amongst them were that, council should develop an integrated reporting mechanism framework to conduct an oversight role which can be done with the assistance from experts in governance. The committee’s programme of action must also be funded, sufficiently.

Evaluating Internal Control Mechanisms in Malaysian Public Sector Initiatives: Insights from the Public Accounts Committee (PAC) Reports

This study examines internal control challenges in Malaysian government projects, drawing on Public Accounts Committee (PAC) reports from 2019 to 2022. The focus on this period stems from the shift in PAC chairmanship from government to opposition, which enhanced perceived independence. However, the literature suggests that the PAC’s success depends more on collaborative decision-making than on the chairman’s political affiliation. Analyzing 29 government agencies across various sectors revealed recurring weaknesses in internal controls. The study employed the Committee of Sponsoring Organizations of the Treadway Commission’s (COSO) Internal Control-Integrated Framework (ICIF) to systematically identify these weaknesses. A content analysis method was used to examine the themes, which were grouped into five ICIF components: control environment, risk assessment, control activities, information and communication, and monitoring. Weaknesses in the control environment include conflicts of interest, compromised ethical values, inadequate governance, and a lack of accountability and transparency. Risk assessment deficiencies were found in financial risk management, procurement and acquisition risks, geopolitical and strategic risks, intellectual property and technology risks, and project management risks. Control activity weaknesses involved poor resource and process management, non-compliance, and flawed decision-making. Information and communication issues included poor documentation, inadequate system integration and data sharing, limited stakeholder engagement, weak communication protocols, and poor information management. Monitoring deficiencies were noted in regulatory compliance, contract management, financial oversight, monitoring systems, and disbursement tracking. Addressing these weaknesses in internal controls is crucial for minimizing the risks of fraud, waste, and loss of public trust

Assessing the Impact of Public Accounts Committee (PAC) Reports on Government Accountability

This study examines the effectiveness of the Public Accounts Committee (PAC) in Malaysia to enrich the understanding of its role in promoting governmental accountability. Through an extensive content analysis of the PAC reports spanning from 2019 to 2022 sourced from the Official Web of Parliament PAC, issues raised by the PAC were categorized into key improvement areas. Findings unveiled 104 flagged issues, with 68 addressed effectively, while 29 remained unresolved despite agreements for action and 7 lacking government response. The government's consideration of 97 out of 104 issues, reflecting a response rate exceeding 90%, underscored the PAC's pivotal role in fostering accountability. This study presents a comprehensive analysis of the prevailing issues identified in PAC reports and their current resolution status. It offers crucial insights for legislators to enhance the efficacy of their oversight procedures. Additionally, it provides empirical data on the impact of legislative oversight on governmental operations. The findings highlight the PAC's capacity to instigate positive reforms within government agencies, thereby enhancing transparency and promoting accountable governance. Future research should explore how the composition of the PAC committees influences issue resolution and government responses, while further investigations are recommended to evaluate the effects of the PAC recommendations on governmental practices.

A Critical Examination of the Role of Auditing as a Means of Ensuring Transparency and Accountability in Petroleum Revenue Management Activities in Ghana: Proposed Intervention

Oil discovery by some nations has become a resource curse rather than a blessing due to misappropriation, mismanagement and corruption in the management of petroleum revenues due to abuse of political power by public officers in partnership with other stakeholders within the oil industry, national and international alike. Auditor General's Annual Reports, Reports of Parliament’s Public Accounts Committee, Public Interest and Accountability Committee (PIAC) and CSOs reports among other literature have established that public resources such as oil revenue are mismanaged. Weak institutions, Finance Minister's discretionary powers under Act 815, lack of political will, weak legal and policy enforcement regimes among others are to blame for the lack of transparency and accountability leading to corruption. The study establishes that effective auditing plays a significant role in exposing the weak links to ensure transparency and accountability to mitigate corruption, particularly corruption auditing is best suited for petroleum revenue management activities. The study provides that transparency and accountability for effective corruption control and oversight, auditing and enforcement requires a multifaceted approach, stakeholders such as Supreme Auditing Institutions, external and internal audits system, citizens active participation, PIAC and CSOs such as Civil Society Platform on Oil and Gas (CSPOG) and Ghana Extractive Industries Transparency Initiative (GHEITI), good political will by government, strong legislature and judicial system as well as the support of International Financial Institutions (IFIs) such as World Bank and the International Monetary Fund (IMF) including Donors and multinational petroleum companies are all needed on deck to tackle successfully the monster called petroleum revenue misappropriation, mismanagement and corruption. And ensuring that the government, public officials and other stakeholders uphold to best practice when it comes to PRMA.

Use of AI in Government: Written Evidence to the Public Accounts Committee

Use of AI in Government: Written Evidence to the Public Accounts Committee

Parliamentary oversight: Oireachtas committees and the Dáil Committee on Public Accounts in the twenty-first century

Abstract Strong parliaments hold the government, its departments and the wider public administration to account. Such parliaments are built on strong and active committee systems. For a long time, the Public Accounts Committee (PAC) was the only oversight committee consistently in place in the Houses of the Oireachtas. This article explains how the committee system has been gradually expanded and strengthened, and how its remit to oversee the actions of the government is wide. It explains the institutional factors that lead to the continued prominence of the PAC, including how it draws on the expert, independent reports of the Comptroller and Auditor General to conduct its oversight work, while noting that the PAC still faces the same challenges as other committees concerning a wide remit, finite resources and the multiple motivations of its membership. The work of the PAC is described and placed in the context of the financial scrutiny cycle which is being developed in the Houses of the Oireachtas. This is followed by a discussion of how the PAC manages its potentially wide remit to conduct ex post financial scrutiny of public expenditure, and the balance between what is referred to as ‘police-patrol’, rather than ‘fire-alarm’, scrutiny and the procedural changes which are designed to ensure that the PAC (with the authority of the Dáil) can examine and hold actors to account for the expenditure of any public money.

Parliamentary Institutional Reforms in Malaysia: The Case of the Pakatan Harapan Era, 2018–2020

The parliamentary institution is the nation’s highest legislative body in a democratic system, where it enacts, amends, and approves federal laws, examines government policies and approves government spending. However, in Malaysia, during the Barisan Nasional (BN) era, this institution was frequently criticised due to its numerous flaws. Among them were executive control over parliamentary institutions, disregard for the opposition’s role and unequal development provision between government and opposition parliamentarians. Therefore, during the 14th General Election (GE14) campaign, Pakatan Harapan (PH) promised to implement parliamentary reforms, and that pledge carried PH to victory in the GE14. This article utilised the concept of institutional reform as a tool of analytics to discuss parliamentary institutional reforms during the PH’s governmental term from 2018 to 2020. The primary sources of this study were interviews and secondary sources, which were obtained through books, journals and newspapers. This article argues that the PH government has successfully implemented several parliamentary institutional reforms in only 22 months. The reforms were the reform of the Public Accounts Committee (PAC), the establishment of more parliamentary select committees, the restructuring of constituency development funds for members of parliament (MPs) and the appointment of non-partisan speakers. All these reforms have benefited Malaysia’s parliamentary institutions by increasing the role of the opposition, allocating fair constituency development funds to parliamentarians and improving the parliamentary image. Nevertheless, comprehensive reforms were not implemented because the PH government was ousted from power at the end of February 2020 because of the actions of several PH MPs who defected from the party.

A Critical Review of the Municipal Public Accounts Committee and Financial Management at Amahlathi Municipality, South Africa

Despite the existence of the MPAC within Amahlathi municipality, the municipality was placed under an administration which is a clear indication of the failure of the MPAC in executing its functions. This study assesses the challenges that confront Amahlathi municipality MPAC, leading to its failure to execute its mandate. A qualitative research and case study design were adopted for this study. An autopsy of secondary data was done through desktop research and analysed using the content analysis technique. The study revealed that lack of skills, lack of capacity, corruption, uncoordinated systems within the municipality and budgetary constraints impede the work of the municipality. The recommends that MPAC needs support to enhance its effectiveness and efficiency. Literature has shown that the South African government established an impressive legislative framework for local government, however, compliance with the requirements of the frameworks is lacking, particularly in relation to MPAC.

Determinants of the extent of usage of accounting information by Public Accounts Committee in Tanzania public corporations: Moderating role of effective communication.

The objective of the paper is to examine determinants of the extent of usage of accounting information by the Public Accounts Committee in Tanzania public corporations moderated by effective communication. This study's guiding theories are an agency, accounting information usefulness, and communication. The study used a positivist philosophy, deductive approach, and cross-sectional survey design. The researcher used quantitative data analysis focused on 110 questionnaires made by PAC members and nonmembers. The Partial Least Square –Structural Equation Modeling [PLS-SEM] was used to support multivariate statistical analysis. The study reported a coefficient of determination (R2) of 0.584, implying that trust in accounting information, perception of quality of accounting information, knowledge of accounting information, and effective communication moderated by effective communication explain a 58.4% variation in the extent of usage of accounting information. The study results showed that trust in accounting information and knowledge of accounting information has a statistically significant positive impact on the extent of use of accounting information. The perception of the quality of accounting information and effective communication had a statistically insignificant positive effect on the extent of accounting information usage. Besides, the study results confirmed the absence of moderating effects of effective communication of accounting information on the relationships between determinants of accounting information usage and the extent of use of accounting information.

A Critical Review of the Municipal Public Accounts Committee and Financial Management at Amahlathi Municipality, South Africa

Despite the existence of the MPAC within Amahlathi municipality, the municipality was placed under an administration which is a clear indication of the failure of the MPAC in executing its functions. This study assesses the challenges that confront Amahlathi municipality MPAC, leading to its failure to execute its mandate. A qualitative research and case study design were adopted for this study. An autopsy of secondary data was done through desktop research and analysed using the content analysis technique. The study revealed that lack of skills, lack of capacity, corruption, uncoordinated systems within the municipality and budgetary constraints impede the work of the municipality. The recommends that MPAC needs support to enhance its effectiveness and efficiency. Literature has shown that the South African government established an impressive legislative framework for local government, however, compliance with the requirements of the frameworks is lacking, particularly in relation to MPAC.

Factors Associated with the Extent of Usage of Accounting Information by the Public Accounts Committee in Tanzania Public Corporations

This study aims to examine expectations on content of accounting information and ability to interpret accounting information as associated factors on the extent of usage of accounting information in Tanzania public corporations. The usage of accounting information by politicians in the world context have led to mixed results.Further, the use of accounting information by Public Accounts Committee (PAC) in monitoring public corporations has not been consistent, hence calling for an examination on the practice to get insights explaining the extent of usage of accounting information. Data for the study were gathered using a survey instrument from Public accounts committee members and ex-members from 2005 to 2022. The study used Partial Least Square Structural Equation Modeling [PLS- SEM] to analyze data. Findings reported coefficient determination (R2) of 0.640 that explained a 64% variation in the extent of usage of accounting information as a dependent construct. The study found that expectations on content of accounting information and ability to interpret accounting information were positively and statistically significant as factors associated with the extent of usage of accounting information in Tanzania public corporations. Thus, the study strongly recommends to the Parliament, Regulators, practitioners, and other relevant stakeholders, to consider the findings of this study to enhance the extent of usage of accounting information. This can be done through crafting and implementing policy making for usefulness of accounting information driven by the Public Accounts Committee needs. Besides, the producers of accounting information must ensure accounting information possesses a quality, relevance, and appropriateness to influence the ability to interpret accounting information and meet expectations on content of accounting information, hence improving the extent of usage of accounting information in Tanzania public corporations.

The Extent of Accounting Information Disclosure to Public Accounts Committee: Empirical Evidence in Tanzania Public Corporations

This study examines the extent of accounting information disclosure to Public Accounts Committee in Tanzania Public Corporations. The study is driven by Public Accounts Committee as an oversight organ and accountability challenges facing Tanzania public corporations. The study used positivist philosophical approach. The study was supported by the multiple theories of agency and communication. Data for the analysis were gathered through cross-sectional research using a survey method from members and ex-members of Public accounts Committees from 2005 to 2022. The received valid response from participants were 110. The reliability statistic test of Cronbach Alpha was tested for five measures and confirmed to be 0.693. The study found that the extent of accounting information disclosure was encouraging, yet some outlier measures need to be strategically improved in Tanzania. The study adds knowledge on the accounting information disclosure to politicians and narrow down the contextual gap as most studies on accounting information disclosure were done in developed countries. Besides, the research has practical and policy implications aimed at enhancing the extent of accounting information availability to politicians.

Public sector audit and the state's responsibility to “leave no‐one behind”: The role of integrated democratic accountability

AbstractAchieving the United Nations (UN) sustainable development goals (SDGs) at country and local levels—and ensuring “no one is left behind”—requires that nation states commit to solving complex social and societal challenges through collaborative, democratic means. Technocratic and bureaucratic procedures alone are insufficient. In addition to satisfying international actors, governments must discharge integrated democratic accountability through inclusive stakeholder engagement with and between diverse and locally embedded social actors and institutions. Democratic accountability requires recognizing and preserving social complexity and plurality mediated through public dialogues between actors and institutions. Concurrently, global initiatives like the SDGs offer opportunities for the UN's member states to show their sincerity to international principles and standards while engaging with local practices that promote democratic means of resolution and policy implementation. This research analyzes how public sector audit can potentially support and hold a government accountable for its international pledges to SDGs, including stakeholder engagement. In India, the public sector auditor has proactively undertaken a performance audit on that government's “preparedness to implement SDGs.” This research demonstrates how the government is held accountable for its policies and actions on SDGs, through analyzing the interrelated actions of India's two key democratic institutions—the Supreme Audit Institution and Public Accounts Committee. We make recommendations for improving state accountability for SDGs through national level policies, mechanisms and processes of stakeholder engagement and dialogues. At an international level, we argue for the UN to develop more effective mechanisms to hold governments accountable for policies and progress on their SDG commitments. Such mechanisms could include regular progress and performance audits and monitoring both nationally and internationally. These could contribute to improved leadership and integrated policy‐making across layers and levels within a nation state. We also highlight the areas for further research.

Rationale of Establishing Public Accounts Committees: A Critical Review of Literature

According to the UK Parliament, “The Public Accounts Committee examines the value for money of Government projects, programmes, and service delivery. Drawing on the work of the National Audit Office the Committee holds government officials to account for the economy, efficiency, and effectiveness of public spending.” Therefore, the purpose of this study is to provide the background information on the creating of Public Accounts Committees (Parliament). The paper further attempts to cover issues relating to external audit and legislative scrutiny. The paradigm for the Public Accounts Committees is also covered in this article. In this article, a critical review of literature has been used as a methodology. The key literature reviewed is from Google Scholar and EbscoHost, Researchgate, and other scholarly databases. Further, websites for some Parliaments and associations for parliaments across the globe have been an invaluable source of information on this subject. From the literature that has been reviewed it can be concluded that both Public Accounts Committees (PACs) and Auditors General can help to attract Foreign Direct Investment (FDI) or international capital investment to a country by providing assurances on the integrity of public sector finances, especially if challenges faced in building their capacity and performing their functions can be overcome. Keywords: Public Accounts Committee (PAC), Auditor General’s Office, Legislative Scrutiny DOI: 10.7176/PPAR/12-6-03 Publication date: August 31 st 2022

Parliamentary Oversight: A Critical Review of Literature

The main of this paper is to define what is meant by ‘legislative’ or parliamentary oversight. The other objective is to assess the role of the Legislature in the Budget Ex Post. The Objectives, tools, and mechanisms of parliamentary oversight shall be discussed. The review of the literature was used as a methodology in this paper. The review found that there are various definitions of parliamentary oversight The Portal for Parliamentary Development was a great source of literature that was reviewed and analyzed in this study. It was reviewed that different scholars define parliamentary oversight differently. Not all definitions capture all the key roles of parliamentary oversight. paper reviews several scholarly articles that provides various definitions of parliamentary oversight. Furthermore, it is revealed that government reporting and legislative scrutiny of public accounts is more common in parliamentary and semi-presidential systems than in presidential systems; even so, 84 percent of legislatures in presidential systems analyze financial reports from the government. From the literature reviewed, it has been concluded that the robust monitoring of the executive by the parliament is an indicator of good governance. Besides the parliament’s legislative function, it is through oversight that the parliament can ensure a balance of power and assert its role as the defender of the people’s interests. Keywords: Parliamentary Oversight; Legislative Oversight; Public Accounts Committee DOI: 10.7176/PPAR/12-6-01 Publication date: August 31 st 2022

ROLE OF ENGLISH PRESS IN STRENGTHENING ACCOUNTABILITY INSTITUTIONS OF PAKISTAN DURING 2013-2021

The study “Role of English Press in Strengthening Accountability Institutions of Pakistan During 2013-2021” aimed to find out how media especially the English Press explore, highlights, and analyze the problems in accountability institutions like the National Accountability Bureau, Public Accounts Committee, and Federal Investigation Bureau, Agenda Setting & Framing theory as theoretical support were selected. The content Analysis method was used for data collection by purposive sampling technique. After analyzing the data and putting it through statistical testing., the researcher justified the hypothesis successfully that the print media played an effective role in strengthening the accountability process that leads to independent institutions for accountability in Pakistan. Keywords: Framing, Pakistani media, Accountability, English Press.

Implementing Public Accounts Committee Recommendations: Evidence from the UK Government’s ‘Progress Reports’ since 2012

AbstractThe Public Accounts Committee is the oldest and, reputedly, most influential oversight committee in the British parliament. Since 2012, the government has published an unprecedented volume of data explaining its actions in response to the PAC’s inquiries. By tracking all 615 of the Committee’s recommendations from 2010 to 2012 across the first 14 of these ‘progress reports’, we explore how effectively this novel reporting mechanism serves to inform parliament about the executive’s responsiveness to scrutiny. We find the reports to yield rich data on the fate of many individual recommendations, but only limited information on the overall timeliness and quality of implementation. Flexibilities and inconsistencies in reporting style also make the arrangements vulnerable to gaming. We identify potential improvements and research opportunities.

Financial Accountability Framework for Local Municipalities in the North West Province

Achieving a clean audit report has been almost impossible for the local municipalities of the North West province due to mismanagement of financial resources by the municipal role-players. In this regard, this study was aimed at exploring the key enablers to achieve financial accountability as well as propose a framework for financial accountability. The Stewardship Theory underpinned this study which emphasises the need for public servants to serve their employers with utmost truthfulness. The social constructivist research paradigm and a qualitative research approach was adopted. An exploratory research design was applied and a semi-structured interviews was used as a data collection method. A total of thirty six participants participated in the study. At the end of data collection, Atlas-ti software (version 8.2) was used to analyse data. Themes and categories were presented using Atlas-ti network diagram and these were well interpreted and discussed. Findings obtained from the study indicated that the key enablers of municipal financial accountability include the facilitation of policies and legislation, the facilitation oversight functions of the Municipal Public Accounts Committee, risk management, benchmarking, internal control, and financial management. These factors were investigated in the empirical study and it was discovered that all are key enablers towards achieving financial accountability except benchmarking which was regarded as a growth tool. Added to these factors are the contributions to the body of knowledge which include training of financial employees and the implementation of consequence management against role-players who do not abide with the financial policies and legislation of the municipalities. The study recommends above all, that the municipality role-players (financial employees) should be adequately trained to ensure competency, MPAC should effectively conduct their oversight duties and recommendations, also legal actions should be adequately taken on all culprits without fear or favour. This is in an endeavour to enhance financial accountability of local municipalities in the North West province.

On the legitimacy and apoliticality of public sector performance audit: exploratory evidence from Canada and Denmark

PurposeThe increasing uptake of performance auditing (PA), which entails both the facilitation and the control of government policies, has seriously challenged state auditors' claims that they are apolitical. This article aims to understand how supreme audit institutions (SAIs) operate to maintain and nurture the political neutrality and legitimacy of their PA.Design/methodology/approachThe authors draw on Suchman's typology on legitimacy (1995) to analyze the PA reports of two countries with a long history of both performance auditing and accusations of political interference, namely Canada and Denmark. Documentary analysis and interview methods are employed.FindingsThis study shows how the two SAIs have been pursuing pragmatic, moral and cognitive legitimacy through the professionalization and standardization of both the form and the content of their PA reports. Engaging and maintaining the dialogue with the audited administration, triangulating recognized social science methods, and emphasizing the “public interest” basis of PA reflect some of the tools adopted to navigate the “grey zone” between objective, relevant and politically sensitive audits.Research limitations/implicationsThe paper's explorative approach limits the possibility for robust testing of the causal forces impinging on SAIs' choices of legitimation strategies. Nevertheless, variations between the Canadian and Danish SAIs in the strategic use of some legitimacy tools such as the media suggest a difference in the role of Public Accounts Committee in the two countries that can be investigated in future research.Originality/valueMuch research exists questioning the political neutrality of PA, yet there has not been much discussion on how SAIs have been able to develop and preserve the prevalent legitimacy of their PA amid the criticism. More specifically, our research reveals the tendency of both the Canadian and Danish SAIs to strategically underline the “public interest” dimension of their performance audits in an attempt to increase both their legitimacy and political neutrality.

Government 'miscommunicated' PPE stock levels to pharmacies during first COVID-19 wave, MPs told

The government led pharmacy staff to believe that wholesalers had “dramatically more” personal protective equipment (PPE) in stock than was the case during the first wave of the COVID-19 pandemic, the Healthcare Distribution Association (HDA) has said. In evidence given to the House of Commons Public Accounts Committee (PAC) for its report into the government procurement and […]