The 2018-19 audited financial statements for Central Coast Council, showing a breach of the Act, were adopted Central Coast Council at its March 9 meeting.
The NSW Audit Office noted a breach of the Environment Planning and Assessment Act 1979 from a self-reported error with administration fees dating back to 2001.
The error was corrected in the 2018-19 financial statements.
Council reimbursed its Local Infrastructure Contributions Fund $13.2 million, from its general fund, after finding breaches that began before the Council came into existence in 2016 when former Gosford and Wyong councils were amalgamated.
The money repaid represented reimbursement and an estimate for forgone interest.
The auditor said in his report to Council that the Council had breached the Environmental Planning and Assessment Act by using the infrastructure fund money for administration purposes.
Assistant Auditor-General Mr Aaron Green also criticised Council for a delay in handing over the financial results and said a robust quality review process was not evident.
“This was largely due to information system limitations and weaknesses in Council’s control environment,” he said.
He also criticised the Council water supply authority’s financial “misstatements”.
He concluded the misstatements were not due to fraud.
He noted that some were fixed by management and some immaterial ones were left.
The auditor was at the council meeting but he was not questioned.
SOURCE:
Central Coast Council agenda 3.4, 9 Mar 2020