June 2010
As Chief Audit Executive (CAE) and Director General, Audit and Evaluation Branch (DG, AEB), I am pleased to present this annual report on the performance of Environment Canada's Audit and Evaluation Branch (AEB) for 2009-10. The past year has been a busy and challenging one: the coming into effect of the Treasury Board (TB) Policy on Evaluation and the continuing evolution of expectations under the TB Policy on Internal Audit are but a few of the major imperatives the Branch has been responding to. Supporting the continued and important functions of the External Audit Advisory Committee (EAAC) and the Departmental Evaluation Committee (DEC) also figure prominently in our focus.
The demands on our services are increasing while resource challenges remain ever-present. Internal factors such as increased requirements for accountability-related services and external factors such as the pressures on our community, requires that we maintain up-to-date knowledge of the needs and priority areas within the department and maintain the capacity to address them in the most appropriate manner.
In the past year, we have addressed these challenges through proactive actions: as is outlined in the Annual Report, we have delivered a wide range of risk-based audit and evaluation projects meeting the needs and priorities of management and the Deputy Minister (DM). At the same time, we have worked internally and externally with Treasury Board Secretariat (TBS) and others to play a leadership role government-wide in evolving the professional practices of audit and evaluation. The Branch Vision, Mission, Values and Mandate were also developed. Collectively, these actions position us well for continued value-added, resilience and professional excellence, all of which support our role as a strategic partner and advisor to management.
The EAAC reviewed the audit and supporting strategic planning and coordination performance outlined in the Annual Report and recommended it to the Deputy Minister for approval. The Annual Report will also be sent to Executive Management Committee (EMC) for information.
Carol Najm
Chief Audit Executive / Director General, Audit and Evaluation Branch
The mandate of Environment Canada's (EC) AEB is to support the Deputy Minister and senior management in attaining the strategic objectives of the Department by providing them with objective, independent, evidence-based information, assurance and advice on the effectiveness and efficiency of departmental programs, policies and operations. In addition, the Branch supports the EAAC, the DEC, and other related boards and committees in support of their governance-related mandates. As well, the Branch provides important liaison services for external auditors with the respective departmental representatives, and provides oversight in responding to environmental petitions.
The work of AEB is guided by a formal Mission, Vision, Mandate and Values as well as an Audit Charter[1] for Internal Audit (IA), and an Evaluation Policy[2] for Evaluation. More tactically, the scope and nature of AEB's activities are outlined in a formal Risk-Based Audit and Evaluation Plan (RBAEP) which responds to the most significant risk and priorities faced by the department.
Additionally, the Branch must respond to numerous evolving external requirements, including the requirements of the TB Policies on IA and Evaluation. Specifically, the Branch is required to implement the new Evaluation Policy which represents a fundamental change in the conduct of evaluation, and is in the midst of evolving its practices to meet the key IA Policy requirements, such as Annual Assurance Reporting. It is important to note that guidance from the Centre on these important developments has not yet been provided. Nonetheless, AEB continues to take initiative and build in-house strategies to address these requirements.
This report provides the EAAC and the DEC with a summary of AEB's performance relative to its commitments and priorities for 2009-10, as set out in the RBAEP 2009-12. Lessons learned throughout the year as well as broad commitments for the coming year are also provided. This report responds to the TBS requirements for annual reporting of the CAE.
[1] Internal Audit Charter, 2010. Audit and Evaluation Branch.
[2] Departmental Evaluation Policy, 2009. Audit and Evaluation Branch.