1 National Commission of Audit Terms of Reference CONTEXT

• It is almost 20 years since there has been a thorough review of the scope, efficiency and functions of the Commonwealth government. During this time the size of the Commonwealth government has expanded significantly, as has the remit of some of its activities. • It is also essential that the Commonwealth government live within its means and begin to pay down debt. • It is therefore timely that there should be another full-scale review of the activities of the Commonwealth government to: – ensure taxpayers are receiving value-for-money from each dollar spent; – eliminate wasteful spending; – identify areas of unnecessary duplication between the activities of the Commonwealth and other levels of government; – identify areas or programs where Commonwealth involvement is inappropriate, no longer needed, or blurs lines of accountability; and – improve the overall efficiency and effectiveness with which government services and policy advice are delivered. • Accordingly, the Commission of Audit (‘the Commission’) has a broad remit to examine the scope for efficiency and productivity improvements across all areas of Commonwealth expenditure, and to make recommendations to achieve savings sufficient to deliver a surplus of 1 per cent of GDP prior to 2023-24. • In carrying out its work, the Commission may wish to invite submissions, consult key stakeholders and seek information from persons or bodies, where this will assist its deliberations. • The Commission should also be guided in its work by the principles that: – government should have respect for taxpayers in the care with which it spends every dollar of revenue; – government should do for people what they cannot do, or cannot do efficiently, for themselves, but no more; and – government should live within its means