An audit of the Central Land Council has called for changes.

In a recent performance audit conducted by the Australian National Audit Office (ANAO), the Central Land Council (CLC) of the Northern Territory (NT) has been found to have largely effective governance arrangements. 

However, it also found several areas that require improvement to ensure compliance with legislative obligations.

The CLC, one of four NT Land Councils established under the Aboriginal Land Rights (Northern Territory) Act 1976, plays a crucial role in representing the interests of Aboriginal people and managing Aboriginal land. 

With 90 members and an Executive Committee comprised of 11 members, the CLC received significant funding of $34.4 million from the Aboriginals Benefit Account and $15.9 million from specific purpose contracts in the 2021-22 financial year.

The audit was conducted to provide independent assurance to Parliament regarding the effectiveness of the CLC's governance arrangements under the ALRA, the Native Title Act 1993, and the Public Governance, Performance and Accountability Act 2013. 

The findings highlighted both strengths and areas in need of improvement.

The audit identified complexities in the delegation of decision-making authority within the CLC, citing a lack of specificity and inappropriate reference to sub-delegation. 

It said that greater clarity is required in defining accountable authority delegations under the two Acts governing the Council's operations.

While the governance arrangements of the CLC and its Executive Committee largely comply with legislative requirements, improvements are needed in certain areas. 

The audit highlighted the need for better monitoring of land use agreements and strengthening procurement processes for the Community Development Program.

Consultation and consent processes with Traditional Owners and Native Title holders were found to be fit for purpose, but the reporting of Executive Committee decisions to the full Council was deemed insufficient, undermining accountability.

Furthermore, the CLC's arrangements to promote the proper use and management of resources were deemed largely appropriate. 

However, measures to support the integrity of operations, such as fraud control and conflict of interest management, require strengthening.

The CLC's Risk Management Plan aligns well with the Commonwealth Risk Management Policy, but the implementation of fraud control measures and conflict of interest management is lacking. 

The Council's corporate plan and annual report comply with legislative requirements, but improvements are needed in the reporting of performance measures and the inclusion of accountable authority certification.

Based on the audit findings, the ANAO has put forward several recommendations to enhance the CLC's governance.

These include establishing a governance document clarifying joint authority decisions, increasing the accessibility of meeting rules and minutes, improving visibility of decisions made by the Executive Committee, strengthening monitoring of land use agreements, and enhancing procurement procedures for the Community Development Program.

The CLC has welcomed the audit and agrees with the majority of the recommendations, pledging to take appropriate actions to address the identified areas for improvement. 

The Council said it acknowledges the importance of accountability and transparency in fulfilling its statutory functions and remains committed to representing and advocating for the rights and interests of Aboriginal people in the region.

More details are accessible here.