6. For instance, the Head of the Department knowing that cement will be required for the general use of the Department orders a quantity. Under the existing system he has no alternative but to charge it to some one or more Votes. The cement is actually used for various purposes and consequently the books do not show the true cost of works.
7. Machines or plant are ordered for some work and their cost must be charged direct to the same. The machines are not destroyed or expended but remain an asset of the Government, available for other purposes. The accounts hitherto kept do not show this with sufficient clearness.
8. Having thus pointed out some of the defects of the system in force it is now proposed to show how in future the accounts may be kept so that the required objects may be attained.
9. In the first place the sum taken in the annual estimates is no authority for the Head of the Department to expend, and it becomes necessary before he undertakes any work for him to obtain the covering sanction of the Governor.
10. Article 30 of the Instructions to Governors provides that authority shall be obtained by means of a monthly requisition but a more simple and practical method would appear to be for the Head of the Department from time to time, and not necessarily each month, to apply for authority to expend a certain sum, and it would be his duty and that of the Audit to see that any sum sanctioned was not exceeded without a further authority being given. The sanction to expend might be given in the form of a Government Order, and the original would be attached to the first pay-list. This becomes the more necessary owing to the accounts of expenditure being sent home for audit.
11. Having obtained authority to expend, the Head of the Department will have to see that in forwarding vouchers to the Treasury they are complete.
12. Works may be carried out either by contract or Departmentally.
(2)
ALC(D)72.
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545
6. For instance, the Head of the Department knowing that cement will be required for the general use of the Department orders a quantity. Under the existing system he has no alternative but to charge it to some one or more Votes. The cement is actually used for various purposes and consequently the books do not show the true cost of works.
7. Machines or plant are ordered for some work and their cost must be charged direct to the same. The machines are not des- troyed or expended but remain an asset of the Government, avail- able for other purposes. The accounts hitherto kept do not show this with sufficient clearnes8.
8. Having thus pointed out some of the defects of the system in force it is now proposed to show how in future the accounts may be kept so that the required objects may be attained.
In the first place the sum taken in the annual estimates is no authority for the Head of the Department to expend, and it becomes necessary before he undertakes any work for him to obtain the covering sanction of the Governor.
10.
Article 30 of the Instructions to Governors provides that authority shall be obtained by means of a monthly requisition but a more simple and practical method would appear to be for the Head of the Department from time to time, and not necessarily each month, to apply for authority to expend a certain sum, and it would be his duty and that of the Audit to see that any sum sanctioned was not exceeded without a further authority being given. The sanction to expend might be given in the form of a Government Order, and the original would be attached to the first pay-list. This becomes the more necessary owing to the accounts of expenditure being sent home for audit.
11. Having obtained authority to expend, the Head of the
Department will have to see that in forwarding vouchers to the Treasury they are complete.
12. Works may be carried out either by contract or Department-
(2)
ally
•
AL C.).D 72.
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