Thank you, Chair.
When we referred to systems and practices, we were referring to the systems of the departments that manage the programs. For example, we would expect the Department of Industry, which gives loans to the private sector under various programs, to have a system in place that would allow it to know whether the terms and conditions of those funding agreements are being met and if the program is meeting its objectives.
We're not necessarily referring to the systems and practices of the individual recipients. Obviously, the departments should take some sort of risk consideration for that. For example, the Department of Heritage will deal with many small non-profit organizations, and when they are giving them money, either grants or contributions, one would expect them to take that into account. How good is the management within that? We're saying that is really the responsibility of the department. It is our responsibility to look at how well that department system or framework of control has been established and if necessary to make recommendations to it about how to improve.
I would just mention, if I may, Chair, that next week in our status report we have an audit on grants and contributions programs in five departments where we are reviewing if progress has been made on addressing past recommendations.