Oversight of Arm’s Length Organisations

Background

The States have a large number of Arm’s Length Organisations (ALOs) with a range of responsibilities and different governance and accountability arrangements. The establishment of an ALO does not relieve the States from a responsibility for ensuring that good governance is being demonstrated, effective internal control is in place and value for money is being secured. 

Scope

This review evaluated the:

• arrangements to consider the need for ALOs
• effectiveness of existing governance arrangements for ALOs
• effectiveness of existing accountability arrangements for ALOs to the States; and
• scope for achieving efficiencies.

A diverse range of ALOs was considered.

Conclusions

There is an absence of an effective corporate framework, significant differences in monitoring arrangements across ALOs and an insufficient focus on securing value for money.