External and internal oversight of WATC outcomes and conduct ensures adherence to our core value of integrity.
Ethical Standards and Codes of Conduct
The Board acknowledges the need for, and the continued maintenance of, the highest standards of corporate governance practices and ethical conduct by WATC’s directors and staff and has established codes of conduct for directors and staff respectively.
The staff Code of Conduct (the Code) reflects and supports WATC’s values and provides our people with a clear, concise and relevant guide to standards of behaviour in the workplace. The Code also applies to directors unless there is an inconsistency, in which case the Directors’ Code of Conduct will apply.
WATC has also adopted the Western Australian Public Sector Code of Ethics and endorsed, in principle, the code of conduct developed by the Australian Financial Markets Association.
The role of WATC’s compliance function is to ensure that WATC maintains its high prudential standards and has the appropriate procedures in place to comply with the Western Australian Treasury Corporation Act 1986 and other relevant legislation, our policies and industry standards.
Section 21 of the Western Australian Treasury Corporation Act 1986 states:
“The provisions of the
WATC’s internal audit function for 2020–21 was outsourced to KPMG. Commencing 1 July 2021, as part of our policy of rotation, PricewaterhouseCoopers has been engaged to perform the internal audit function. Appointment to this role by WATC is subject to the Common Use Arrangements authorised by the Department of Finance for accessing audit services and financial advice.
Quarterly Report to the Treasurer
With the exception of the June quarter, WATC submits a quarterly report on our operations to the Treasurer. This report is tabled in Parliament by the Treasurer.
Directors are entitled, with the prior approval of the Chief Executive Officer, to obtain such resources and information from WATC, including direct access to management and professional
advisers, as they may require in order to carry out their duties as directors. Directors are also entitled, with the prior approval of the Chairperson, to seek independent professional advice, at the expense of WATC, to assist them to carry out their duties as directors.
WATC operates in a dynamic market where the price of our lending to the public sector is primarily driven by the cost of our borrowings. This cost fluctuates according to the prevailing level of interest rates. WATC sets our lending rates at a competitive level after taking into account the cost of funds, market risk, administration costs and the return on capital. The pricing for financial advice and funds management is determined on a cost-recovery basis.
An insurance policy has been taken out to indemnify members of the Board against liabilities under Sections 13 and 14 of the
Expenditure on Advertising
Under Section 175ZE of the
For the year ended 30 June 2021, the only disclosable expenditure incurred was in relation to advertising, where the following amounts were paid:
Unauthorised Use of Credit Cards
Our staff hold corporate credit cards where their role warrants usage. There were no instances of personal expenditure on a corporate card.
Registry and Treasury Operations
Link Market Services Ltd (trading as Link) acts as agent for providing registry services on behalf of WATC. WATC uses the systems and services detailed in the table below to facilitate confirmation and settlement of financial transactions.
|Austraclear Limited||Austraclear||Australian dollar cash, short-term money market, fixed interest and foreign exchange transactions|
|Bank of America||CashPro Online||Foreign currency payments|
|Clearstream||CreationOnline||Repurchase of offshore issues|
|Citibank NA London Branch||CitiDirect for Securities||Issuance of Euro Commercial Paper and Euro Medium Term Notes|