Further to the recent Notice of Ballot – Amendment to ABC Rules, April 28 2010, both rule changes were overwhelmingly endorsed by our members.
The rules are available from the ABC website (Download ABC Rules) for an implementation on the 1st of July. The details of the auditor training and membership pricing and schedules, together with a “launch pack” will be sent to all external auditors shortly.
These new rules are a positive step forward that address a number of inconsistencies in the application and interpretation of the ABC Rules and Audit Guidelines highlighted by the ABC’s Audit Inspection programme and the introduction of eLodgement. Some of the issues identified include:
* Instances where external auditors were applying alternative audit scope statements to ABC audits, altering both the intent and application of the print audits.
* ABC Publisher members have queried the calibre and knowledge of external auditors sent to complete circulation audits. Some consider that circulation audits have been used as a training ground for junior staff. This has resulted in publisher Circulation managers having, on occasion, to provide training to the auditors.
The new Accreditation Programme will improve the consistency of how ABC audits are conducted by external auditors and the staff they employ in the process.
Through these changes, Members have recognised the great strain placed on ABC resources during busy audit periods as external auditors generate the majority of audit and eLodgement queries. The cost of this is currently being borne, inequitably, by the ABC membership.
By requiring membership, external auditors can now contribute towards this after service which also includes access to ABA’s eData. The ABC Executive Committee have been mindful of the cost issue which was discussed at length. However, as a not-for-profit industry organisation we have limited resources to support external auditors with.
The incremental cost for external auditors as a result of this initiative will start at $150 per year for Audit Firm Membership and a fee of $175 per accredited auditor or staff member for the training programme which will need renewing every 3 years. These are small amounts and it is our view that audit costs could come down rather than go up as a result of the improved efficiency and competency.
External regional Auditors will not be required to come to Sydney for training – there will be a number of options including on-line webinars and our ABC trainers travelling to regional areas.
In summary, membership and training will provide external auditors with; improved access to rule changes; regular communications from the ABC; help desk support from our internal staff auditors; and ensure that our publisher members are provided consistently with competent and knowledgeable circulation auditors.
