Audit of AANDC Management of Northern Oil and Gas - Follow-up Report Status Update as of December 31, 2014

• Directorate will organize yearly training sessions for all officers engaged in CPRA, COGOA and FLRR matters to ensure consequential administrative practices are followed, in particular, all decision points are verified against legislative requirements.

Status: Completed – October 1, 2014

Update/Rationale:
As of 31/12/2014:

Training session has been included in Directorate yearly work plan.The 2015 session will be held as new staff join the group. This is expected to occur in Q1 2015-16.

AES: Implementation complete. Recommendation to be closed. Closed.

2. The Assistant Deputy Minister of the Northern Affairs Organization, in collaboration with the Chief Information Officer, should:

• perform a review of user access to the Land Administration System (LAS) and the Royalty Management System (RMS) and formalize a process for ongoing review and removal of access to the systems;

1) Status: Completed – October 1, 2014

Update/Rationale:
As of 31/12/2014:

A review of user access has been performed and a process for ongoing review and removal of access to the system has been formalized. An updated list of active production users was reviewed regularly by IMB and Program officers.

• assess the feasibility of improving RMS functionality to reduce the need for external spreadsheets; and,

2) Status: Completed – October 1, 2014

Update/Rationale:
As of 31/12/2014:

A formal process for approving new user accounts of Royalty Management System has been implemented.

• review data entry validation controls in RMS in order to reduce the risk of data integrity errors.

3) Status: Underway

Update/Rationale:
As of 31/12/2014:

Royalty team has submitted a change request in respect of a change in functionality to IMB. Work is progressing on fixing the data issue. Once the data issue has been resolved, IMB will focus on the enhancement request with respect to the creation of a template in RMS for reporting the accounts' running balances. Expected completion date of June 30, 2015.

4) Status: Completed – October 1, 2014

Update/Rationale:
As of 31/12/2014:

Review process in respect of validation rules has been implemented.

AES: Implementation of multiple actions either complete or underway. Recommendation will be closed once IMB has completed functionality improvements to RMS.

• New structure and responsibilities will be conveyed to industry and stakeholders during planned meetings in Fall/Winter 2014 and as further opportunities present.

Status: Completed

Update/Rationale:
As of 31/12/2014:

Briefing provided to industry and stakeholders in fall 2014 on new structure and responsibilities.

AES: Implementation complete. Recommend to close. Closed.

• As part of continuous improvement, program design will be reviewed prior to the launch of each Call for Bids (usually on annual basis).
• A yearly assessment will examine current policy and legislative framework for offshore exploration and the associated considerations. This may identify issues that could warrant changes to program design. In addition, the program will look to build on existing multi-lateral collaboration through the Arctic Council for further opportunities to share best practices with organizations with similar mandates.

Ongoing, annually

October 1, 2014

Status: Underway

Update/Rationale:
As of 31/12/2014:

Program design has been reviewed and changes are in the process of being implemented. Expected completion of changes is April 1, 2015.

AES: Implementation largely complete. Recommendation to be closed. Closed.