Building Surveyors Professional Audit Program

Australian Institute of Building Surveyors aibs.com.au Adopted: Effective date 01.07.2021 ABN: 53 004 540 836 Revised:

Building Surveyors Professional

Audit Program

Professional Audit Program

Australian Institute of Building Surveyors Doc Ref: P018 Version 0.1/ 01.07.2021 of 43

Contents Principles of the Building Surveyor Professional Audit Program ........................................................................ 3 Key Audit Program Features .............................................................................................................................. 3 Terms and Definitions ......................................................................................................................................... 4 The Role of Auditing Standards .......................................................................................................................... 5 Scope of Audits ................................................................................................................................................... 6 Objectives of Auditing ......................................................................................................................................... 6 Cost for Audit Assessment ................................................................................................................................. 7 Program Rules .................................................................................................................................................... 7

Who is Bound? .............................................................................................................................................. 7 Auditors .......................................................................................................................................................... 7 Auditor Competencies .................................................................................................................................. 7 Transparency ................................................................................................................................................. 8 Selection of Audit Candidates ..................................................................................................................... 9 State or Territory Auditing Requirements .................................................................................................. 9 Identification of Audit Focus Areas .......................................................................................................... 10 Provision of information for audit .............................................................................................................. 10 Outcome of audits ....................................................................................................................................... 10 Rights of Appeal .......................................................................................................................................... 10 Rights to Representation ........................................................................................................................... 11 Guidance & Auditing Standards ............................................................................................................... 11 Table 1 Metrics and benchmarks relevant to the Audit Program ........................................................ 12 Table 2 Elements of audit scope and satisfactory benchmarks .......................................................... 13



Principles of the Building Surveyor Professional Audit Program

Auditing of practitioner conduct in the building surveying industry is a critical component to ensure the integrity of the profession which plays a key role in ensuring appropriate construction outcomes. To be effectual, it is vital that any audit program be transparent, trusted and robust. An effective auditing program will enhance the credibility of the building surveying profession amongst Government regulators, insurers and the community through its capacity to demonstrate that building surveyors are adhering to consistent levels of practice and professionalism in their work. Key in establishing a trusted audit program is the provision of information about the audit process, the rights of building surveying professionals subjected to audit and information about audit procedures. A robust audit program will be open and transparent and designed such that it offers building surveying professionals subject to, sufficient procedural fairness in its processes and outcomes, whilst ensuring that consistent standards are applied to all building surveying professionals. A trusted audit program that is robust in its structure and application will also be one were participation is widely accepted and valued, particularly for the educational and continuous improvement opportunities that it provides to building surveying professionals. AIBS believes that the primary goal of a successful auditing program is to continue to support an improved standard of conformity of the built environment. The program therefore has at its core the following aim:

A fair and equitable audit system that encourages the application of high standards of professional ethics and practices through consistent implementation and compliance with

legislative and technical requirements.

Key Audit Program Features

1. Program rules which establish the provisions necessary for the conduct of audits: 2. Program rules defining the objectives of the audit program: 3. Transparency of audit outcomes; openness and transparency is key to the success of

auditing in gaining Government, industry and community trust in administration of the building surveying profession. This requires the establishment of a mechanism for publication of audit outcomes:

4. Qualification requirements and qualities of auditors which adequately encompass the scope of the audit program, and establish benchmark guidelines to ensure auditors are not tainted by perceptions of bias or conflict of interest:

5. Audit processes clearly establishing how members subject to audit are selected, how often, and the mode of access to records etc. to facilitate auditing; including any appeal processes that apply at different stages of the process:

6. Procedures clearly establishing how members subject to audit are to be contacted following their selection, file access procedures, time benchmarks, rules of questioning and evidence collection, documentation and reporting processes; rights at each stage including for representation or to raise an appeal:

7. Guidance documents describing the audit program processes as well as the frequency and extent of auditing that can be expected:



8. Audit of Continuing Professional Development (CPD) of accreditation holders to ensure these requirements are being properly met:

9. To develop a culture of continuous improvement, the audit will identify specific areas of non-conformity and provide recommendations for improvement.

Terms and Definitions The following terms and definitions adapted from AS/NZS ISO/IEC 17021.1 2015 Conformity assessment – Requirements for bodies providing audit and certification of management systems Part 1 Requirements and AS/NZS ISO 19011 2019 Guidelines for auditing management systems are used in this document. Audit A documented and objective third-party analysis and evaluation to determine that the audit criteria have been met. Audit panel A person or persons engaged by AIBS and having the necessary technical expertise, experience and qualifications who conducts an audit. Audit conclusion Outcome of an audit as benchmarked against the audit scope and findings. Audit criteria Reference requirements used as a comparative benchmark for conformity. Audit evidence Verifiable and objective data (such as approved plans, decision notices, building notices or orders) which are audited for conformity. Audit plan Description of the audit measures and activities. Audit program A program of audits to be carried out over a specific timeframe and directed toward achieving specific purposes. Audit scope The extent and boundaries of the audit. AIBS Means the Australian Institute of Building Surveyors Certification system The application of interrelated systems and processes having the objective that building work complies with relevant building and planning laws and technical codes and standards. The application of professional ethics and procedural effectiveness as relevant to building surveying practice will also for part of the audit. The certification system is the subject of the audit. Joint audit An audit carried out for a single member by two or more auditing organisations, one being the AIBS. Member The individual member subject to the audit.



Objective data Data used to verify aspects of the certification system. Root Cause Analysis Process-based Root Cause Analysis (RCA) is a technique used to identify and rectify the cause of non-conformity. Significant non-conformity A significant non-conformity represents a single, significant specific finding of non– conformity that has the potential to adversely affect life-safety or create extreme economic loss. Statutory building surveying services Means the carrying out of statutory duties, powers and functions under State or Territory law by individual accredited persons. Statutory building services include but are not limited to the issue and refusal of consents, permits, approvals, orders, notices and certificates as well as inspections. Stratified Sampling Technique Stratified sampling is a statistical technique, employed in cases where there is a detailed knowledge of a sub-population (for example building approvals by NCC classification) within a total population group (such as the total building approvals over a given period). This sub-population is defined as the strata of the overall sample size. Thematic non-conformity represents similar non-significant issues of non- conformity where it is possible to observe correlations that identify broader systemic (repetitive) themes.

The Role of Auditing Standards The auditing program defines the standards and benchmarks (metrics) against which practitioners can rightfully be expected to be measured. These metrics are set out in Table 2 Elements of audit scope and satisfactory benchmarks as contained in this document. Clear auditing metrics support confidence in the system and foster a sense of fairness in the process which, in turn validates the robustness of the auditing program. Community trust can also be derived from a clear definition of auditing metrics through voluntary compliance mechanisms. The audit program will also provide the opportunity for building surveyors to proactively seek advice as to compliant practice. Where documentation is provided voluntarily and outside of the formal audit process, non-conformity can be identified and raised as an issue to be resolved prior to the formal audit. However, the audit program or audit panel cannot provide advice with respect to compliance questions related to specific projects. The auditing program, through links to the AIBS National Accreditation Scheme and the Professional Practice Panel, supports a “sliding scale” of outcomes where audit findings are unsatisfactory, for example identification of significant or thematic non-conformities. Outcomes for an unsatisfactory audit finding range from an initial educative response, the member undertaking a Root Cause Analysis to identify and rectify the identified non-conformities to more serious implications, including suspension or cancellation of accreditation. Having a clearly stated scale of outcomes is important so that members can feel comfortable in disclosing uncertainty about building surveying processes; in a genuine effort to learn how to improve.



Scope of Audits The audit scope will focus on a technical and administrative analysis of the provision of statutory building surveying services and certification systems. Table 1 of the document, Metrics and benchmarks relevant to the Audit Program outlines the scope of audit, powers to audit, audit metrics and benchmarks of performance intended to be applied to audits. The audit scope will determine the extent of the audit, the nature of processes and activities to be audited and the extent of the processes and activities to be audited. The general parameters of the audit, and thus the audit scope will include the following: • The audit sample will be representative of the scope of work generally undertaken by the

member over the preceding three-year period • Notwithstanding point 1, members will be asked to provide details of any scope of work outside

of the members usual practice as part of broader audit risk process • Details of the scope and quantum of work delegated to third parties when providing statutory

building surveying services on behalf of the member building surveyor • Technical analysis of the members plans, and documentation associated with the exercising of

statutory building surveying services. Technical matters pertain to the provisions required to be applied or administered through the conduct of statutory building surveying services including requirements contained in legislation, referenced by legislative provisions such as the National Construction Code and Australian or other Standards referenced therein and provisions contained in Ministerial directives, practice directions or similar instruments related to the construction of buildings

• Analysis of administrative matters pertain to business practices, compliance with legislative processes related to the conduct of statutory building surveying services and similar

• Analysis of the members plans and documentation against the relevant legislative and planning provisions to determine compliance with these provisions.

The relationship between the scope of audit program, audit metrics and compliance benchmarks are defined in the Table 2 Elements of audit scope and satisfactory benchmarks of this document which describes the maximum possible scope of an audit from which an Audit Panel will draw elements from during an audit.

Objectives of Auditing In any audit, the objective guiding all audit activities shall be to confirm that those subject to audit have acted to uphold the public interest in the application of the skills and knowledge unique to building surveying professional practice, and where deficiencies or examples of non-conformance are identified, to ensure appropriate actions are taken to remediate the public interest and to prevent further similar occurrences. In meeting these objectives, government regulators, non-government bodies, clients and customers of building surveyors and other members of the public will have confidence that a building surveyor is fulfilling their statutory, professional, and ethical obligations. To achieve these objectives, the audit shall:

1. Be in accordance with the predetermined scope, boundary, and objectives 2. Collect information that is representative and accurate 3. Utilize a consistent and reliable process for collecting and analyzing data 4. Provide members improvement opportunities based on the audit findings.



Applying a risk-based approach and contributing to a culture of continuous improvement, the audit will identify areas of non-conformance and provide recommendations on how audit members can improve statutory building surveying services and certification systems to avoid adverse audit findings.

Cost for Audit Assessment

The cost of accreditation holders being audited, except for appeals as stipulated in the appeal process are included as part of the annual fee for an accreditation holder. The audit costs will reflect the complexity of the members scope of work and thus will be linked to the level of accreditation.

Program Rules

Who is Bound? All accredited persons are subject to the Building Surveyors Audit Program in accordance with the AIBS National Accreditation Scheme.

Auditors Auditing shall be undertaken by two (2) AIBS members selected from the AIBS Professional Auditing Team. These members are then referred to as the Audit Panel. Audit Panels may seek additional expertise (legal advisors, subject matter experts, regulators etc.) as may be required from time to time and as determined by the Audit Panel. The AIBS Professional Development Manager will have responsibility for the management and support of Audit Panels. Administrative support for the audit program will be provided by the AIBS Audit Administrator, who is is responsible for organizing and managing the audit process, including contacting members and coordinating information relevant to the audit plan. The Chair of the AIBS Professional Auditing Team, in consultation with the AIBS Chief Executive Officer, will appoint Auditing Panels. When a candidate for audit is selected, Audit Panellists who have the lowest likelihood of professional association or interaction with the candidate shall be selected to perform the audit. In general, this means that the auditor panel will be persons who work in a different jurisdiction from the audit candidate and wherever possible, work in different (but equivalent) areas of practice. It is imperative that in addition to managing conflicts of interest, auditors are also chosen to mitigate the risk of a perception of bias or the like arising from the audit process.

Auditor Competencies The audit systems credibility is in part based upon the competencies of the audit panellists. Confidence in the audit process and audit panel as an effective and reliable tool is critical for members to improve the performance of their certification system. To achieve these goals, the audit panel shall have the skills and knowledge required to undertake the audit and be of an equivalent or higher accreditation level to the member. AIBS audit panel competence criteria are the same as detailed in the AIBS National Accreditation Scheme. Audit panellists will exhibit the following characteristics:

• Impartiality. Audit panellist impartiality is critical in maintaining confidence in the audit process and outcomes. Audit decisions must be based on objective evidence of conformity (or non-conformity). Audit outcomes must not be influenced by self-interest or other parties. AIBS auditors will follow the Management of impartiality guidelines as outlined in Clause 5.2 of AS/NZS ISO/IEC 17021.1 2015.



• Competence. The aggregate of experience of the Audit Panellists shall be such that the

experience of at least two of the Audit Panellists is relevant to the forms of development that are to be subject to audit. Audit panellist competencies include the following attributes:

Appropriate education, skills, knowledge and experience in building surveying practice

A highly developed technical understanding of the NCC and relevant reference documents

Highly developed ethical and professional skills Knowledge of the relevant legislative frameworks and processes related to

building surveying (including town planning provisions if applicable) Demonstrated knowledge of relevant benchmark audit standards (AS/NZS

ISO 19011: 2019, AS/NZS ISO 17021.1: 2015). Responsibility. The auditor is responsible for ensuring that sufficient

objective data is obtained to determine a reasonable conclusion as to the conformity or otherwise of the members certification system and exercising of statutory building surveying services. The audit conclusion is the objective basis upon which a decision to grant certification is made. The member is responsible for implementing the findings of the audit and maintaining conformity with the audit findings.

• Openness. AIBS will provide public access to information about the audit process. The

AIBS will inform the member in advance of any information that is intended to be placed in the public domain.

• Responsibility. The auditor is responsible for ensuring that sufficient objective data is obtained to determine a conformity conclusion. The audit conclusion is the objective basis upon which a decision to grant certification is made. The member is responsible for implementing the findings of the audit and maintaining conformity with the audit findings.

• Confidentiality. The audit panellist shall maintain member confidentiality and protect all data

obtained as a function of the audit process. The AIBS will be responsible for the management of all data and information obtained and retained as part of the audit process. Information about the result of an audit, or other information relevant to the member will not be disclosed to a third party without the written consent of the member. However, where the AIBS is required by law to release confidential information, the member, to the extent allowed by law, will be informed of the information released.

• Conflict of interest. Audit panellists shall declare all interests at appointment and shall

maintain a register of interests throughout their service as a panellist. Audit panellists must always act impartially and independently and disclose any actual or perceived conflicts of interest to the CEO of AIBS at the earliest opportunity.

• Risk based approach. The audit methodology will consider both risks and opportunities for

improvement. Applying a risk-based approach will ensure that the audit will focus on matters of significance to government regulators, non-government bodies, clients and customers of building surveyors and other members of the public.

Transparency The outcomes of audits will be made public. By making an application to participate in the program, the member agrees that audit findings and the reasons for them will be published in the public domain. A summary of audit results will be published on the AIBS website and in the Building Surveyor Journal (currently magazine). Individual accredited members the subject to



audits will not be identified. Rather, the information which will be made public will be limited to audit outcomes for all audits undertaken within a particular timeframe. Audit findings will be presented as statistical values and summary findings. The purpose of publishing such information is to demonstrate that audits are occurring regularly and that unsatisfactory audit outcomes are identified and actioned, as appropriate.

Selection of Audit Candidates Audits will be carried out on an individual State and Territory basis to reflect the legislation in each respective jurisdiction. Audit selection will employ either a targeted or systematic random selection criteria in each State or Territory where the member is licensed to carry out building surveying functions. Where the member is licensed in more than one jurisdiction, the audit will comprise a review of their administrative and procedural processes for each of the relevant jurisdictions. In this case, only one technical review will be undertaken. It is intended that members will be audited a minimum of once every five years. Members may also be chosen for audit based on the following reasons:

• The time within which they are required to undergo an audit has elapsed; or • The area of practice the member participates in has been identified as an area of focus for

additional audit activity • The member has been subject to disciplinary action by a State/Territory Government

Regulator. Notwithstanding the above-described processes for identifying members subject to audit, members are encouraged to proactively apply to have an audit carried out. Members wishing to book a proactive audit can contact the AIBS Audit Administrator on 1300 312 427 or email [email protected]. Participants in the National Accreditation Scheme will be required to be audited at least once every five (5) years and more frequently if they are operating in an area of building surveying professional practice that has been identified as a focus for audit activity. Notification will be provided to members whenever a new class of practitioner or audit focus arises for the purpose of more frequent auditing. Where a member is operating in an area of focus for audit, they will be selected by a systemic random selection methodology from a population of accreditation holders operating in that area. Accredited members may also be subjected to audit based on the outcome of previous audit activities where non-conformance with audit standards were identified. Accredited members will be notified if they fall into this category as an outcome of an audit so that they will have advance notice that they are to be subjected to additional auditing and oversight.

State or Territory Auditing Requirements Accredited building surveyors may still be subject to separate State and Territory Government auditing requirements as part of their requirements for registration in the respective jurisdiction. This does not exempt the accredited building surveyors from the Auditing requirements of the Accreditation Scheme, though it may be relevant in determining the nature and extent of an audit to be undertaken by the AIBS.



Identification of Audit Focus Areas The AIBS Audit panel will meet regularly to discuss the outcomes of audits with a view to identifying additional areas of focus for future audit activities. Additionally, the AIBS Professional Accreditation Team may evaluate information from insurers, consumer complaints bodies, litigation records and injury statistics to identify any need for particular audit focus areas. Audits will also include compliance with the requirements of the Continuous Professional Development (CPD) Program as per the requirement of the Building Surveyor National AIBS National Accreditation Scheme.

Provision of information for audit Accredited members agree to submit and otherwise make available all records pertaining to statutory building surveying services and certification systems, including all relevant project documentation and files. Audit panels, upon written engagement of the candidate member, will request a sample of building approval documentation for a range of NCC class buildings that the member has been involved with over the preceding three years. Required audit documentation will be determined using a stratified sampling protocol. Further details about the stratified sampling protocols may be found in the audit policies and procedures document. Once notified of the number and type of documentation required, the member will have ten (10) business days within which to supply or provide access to the required project documentation or business records unless specified otherwise. Should there be extenuating circumstances which will prevent provision of information within the nominated timeframe, the member may submit a request to the Audit Panel for additional time to be allowed for the provision of audit information. The Audit Panel may grant an extension of time up to an additional five (5) business days for the provision of audit information. If a longer period of time is required, a request must be made in writing to the AIBS CEO providing reasons in writing. Such requests will be considered by the AIBS Board. Failure to provide information for the purposes of auditing is a contravention of the accreditation rules and in addition to the application of an adverse audit finding, penalties may be applied in accordance with the AIBS National Accreditation Scheme rules. During the progress of an audit, an Audit Panel may seek additional information or clarification of details provided. This will ordinarily occur in writing or where appropriate, the member might be invited to an interview with the panellists at a mutually convenient time and place either in person or via electronic means.

Outcome of audits Audits will be undertaken within twenty (20) working days of receipt of all the required information. If the Auditing Panel require further information or clarification from the member, this period may be extended. The member will be advised via electronic notification within 10 days business days of the completion of the audit of the audit outcome.

Rights of Appeal Where an Audit Panel determines, within an audit, that the member subject to audit has failed to comply with an audit requirement, or that their standard of practice is not compliant with required standards, this may constitute a breach of the AIBS Code of Professional Conduct and/or the National Accreditation Scheme and may be reported to the AIBS Board pursuant to the AIBS By-Laws and National Accreditation Scheme.



In circumstances where the Board determines to modify, suspend or revoke a certificate of accreditation, rights of appeal apply as per clause 19 of the National Accreditation Scheme.

Rights to Representation Any member subject to audit may elect to appoint legal representation to assist them with the process of complying with the audit requirements and in preparing responses to requests from the Audit Panel. Legal representation may also be utilised in preparing and undertaking any appeal of any decision of the Audit Panellists.

Guidance & Auditing Standards From time to time, in addition to publication of audit outcomes, the AIBS Board will issue auditing standards and guidance documents that will serve to inform audit program participants and the public regarding what to expect from auditing and the standards to which audit program participants are expected to deliver. Auditing criteria will necessarily vary between Accredited Bodies Corporate and individual accredited persons as well as between different entities who are Accredited Bodies Corporate (such as councils or government agencies). This differentiation will reflect the various scopes of work and statutory obligations that exist within different employment types. All audit program participants will be provided with notification on the release of any new or updated guidance materials and these will also be available to the public via the audit program web site or for inspection at the AIBS office.



Table 1 Metrics and benchmarks relevant to the Audit Program

Table 1 outlining the scope of audit, powers to audit, audit metrics and benchmarks of performance intended to be applied to audits, subject to specific Guidance & Auditing Standards issued from time-to-time.

Term Definition

Aspect or Attribute to be Audited

Technical Verification of the capability of the member building surveyor to identify and correctly apply relevant building codes and standards. Such codes include but are not limited to the National Construction Code and referenced Australian Standards and codes.

Statutory Verification of the capability of the member building surveyor to identify and correctly apply relevant statutory instruments (including the Act, Regulations, Planning Instruments) when performing functions related to building surveying practice.

Ethical Verification of the capability of the member building surveyor to act in the public interest when applying relevant statutory instruments, codes of practice and guidelines to building surveying functions in a professional, financially responsible, and ethical manner.

Procedural Verification of the capability of the member building surveyor to effectively document and communicate relevant technical or procedural concepts to affected stakeholders using appropriate media sources (written, verbal, electronic etc.).

Scope of Practice to be Audited

Principal Principal building surveying activities occur where the building surveyor accepts and has direct accountability for the assessment and inspection stages of a building project against recognised compliance benchmarks.

Delegated Delegated building surveying activities occur where the building surveyor remains accountable for aspects of the compliance assessment of the building project but is authorised to delegate these aspects to other registered consultants or contractors.

Construction conformity verification

Construction conformity verification building surveying activities occur where the building surveyor has no direct accountability for aspects of the building project. Within this scope, such aspects are the responsibility of other registered consultants or contractors with the project building surveyor responsible for collecting evidence of compliance for work carried out by others which supports the forming of an opinion about the standard of conformity achieve.



Table 2 Elements of audit scope and satisfactory benchmarks

Elements of potential audit scope Head power

Building surveyor attributes and aspects to be audited

Scope of practice to be audited

Satisfactory benchmark

Administrative processes

Relevant legislation in each jurisdiction

In assessing the administrative processes associated with the provision of statutory building surveying services, the audit will assess the following processes:

• Statutory • Procedural

Principal building surveying practice

To achieve a satisfactory administrative process audit finding in the administrative processes associated with the provision of statutory building surveying services, the building surveyor will demonstrate evidence of the following:

Statutory

• The retention (for the prescribed period) of correctly finalised contracts of engagement in the approved form

• For every building approval, examples of conditions of approval that reflect the specific scope of works

• Documentation of performance solutions in accordance with the relevant statutory provisions and NCC requirements

• Documentation of NCC evidence of suitability procedures to support the use of materials systems or designs relevant to the building approval

• Library of technical and legislative resources that is current and comprehensive

• Records of inspection, including by those carried out by delegated agents







• The consistent use and retention of checklists that document the above requirements.

Procedural

• Appropriate document management systems and processes to allow monitoring of approval, project finalisation and inspection documents

• The retention (for the prescribed period) of supporting documents that were relied upon in determining an application

• A process to check and record that reports or specifications prepared by others and relied upon to perform building surveying functions were prepared by suitably licenced or qualified persons

• Process to identify and update amendments to application and approval documents

• A documented system to ensure third parties that have statutory advice or decision-making powers are consulted as required by legislation

• A documented system to ensure that outstanding information requests are







actioned within the prescribed timeframe

• Systems to manage and maintain licence, insurance and CPD requirements.

Perform building surveying functions in the public interest

AIBS Code of Professional Conduct

In determining whether statutory building surveying services have been provided in the public interest, the audit will assess the following processes:

• Statutory • Procedural • Ethical


To achieve a satisfactory audit finding in determining whether statutory building surveying services have been provided in the public interest, the building surveyor will provide evidence of the following:

Statutory

• Correctly referenced current versions of the Building Act, Regulations and Code of Conduct for building surveyors

• Policy documents or processes that clearly documented consideration of a public interest test when performing building surveying functions

• Failing to meet the required public interest test may occur where the relevant building surveyor: Accepts consideration to act in a

way contrary to the NCC and relevant building laws

Acts in a way that is contrary to that required under the Code of Conduct, relevant Act or Regulations

Claims to have skills knowledge and experience, or be licenced to







carry out building surveying functions that they are in fact not able to do

Acts in an incompetent or negligent way.

Procedural

• Effective administration of documents and processes associated with the performance of building surveying functions.

Ethical

• A process to document consideration of a public interest test in the application of building surveying functions related to buildings of a public or community nature.

Abide by ethical standards expected by the community for legislative conformity and reputable conduct as set out in the AIBS Code of Professional Conduct


In abiding by the ethical standards when providing statutory building surveying services, the audit will assess the following processes:

• Statutory • Ethical


To achieve a satisfactory audit finding of abiding by generally accepted community ethical standards when providing statutory building surveying services, the building surveyor will provide evidence of the following:

Statutory

• Evidence to show the application of all relevant building laws, regulations (prescribed ethics) and guidelines reasonably and without favour, to the extent permitted within the powers







available via the contract of engagement and conditions of approval

• Correctly referenced current versions of the Building Act, Regulations and Code of Conduct for building surveyors

• Based on prescribed ethical standards, documented processes to identify and manage potential conflicts of interest when performing building surveying functions.

Ethical

• Documentation to show the use of trust accounts or equivalent financial mechanisms must be in place and used as required

• Evidence that the building surveyor has performed the functions with honesty, integrity and impartiality

• Evidence of appropriate insurance which matches the actuarial needs is in place and is amended as required to reflect new scopes of work or developing risk.

Not perform building surveying functions where there is the potential for a conflict of interest

AIBS Code of Professional Conduct, State or

To avoid a conflict of interest when providing statutory building surveying services, the audit will assess the following processes:

Principal building Surveying practice

To achieve a satisfactory audit finding in managing potential or actual conflicts of interest when providing statutory building surveying







Territory Building Act requirements

• Statutory • Ethical • Procedural

services, the building surveyor will provide evidence of the following:

Statutory

• Development and application of policy documents that prescribe processes to manage potential or actual conflicts of interest

• Clearly identified understanding (for example the use of comprehensive checklists) of where the relevant legislation or Code of Conduct prohibits undertaking building surveying functions due to the potential for a conflict of interest to exist.

Ethical

• A process to document the primary parties to a building approval application, allowing the identification of where a potential conflict of interest may exist.

• Failing to avoid a conflict of interest may occur in circumstances where the relevant building surveyor: Carries out building surveying

functions on projects that they or a close relative have a direct or indirect interest

Has a direct or indirect financial interest on projects where building







surveying functions are being provided.

Procedural

• Evidence of effective organisational practices regarding the administration, communication and record keeping of building surveying processes where the risk of a conflict of interest exists

• The application of procedural practices that document processes used to identify and effectively manage potential conflicts of interest. Such practices may include, but not be limited to, a register of interests to identify potential conflicts of interest and the use of checklists that document legislative provisions relevant to managing conflicts of interest.

Maintain satisfactory levels of competence AIBS National Accreditation Scheme

In benchmarking appropriate levels of competency when providing statutory building surveying services, the audit will assess the following processes:

• Technical • Procedural


To achieve a satisfactory audit finding with respect to maintaining satisfactory levels of competence when providing statutory building surveying services, the building surveyor will provide evidence of the following:

Technical

• Demonstrating a process to determine whether additional education is necessary to perform building surveying functions at the required level of competence (for example, undertaking CPD training when a new addition of the NCC is released)







• The application of project specific checklists to benchmark compliance

• A demonstrated ability to effectively review and understand plans, contracts and specifications to determine that the scope of works is within the existing level of competence.

Procedural

• Evidence of effective organisational practices regarding the administration of CPD training records to demonstrate compliance with the AIBS National Accreditation Scheme requirements

• Evidence of a CPD process to ensure the member remains informed of developments in building design and construction practice, business management principles, and the law and technical requirements relevant to performing building surveying functions.

Ensure that engagement to undertake building surveying functions is valid and in accordance with Legislative requirements


In assessing the process used by a building surveyor to provide statutory building surveying services, the audit will assess the following processes:

• Technical • Statutory • Ethical • Procedural


To achieve a satisfactory audit finding related to providing statutory building surveying services required the building surveyor will provide evidence of the following:

Technical

• Application of technical skills and knowledge and the ability to effectively apply these skills to determine whether it is appropriate to enter a contract of







engagement relevant to the project scope of works

• A demonstrated ability to effectively review and comprehend plans, contracts and specifications to determine that the scope of engagement and the scope of work is within their license class

• The retention of complete sets of plans and specifications that clearly identify the scope of approved projects, a comprehensive and current technical document library and the use of appropriate checklists that reference the relevant technical provisions.

Statutory

• A clear understanding of the statutory engagement process and the demonstrated understanding of the relevant legislation when entering a valid contract of engagement

• Retention of contracts of engagement, plans and specifications sufficient to demonstrate that the undertaken works were within scope of the building surveyors skills, qualifications and experience.







Ethical

• Application ethical and professional standards and the application of professional judgement to determine that entering a contract of engagement is appropriate in the circumstances

• A demonstrated procedure to identify work that is outside the scope of the building surveyor to perform and a process to ensure that out of scope work cannot be accepted.

Procedural

• Application of effective organisational practices regarding the administration, communication and record keeping of appointment decisions within the prescribe timeframes

• Retained copies of approved plans, contracts of engagement and lodgement documents and evidence that required documents have been provided to the relevant parties within the prescribed timeframes.

Comply with legislative requirements Relevant legislation in each jurisdiction

In determining whether a building surveyor has complied with the legislative requirements when providing statutory building surveying services, the audit will assess the following processes:


To achieve a satisfactory audit finding related to compliance with legislative requirements when providing statutory building surveying services, the building surveyor will provide evidence of the following:








Statutory

• A clear understanding of statutory process and the demonstrated application of the relevant legislation relevant to the performance of building surveying functions.

• Correctly referenced current versions of relevant Acts and Regulations

• The use of comprehensive checklists that reference the applicable legislative provisions.

Procedural

• Clearly demonstrated administration, communication and record keeping of relevant building surveyors decisions (including for example approvals, refusals, notices) within the prescribe timeframes

• Documentation of correspondence with other parties affected by the performance building surveying functions and examples of approved plans, contracts of engagement and lodgement documents in forms the correctly reflect the legislative intent.

Not perform building surveying functions beyond level of competence or outside area of expertise


In determining whether a building surveyor has acted within their level of competence and areas of expertise when providing statutory building surveying services, the audit will assess the following processes:


To achieve a satisfactory audit finding with respect to acting within their level of competence and areas of expertise when providing statutory building surveying services,







• Technical • Statutory • Ethical

the building surveyor will provide evidence of the following:

Technical

• Having suitable technical skills and knowledge and the ability to effectively apply these skills with competency and expertise

• A demonstrated ability to effectively review and understand plans and specifications to determine whether to proposal is within the scope of competency and expertise of the building surveyor

• The retention of complete sets of plans and specifications that demonstrate that the scope of work was within the scope of the licence class and the building surveyors skills, knowledge and experience.

Statutory

• Correctly referenced current versions of the Building Act and Regulations and the use of comprehensive checklists that reference the applicable provisions.

Ethical

• Evidence of the application ethical and professional standards and the application of professional judgement







when performing building surveying functions

• Building applications are assessed on merit and financial or other considerations do not influence the building surveyor to act outside their areas of competence or expertise.

Maintain confidentiality AIBS Code of Professional Conduct

In assessing whether the buildings surveyor has maintained confidentiality, the audit will assess the following processes:

• Statutory • Ethical


To achieve a satisfactory audit finding with respect to maintain confidentiality, the building surveyor will provide evidence of the following:

Statutory

• Evidence of a clear understanding of the statutory process of when it is appropriate to provide information to authorities (e.g., local or jurisdictional governments, Australian Bureau of Statistics) for the purposes of administration of legislative requirements:

• Practices to maintain confidentiality will include a process to document the scope of information and under what circumstances this information can be released and to whom.

Ethical

• Evidence of the application ethical decision making when deciding to release client information that is beyond statutory or Code of Conduct control







• A documented process to identify who and why the party is requesting the information and evidence of the client/customers consent to release the information.

Take all reasonable steps to obtain all relevant facts when performing building surveying functions


In taking all reasonable steps to obtain all relevant facts when performing statutory building surveying services, the audit will assess the following processes:

• Technical • Statutory


To achieve a satisfactory audit finding with respect to have taken all reasonable steps to obtain all relevant facts when performing statutory building surveying services, the building surveyor will provide evidence of the following:

Technical

• Having suitable technical skills and knowledge and the ability to effectively apply these skills to determine when additional information is required in performing a building surveying function

• A demonstrated ability to effectively review and understand plans and specifications to determine the scope of work and identify when additional information is required to appropriately perform building surveying functions

• A documented process to seek further relevant technical information to effectively perform a building surveying function

• The retention of complete sets of plans, specifications and the use of comprehensive checklists (that reference the relevant NCC and







Australian Standards provisions) that demonstrate all necessary information was provided to allow the effective performance of building surveying functions.

Statutory

• Evidence of a clear understanding of the statutory process and the demonstrated application of the relevant legislation relevant to seeking further information to effectively perform building surveying functions

• Correctly referenced current versions of the Building Act and Regulations and the use of comprehensive checklists that reference the applicable provisions

• A documented process to seek further relevant statutory information (such as town planning consent) to effectively perform building surveying functions.

Ensure that performance solutions pursuant to the National Construction Code are developed in conformance with the code and legislative requirements


In assessing the building surveyors process for assessing and approving a performance solution, the audit will assess the following processes:

• Technical • Statutory • Procedural


To achieve a satisfactory audit finding with respect to the assessment and approval of performance-based building approvals, the building surveyor will provide evidence of the following:

Technical

• Having suitable technical skills and knowledge and the ability to effectively







apply these skills to determine whether the building application contains proposed performance-based solutions

• A demonstrated ability to effectively review and understand plans and specifications to determine the number and scope of proposed performance-based solutions

• A documented process to assess the proposed performance solution for approval or refusal when assessed against the relevant performance requirements

• Retention of complete sets of plans and specifications that on the face of it demonstrate compliance with the NCC, the use of comprehensive checklists that reference the relevant NCC and Australian Standards provisions and a demonstrated process to identify where performance-based solutions have been proposed and the basis for their approval or refusal

• Identification of the specific performance solutions and verification of how the proposed performance solutions meet the applicable performance requirements.







Statutory

• A clear understanding of the statutory process and the demonstrated application of the relevant legislation relevant to the assessment, approval or refusal of performance-based solutions

• A demonstrated understanding of the statutory process where third parties are required to be part of the assessment of performance solutions

• The retention of Performance Based Design Brief documentation or similar as provided as part of the approval documentation supporting the use of performance-based solutions

• The use of checklists that identify the statutory process to follow when assessing, approving or refusing performance-based solutions.

Procedural

• Evidence of effective organisational practices regarding the administration, communication and record keeping of decisions (including refusals) involving performance-based solutions within the prescribe timeframes

• Documentation of correspondence with other parties involved in the performance solution process (including prescribed third parties) and examples







of approved plans, contracts of engagement and lodgement documents (including refusal notifications if relevant).

Ensure that all aspects of design are adequately documented and in accordance with legislative requirements prior to concluding statutory building surveying functions


In determining whether a building surveyor has documented all relevant design aspects associated with the provisions of statutory building surveying services, the audit will assess the following processes:



To achieve a satisfactory audit finding with respect to the documentation of designs that are associated with the provisions of statutory building surveying services, the building surveyor will provide evidence of the following:

Technical

• Having suitable technical skills and knowledge and the ability to effectively apply these skills to understand what aspects of the design require documentation

• The retention of complete sets of plans and specifications that on the face of it demonstrate compliance with the NCC and the use of comprehensive checklists that reference the relevant NCC and Australian Standards provisions

• Evidence of correspondence with other consultants involved in project design aspects to confirm compliance with technical aspects of the project (including performance-based solutions)

• Evidence that relevant third-party requirements (including, but not limited to planning provisions) have been







identified and complied with as part of the compliance assessment process

• For extensions/alterations to existing buildings a process has been documented to identify the specific scope of works and the relevant codes, standards and law that apply when performing building surveying functions associated with existing, lawfully constructed buildings.

Statutory

• A clearly demonstrated understanding of the relevant legislation relevant to the building certification process.

• Correctly referenced current versions of the Building Act and Regulations and the use of comprehensive checklists that reference the applicable legislative provisions

• Evidence of formal request for information (where appropriate) to ensure all necessary information is provided when performing building surveying functions.

Procedural

• Evidence of effective organisational practices regarding the administration, communication and record keeping of decisions (including refusals)







• Documentation of approved plans, contracts of engagement, requests for further information, notices of refusal and lodgement documents.

• Details of correspondence with other parties assisting in or affected by the performance of building surveying functions.

Ensure building owners are adequately informed of performance solutions prior to completing statutory building surveying functions


In determining whether a building surveyor has adequately informed the building owner of any performance solutions, the audit will assess the following processes:



To achieve a satisfactory audit finding with respect to informing building owners of the scope and quantum of performance solutions, the building surveyor will provide evidence of the following:

Statutory

• Demonstrated evidence of a clear understanding of the relevant legislation applicable to performance solutions

• Where required under the relevant legislation, the use of prescribed form advising when a performance solution has been proposed as part of a building application and where a performance solution forms part of the certificated of classification/occupancy.

Procedural

• Evidence of effective organisational practices regarding the administration,







communication and record keeping of performance solutions

• Documentation of correspondence with building owners advising the quantum and scope of performance solutions and whether the performance solution has been approved or refused.

Ensure that (where applicable) sufficient and adequate inspections are carried out to be reasonably satisfied that building work observed complies with legislative and technical requirements and any relevant approvals

Relevant legislation in each jurisdiction and AIBS Code of Professional Conduct

In determining whether a building surveyor has carried out sufficient and adequate inspections associated with the provisions of statutory building surveying services, the audit will assess the following processes:


Principal and delegated building surveying practice

To achieve a satisfactory audit finding with respect to ensuring that sufficient and adequate inspections associated with the provisions of statutory building surveying services have been carried out, the building surveyor will provide evidence of the following:

Technical

• Having suitable technical skills and knowledge and the ability to effectively apply these skills to determine the nature and scope of required inspections

• Demonstrated technical knowledge and processes to critically assess inspected stages and aspects of construction for compliance

• Where inspections are delegated to third parties, applying suitable technical skills and knowledge to identify whether delegation is appropriate within the context of individual projects

• A demonstrated ability to effectively review and understand plans, contracts and specifications to determine the scope of the delegation and whether the







delegated party is competent to perform the inspection/s

• A demonstrated ability to review technical reports from delegated entities and act upon recommendations in these reports

• Retention of complete sets of plans and specifications, the use of comprehensive checklists that reference the relevant NCC and Australian Standards that are used to identify the scope and nature of required inspections

• Correspondence with delegated agents undertaking inspections on behalf of the building surveyor outlining the technical scope of the inspections and acceptance/rejection criteria relevant to the specific inspections.

Statutory

• A demonstrated clear understanding of the relevant legislation relevant to the building inspection process

• A clear understanding of the statutory delegation process and the demonstrated application of the relevant legislation required to properly undertake tasks related to delegation

• Correctly referenced provisions relating to inspections and inspection processes reflecting the requirements of current







versions of the Building Act and Regulations.

• A clearly documented process to determine whether a delegated agent is competent to perform inspections

• The use of comprehensive checklists that reference the statutory provisions relevant to undertaking inspections (including by delegated agents)

• A demonstrated process to manage issues of non-compliance discovered resulting from undertaking required inspections.

Procedural

• Evidence to support the application of effective procedural practices to ensure that inspections undertaken verify that building work complies with legislative and technical requirements

• Effective organisational practices regarding the administration, communication and record keeping of inspection decisions within the prescribe timeframes

• A register of delegated agents that are approved to undertake inspections, detailing their relevant skills, knowledge and experience.







• Ensuring conditions of approval or contracts of engagement relevant to inspections are complied with, and that where these conditions relate to delegated agents undertaking inspections that a documented process is followed to ensure that these agents are aware of the relevant conditions of approval relevant to inspections prior to undertaking the inspections

• The retention of checklists, reports or other relevant documentation that delegated parties have relied upon when undertaking inspections on behalf of the building surveyor.

Clearly document reasons for building surveying decisions

AIBS Code of Professional Conduct and Relevant legislation in each jurisdiction

In determining whether a building surveyor has clearly documented reasons for decisions related to providing statutory building surveying services, the audit will assess the following processes:



To achieve a satisfactory audit finding with respect to clearly documenting reasons associated with the provision of statutory building surveying services, the building surveyor will provide evidence of the following:

Technical

• Having appropriate technical skills, knowledge and experience and applying these attributes when making decisions

• Evidence of appropriate reliance on tests, calculations or other forms of verification relied upon in reaching a decision

• Evidence of a demonstrated ability to review technical reports from delegated







entities and act upon recommendations in these reports

• The retention of complete sets of plans and specifications, the use of comprehensive checklists that reference the relevant NCC and Australian Standards, technical reports or other design aids used in reaching a decision

• When relying on other parties to assist in deciding an application, a documented process for assessing their technical capacity to provide such assistance.

Statutory

• A demonstrated clear understanding of the relevant legislation relevant to documenting decisions

• Correctly referenced current versions of the Building Act and Regulations and the use of comprehensive checklists that reference the applicable provisions related to the documentation of decisions

• Examples of notices in the approved form and that reference the applicable legislative provisions that clearly document the decision (including refusals) and that clearly identify all relevant reasons.







Procedural

• Effective organisational practices regarding the administration, communication and record keeping of decisions (including approvals, requests for further information and refusals)

• Retaining reports, CVs of delegated agents and other materials relied upon when making building surveying decisions.

Be accountable for the supervision, competence and conduct of staff and contractors employed or contracted to assist in fulfilling functions as a statutory building surveyor


In determining whether a building surveyor has effectively supervised staff and managed delegation networks when providing statutory building surveying services, the audit will assess the following processes:



To achieve a satisfactory audit finding with respect to effectively supervising staff and managed delegation networks when providing statutory building surveying services, the building surveyor will provide evidence of the following:

Technical

• Retention of complete sets of plans and specifications that identify the scope of the work, details the actual person who assisted in providing building surveying functions and the identified aspects of delegation

• Having suitable technical skills and knowledge to identify where delegation is appropriate within the context of individual projects

• Having suitable technical skills and knowledge to assess staff competence







to perform delegated building surveying functions with consideration to the complexity of individual projects

• A demonstrated ability to effectively review and understand plans, contracts and specifications to determine the scope appropriateness of the delegation

• A demonstrated ability to review and critically assess technical reports from staff and delegated entities and act upon recommendations in these reports

• The retention of checklists used by staff or other delegated agents when assisting a building surveyor perform their functions.

Statutory

• Correctly referenced current versions of the Building Act and Regulations and the use of comprehensive checklists that reference the applicable provisions that are available for use by supervised staff

• A clear understanding of the statutory delegation process and the demonstrated application of the relevant legislation required to properly undertake tasks related to delegation







• Having a clearly documented process that distinguishes between principal, delegated and supervisory building surveying functions and how these relate to the performance of building surveying functions.

Procedural

• Demonstration of effective organisational practices regarding the administration, communication and record keeping of delegation decisions within prescribe timeframes

• The creation and retention of contracts of engagement between the building surveyor and delegated entities and dissemination of these documents to relevant parties (owners, local authorities etc.).

Compliance with Continuing Professional Development Program Requirements

AIBS National Accreditation Scheme

In complying with the Continuing Professional Development Program Requirements, the audit will assess the following processes:

• Procedural


To achieve a satisfactory audit finding with respect to compliance with Continuing Professional Development Program Requirements, the building surveyor will provide evidence of the following:

Procedural

• A record of CPD training that demonstrates compliance with the AIBS National Accreditation Scheme requirements







• Evidence that CPD training has included aspects of building design and construction practice, business management principles, the law and technical requirements relevant to performing building surveying functions.

Sufficiency of Business Assets

AIBS Code of Professional Conduct and Relevant legislation in each jurisdiction.

In ensuring adequate financial resources to sustainably perform statutory building surveying services, the audit will assess the following processes:

• Procedural • Ethical


To achieve a satisfactory audit finding with respect to ensuring sufficient financial resources are available to sustainably perform statutory building surveying services, the building surveyor will provide evidence of the following:

Procedural

• A current profit and loss statement from an accountant or other suitably qualified financial professional demonstrating that the financial position of the business is sustainable.

Ethical

• Evidence that appropriate Insurance coverage is in place to adequately cover the scope of work performed

• Ensuring that fees charged allow the carrying out of building surveying functions as required under legislation and the contract of engagement

• Demonstrating that the scales of fees charged, and insurance cover reflects the ability to undertake a range of







projects while maintaining sustainability of business operations.

Sufficient time and resources are allocated to provide adequate building surveying functions.

In ensuring sufficient time and resources are allocated to provide statutory building surveying services, the audit will assess the following processes:

• Procedural


To achieve a satisfactory audit finding with respect to allocating sufficient time and resources to provide statutory building surveying services, the building surveyor will provide evidence of the following:

Procedural

• Evidence to demonstrate that a building surveyor has allocated sufficient time and resources to provide statutory building surveying services will include realistic staff to work ratios and sustainable fee schedules.


Australian Institute of Building Surveyors Doc Ref: P018 Version: 0.1/01-07-2021 of 43

Document Control

Author/s Position/s

CEO

Created 1 July 2021

Revised Date

Distribution Usage Internal & external

Board Approval/s Approved by AIBS Board at electronic meeting of 17 June 2021 for implementation 1 July 2021.

Comments

Version Revision Date Reviser Revision Description

0.1 Effective 1 July 2021 Original

Building Surveyors Professional Audit Program

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