The Standing Committee recommends that it be a condition for all future contribution agreements to include a functioning monitoring and reporting system to ensure compliance with GNWT objectives;

And further, that the Financial Administration Act be reviewed to address requirements for accountability frameworks, monitoring and tracking systems, and more tools for ensuring Third Party compliance with GNWT objectives.

In its response to the 1995 report of the Auditor General, the Financial Management Board Secretariat did indicate that legislative changes to the Financial Administration Act might be considered in order to improve third party accountability. To date, these changes have not been made. The Comptroller General indicated that a third party accountability framework will be developed in the winter of 2000-2001. It is hoped that the government will include in these changes measures to ensure that effective monitoring mechanisms and accountability frameworks are put in place and, more importantly, enforced to prevent a situation similar to the overexpenditure by the NWT Development Corporation from re-occurring.