Nationals leader Michael McCormack says embattled colleague Bridget McKenzie followed all the processes she was required to do as a minister and is doing an "outstanding job".

The Deputy Prime Minister joined Home Affairs Minister Peter Dutton on Friday morning to offer a full-throated defence of their cabinet colleague, saying there is no reason for her to resign over her administration of a discredited sports grants program.

The Agriculture Minister's fate rests with the secretary of the Department of Prime Minister and Cabinet, Phil Gaetjens, who is investigating whether she breached ministerial standards in the wake of a scathing auditor-general's report.

The report is expected to be completed and handed to Prime Minister Scott Morrison in the coming days.