Page 2630 - Week 09 - Thursday, 8 August 1991
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On 30 April 1991 Mr Speaker presented to the Assembly the Auditor-General's Report No. 3 of 1991 relating to the efficiency audit of ACTION. The committee has agreed that, rather than presenting a printed report to the Assembly, I, as the presiding member, should make a statement on the committee's examination of audit report No. 3.
On 9 May the committee wrote to the former Minister for Finance and Urban Services seeking a submission on the matters raised in the audit report. The Acting Secretary of the Department of Urban Services responded on behalf of the ACT Government Service on 19 June. The committee has examined both the Auditor-General's report and the submission from the Department of Urban Services. The committee also sought further comment from the Auditor-General on the department's submission.
The efficiency audit looked at contractual and industrial arrangements for the ACTION bus fleet. The Auditor-General did not comment in detail on the matter raised relating to industrial arrangements, having reported separately on that matter in audit report No. 1. The Auditor-General found that ACTION was continuing to make illegal payments of meal allowances to workshop staff. The committee notes ACTION's comments that payments would continue and that the matter would be addressed in structural efficiency principle negotiations. The committee, Mr Speaker, will monitor the action taken in respect of the Auditor-General's concerns on that matter.
Report No. 3 concerned two areas of ACTION's operations: A review of bus acquisition and refurbishment policy, and an assessment of the management of supply and purchasing. The Auditor-General made seven recommendations. The committee notes the Auditor-General's comments that "in general, ACTION accepts all the recommendations" and that "differences between Audit and ACTION are more semantic than real".
In determining whether to proceed to holding public hearings in relation to the matters raised in this report, the committee considered the action taken or proposed by ACTION, which was outlined in both the audit report and the department's submission.
The committee notes that the submission states that ACTION agrees with or supports five of the seven recommendations and, whilst not fully supporting the Auditor-General's comments in relation to another recommendation, will be reviewing contract provisions to act on the recommendation. The final recommendation, the seventh, concerned the future structure and administrative arrangements for ACTION. The submission did not comment on this recommendation, other than to state that it was a matter for government to determine. The committee agrees with that.
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