Page 2521 - Week 09 - Tuesday, 23 August 1994

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a February election next year and an earlier budget cycle present. Nevertheless, the committee believes that the former process, whereby a draft program is initially referred to the Assembly's Planning, Development and Infrastructure Committee, is the preferred one. Two additional recommendations were made in respect of general issues pertaining to capital works, the committee calling for both detailed information about minor new works to the standard set by the Canberra Institute of Technology and a greater Government commitment to value management.

I would now like to refer briefly to a number of issues raised in the report which have been the subject of comment by estimates committees in the past. These include Comcare premiums, performance indicators, $3m in health savings, health waiting lists and the Health Promotion Fund. In relation to Comcare, the committee has recommended this year, at recommendation 7, that, now that the ACT Government Service is formally separated from the Commonwealth Public Service, the question of the Government's commitment to Comcare be reviewed by the Standing Committee on the Public Sector, and, further, that the standing committee consider whether those agencies which function as commercial enterprises should be able to seek alternative sources of workers compensation insurance and whether self-insurance should also be available as an option for those agencies. The committee drew attention to the issue of Comcare premiums in last year's report. Given that Comcare premiums have risen again in 1994-95 to over $23m, the committee believes that the level of payments to Comcare are in need of urgent review.

In relation to performance indicators, the standard of performance indicators used by government agencies has attracted comment from all estimates committees from the first Estimates Committee of the Assembly in 1989. The committee has highlighted two examples of effective performance indicators used by agencies in this year's report - those of the Canberra Institute of Technology and the Auditor-General. Perhaps now that the Auditor-General is going to undertake a review of performance indicators used, the standard will improve across all government agencies. It does appear that the various estimates committees of the Assembly have had no success over the years in achieving an overall better standard.

I turn to the $3m in health savings. The committee notes that detailed information about the savings will be provided later this year from the Department of Health, according to the Minister, Mr Connolly. In its report, the committee drew attention to comments made by Arthur Andersen Consulting about the announced savings in 1993-94, as follows:

1993/94 savings initiatives:

. Were poorly developed, including several that were based on incorrect premises, resulting in unachievable savings targets;

. Did not include strategies for achieving savings targets;

. Did not have the support of management or unions (especially in the case of Woden Valley Hospital);

. Did not account for all savings required to meet budget plans;


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