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Legislative Assembly for the ACT: 2002 Week 14 Hansard (12 December) . . Page.. 4528 ..

(3) As indicated above, this is considered commercial-in-confidence information.

(4) As indicated above, this is considered commercial-in-confidence information.

(5) From a policy perspective Totalcare competes for all of its work. Totalcare was set up in two principle stages. These stages were the transfer of functions from the former Health Services Supply Centre on 1 January 1992; and the transfer of functions from the former Works and Commercial Services Group of the Department of Urban Services on 1 January 1997.

A prime objective of the transfers was to establish the business units in a corporate setting on a fully commercial basis and to develop the businesses to commercial viability in the period January 1997 to June 2000. Under the terms of the (then) Government's decisions, trading arrangements with existing clients remained tied until 30 June 1998, after that date departments and agencies were free to choose service providers other than Totalcare.

Departments and agencies are also required to adhere to Government procurement policies, which require, among other things, that purchasing decisions be based on value for money. This includes purchases from Totalcare.

In practice Totalcare's activities are divided into two types of work. Some work is ad hoc (ie not related to a specific contract), as noted above departments and agencies are free to source this work from any service provider. Other work is based on contracts. Totalcare advises that for those contracts that have expired since 30 June 1998, some form of competitive process has been undertaken. These processes have either resulted in Totalcare winning the work or the work being awarded to another tenderer. Not all contracts have gone to the market. For example, Totalcare advises that the contracts for the services that it provides to Canberra and Calvary Hospitals was awarded on a single select basis, following a benchmarking process.

Totalcare advises that it does not classify services in terms of which elements are the subject of competitive processes and which are not. Therefore quantifying a response in dollar terms to the Member's question is not possible.

Commission of audit

(Question No 340)

Mr Cornwell asked the Treasurer, upon notice, on 19 November 2002:

(1) When will the Commission of Audit report on Term of Reference No. 2, relating to the review of significant financial risks arising from the operations of certain business entities.

(2) Will this report incorporate a report on Term of Reference No. 3, relating to the review of the financial performance of the Territory in relation to its exposure to investments.

(3) If not, when will the Commission of Audit report on Term of Reference No. 3.

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