What the Greens reckon:
MEDIA RELEASE
For comment: Cath Hughes, Media Advisor, 0419 886 304
Peg Putt MHA
Greens Opposition Leader
Thursday, 22 JUNE 2006
TCC PRESSURE BEGINS TO TELL
Lennon Government Moves Towards Ditching the TCC Deal
The Tasmanian Greens today believe that the pressure on government over their apparent mates deal with the Tasmanian Compliance corporation is beginning to tell, and that they are seeking a way to ditch the arrangement by deciding to initiate a KPMG independent audit of the TCC.
Greens Opposition Leader Peg Putt MHA said claims by an ex-Director of TCC published today that the TCC had failed to establish an industry advisory and assessment board in contravention of an undertaking to government in relation to their contract, and also that funds have not been set aside to provide for potential future legal complaints, had deepened the crisis around the TCC and its relationship with the Lennon government.
Ms Putt welcomed the audit, and the Premier’s undertaking that the results be made public but said this was insufficient to rectify the situation and that the exclusivity arrangement and contract with TCC must be terminated and builder accreditation brought back under Workplace standards.
“This exclusive deal with Labor mates has not only been bad public policy but is now having such an adverse impact on the image of the Lennon government that they have commenced moves to ditch the arrangement,” Ms Putt said.
“Make no mistake, the Premier has determined that he must wash his hands of the whole Tasmanian Compliance Corporation imbroglio and the KPMG audit is the vehicle he will use.”
“It seems incredible that no-one in government could tell Parliament whether or not the claims by an ex-Director of TCC of failure to establish an industry advisory and assessment board and of failure to set aside funds to provide for potential future legal claims is true.”
“Clearly the only interest taken in the TCC by Labor Ministers over the years has been to stitch up the exclusive deal with their mates,” Ms Putt said.
What the Libs reckon:
Tasmanian Liberal Leader
WILL HODGMAN, MHA
Thursday June 22, 2006
Cox and Lennon compound cronyism scandal
The government’s story on its secret deal with a company run by Labor mates has completely unravelled in Parliament today.
Information provided by the Premier, Paul Lennon, and the Infrastructure Minister, Jim Cox, raises far more questions than it answers.
The scandal goes to the heart of the government’s accountability and the government is looking like it has none.
Today, the Premier has revealed that the MoU signed with TCC before the election was done before checking whether it had been complying with its conditions of operation.
The Premier has now succumbed to increasing pressure and ordered KPMG to audit the operations and fee structure of TCC. Such an inquiry is after the event.
It’s astounding that the Premier and Minister Green still don’t know whether TCC had honoured its commitment to establish an industry advisory board, given that this was front page news today.
In this context it is unbelievable that the government signed a deal with TCC that apparently guarantees it exclusivity in the market, without which taxpayers will have to foot a $2.3 million deal.
It’s even more unbelievable because the Building Act clearly specifies there can be more than one body accrediting builders.
Meanwhile, serious questions have been asked of the Minister who approved TCC’s application, Jim Cox.
In Question Time this morning Minister Cox initially stood by his claim that he didn’t know how much TCC would earn in fees, which he said in Parliament a week after approving its accreditation.
When pressed by the Liberals about whether he approved TCC’s application without knowing how much it was going to charge in levies, he said he couldn’t say.
The reality is that an application to become a building accrediter – and this was reinforced by the Premier – must include financials, and specifically how much they propose to charge in fees.
“So Minister Cox must have given TCC the green light without it complying with a key part of the application process – or he misled the House in 2004 when he said he didn’t know the answer to this question.”
Mr Hodgman noted that the secret MoU or service level agreement was signed on the eve of a State election where the Liberals were promising to hand responsibility for accrediting builders to Consumer Affairs.
