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Procurement Failings at Macquarie Point

By August 16, 2022No Comments

Today in Parliamentary Question Time I asked Premier the following questions relating to Macquarie Point:

Premier, I understand that staff at the Macquarie Point Development Corporation wrote to you in the week preceding the resignation of the CEO, Ms Massina, outlining their concerns with the performance and conduct of the CEO.

Will you release that letter along with the details of any ex gratia or severance payout to Ms Massina?

Also, Premier, there are at least two inquiries into management and governance at Macquarie Point. You are yet to release a report into management and workplace practices; however a KPMG report was released this morning into Macquarie Point’s procurement and contracting compliance.

Premier, this report reveals systemic non-compliance with Treasurer’s Instructions with the investigators unable to locate basic documentation such as signed contracts and signed variations to contracts across multiple procurements.

What confidence can the long-suffering taxpayer have that your Government has any control over this valuable public asset?

The KPMG report referred to above can be found here: https://www.macpoint.com/_files/ugd/0562b4_32cb503a32ce4db1a2688feded987b33.pdf

The findings include:

  • Unable to obtained signed contracts for three procurements.
  • Three contacts had variations with limited or no documentation retained.
  • Two contracts had variances between the initial proposal amount and the eventual signed contract.
  • One contract did not comply with the “buy local” policy.

KPMG stated that, “Failure to comply with Treasurer’s Instructions could lead to improper management of the public finances of Tasmania, in a manner that is inefficient, ineffective and inconsistent with accounting standards and financial practices.”

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