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District Health Boards—Tendering Processes

Thursday 6 March 2008 Hansard source (external site)

Ryall2. Hon TONY RYALL (National—Bay of Plenty) Link to this
to the Minister of Health

Would it be appropriate for a district health board chief executive to send a copy of draft tender documents to one potential bidder for comment and amendment without treating other potential bidders in the same way; if not, why not?

CunliffeHon DAVID CUNLIFFE (Minister of Health) Link to this

That would depend entirely upon the circumstances and the nature of the documents under discussion.

RyallHon Tony Ryall Link to this

Is the Minister aware that as a result of winning the community services contract in Hawke’s Bay by breaching Audit Office guidelines, Mr Hausmann and district health board chief executive Mr Clarke began negotiating a junket around the world together called a study tour; and is that OK by this Minister?

CunliffeHon DAVID CUNLIFFE Link to this

I have no knowledge of the “facts” to which the member refers, but I would be happy to reflect upon them.

SoperLesley Soper Link to this

Would it be appropriate for a Crown entity to consult with private parties at an early stage of development of a potential public-private partnership concept?

CunliffeHon DAVID CUNLIFFE Link to this

In theory, quite possibly yes. That would depend upon the probity and governance processes in place around any such consultation. It is frequently the case that in the early stages of designing projects, consultation is carried out with different parties to ensure the feasibility and quality of any future tender process.

StewartBarbara Stewart Link to this

Did the Minister authorise the release of confidential emails, one of which was tabled yesterday; if so, why have they not been made available to all parties?

CunliffeHon DAVID CUNLIFFE Link to this

No. The emails were not mine to authorise, nor was I aware of their source or, in fact, of whether they had been obtained in breach of any confidentiality obligations or non-disclosure agreements. But if the member does find out how Mr Ryall obtained supposedly secret emails, perhaps she could let Dr Brash know.

SoperLesley Soper Link to this

What was the actual situation in relation to early contact between Mr Atkinson and Mr Hausmann?

CunliffeHon DAVID CUNLIFFE Link to this

We simply do not know the answer to that, and we await the findings of the independent—[ Interruption] But wait, there is more. There is a lot more; there is a lot, lot more—patience, patience.

PetersRt Hon Winston Peters Link to this

I raise a point of order, Madam Speaker. Not only can we not hear what is going on, at this end of the House, but behind me, on my right, it looks like a Hitler Youth meeting, with people waving their hands as though in salute to some former leader. Frankly, that behaviour ill-behoves parliamentarians, and I would ask you to make them stop it.

WilsonMadam SPEAKER Link to this

I agree with the member. If that behaviour starts again, with the loud barracking that is going on, members will be asked to leave the Chamber.

CunliffeHon DAVID CUNLIFFE Link to this

It may, for example, ultimately prove to be the case that Mr Atkinson was himself involved in the request for proposal process with Mr Hausmann at a very early stage. I repeat to the House that I have not seen any drafts of this report, nor have I been briefed on its contents, but any speculation by members opposite in advance of the release of the report in my view would be uninformed, unwise, and unfair.

BarkerHon Rick Barker Link to this

Has the Minister seen or heard of any reports from the Hawke’s Bay District Health Board that the Opposition MPs are claiming that Deborah Houston was dismissed for being a whistleblower?

CunliffeHon DAVID CUNLIFFE Link to this

Yes. I have seen a copy of the settlement document negotiated between the chief executive and Ms Houston, which says, inter alia: “The Hawke’s Bay District Health Board confirms, and Ms Houston accepts, that the restructuring that led to Ms Houston’s position being disestablished was genuine and was unrelated to the protected disclosure.”

RyallHon Tony Ryall Link to this

Does the Minister regard it as ethical that the chief executive was negotiating a contract that included the benefit of a trip around the world for himself?

CunliffeHon DAVID CUNLIFFE Link to this

I cannot form a view on the ethics of a particular matter when the contents of such a matter are not in my possession.

RyallHon Tony Ryall Link to this

Is the Minister aware that the chief executive officers of at least two other district health boards were intended to go on the same junket, and will he investigate what offers were made?

CunliffeHon DAVID CUNLIFFE Link to this

It is my proposed course of action in the first instance to receive the director-general’s independent governance review report. If there are matters that either I or the Auditor-General need to follow up pursuant to that, I shall be happy to do so.

RyallHon Tony Ryall Link to this

Is the Minister aware that this information came to light only because of the whistleblower, who lost her job because of her integrity?

CunliffeHon DAVID CUNLIFFE Link to this

As I am advised, some 50 jobs were lost in the restructuring at the Hawke’s Bay District Health Board, and, as Ms Houston has herself signed this settlement document, which states that she was not restructured because of the protected disclosure, it would appear that the member opposite is calling into question Ms Houston’s integrity.

RoyHeather Roy Link to this

How many times did the Minister go to Hawke’s Bay and meet with the board to see for himself how dire the situation was, or call the chair to Wellington for discussions; if the answer is none, is that because he is taking all his information from his cronies and it is much easier to persecute the sacked board from afar, rather than to go to Hawke’s Bay, look the board members in the eye, and hear the truth?

CunliffeHon DAVID CUNLIFFE Link to this

In the first instance, I took careful advice as to how I should properly handle a conflict situation in a district health board, and I followed that advice. In the second place, if the member wishes to discuss cronyism, then she may wish to raise it with Mr Tremain and Mr Foss, who met regularly with Mr Atkinson.

RoyHeather Roy Link to this

I raise a point of order, Madam Speaker. I ask for your advice. I fail to see how the Minister addressed in any shape or form my question about how many times he met with the board or called the chair to Wellington over this situation.

WilsonMadam SPEAKER Link to this

I thought that he did actually address the question.

RyallHon Tony Ryall Link to this

Will the Minister inquire as to when the study tour was first discussed; was it before or after tender documents were offered to Annette King’s appointee, Mr Hausmann?

CunliffeHon DAVID CUNLIFFE Link to this

My answer to the member’s previous question stands.

WilsonMadam SPEAKER Link to this

No, would the Minister please clarify his answer.

CunliffeHon DAVID CUNLIFFE Link to this

That answer was that I shall await the report of the director-general’s independent governance review panel, and both I and the Auditor-General will then consider what further action is appropriate.

PetersRt Hon Winston Peters Link to this

Is the Minister aware that Ms Houston’s settlement could be set aside if she was improperly coerced into signing it, and has she brought such an action; if not, what does he make of her failure to do that, in the light of the claims made by Mr Ryall?

CunliffeHon DAVID CUNLIFFE Link to this

I thank the member for his question. I am aware of no attempt by Ms Houston to seek any form of redress in respect of that settlement, and I can only conclude that Mr Ryall is either misrepresenting or calling into question the integrity of Ms Houston.

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