12. JUDITH COLLINS (National—Clevedon) Link to this
to the Minister for Social Development and Employment
Is she satisfied with the Ministry of Social Development’s system for awarding contracts?
Hon RUTH DYSON (Minister for Social Development and Employment) Link to this
Yes, I am satisfied that the Ministry of Social Development has a system in place that is consistent with the Government’s best-practice guidelines. The document Guidelines for Social Services Contracting sets out the standards and procedural requirements for the full contracting cycle, including the selection process. I expect the Ministry of Social Development to follow these guidelines in all instances.
Would she expect Work and Income staff to check bankruptcy notices before they award wage or training subsidies to employers; if so, can she explain why, in 2002-03, Work and Income Porirua awarded a contract to Graham Carden to train 12 beneficiaries in karaoke over the Christmas holiday period, even though he was an undischarged bankrupt at that time?
No, I cannot, and I would expect that if the member had wanted such detail of an operational nature, she may well have wanted to raise those issues in the primary question; but as she has raised them, I will be happy to provide that information for her, when I have it available to me.
Sue MoroneyWhat are the principles for contracting social services set out in the Guidelines for Social Services Contracting?
Guiding principles for all Ministry of Social Development social services contracts are that these contracts will contribute to the achievement of Government outcomes and objectives; meet Government and public expectations of accountability, transparency, and value for money; be responsive to the needs of clients, the labour market, and the community; strive for quality outcomes for clients, families, and the broader community; and minimise risks associated with the services.
Can the Minister explain why the Ministry of Social Development’s chief executive now says that all 12 signed agreement forms between individual beneficiaries, Work and Income, and Graham Carden’s company have now disappeared, even though the Department of Internal Affairs began investigating Mr Carden in 2005, and he was jailed in 2007 for fraud relating to false grant applications—how is it that every single client application form and record has disappeared?
Why would Work and Income pay Graham Carden $50,000 in wage and training subsidies when he was an undischarged bankrupt and had already pleaded guilty to two other charges of trading while insolvent; and what assurances can the Minister provide that the scheme, which has paid out over $300 million since 1999, is properly monitored when contracts are awarded to undischarged bankrupts and when client records in relation to those contracts just seem to be disappearing?
Madam SPEAKERI seek leave of the House to table the reply under the Official Information Act that that Minister’s chief executive gave to our office regarding this very case.