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Legislative Assembly for the ACT: 2014 Week 4 Hansard (7 May) . . Page.. 1182..


MR BARR: The first point to make is that work on the parkway is continuing. Regardless whether Hewatt continues as a subcontractor, Fulton Hogan, the head contractor, is continuing work on the project. I am advised that there a number of unconfirmed media reports in relation to action that Hewatt may or may not take at a press conference they may or may not be party to later this afternoon. They are unconfirmed reports.

But the advice that the government has from the contractor, the party that we have a contract with, Fulton Hogan, is that work continues on the project. In fact, I understand about 95 per cent of the work that Hewatt was subcontracted to undertake has been completed.

MADAM SPEAKER: Supplementary question, Mr Coe.

MR COE: Treasurer, how does this turmoil affect the $144 million in commonwealth funding, and is it true that any and all cost escalations will be borne 100 per cent by the territory taxpayer?

MR BARR: Firstly, it is a hypothetical question. Secondly, I can advise the Assembly that the commonwealth's funding conditions require that we ensure the contractor must comply with the national code of practice for the construction industry and the Australian government implementation guidelines for the national code of practice for the construction industry of May 2012. These are in ACT government contracts on any basis anyway. There is no substance to the question from Mr Coe.

MADAM SPEAKER: A supplementary question, Mr Smyth.

MR SMYTH: Treasurer, what exposure does the ACT have should the contractor fail?

MR BARR: The contractor is not failing.

MADAM SPEAKER: Supplementary question, Mr Smyth.

MR SMYTH: Treasurer, what financial risk assessment was carried out in the planning of this project, and will you now table that assessment?

MR BARR: Consistent with Infrastructure Australia guidelines and the commonwealth guidelines that I have just outlined.

National Commission of Audit—recommendations

MS BERRY: My question is to the Chief Minister. Chief Minister, last week the federal government released the Commission of Audit report. The report made specific recommendations in a number of sectors subject to recent major federal reforms such as health, schools and disability under the umbrella of the federal financial relationships framework. What impact would these recommendations have on ACT jobs and the operations of the ACT government?


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