Legislative Assembly for the ACT: 2021 Week 06 Hansard (Thursday, 3 June 2021) . . Page.. 1767 ..
Ms Berry: The answer to the member’s question is as follows:
(1) As a Public Trading Enterprise, Housing ACT’s budgets are based on the amount of revenue expected to be received, with the main source of this being rent received from tenants. Housing ACT apportions this budget across all operations, including public housing maintenance.
The TFM Contract contains confidential text which includes the overall tender value; therefore, the specific amount cannot be disclosed.
(a) 2018-19: $41,477,000.
(b) 2019-20: $51,923,000.
(c) 2020-21 as of 28 April 2021: $35,191,456.
(3) Housing ACT reports on expenses for repairs and maintenance under the Supplies and Services component of the financial reports which is compared to the previous financial years. This information can be found in the Annual reports and budget papers of the relevant financial years.
As per the Auditor Generals’ report, there was a $7.55 million variance in the form of additional spending for the 2019-2020 financial year. The additional spending on Repairs and Maintenance in 2019-20 was due in part to responses to significant natural events in early 2020, including implementation of preventative measures to avoid severe property damage in response to the bushfire danger such as fuel load reduction, as well as responding to the subsequent hailstorm damage in January 2020.
In addition, tenants spending more time at home during the COVID-19 pandemic took the opportunity to call in a high volume of maintenance items which resulted in additional outgoings. Another contributing factor was the higher than budgeted number of vacant properties during the first nine months of 2019-20, with properties being repaired while empty, which may have otherwise been scheduled in 2020-21 if they were tenanted.
(4) The budget for each financial year is set by Housing ACT.
(5) As a Public Trading Enterprise, Housing ACT’s budgets are based on the amount of revenue expected to be received, with the main source of this being rent received from tenants. Housing ACT apportions this budget across all operations, including public housing maintenance.
Repairs and maintenance are a key housing cost. Housing ACT is currently assessing it’s maintenance budget to ensure that it is sufficient to cover the increasing and changing cost drivers being experienced.
Tenant responsible maintenance which is damage or misuse of a property is also provided upfront by the TFM and it is expected that tenants pay for this service within a reasonable time.