HEALTH BUDGET

139 Mr HAMILTON-SMITH (Waite) (17 July 2012). With respect to 2012-13 Budget Paper 4, vol. 3, p. 15—

Why did expenditure on Community Facilities increase from a budgeted $1.95 million to an estimated result of $3.2 million in 2011-12 and why is only $752,000 budgeted for in 2012-13?

The Hon. J.D. HILL (Kaurna—Minister for Health and Ageing, Minister for Mental Health and Substance Abuse, Minister for the Arts): I am advised:

In the 2011-12 State Budget papers, the proposed expenditure for the older person's mental health community facilities project was stated as being $1.95 million. The total budget for this project is $4.049 million and is due to be completed in the June Quarter 2013.

The project involves the delivery of older person's mental health community facilities at five sites in the metropolitan area. The sites in the northern, southern and western districts have been completed and are operational. During the mid year budget review the proposed expenditure was revised to be $3.2 million in 2011-12 for this project. This required the bringing forward of $1.25 million expenditure and leaving $0.752 million in the 2012-13 budget to complete the project. This decision was on the basis that because sites had been identified for the eastern and north-eastern facilities, an accelerated cash flow would enable the delivery of these remaining two facilities ahead of schedule.

Unfortunately, protracted lease negotiations related to the eastern facility has delayed the commencement of the fit out of this facility and hence the predicted expenditure did not achieve the revised $3.2 million target by the end of 2011-12. The actual expenditure on this project for 2011-12 was $2.2 million, which now requires about $1 million to be carried over into the 2012-13 budget to enable the project to be completed. As a result, the 2012-13 budget will be revised to approximately $1.752 million.