House of Assembly: Tuesday, March 05, 2013

Contents

GOVERNMENT INVOICES AND ACCOUNTS

The Hon. P. CAICA (Colton) (15:10): Can the Minister for Finance inform the house of what is being done to improve the payment of government invoices to small business operators?

The Hon. M.F. O'BRIEN (Napier—Minister for Finance, Minister for Police, Minister for Correctional Services, Minister for Emergency Services, Minister for Road Safety) (15:10): I thank the member for Colton for his question. I am pleased to inform the house that next week the government will launch a new website for small business operators to track the progress of their invoices to government agencies. This initiative will significantly improve the flow of information to small businesses about where their invoices are in the system, and the status of those invoices. An estimated time of payment will also be provided—

Members interjecting:

The Hon. M.F. O'BRIEN: Just wait; I've got a little bit for you. Additionally, the payment performance of each agency, as set out in monthly reports, will be available to the public on this website. The 'My Invoice' web portal was a recommendation from the review I commissioned last year by internal consultant, Warren McCann. The government accepted all of Mr McCann's recommendations, including a prompt payments act, which will be introduced to parliament in the near future. The act will include provision for penalty interest to be paid if an invoice is not paid within 30 days.

The government has significantly improved its payment performance since the McCann recommendations have been progressively implemented. Latest reports for the first half of this financial year show 95 per cent of state government invoices (non-health) are being paid within 30 days; an improvement of 5 per cent, compared to 2011. Since the implementation of the McCann reforms, the number of non-health late payments (that is, outside 30 days) has more than halved. SA Health's performance will improve further when IT upgrades are made over the next 18 months.

The government's payment performance has been a matter of public and media interest for over a year now. The opposition considers it an important issue; indeed, the new Leader of the Opposition made it his first policy announcement. The leader committed the Liberal opposition to paying a penalty after 60 days of non-payment.

This is not the time or place for debate, and I acknowledge that; however, I would like to correct the record. The leader appeared at a press conference with a businesswoman from Kent Town, Ms Sharon Rundle-Smith, who claimed her business was nearly ruined by the alleged late payment of government accounts.

I asked Shared Services to review the payments made to all businesses associated with Ms Rundle-Smith. The company which appears to be Ms Rundle-Smith's primary business vehicle is Total Secure Scan. I am advised that Total Secure Scan invoiced the government 20 times between November 2011 and October 2012. Nine invoices were paid within 30 days, and another nine of these invoices were paid in less than 40 days, but mostly a day or two late. The two remaining were paid 14 and 18 days outside the 30 days.

None of these invoices were paid later than 60 days. Ms Rundle-Smith, the star of the Leader of the Opposition's first policy foray, would not have benefited from the Liberals' policy to pay penalty interest after 60 days—

Members interjecting:

The Hon. M.F. O'BRIEN: —because the government had paid all of her invoices within the 60 days. The shame—

Members interjecting:

The Hon. M.F. O'BRIEN: The shamefaced exaggeration associated with this policy launch aside—

Mr Marshall: Why would you poke fun at a small business?

The Hon. M.F. O'BRIEN: This, you'll enjoy—

Members interjecting:

The SPEAKER: Has the minister finished?

The Hon. M.F. O'BRIEN: —perhaps the most revealing thing in all of this is that Ms Rundle-Smith lists Tony Abbott as a 'like' on her Facebook page; she is a Liberal stooge!

Members interjecting:

The SPEAKER: Excuse me. I warn the leader and the Minister for Transport for the second time. There will be no further warnings. The member for Bragg.