Answers to Questions

AP SERVICES

In reply to the Hon. R.D. LAWSON (5 March 2009).

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister Assisting the Minister for Transport, Infrastructure and Energy): The Minister for Aboriginal Affairs and Reconciliation has provided the following information:

1. I advise that the funds provided by the Aboriginal Affairs and Reconciliation Division of the Department of the Premier and Cabinet (DPC-AARD) to AP Services Aboriginal Corporation (AP Services) for the current 2008-09 financial year to 30 April 2009, are as follows:

Two instalments of $358,088 (total $716,175) for the day-to-day operation and management of the Central Power House (CPH) at Umuwa;

$1,254,806 for the net cost of diesel fuel used for power generation at the CPH;

$221,008 for the balance of diesel fuel for Amata, Pipalyatjara and other Aboriginal community auxiliary power facilities;

$180,000 for the provision of homeland bore and electricity services.

This funding is in accordance with two funding Agreements, one being for the management of the central power facility and the purchase of fuel plus essential services at Umuwa, and another for homeland electrical maintenance and servicing facilities.

It should be noted that the Department for Transport, Energy, and Infrastructure (DTEI) has funded AP Services $584,483 for road grading, whilst the Commonwealth through the Department of Families, Housing, Community Services and Indigenous Affairs continues to provide funding for municipal services.

2. The state government through DPC-AARD has applied the following measures to ensure there is no misappropriation of funds:

(a) Each Agreement with AP Services allows the Minister (or DPC-AARD) to:

Require AP Services (as the Grantee) to repay either the whole or a portion of the Grant;

Withhold all future funding of the Grantee;

Pursue any legal rights or remedies which may be available to the Minister, and

Terminate or curtail any program or project conducted by the Minister of which the purpose is part.

(b) DPC-AARD has sought reports from the AP Services administrators, KordaMentha Propriety Limited on the status of finances and that funding has been appropriately expended. DPC-AARD has provided funds based on invoices for services rendered.

(c) DPC-AARD has had regular meetings with KordaMentha regarding expenditure for the management of the Central Power House, homelands management, and essential services.

3. DPC-AARD has developed a contingency should AP Services actively fail to provide the services or reporting that is required of this Agreement. These options include direct service contracts with key service providers and essential services officers.