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Legislative Council - Fifty-Second Parliament, Second Session (52-2)
2012-03-28 Daily Xml
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LAND MANAGEMENT CORPORATION

327 The Hon. D.G.E. HOOD (14 September 2011) (First Session).

1.

(a) Will the Minister for Infrastructure confirm that Holcon's parent company, Connor Holmes, has done and does work for the Land Management Corporation; and

(b) Was there a conflict of interest when this joint venture was entered into?

2. Will the Minister explain why the Land Management Corporation did not go through an open tender process in accordance with Government policy?

The Hon. G.E. GAGO (Minister for Agriculture, Food and Fisheries, Minister for Forests, Minister for Regional Development, Minister for Tourism, Minister for the Status of Women): The Minister for Transport and Infrastructure has been advised:

1.

(a) Yes, Connor Holmes is one of many hundreds of private sector organisations that undertake, or have undertaken, work for the Land Management Corporation (LMC).

(b) No.

2. In 2003, LMC called for Registrations of Interest (ROI) from the market to submit a development proposal in accordance with design guidelines and other criteria established to achieve the SOHO project outcome. Negotiations commenced with a preferred registrant, but in August 2004 this party withdrew on the basis that the share of profit required by LMC did not meet their profit share expectation.

Negotiations then commenced with the next preferred registrant through the ROI process, which was Holcon Australia Pty Ltd, and commercially acceptable financial arrangements were negotiated based on a joint venture agreement.

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