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Legislative Council - Fifty-Third Parliament, Second Session (53-2)
2015-09-09 Daily Xml
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Motions

Budget and Finance Committee

The Hon. R.L. BROKENSHIRE (16:44): I move:

That the Budget and Finance Committee, as a matter of priority—

1. Calls as witnesses the chief executive officers of major government departments and seeks information as to why government departments owe business $1 billion in unpaid accounts; and

2. Ascertains whether such nonpayment is government policy or results from mismanagement, incompetence or budget reductions.

It is a fairly straightforward motion. Members would be aware that in the last week there has been a front page story in the print media where right at the moment the government is overdue to the tune of $1 billion—$1,000 million. Now, $1 billion is a lot of money, and they are overdue in those payments to small businesses mainly in South Australia.

This matter has gone on for a very long time. Business is hurting. The truth is that the economy in this state is probably at one of the lowest points that it has been over the last 30 years, if not longer, and businesses need to have contracts honoured by government. Just the same as business needs to honour its commitment to government, government has to honour its commitment to business.

Going right back to when the Hon. Michael O'Brien was the minister for finance, he recognised that, after Family First and other parties and colleagues in the parliament had raised the issue of concern on behalf of businesses that there was a serious problem and there was a commitment to fix it. But clearly now, several years down the track, that commitment has not been honoured.

Business deserves better and the easiest way to find out whether or not there is deliberate instruction or policy from government to delay payments or whether it is simply mismanagement of government departments where ministers should be challenging them, we need to find the answers to this. That is one of the other reasons why the Budget and Finance Committee has such an important role in this place because without them we would struggle to get a lot of answers from government and/or their departments.

I will leave with this on this motion, because I know a lot of members want to speak about another matter that is probably going to grab the rest of the time of private members' business today, but if the government is able to withhold $1 billion from payments that are due under contract terms and/or agreements, arrangements and so on, even at 5 per cent, that equates to $1 million a day. That is $1 million a day that the government is saving but it is $1 million a day that business, in particular small business, has to carry.

Business is not the banker for the government and they should be paid on time, so I ask members to support this motion. I advise them that I will be putting it up for a vote within the next couple of sitting weeks so that the Budget and Finance Committee can see whether or not it has support to really question in absolute detail the CEOs as they come before the committee. I, therefore, commend the motion to the house.

Debate adjourned on motion of Hon. G.A. Kandelaars.

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