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Legislative Council - Fifty-Fourth Parliament, First Session (54-1)
2018-07-31 Daily Xml
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Answers to Questions

SA Health

In reply to the Hon. K.J. MAHER (Leader of the Opposition) (24 July 2018).

The Hon. S.G. WADE (Minister for Health and Wellbeing): I am advised:

1. I have been advised a Silver Chain group board member signed the offer under seal and a Silver Chain group staff member, not Dr McGowan, was the key contact person throughout the entire procurement process.

2. The procurement of services to deliver the SA Health—SA Community Care Program was overseen by an independent probity advisor who was engaged on 9 October 2017.

The State Procurement Board approved SA Health to undertake an open invitation to supply for the provision of these services on 15 January 2018 and delegated the approval of the purchase recommendation to the SA Health Procurement Approvals Committee.

The evaluation team recommended four suppliers to provide the required services and under its delegation, the SA Health Procurement Approvals Committee approved the recommendation on 8 May 2018. The procurement approval was made by the committee the day after the commencement of Chris McGowan as chief executive of SA Health on 7 May 2018, with no involvement from Dr McGowan.

The procurement brief and recommendations were progressed by the deputy chief executive and the chief executive was verbally briefed on them.

On 25 May 2018, I met with the chief executive and deputy chief executive, SA Health, about the term of the contract. I agreed with the chief executive's suggestion to reduce the term of the contract. This decision was based on increasing the options for the new government. This brought the opportunity to engage and consult with community members to consider the way in which services could be delivered to better meet the needs of the community.

As required under Treasurer's Instruction 8, SA Health sought my approval to enter into contract for one year with the four suppliers and to incur expenditure for 2018-19 with extension options of 1 + 3 years.

The briefing that was submitted to my office was authorised by the deputy chief executive, SA Health, and not by the chief executive, SA Health, which I am advised was in line with probity advice.

The department sought Crown legal advice and the advice was that the action was appropriate.

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