List of Recommendations

Recommendation 1

2.13

The Committee recommends that the Department of Finance and the Australian National Audit Office work together to consolidate procurement guidance as it relates to corporate Commonwealth entities, to ensure such entities more strictly apply the Commonwealth Procurement Rules in developing and implementing their procurement policies and procedures.

Recommendation 2

2.14

The Committee recommends that Airservices Australia report back to the Committee on how it has updated its procurement policies and procedures to accord with the new provisions in the Commonwealth Procurement Rules that took effect from 1 March 2017.

Recommendation 3

2.19

To demonstrate its implementation of transparent, effective and appropriate procurement processes and the requisite organisational cultural change, the Committee recommends that Airservices Australia report back to the Committee, providing a post-implementation progress report for each of the audit recommendations in Audit Report No. 1 (2016-17)—including:

an update on how its new procurement assurance framework has driven cultural change across the agency and ensured adherence to procurement policies and procedures, and also ensured a focus on achieving a substantiated value for money outcome

an update on how monthly assessments of completed procurement activities to identify potential ‘non-compliant’ procurement processes have improved procurement compliance monitoring and reporting

details of how many times, since the audit, competitive procurement processes have not been employed, and the resulting documentation, costing and reporting procedures

Recommendation 4

2.20

To demonstrate its improved management of probity in procurement, the Committee recommends that Airservices Australia:

provide the Committee with an extract of the findings from the September 2016 O’Connor Marsden probity audit, including actions taken with regard to any identified probity matters

report back to the Committee on how many investigations have been undertaken by its panel of independent probity advisors and auditors; any significant findings made; and changes implemented as a consequence

Recommendation 5

2.65

The Committee recommends that Airservices Australia report back on progress in implementing action to address the ‘Conclusion’ and ‘Supporting findings’ of Audit Report No. 46 (2016-17), including details of how Airservices has:

revised its procurement practices and procedures, to ensure adequate record keeping and documentation in terms of its tender evaluation processes—particularly with regard to evaluating tenders against cost criteria, and inclusion in Tender Evaluation Plans and Conditions of Tender of planned methodologies for such analysis—and probity scrutiny of any adjustment activities

updated its business case for the OneSKY Australia project (noting advice that this would be completed by March 2017) and progress in working with the Department of Defence towards developing a joint business case.

Recommendation 6

2.67

The Committee recommends that the Australian National Audit Office consider conducting a third stage audit into the conduct of the OneSKY tender and any associated matters, once the contract for the entire acquisition and support scope has been executed, to complete its audit objective on this matter as set out in Audit Report No. 46 (2016-17)—in particular, criterion 3 of the audit objective.

Recommendation 7

3.8

The Committee recommends that the Department of Immigration and Border Protection reports back to the Committee on:

its implementation of appropriate performance monitoring of the contractor for the provision of health services in onshore immigration detention, including assessments against performance measures set in the contract;

its implementation of a risk-based remediation plan;

its progress finalising key documents, including the Departmental Medical Audit Tool and the Health Policy and Procedures Manual; and

advice as to which targeted audits have been undertaken to assess the contractor’s policies and procedures against relevant clinical benchmarks, and the outcomes of all such targeted audits.

Recommendation 8

4.17

The Committee recommends that the Department of Immigration and Border Protection report back to the Committee providing a post-implementation progress report for each of the audit recommendations in ANAO Audit No. 16 (2016-17) including:

an update on procurement processes and their compliance with the CPRs

an update on staff training , development and guidance on procurement practices.

Recommendation 9

4.18

The Committee recommends that the Australian National Audit Office consider conducting a performance audit of the next Department of Immigration and Border Protection procurement of garrison support and welfare services to determine whether lessons have been learnt and that the Commonwealth Procurement Rules have been followed.

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