List of Recommendations

Recommendation 1

2.20

The Committee recommends that the Department of Communications and the Arts provide the Committee and the Australian National Audit Office (ANAO) with an estimate of the time it would take to locate relevant records for the period 2009-10, as originally required by the ANAO for the purposes of Audit Report No. 12 (2017-18).

Recommendation 2

2.26

To improve value for money outcomes, the Committee recommends that the Department of Communications and the Arts report back to the Committee on whether it will be utilising flexibility mechanisms and the additional reporting clause under the Telstra Universal Service Obligation Performance Agreement to bring forward cost savings, as well as access data on the quantity of standard telephone services that Telstra supplies solely on the basis of its universal service obligations and on Telstra’s net cost in terms of supplying standard telephone services and payphones under its universal service obligation.

Recommendation 3

2.30

The Committee recommends that the Department of Communications and the Arts provide further advice to the Committee regarding:

the transition from the Telstra Universal Service Obligation Performance Agreement to the establishment of the new Universal Service Guarantee (USG)

the department’s record management relating to policy development of the USG

Recommendation 4

2.36

To strengthen performance reporting assurance and improve value for money outcomes, the Committee recommends that the Department of Communications and the Arts report back to the Committee:

on whether the department’s latest Telstra Universal Service Obligation Performance Agreement (TUSOPA) contract management plan and risk register identifies the possibility of inaccurate data as a risk

with specific examples of how the department’s TUSOPA contract performance reporting verification and assurance processes have been strengthened, and how they provide an appropriate degree of assurance that Telstra’s standard telephone service and payphone reporting is accurate and an appropriate basis from which to assess Telstra’s performance under TUSOPA and make annual payments

on whether the additional reporting clause under the TUSOPA contract, and USO reform processes, can be utilised to establish cost-efficient performance reporting on the quantity of standard telephone services that Telstra supplies solely on the basis of its universal service obligations and on Telstra’s net cost in terms of supplying standard telephone services and payphones under its universal service obligation

Recommendation 5

3.10

The Committee recommends that the Parliamentary Budget Office give consideration as to how information in the Budget papers could be augmented to enhance parliamentary scrutiny of the expected rate(s) of drawdown for investments and value of commitments without compromising commercially sensitive information.

Recommendation 6

3.16

The Committee recommends that the Australian Rail Track Corporation report back to the Committee on actions taken to develop an appropriate risk management system for both the Corporation and the Inland Rail program.

Recommendation 7

3.19

The Committee recommends that the Australian Rail Track Corporation report back to the Committee providing a copy of the procurement rules and/or guidelines used for the Inland Rail project to demonstrate that Corporation staff have adequate guidance to assist them in procurement.

Recommendation 8

4.10

The Committee recommends that the Department of Health report back to the Committee on how it is improving consideration of risk during future procurement planning, with reference to the Australian National Audit Office findings in Audit Report No. 61 (2016-17)—in particular, so that the full extent of a procurement’s complexity and risk, and the potential consequences of project failure or delay, are communicated to the Australian Government at the point in time funds are being allocated.

Recommendation 9

4.16

The Committee recommends that the Department of Health report back to the Committee on:

whether the Auditor-General had access to all of the departmental records relevant to Audit Report No. 61 (2016-17)

how the department is improving its procurement documentation and record keeping, including at the tender evaluation stage, to ensure that relevant matters are documented

how the department is ensuring, for future procurements, that it fully implements the approach set out in the Tender Evaluation Plan, to ensure value for money in its procurements and probity in the assessment process to ensure full confidence in the outcome of tenders

Recommendation 10

4.23

To provide clear information to the Australian public and the Parliament on a significant area of public health, the Committee recommends that the Department of Health provide the Committee with a statement of the objectives and planned performance information of the National Cancer Screening Register (including the National Cervical Cancer Screening Register and the National Bowel Cancer Screening Register) as distinct from the objectives and planned performance information of the national cervical and bowel cancer screening programs.

Recommendation 11

4.29

The Committee recommends that the Department of Health give consideration and report back to the Committee on:

whether, in the circumstances of such serious underperformance by Telstra Health, it may be in the Commonwealth’s interests to terminate the contract and pursue other options for either or both registers

advice as to what penalties the Commonwealth could consider seeking from Telstra Health, given the significant extra costs incurred as a result of this delay

what advice Health has sought regarding these issues

Recommendation 12

4.30

To provide clear information to the Australian public and the Parliament on significant area of public health, the Committee recommends that the Department of Health provide the Committee with six monthly updates on the implementation of the National Cancer Screening Register (NCSR), with particular emphasis on:

the implementation date for the national bowel cancer screening register transition under the NCSR and, if that has been met, whether all aspects of this initiative have been implemented—including details of what has/has not been implemented

an update on whether all aspects of the national cervical cancer screening register transition have been implemented and, if so, when they were implemented—including details of what has/has not been implemented

an update on when the NCSR national cervical cancer screening register function to send reminders was implemented, noting that, at the time of the Committee’s inquiry, all of the reminders from the new test (other than high-grade results) were due to start being sent from February-March-April 2018

on participation rates, by quarter, under the new national cervical cancer screening program, including as a percentage of the eligible age group, and what initiatives Health is undertaking to increase participation rates

Recommendation 13

4.31

Noting that achieving value for money is expected to be a central consideration of Commonwealth procurement activities, the Committee recommends that the Department of Health report back with details of how it is pro-actively managing the National Cancer Screening Register (NCSR) contract and monitoring progress to ensure that value for money is achieved in the establishment of the NCSR, including:

details of any savings achieved from NCSR operations and/or any additional costs to the Budget

whether the process of providing NCSR Medicare data to Telstra has concluded, and whether that data is complete and reliable

a summary of the deliverables status, including contract documentary deliverables, as per Table 2.1 and Appendix 2 of ANAO Report No. 61 (2016-17)

Recommendation 14

4.39

The Committee recommends that the Department of Health provide the Committee with an update on:

compliance with conflict of interest requirements, including ensuring actual, potential and perceived conflicts of interest records are maintained, up-to-date and appropriately addressed, and that Senior Executive Service employees declare in writing, at least annually, their own and their immediate family’s financial and other interests

when mandatory conflict of interest training for all departmental staff was delivered, to support the revised conflict of interest arrangements

Recommendation 15

4.40

The Committee recommends that the Department of Finance, together with the Australian Public Service Commission, write to all Commonwealth entities reminding them of their obligations as regards full compliance with conflict of interest requirements—including reference to the findings of Audit Report No. 61 (2016-17) and the value of providing mandatory training in this area for all staff.

Recommendation 16

4.41

The Committee recommends that the Department of Health seek advice from the Australian Public Service Commission as to the adequacy of the department’s response to a senior departmental officer having voted for a company as a preferred tenderer while owning undeclared shares of that company, and provide further advice to the Committee on this matter and the additional steps it will take to ensure such actions do not occur in the future.

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