Department of the Legislative Assembly, Northern Territory Government

2009-08-19

SIHIP – Number of Houses to be Built

Mr MILLS to CHIEF MINISTER

On Friday, you signed a deal with the member for Nelson pledging you would tell the truth. You have been skating on thin ice ever since. The time for evasion and spin is over. Why have you repeatedly maintained that the $672m Strategic Indigenous Housing and Infrastructure Project will deliver 750 new houses when the best estimate of Jim Davidson, the man in charge of the program until yesterday, is that just 300 houses will be built?

ANSWER

Madam Speaker, I thank the Leader of the Opposition for his question. There are many numbers being thrown around in this particular debate. One number I am absolutely certain of is that we will deliver 750 new houses. That is, very clearly, the commitment between me and minister Macklin.

As a result of information provided in the initial briefing where it was suggested we would not be able to meet our target, the first thing minister Macklin and I did was to appoint two very senior bureaucrats to review and oversight the program, and make recommendations to us to ensure that we do build the 750 new houses and upgrade 2500 others.

That report has not yet been received, but the absolute commitment is to deliver on 750 new houses - and we will.
Territory Economy – Contribution Through Entertainment and Sporting Events

Ms SCRYMGOUR to CHIEF MINISTER

Can you advise the Assembly how the Territory’s major entertainment and sporting events contribute to the Territory economy and benefit all Territorians?

ANSWER

Madam Speaker, I thank the member for Arafura for her question. It is festival time in Darwin. The Darwin Festival is up and running and being enjoyed by many thousands of Territorians and people from interstate. I hope many members of this House take the opportunity to visit some of the events after the House adjourns tomorrow night.

For a jurisdiction of our size, we do pretty well in regard to entertainment, sporting, cultural, and artistic events for all Territorians. They bring significant economic benefit to our economy. At the Darwin Festival there are free outdoor events, theatre, dance, music, cabaret, films, workshops and, of course, great food from around the world.

The Darwin Festival is running for 18 nights, with 70 productions, 112 events, and 1000 international and national artists, Territory artists and cultural groups. Last year, more than 76 000 people visited those events, bringing an estimated $1.4m to our economy.

We all enjoy the Carlton Draught Cup Carnival. Thousands of people enjoyed the atmosphere, injecting around $50m into the Northern Territory economy. In Alice Springs, the Finke Desert Race is loved by many members. There is now a ceiling on competitor numbers of 500 bikes and 100 cars or buggies. It injects approximately $3m into the economy.

These events are about the lifestyle of Northern Territorians, providing opportunity for Territorians to have access to great arts, sports and cultural events. We also have BassintheGrass, the Arafura Games, the Masters Games, and the Hottest 7s Rugby Tournament, to name a few. All these events inject approximately $80m into our economy and employ hundreds of people.

Madam Speaker, I urge all members of this parliament, and Territorians - particularly people who live in Darwin and Palmerston - to get out and about, and support the Darwin Festival and the great lifestyle we have in the Territory.
SIHIP – Upgrading of Houses

Mr MILLS to CHIEF MINISTER

Your government is hanging by a thread. You have an agreement with the member for Nelson to tell the truth and show you actually care about serious business. Why have you consistently maintained SIHIP would upgrade and refurbish 2500 houses when the best estimate of Jim Davidson, the man best placed to know, is that just 1500 houses will be upgraded?

ANSWER

Madam Speaker, as I said in my previous answer, very clearly, when the information first became available after the first round of packages were let that suggested we would not be able to meet that target, minister Macklin and I, that very day, commissioned two senior, very experienced public servants to get inside this project to ensure we would deliver on those outcomes.

So far, it looks as though administration costs can be reduced from around 11.4% to 8% over the life of the program. They have identified the need to streamline consultation processes to ensure we take time and money out of that system and introduce more standard designs for housing as part of the delivery of this program.

Very quickly, after the initial round of packages went out, those concerns were raised; we stepped in immediately. We are awaiting that report. The very firm commitment from minister Macklin and me is to deliver on 750 new houses, 230 upgrades, 230 rebuilds and upgrades to 2500. That is what we will deliver.

The Auditor-General is having a look at this issue and he will report to this House in February. The two senior public servants will report to minister Macklin and me very soon. Very clearly, the commitment is to deliver 750 new houses - and we will, Madam Speaker.
Darwin Sailing and Trailer Boat Clubs – Protection by Government

Mr GUNNER to MINISTER for INFRASTRUCTURE

The Darwin Sailing and Trailer Boat Clubs are icons. Would you please update the House on the investment the Henderson government is making to protect these clubs, Vesteys Beach, and our lifestyle?

ANSWER

Madam Speaker, I thank the member for Fannie Bay for his question. As we know, Darwin Sailing Club and the Darwin Trailer Boat Club are iconic parts of our lifestyle along Darwin foreshore in Fannie Bay. I know the member for Fannie Bay has been a great supporter of these clubs. He met with the clubs to discuss a key project of importance to them: the repair of the rock wall that fronts both of those clubs. He also met with me to raise the issue with government and progress funding options.

Like the member for Fannie Bay, our government recognises the importance of these clubs and the community infrastructure they provide. This is why the government is providing $1.6m to rebuild the rock walls - a major construction project on that site. This will protect the area from erosion, reduce the damage during severe storms and, importantly, provide long-term stability for this section of our foreshore.

Water sports and outdoor activities are a major feature of our great lifestyle. Around 75 000 locals and tourists visit the Darwin Sailing and Trailer Boat Clubs each year. They use the boat ramps; they enjoy the foreshore. Protecting this area, particularly from storm surge, is an important investment in our lifestyle. Both clubs have worked together very well to progress this project; they will continue to work with the Territory government on the project. Construction work on the rock wall will commence later this year and be completed in readiness for next year’s Dry Season.
SIHIP – Briefing to Chief Minister

Mr MILLS to CHIEF MINISTER

I remind you of your agreement to tell the truth, and the whole truth. You need reminding ...

Members interjecting.

Madam SPEAKER: Order, order!

Mr MILLS: After the former Minister for Indigenous Policy, the member for Macdonnell, received a briefing from Jim Davidson, the head of SIHIP, in which he stated just 300 new houses would be built, you claimed the briefing had been wrong and that you would be outraged if the facts were correct. After the member for Macdonnell stated just 300 houses would be built, did you seek a briefing from, or meet with, Jim Davidson regarding the true facts of SIHIP?

ANSWER

Madam Speaker, the very clear impression gained and enunciated from the first briefing was that 70% of the SIHIP money was going on administration. That was the very clear impression and articulation. I said very clearly that if 70% of this money was going on administration that would be outrageous and I would get to the bottom of it. I said from the very beginning that the 70% number was wrong - and it is wrong. The administration costs are currently tracking at 11.4% and we will get them down to less than 8% ...

Members interjecting.

Mr HENDERSON: In regard to the ability …

Mr MILLS: A point of order, Madam Speaker! I understand the position that you will describe; that the Chief Minister has room to move. However, I specifically asked about the number of houses. Was there a briefing that you sought on that specific issue: the number of houses that are going to be built?

Madam SPEAKER: There was a preamble, Leader of the Opposition. The Chief Minister has the call, but if you could come to the point soon, Chief Minister?

Mr HENDERSON: I am coming to the point, Madam Speaker. All of the articulation was around 70% of the money going on administration. I said that was wrong - it is wrong. That number is around 11.4%. When the articulation was that we would have trouble reaching the number of 750 houses, what I did with minister Macklin was immediately commit to two very senior public servants to investigate this program to get to the bottom of the way this program was structured, to ensure that we will deliver on 750 new houses, 230 rebuilds and 2500 upgrades. Those public servants have investigated this program. I am awaiting the report back to me. That is the action that I took, along with minister Macklin: to employ two senior public servants …

Mr MILLS: A point of order, Madam Speaker! I asked the Chief Minister, did you have a briefing?

Madam SPEAKER: There is no point of order, resume your seat.

Mr HENDERSON: Madam Speaker, as you would expect, I have had a number of briefings on this issue, as have other people. As a result of those briefings, we have commissioned two senior public servants to get to the bottom of this to ensure that we do deliver on 750 houses - and we will.
Amanbidji Airstrip

Mr WOOD to MINISTER for HEALTH

I recently visited the small community of Amanbidji, about 60 km south of the Victoria Highway and roughly 80 km east of the Northern Territory/Western Australia border. I was asked by a senior member of the community to inspect the airstrip, which I did, and it seemed to be in perfectly good condition. The reason I was asked to look at the condition of the airstrip was that I was told that the aeromedical plane would not land at that airstrip, meaning a person required evacuation by road. Could you please advise whether the aeromedical operator has refused to land at Amanbidji? If so, how many times and what was the reason?

ANSWER

Madam Speaker, I thank the member for his question. It is a very important question, because a lot of the communities rely on medical evacuation. The Amanbidji airstrip is used for day-time evacuation, only because it does not have appropriate lights for night-time evacuation. The reason the aeromedical service refuses to land there is because there are no lights; they refuse to land at night. However, I understand that solar-powered lights have now been purchased to be installed, so it will enable the aeromedical service to land there at night and that will increase safety for night-time landings.

We have to remember that the pilot is in control of the aeroplane and makes the ultimate decision to land or not. If they make the decision not to land, there must be very serious reasons behind it. My understanding is that during day time the evacuation takes place as normal. The aeromedical service refuses to land at night for safety reasons, and that is going to be rectified.

However, the last inspection of the airstrip indicated the condition of the airstrip is very good. If there is a reason people cannot land at night, even after the lights are installed, arrangements will be made for the safe evacuation of people at night time. However, if the installation of the lights is adequate, the pilots have no option but to land the aeroplane.
SIHIP – Administration Costs

Mr MILLS to CHIEF MINISTER

Given you failed to seek a briefing from Jim Davidson, your man in charge of the project, how could you possibly know the figure he gave you was wrong? Is not your failure to get the facts for yourself precisely the combination of arrogance and ignorance that has brought your government to the brink?

ANSWER

Madam Speaker, I acknowledge the question from the Leader of the Opposition. He obviously did not listen.

I have had a number of briefings on SIHIP, unlike the Leader of the Opposition, who has never sought one briefing, and unlike the member for Port Darwin who has now taken an interest in Indigenous housing. He was the member for Macdonnell for many years; how many houses did the CLP build? None.

Members interjecting.

Madam SPEAKER: Order! Honourable members, there are far too many interjections. Member for Port Darwin, I am speaking. Please resume your seat, Chief Minister. I refer you to Standing Order 51:
    No Member may converse aloud or make any noise or disturbance, which in the opinion of the Speaker is designed to interrupt or has the effect of interrupting a Member speaking.

Chief Minister, you have the call.

Mr HENDERSON: Thank you, Madam Speaker. We are determined to deliver 750 new houses. We are a government that has committed $100m into this program.

The CLP were in government for 27 years and did not commit any dollars to Indigenous housing …

Mr MILLS: A point of order, Madam Speaker!

Members interjecting.

Madam SPEAKER: Order, order! Chief Minister, if you can just come to the point fairly soon.

Mr Mills: Relevance.

Mr HENDERSON: It is very relevant, in the lack of interest that the CLP had in the past on this issue ...

Members interjecting.

Mr TOLLNER: A point of order, Madam Speaker! I would like to debate the point of order the Chief Minister is debating. This has absolutely nothing to do with …

Members interjecting.

Madam SPEAKER: Order! Resume your seat, member for Fong Lim. Resume your seat. Member for Port Darwin!

Honourable members, there have been so many interruptions I have been unable to hear either the Chief Minister, people giving a point of order, or anyone asking a question. This is at a ridiculous level. The Chief Minister has the call. Chief Minister, if you can come to the point fairly quickly.

Mr HENDERSON: So concerned were minister Macklin and I, given the information that came out of that briefing, that we immediately appointed two senior public servants - one from the Territory government and one from the Commonwealth government - to investigate the structures of these contracts, and to make recommendations back to us to ensure that we can deliver on 750 new houses. That is the immediate action that we took. We are awaiting the report from those public servants. The commitment from minister Macklin and me, and our government, is to deliver on the 750 new houses over the life of this program - and we will.
Sporting Infrastructure Investment

Ms WALKER to MINISTER for SPORT and RECREATION

Can you please update the House on how this government’s investment in sporting infrastructure is reaping dividends for Territorians?

ANSWER

Madam Speaker, I thank the member for her question. Yes, this government has a proud record of investment in sporting facilities across the Territory. Since 2001, this government has invested over $75m in sporting infrastructure throughout the Territory. We, on this side of the House, know that first-class facilities attract first-class sporting events.

I am pleased to inform honourable members that, in another first for the Territory, Traeger Park, in my home town of Alice Springs, will play host to a Ford Ranger Cup one-day match between the South Australian Redbacks and the Queensland Bulls. The Territory government has committed $110 000 that will make this match a reality, on top of $5.61m this government has invested into Traeger Park, making it the outstanding facility it is today.

Territory cricket lovers will be able to see some of Australia’s best cricketers in action, including Shaun Tait, Callum Ferguson, James Hopes and, hopefully, Andrew Symonds making his return to the Territory.

I hope that homegrown Territory rookies, Kane Richardson and Cameron Francis are selected as part of the Redbacks team to play in front of their home crowd, alongside Australian test wicket keeper Graham Manou who played for PINT Cricket Club in Darwin.

I thank everyone involved in making this match possible, including our Mayor, Damien Ryan, Andrew Ramsay from NT Cricket, the South Australian Cricket Association, and Queensland Cricket.

This government will continue to invest in our sporting facilities across the Territory, bringing first-class events to Territorians.
SIHIP – Employment of Jim Davidson

Mr MILLS to CHIEF MINISTER

Yesterday in this House, you said that Jim Davidson’s employment arrangements had nothing to do with you, yet yesterday you met him in your office. You met with him the very same day you sacked him from his job as boss of SIHIP. Is it not a fact you sacked Jim Davidson - and you sacked him for telling the truth about SIHIP?

Madam SPEAKER: I remind honourable members of the freedom of speech report we have with the standing orders; that the Speaker is required to caution members when referring to people who have no right of reply in this Chamber. Chief Minister, I caution you regarding your comments.

ANSWER

Thank you, Madam Speaker. As I said yesterday, yes, I do know Jim Davidson. He is a decent man and a good engineer. I certainly did not meet with him yesterday in my office or anywhere else. I do not know where the Leader of the Opposition got that from; I absolutely deny that.

Mr Davidson’s employment is with a private sector company; it has absolutely nothing to do with me. I refute the assertion that the Leader of the Opposition has made. His employment arrangements are between him and his company. I did not meet with him yesterday.

Cullen Bay Pontoon - Improvements

Ms SCRYMGOUR to MINISTER for INFRASTRUCTURE

The Tiwi ferry, the Arafura Pearl, provides an important three-day-a-week service to the Tiwi Islands from Cullen Bay. Can you please update the House on plans to improve the Cullen Bay pontoon?

ANSWER

Madam Speaker, I thank the member for Arafura for her question. We are investing $2.5m to build a new pontoon at Cullen Bay which will support our commercial boating industry, including the ferry services and the fishing tour operators. The new pontoon will be 25%, or 12.5 m longer than the current structure. The current pontoon can only support two large vessels at a time. The new extended pontoon will be able to support three large vessels, allowing more operators access to this important facility. This is great news for our commercial boat operators.

It is also good news for our local anglers, for the existing pontoon is set to become a new artificial reef in Darwin Harbour. It is also a good project for our construction industry, creating new jobs. Tenders are currently out and will close next month, with the new pontoon expected to be operational by mid-next year. This $2.5m pontoon provides a bigger and better facility; it is welcomed by the commercial boating operators and it will assist in those important ferry services for our communities.
SIHIP - Guarantee for 750 New Houses

Ms ANDERSON to CHIEF MINISTER

When I first raised my concerns that SIHIP would only deliver 300 houses, you claimed I was wrongly briefed. Now that Jim Davidson has publicly confirmed that only 300 houses will be built for $670m, will you guarantee the promised 750 houses will be built, no matter the eventual cost?

ANSWER

Madam Speaker, I thank the member for Macdonnell for her question. After she had the briefing, I met with the member for Macdonnell and made an absolute commitment that I would get to the bottom of this issue, and we would build the 750 new houses. Also, if 70% of the costs of this program were being soaked up in administration, that was absolutely outrageous and I would get to the bottom of it.

I have said over and over again - and it has been confirmed - that administration costs are running at 11.4%, and, immediately, minister Macklin and I appointed two senior public servants - public servants I certainly trust on my side ...

Mr TOLLNER: A point of order, Madam Speaker! The Chief Minister well knows that a Commonwealth bureaucrat was already in charge …

Dr Burns: There is no point of order.

Mr TOLLNER: Let me finish …

Members interjecting.

Madam SPEAKER: Order! Resume your seat. What standing order are you referring to?

Mr TOLLNER: Madam Speaker, the Chief Minister well knows a Commonwealth bureaucrat had already been appointed and was sitting on the board’s steering committee …

Dr Burns: What standing order?

Madam SPEAKER: There is no point of order.

Members interjecting.

Mr TOLLNER: … that had already made the decision not to build houses. He should not mislead this place.

Madam SPEAKER: Member for Fong Lim! Honourable members, I remind you that, when you stand to make a point of order, it actually has to be a point of order - otherwise we will be looking at members withdrawing from the Chamber.

The member for Macdonnell has asked the Chief Minister a question. I am sure members would be interested in the answer.

Mr HENDERSON: Thank you, Madam Speaker. In regard to the answer, the two senior public servants have been required to investigate into the structures of the SIHIP arrangements and report to minister Macklin and me to ensure we will deliver the 750 new houses, the 230 rebuilds and the 2500 upgrades as a result of this project.

The absolute commitment to the member for Macdonnell, to everyone in this House, is that we will deliver on those 750 houses. That is an absolute commitment - and we will.
SIHIP Review – Independence Allegedly Compromised

Mr MILLS to CHIEF MINISTER

Amanda Cattermole, one of the two bureaucrats selected to review SIHIP, is employed by the Commonwealth Department of Families, Housing, Community Service and Indigenous Affairs. Would you propose someone whose boss is Jenny Macklin would be able to provide independent advice on systemic failures within SIHIP?

Madam SPEAKER: Chief Minister, I once again remind you of the standing orders relating to freedom of speech, and the fact that we caution members on any comments relating to people who have no right of reply in this Chamber.

ANSWER

Madam Speaker, I take your caution very seriously, unlike the opposition, which continues to drag good people - who have no capacity to respond - into this parliament and impugn motives to them.

As I said, the Commonwealth appointed a senior public servant who was not involved in the day-to-day running of the program, but is on the steering committee. The Auditor-General will also prepare his own report. We appointed the deputy of my department, someone who has had no involvement in this program, to oversight SIHIP. The issue here is the delivery of 750 new houses that we absolutely commit to. It is 750 more houses than the CLP ever delivered. In 27 years of government, there was not one house on an Indigenous community for Indigenous people.

The issue here is, the Commonwealth appointed a senior public servant and I appointed a senior public servant to get to the bottom of this issue, to make recommendations back to both governments about how we are going to deliver 750 new houses from this program. That is the absolute commitment - we will.
Darwin Cup Carnival – Benefits to Territory

Mr GUNNER to MINISTER for RACING, GAMING and LICENSING

Just a couple of weeks ago, we witnessed the running of the 2009 Darwin Cup. Can you please update the House on the benefits of the Darwin Cup Carnival to the Territory?

ANSWER

Madam Speaker, I thank the member for his question. The Carlton Draught Darwin Cup is arguably the Territory’s premier event and attracts thousands of interstate and international visitors and locals. I extend my congratulations to the Chairman of the Darwin Turf Club, Brett Dixon, and the CEO Des Friedrich and staff on a great carnival.

The opposition might not be very interested, but the Darwin Cup contributes $50m to our economy. That $50m translates to hundreds of jobs for Territorians in the tourism industry and associated industries. If the opposition is not interested in these jobs, what can I say? I certainly am. That is why government supports the industry and will continue to support it.

We had $1.6m up for grabs this year in prize money, with major race days the Bridge Toyota Ladies Day, the SKYCITY Derby Day, the Colemans Printing Cup Day, and the Darwin Airport Resort Palmerston Sprint Day. Of course, we have major social events such as the Bernborough Club lunch and the Carbine Club lunch that provides money for needy organisations and, of course, the Qantas Darwin Turf Club Gala Ball attended by over 3000 people. The number of people who come to the Territory have to move around, have to stay somewhere, have to eat somewhere, and visit our fantastic facilities. They contribute to the Territory constantly. In the past, they used to come for the cup for three days and leave. Now, they come for the cup a week before, stay for the cup and leave the week after. That extends to nearly two weeks.

It was with great pride I heard some of the industry representatives from around Australia telling us that this cup is second to the Melbourne Cup. This is one of the best Cups in Australia. Our government supports the Darwin Cup and the industry. We will contribute $10m until 3 June 2010, and a full funding review is under way.

However, on a final note, I extend my best wishes to David Bates, a well-known racing identity, and his young family. As you are all aware, he had an accident, a fall, and he is in Royal Darwin Hospital in a serious condition. I am pleased to say that he is recovering well. I look forward to attending a benefit dinner for David on 12 September at the Darwin Turf Club. He is a true legend of racing in the Territory. On behalf of all members, I extend my very best wishes for a full recovery.
Barkly Highway – Repairs

Mr WOOD to MINISTER for INFRASTRUCTURE

Earlier this year, a large part of the Barkly Highway was washed away near the Rankin River. The part of the road that washed away included at least 20 culverts. When I visited the damaged site, I was told that no culverts were placed under the repaired section of the highway, which meant the new road would act like a dam. Has the highway been reconstructed to its former standard? Will it happen before the next Wet Season? How much will it cost, and who will pay for the permanent reconstruction of the highway?

ANSWER

Madam Speaker, I thank the member for Nelson for his important question. The breach that was experienced on the Barkly Highway was an extraordinary event. The Rankin River Crossing that was constructed in 1979 had never experienced waters higher than the crossing. During the peak of the flood, the water level rose 1 m higher than the crossing.

As members will recall, the resultant damage to the road was significant, with more than 2 km of highway damaged, and a 70 m section of the highway washed away. The Department of Planning and Infrastructure mobilised quickly to undertake emergency repairs to reopen as soon as possible. That was the first stage of the work: get out there for emergency repairs to reopen as soon as possible. The emergency repairs were completed in March at a cost $2.73m.

Following this, the department undertook a study of the road to assess the original design and identify any improvements that could reduce the risk of such damage occurring again. The study was undertaken by Sinclair Knight Mertz. They identified new works in the form of reinforced concrete batters on the downstream batter. These works will upgrade protection of the crossing and prevent significant roadway damage in extreme flooding events. The reinstatement of the culvert will be undertaken in conjunction with these protection works. This project is about to start. It is expected to be completed ahead of the Wet Season. I look forward to updating the House on the progress of these works.
Indigenous Surf Life Saving Club

Ms WALKER to CHIEF MINISTER

Earlier this month, you attended the opening of the Territory’s first Indigenous Surf Life Saving Club. Can you tell the Assembly about this fantastic initiative?

ANSWER

Madam Speaker, I thank the member for Nhulunbuy for her question ...

Members interjecting.

Mr HENDERSON: They are a rabble, Madam Speaker, an absolute rabble ...

Members interjecting.

Madam SPEAKER: Order! Order!

Mr HENDERSON: Madam Speaker, I thank the member for Nhulunbuy for her question. It was a great event at Shady Beach, Yirrkala on 7 August. I was there with the local member, many members of the community and the federal Indigenous Affairs minister as part of Garma Festival, to open Australia’s first Indigenous Surf Life Saving Club. I know members opposite are not interested in anything good that is happening in Indigenous issues, but this is something that was really good …

Members interjecting.

Madam SPEAKER: Order, order!

Mr HENDERSON: It was great to be out there with the local Yolngu opening the first Indigenous Surf Life Saving Club. It was great to see the kids in their red and yellow surf uniforms, on their canoes, going through the whole life saving certification: teaching water safety, CPR, first aid, accredited education. Already, 80 kids out there have completed their Surf Life Saving Certificate, and nine students have been awarded a Bronze Medallion, which is fantastic.

I congratulate Surf Life Saving NT, in particular Tony Snelling and Bob Creek, for a real commitment to take surf life saving out to an Indigenous community. I also thank the Gove Peninsula Surf Life Saving Club for their support and congratulate the Surf Club President, Timmy Burarrwanga, and Club Patron, Djuwalpi Marika for their leadership and support. I know the member for Nhulunbuy is very happy to be the Vice Patron as well.

This is about supporting initiatives in far-flung remote parts of the Northern Territory. I wish the Yirrkala Surf Life Saving Club every success into the future.
SIHIP – Expenditure to Date

Mr MILLS to CHIEF MINISTER

I remind you that deliberately deceiving this House is in direct breach of your agreement with the member for Nelson. A simple question we have asked time and time again: how much money has been spent on SIHIP to date without a single house being built? How much money has been spent to date?

ANSWER

Madam Speaker, again, the Leader of the Opposition is obviously not listening to anything that is answered in this debate. Two days ago in Question Time, I advised - and the Housing Minister advised - that the first round of packages have been let for Groote Eylandt, Tiwi Islands and Tennant Creek to a value of $128m. Those are the first round of packages that have been let under this program.

Mr Mills: Madam Speaker, perhaps there is a misunderstanding. I have asked him how much money has been spent to date.

Madam SPEAKER: Chief Minister, you have finished your answer?

Mr HENDERSON: I have answered the question.
Anti-Hooning Legislation

Ms SCRYMGOUR to MINISTER for TRANSPORT

Can you update the House on the government’s anti-hooning driving legislation?

ANSWER

Madam Speaker, I thank the member for Arafura for her question and her interest in road safety in the Northern Territory.

As all members will be aware, hooning activities primarily involve illegal car activities: street racing, drag racing and burn outs. You are all familiar with the concept of hooning. This behaviour is totally unacceptable; it is not welcome here. I am sure all members would join me in rejecting it utterly. This dangerous activity places these hoons, their passengers, spectators, and other road users at high risk.

In 2004, the Traffic Act was amended to create offences for hooning-type activities. During 2008, a joint Police and Department of Planning and Infrastructure review was conducted of the hooning legislation. As a result of the review, the Henderson government began a new part of the Traffic Act on 30 June 2009.

New amendments have given police tougher power to impound a vehicle for 48 hours without going to court. Anyone caught hooning twice within two years now faces the prospect of having their vehicle impounded or immobilised for a minimum court-imposed penalty of three months and a maximum of six months. The new amendments provide for a court-ordered forfeiture of the vehicle for a third offence.

Hoons also pay for the removal, transport, and storage of their impounded or immobilised vehicles. It is illegal for hoons to sell or give away a vehicle used in hooning activity while legal matters are pending.

Anyone caught hooning has their vehicle immediately impound or immobilised by police for two days. Police advise that nine infringement notices and seven 48-hour impoundments have occurred up until 31 July 2009. Police are also in the process of seeking a three-month impounding order for one offender who has been caught hooning twice.

Territorians should be able to drive safely on our roads and sleep peacefully at night without having to put up with hoons. The Henderson government is serious about building safer communities and introducing tough new legislation to make hoons think carefully about the activities they engage in before they get behind the wheel.
SIHIP – Administration Costs

Mr MILLS to CHIEF MINISTER

On ABC radio this morning, Jim Davidson stated that between 50% and 55% of SIHIP funds would be spent on administration and indirect costs. Yesterday in this House, you said that 11.4% would be spent on administration and the remaining 88.6% would be spent on construction and employment programs. Do you now admit you misled this House, and the majority of SIHIP will go to anything but the actual building of a house?

ANSWER

Madam Speaker, I have the transcript of what Jim Davidson had to say on ABC radio this morning. He said very clearly that the program management and administration costs are tracking at 11.4%.

Mr Mills interjecting.

Mr HENDERSON: Well, here we go; the great engineers on the other side.

In regard to building costs, in the interview this morning Mr Davidson was talking specifically about Groote Eylandt. Groote Eylandt is probably the remotest place in the Northern Territory, the most difficult place to get to for building a house. There are costs associated with building a house on Groote Eylandt, such as transportation - very specific and expensive transportation costs such as barging costs, costs for airfares to fly people over to Groote Eylandt, and accommodation costs. These are all costs incurred in building a house. You cannot build the house unless you have freighted and barged the materials over there. You cannot build the house unless people have been flown to and are accommodated on Groote Eylandt.

Regarding accommodation, accommodation structures had to be set up, so these are very real costs associated with building a house that one cannot forego. You cannot build a house on Groote Eylandt without transporting the materials to build the house and, of course, that is expensive and has to come out of the program. In particular, in regard to Groote Eylandt, I believe Mr Davidson was talking in the region of 35% to 40% in indirect costs - but you cannot build a house without doing those things.

We started this entire debate with a very clear assertion that 70% of costs in SIHIP were being soaked up in administration, corporate profits, waste and inefficiency – that was, essentially, what the assertions were. I said at the time that was wrong and, if it was right, it would not be allowed to continue. Two very senior public servants have been appointed to get to the bottom of that. As Jim Davidson said this morning - confirming what I have said - program management and administration costs are tracking at 11.4%.
SIHIP – Budget Increase for
Auditor-General’s Investigation

Mr WOOD to CHIEF MINISTER

I am concerned and I have stated in parliament about the wastage of money in SIHIP - not so much about delivering a house to Groote Eylandt, but whether there is too much fat in the consultancy areas.

The Auditor-General is now looking at SIHIP but will not finish that audit by February. Would the government increase the Auditor-General’s budget to allow the audit to be finished as quickly as possible, so that an independent assessment can be made of the many figures and questions presently being bandied around?

ANSWER

Madam Speaker, I thank the member for Nelson for his question. I think it is an excellent idea. I have not had a request from the Auditor-General to that effect, but I certainly would consider that.

I believe we are all concerned if there is waste and inefficiency, and costs in this program that should not be in the program. We all share those concerns, and that is why we have appointed two senior public servants to look into these issues ...

Members interjecting.

Mr HENDERSON: Dear, oh, dear! They are a rabble, Madam Speaker. This is a serious issue which the member for Fong Lim refuses to take seriously.

I, too, share the same concerns as the member for Nelson. I do not want to see a dollar of this money going on costs that are not absolutely necessary to building houses in remote communities. I do not want to see a dollar wasted and that is why we have appointed two senior public servants to get to the bottom of it.

The Auditor-General is independently looking at this, as he does with every major project. If the Auditor-General was to entertain a request to me to that effect, I would certainly consider it.
SIHIP – Alliance Partners’ Profit

Mr MILLS to CHIEF MINISTER

How much of the $672m of SIHIP will go in profit to alliance partners? Is it not a fact that, when you take the 55% administration and indirect costs and alliance partners’ profits, only about 30% of the $672m will actually be spent on building houses in Indigenous communities?

ANSWER

Madam Speaker, the one thing I do know in all of this is that the Leader of the Opposition has certainly never sought a briefing on these issues at all, such is his lack of interest in that.

I have said that costs incurred so far on this project are the three packages of work which have already been let of $128m. The Housing Minister advised in answer to a question - I believe it was yesterday or the day before - that administration costs as of 31 May and the beginning of June were running at $3.8m, which is tracking along the 11.4% that I have asserted and Jim Davidson made public in his interview today. Those are the costs of this particular project to date.

In regard to indirect costs, these cannot be avoided. You cannot avoid barging materials from Darwin to Groote Eylandt to build a house, and that comes at a significant cost.

The public servants have yet to report to me and minister Macklin, but the absolute commitment is that we will build 750 houses under this program - and we will.
Business Expos - Alice Springs and Darwin

Mr GUNNER to MINISTER for BUSINESS

Could you please update the House on the recent government Business Expos in Alice Springs and Darwin?

ANSWER

Madam Speaker, yesterday in the House I outlined some of the programs that are available to business through government to better support their business. These government Business Expos are another example of how government is supporting small to medium, and even larger, businesses in the Northern Territory. They were held in Darwin and Alice Springs in July. Over 400 businesses availed themselves of the opportunity to attend these expos.

Local Government was in attendance, as well as the Australian government and various Northern Territory government entities. I know businesses appreciate the opportunity to interact with government.

There were a number of core themes at the expos: what government buys, infrastructure, building the Territory, land approvals, certifications, building and council, business support, business and consumer affairs, licensing and regulations, import/export trade and, of course, crucially, jobs - employment and training. This is a government that is committed to protecting Territory jobs.

Moreover, the themes that were showcased included how government agencies interact with the business community, how businesses can seek assistance, how they can become a service provider to government, how they can expand into new markets and develop within the Northern Territory, and access business information generally from the three tiers of government

It was very refreshing to be at the waterfront Convention Centre which, I must say, is a jewel that is admired both by locals and interstate people …

Members interjecting.

Dr BURNS: I know the opposition hated it from the start …

Ms Carney interjecting.

Dr BURNS: There it is, evidence of how they cannot control themselves.

Madam SPEAKER: Order, order!

Dr BURNS: Madam Speaker, it was great to be there with the Chief Minister who, along with minister Craig Emerson from the Commonwealth government, opened the expo. It is further evidence of this government’s support for small and medium business, and it was greatly appreciated by the business community.
SIHIP – Alliance Partners’ Payment and Profit

Mr MILLS to CHIEF MINISTER Referred to MINISTER for HOUSING

The question is in two parts. How much has been paid to SIHIP alliance partners to date? What is the percentage amount of the contract allowed by the alliance partners as profit?

ANSWER

Madam Speaker, for the specific detail of the alliance and how the profits are allocated, I will hand over in a moment to the Minister for Housing. However, I can say with absolute confidence that all of these issues, for the first time in a government contractual sense, are open and transparent. I hand over to the Minister for Housing.

Mr KNIGHT (Housing): Madam Speaker, I answer the first part of the question as the Chief Minister has already answered it: the $128m was paid to the alliance to pay the costs incurred with the first three packages which have occurred.

In the traditional contracting of building Indigenous housing, basically, there was one cost. Within that one cost associated with building a house, the single contractor would put in a price. The government, the owner of the house, did not know what percentage of that was actually profit - whether contractors were taking 40% or 50%; they just did not know. With the alliance contracting, with the methodology used with this program, we wanted to identify the costs and control the program as far as costs for particular areas.

With respect to the profit, it is actually determined by an independent actuary engaged by the owners – the Commonwealth and Territory governments. They go into the books of the alliance partners to look at their profit over the last three years in the private sector - not the public sector contracts they have won, but in the competitive, private sector market. They are averaged out over three years …

Mr Mills: You are taking the long way around.

Mr KNIGHT: They are averaged out over three years. That is the starting profit, so it is very fair and reasonable. If they exceed the employment and innovation targets, they actually get slightly more. If they do not, they get less ...

Mr Tollner: What is the maximum amount of profit they can receive?

Mr KNIGHT: Their profit …

Members interjecting.

Mr KNIGHT: I am trying to answer the question ...

Madam SPEAKER: Order! Order! The Minister for Housing has the call.

Mr KNIGHT: Madam Speaker, this is a very important part of the program to show we actually know how much profit there is. The problem in making that public is that we have one major national company in one alliance and a national company in another. They, obviously, do not want to divulge how much profit they are putting on their private sector contracts. That information is not made public but, within the program, it is identified through an independent actuary. It is a very transparent process …

Mr Tollner: Who set aside 35% for profit?

Mr KNIGHT: ... and a very fair process. We do not have contractors …

Members interjecting.

Madam SPEAKER: Order! Order!

Mr KNIGHT: The member for Port Darwin has talked about $1m houses, and the member for Fong Lim talks about his mate, Mal Brough. Mal Brough got out there and he built these houses ...

Mr Tollner: More than you.

Mr KNIGHT: Hold on. He built four houses, at Nangu and Wudapuli ...

Members interjecting.

Madam SPEAKER: Order!

Mr KNIGHT: He built two houses at Nangu and two houses at Wudapuli, just outside Port Keats ...

Mr Tollner: In a COAG trial – you drop kick.

Madam SPEAKER: Order!

Mr Tollner: It was not Mal Brough at all.

Madam SPEAKER: Order! Member for Fong Lim!

Mr Tollner: Talk about spin. Get it right.

Mr KNIGHT: You know what is coming, member for Fong Lim.

These houses were for home ownership - affordable home ownership …

Mr MILLS: A point of order, Madam Speaker! Direct to relevance.

Members interjecting.

Madam SPEAKER: Resume your seats.

Mr Mills: Have him answer my question, Madam Speaker.

Mr Tollner: He is misleading the House.

Madam SPEAKER: Order! Order!

Mr Mills: He has gone bush.

Mr Tollner: Gone AWOL.

Madam SPEAKER: Order! Member for Fong Lim! Minister, just resume your seat for a minute.

Honourable members, there have been so many interjections that, once again, it is very difficult to hear the person who has the call. There also have been so many interjections that the minister feels he needs to respond to, which seems to be quite reasonable in my opinion. However, minister, could you come to the point fairly quickly?

Mr KNIGHT: I will, Madam Speaker. These four houses that Mal Brough built were for home ownership - affordable housing.

Members interjecting.

Madam SPEAKER: Order! Member for Fong Lim! Member for Fong Lim, cease interjecting.

Mr Conlan: It is a very important point, though.

Madam SPEAKER: Member for Greatorex!

Mr KNIGHT: Madam Speaker, these houses are for affordable housing so the people who were living in them could own them. Those people living in them were on Centrelink payments, a household income of $20 000 per year. These houses, which were revealed in standard estimates, came in at over $900 000 each - $900 000 affordable housing.

I was out there recently, and one of the member for Fong Lim’s mates, or the member for Braitling’s mates, Mal Brough, built this house. This is a photo of the kitchen - there was not a single cupboard in the kitchen of this $900 000 house. I will table that. Next picture …

Members interjecting.

Mr KNIGHT: Hold on. You wanted information, I am giving it to you

The next picture is of a doorway to the bathroom – no door handle on it – of a $900 000 house. The next picture is of the internal flooring - CFC flooring with non-stick …

Members interjecting.

Madam SPEAKER: Order! I would really like you to table those photos reasonably quickly and finish your answer.

Mr KNIGHT: I will, Madam Speaker, I need to explain to them. I have three more photos and that is it. Internal flooring specially sheened with non-stick paint rolled on the floor. These poor people try to mop the floor, and what happens? The mop falls to bits grabbing on all the non-stick paint. I table that. This is a beauty - the windows all around the house - no glass in them! That was great of Mal. We are living in a tropical environment, no air-conditioners, out bush, and not a single fan in the house!

Last one, Madam Speaker. This is the bathroom. One of the obvious things you put in a bathroom is some floor waste drains – no smells can go anywhere.

Madam SPEAKER: Minister, are you finished?

Mr KNIGHT: I will table that. I am finished.

Members interjecting.

Madam SPEAKER: Order! I assume honourable members know that, when the Speaker is standing, if anyone continues to speak or is standing up, they are automatically required to leave the Chamber. Just a reminder, honourable members.
Alice Springs Youth Action Plan

Ms SCRYMGOUR to MINISTER for CENTRAL AUSTRALIA

We do not only care about the Top End, we also care very much about Central Australia. Can you update the House on progress being made on implementing the Alice Springs Youth Action Plan?

ANSWER

Madam Speaker, I thank the member for Arafura for her very good question. This side of the House really does care about Central Australia.

This government has invested more than $15.5m over the next four years towards a Youth Action Plan. There has been considerable progress on the Youth Action Plan, which aims to make our community in Alice Springs a safer place whilst supporting children and families. I recently visited The Gap Youth Centre, which received additional funding under this plan. The new director, Jennifer Standish-White, and staff such as Graham Ross, and the committee headed by Kylie Preece, are working really hard to put in place an impressive range of activities and programs to engage young people. The youth coordinator, Superintendent Michael White, is also doing a fantastic job putting together youth service providers and overseeing the construction and operations of the youth hub at ANZAC Hill.

The concept of the youth hub is attracting a lot of interest from organisations within government and non-government, which are looking at either co-locating or working with the services which will be operating from the hub. This will mean more and better targeted services for the kids and families of Alice Springs. The No School, No Service code has been enthusiastically supported by local business and is sending a strong message to students and families that wagging is not cool ...

Mr GILES: A point of order, Madam Speaker! On relevance, this is just a takeover of ministerial reports; this is not a question.

Madam SPEAKER: Member for Braitling, resume your seat, there is no point of order. Minister, you have the call.

Mr HAMPTON: Thank you, Madam Speaker. Other centres such as Tennant Creek are keen to implement similar programs, such as the No School, No Service scheme, which I am sure the member for Barkly will take up. Work is moving ahead on the establishment of the new Centralian Middle School. The new principal of the middle school is Therese Hicks. She has been appointed and is working with staff, parents, and students across the two campuses to put in place programs ready for next year.

The tender has also been let for the design consultancy for the middle school work and the youth hub.

This week, the Chief Minister informed the House that, with the opening of the new Police Beat in Todd Mall which the members for Greatorex and Braitling also attended, this means more police on our streets in Alice Springs.

Madam Speaker, this is just a snapshot of the progress that has been made to date on the Youth Action Plan. As I said, $15.5m over the next four years really does demonstrate the commitment of this government.

Dr BURNS (Leader of Government Business): Madam Speaker, I ask that further questions be placed on the Written Question Paper.
Last updated: 09 Aug 2016