The Auditor-General responded on 5 January 2021 to correspondence from Ms Kristy McBain MP dated 14 December 2020, requesting that the Auditor-General review the governance and outcomes of a 2019 tender process seeking leased office accommodation for the Department of Defence. 

Auditor-General's response

5 January 2021

Ms Kristy McBain MP
Member for Eden-Monaro

Via email: Kristy.McBain.MP@aph.gov.au

Dear Ms McBain

I am writing in response to your letter of 14 December 2020 seeking a review of the governance, including the outcomes, from a 2019 expression of interest process seeking leased office accommodation for the Department of Defence (Defence).

Defence have a scheme on their website for general complaints, the page gives an overview of the Defence complaints process including how to lodge a complaint. The Defence Procurement Complaints Scheme can be found, https://www1.defence.gov.au/business-industry/procurement/defence-procurement-complaints-scheme.

I will consider including an audit of Defence's recent procurement activities in the context of developing the Australian National Audit Office’s (ANAO) 2021-22 Annual Audit Work Program (work program). The work program is designed to inform the Parliament, the public and government entities of planned audit coverage to commence in 2021-22 and will be published on the ANAO website in early July 2021.

Yours sincerely

Grant Hehir

Correspondence from Ms Kristy McBain MP

Correspondence from Ms Kristy McBain MP. A transcript of this correspondence is contained on this page.

Transcript of letter from Ms Kristy McBain MP

14 December 2020
Mr Grant Hehir
Auditor-General for Australia
Australian National Audit Office

E: external.relations@anao.gov.au

Dear Mr Hehir

I write following a recent constituents meeting regarding a 2019 tender process seeking leased office accommodation for the Department of Defence. Attached is a copy of the relevant newspaper advertisement calling for expressions of interest.

The party I met with; representatives of Cirque Group Pty Ltd, where unsuccessful and have raised governance concerns around the process; concerns they believe are also supported by other unsuccessful applicants.

To their knowledge, a successful tenderer was not identified.

As you would appreciate taking part in these processes takes significant time and investment; however, little to no feedback was offered to tenders at the conclusion of the assessment process.

Compounding feelings around these matters are recent media reports pointing to the need for additional office space for the Department of Defence.

I write seeking your assistance in a review of the governance and outcomes of this tender process with the aim of giving confidence to those who wish to take part in similar processes in the future and secondly to ensure that identified needs within the Public Service are being met by those responsible.

The group believes this matter may have already been raised with the ANAO by other parties.

Any advice you have would be welcome.

Kind regards

Kristy McBain
Member for Eden-Monaro