Julian Hill (Bruce, Australian Labor Party) Share this | Link to this | Hansard source

On behalf of the Joint Committee on Public Accounts and Audit, I present the committee's report entitled Report 461: Commonwealth risk management: inquiry based on Auditor-General's report 18 (2015-16).

Report made a parliamentary paper in accordance with standing order 39(e).

by leave—I present the report from the Joint Committee of Public Accounts and Audit, entitled Report 461: Commonwealth risk management: inquiry based on Auditor-General's report 18 (2015-16).

All of the reports of the Joint Committee on Public Accounts and Audit make fascinating reading, but this report may be of particular interest to members.

This inquiry examined both the recommendations arising from the Auditor-General's report, Qualifying for the disability support pension, and also the budget measures and changes to the assessment and review processes introduced by the government after the audit fieldwork.

Recent budget measures provided for approximately 118,000 disability support pension recipients to be medically reviewed over six years.

As we know, risk management is essential for effective administration of government business. This inquiry examined two key risks in relation to the administration of the disability support pension: efficiency in departmental processes and burdens placed on individuals with disability.

The committee noted that the processes audited by the ANAO were found to be in keeping with legislation, policy and guidance.

However since the report was completed the government has made changes and introduced new processes.

Taking these changes into account along with evidence submitted to the inquiry, the committee concludes there is scope for administrative and risk management improvements to the disability support pension program.

The committee agrees with the ANAO and submitters that the publicly reported performance information regarding the administration of the disability support pension offers limited meaningful analysis of the efficiency of the assessment process. If performance information is not being monitored and reported adequately, there is an increased risk of inefficiency in administration and decreased public trust in the system.

Therefore, and in light of many concerns raised by submitters to the inquiry, the committee recommends, firstly and significantly:

That sounds dry, but this is really important as DHS would not provide the committee with the regulatory impact statement that was done to underpin the case for the reviews so the true cost to this day of the government's reviews remains a secret.

Recent data from Senate estimates a couple of months ago shows that only 1.6 per cent of people reviewed were moved off the DSP which raises the possibility that many poorly targeted, costly reviews may cost the taxpayer more than they save so we need transparency. Also:

The committee also recommended that the Department of Social Services, in cooperation with the Department of Human Services, report back to the committee on its progress in implementing audit recommendations.

With regard to reducing the burden on individuals with disabilities, the committee also made a range of recommendations:

The committee also recommended examining whether people with chromosomal disorders such as Down syndrome should be granted the pension on diagnosis alone without having to establish prognosis. To provide parliament with the assurance that administration of this important national program is refined over time, the committee recommends that the Auditor-General consider a follow-up audit.

In conclusion, I would like to extend my thanks to those who took the time to submit and who travelled to Canberra to give evidence in the public hearing and the members of the committee for their consideration of this inquiry and their ongoing efforts in scrutinising the efficiency and accountability of government administered programs. I commend the report to the House and I move:

That the House take note of the report.

Rob Mitchell (McEwen, Australian Labor Party) Share this | Link to this | Hansard source

In accordance with standing order 39(c), the debate is adjourned and the resumption of the debate made an order of the day for the next day of sitting.