Senate debates

Wednesday, 9 September 2015

Questions without Notice

Ndis

2:06 pm

Photo of Claire MooreClaire Moore (Queensland, Australian Labor Party, Shadow Minister for Women) Share this | | Hansard source

My question is to the Assistant Minister for Social Services, Senator Fifield. I refer to advertisements that confirm that the government wants to replace NDIS board members who have experience with disability and the disability sector with board members who only have corporate and board experience. Why is the minister trying to reduce representation of board members who have such important experience with disability and the disability sector?

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

A few facts are important to put before the chamber. The first is that the previous government did not follow best corporate governance practice when they appointed all of the directors of the NDIS board to have their terms expire on the same day, on 30 June 2016. That is not best corporate governance practice.

If I did nothing, we would not have a board for the NDIS from the middle of next year. Clearly, therefore, there is a process required to look at the issue of appointment and re-appointment of directors of the NDIS board. I can advise the chamber that on 17 April this year COAG first ministers agreed that the NDIS should have the best board possible and that there should be a process to look at the appointment or re-appointment of board members. I can confirm that on 24 April the Disability Reform Council, which I chair, discussed this and that on 7 July this year I wrote to my ministerial counterparts seeking their agreement to a proposed approach for the appointment of board positions and that by 29 July all jurisdictions had replied, saying that they agreed with the selection process.

What I want to see and what all jurisdictions want to see from the middle of next year is that we have a board which has continuity and that there are some existing board members who are re-appointed—continuity is important at this stage of the scheme's rollout, but we are also open to having new board members. The most important thing is to make sure that this board has the best skill set possible in combination to ensure that the NDIS is the very best that it can be. So there is absolutely nothing unusual or odd about seeking to ensure that we have the best board possible.

2:08 pm

Photo of Claire MooreClaire Moore (Queensland, Australian Labor Party, Shadow Minister for Women) Share this | | Hansard source

Mr President, I ask a supplementary question. Can the minister confirm that he commissioned liquidators KordaMentha to review NDIS board requirements? Why did you direct KordaMentha to 'not engage with any of the current board members or staff of the NDIA'?

2:09 pm

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

For the very good reason that KordaMentha were not engaged to review the performance of the existing board members. The purpose of KordaMentha was to provide advice to government as to what are relevant considerations for looking at a venture of this scale when considering the appointment or re-appointment of board members. This is a vast exercise. This is a scheme, at full rollout, which will be $22 billion a year that will be supporting 460,000 Australians. This is a very complex exercise. We wanted to make sure that we had in the next iteration of the board people who had the right skill set in combination for the transition phase which will rollout from 18,000 participants today to 460,000 participants over three years. I make no apology for the steps that we have taken.

2:10 pm

Photo of Claire MooreClaire Moore (Queensland, Australian Labor Party, Shadow Minister for Women) Share this | | Hansard source

Mr President, I ask a further supplementary question. Will the minister guarantee that the uncertainty created by his attack on the NDIS board will not cause a delay to the full rollout of the scheme by 2019? Does the minister guarantee that this rollout of the scheme will be done by 2019.

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

On this side of the chamber we have a remorseless focus on making sure that the NDIS is the best that it can be and that it is rolled out as quickly as possible. Suggestions from the other side that we are spilling the board are completely wrong.

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Leader of the Opposition in the Senate) Share this | | Hansard source

You just confirmed it.

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

All board positions expire in the middle of next year and if we did nothing—if we had no process—there would not be a board in the middle of next year. It is self-evident that you need a process to look at who will be the board members from the middle of next year, which is exactly what we are doing. As to the other part of your question, Senator Moore, we are continuing negotiations with the jurisdictions on full rollout. They are going well and those negotiations are taking place in the context of heads of agreement, which, as you know, specify the target date for full rollout of the scheme.