The ACT needs a protocol setting out what action government agencies can take against employees who are the subject of corruption investigations, a parliamentary inquiry has found.
There should also be a policy to guide legal funding for territory public servants who are witnesses in an inquiry by the ACT Integrity Commission.
The recommendations have been made following the high-profile Canberra Institute of Technology contracts and Campbell Primary School expansion investigations.
In the case of the CIT investigation, the institute's former chief executive Leanne Cover was stood down on her full $373,000 annual salary for two years while the commission investigated how more than $8.5 million in contracts was awarded to "complexity and systems thinker" Patrick Hollingworth.
The commission found Ms Cover had engaged in "serious corrupt conduct". The CIT board was waiting for the corruption watchdog to release a report before making a decision on Ms Cover's employment. The former chief executive resigned before the report's release.
Integrity Commissioner Michael Adams told budget estimates last month the CIT board was not blocked from taking action against Ms Cover as long as it did not impede on its investigation.
Mr Adams made the suggestion of a protocol, which could be developed with the Solicitor-General to deal with a similar situation in the future. The 2024-25 budget estimates committee has recommended the territory government consider this.
The committee said this could "ensure the protection of the public good" while ensuring it did not "prejudice any proceedings and fair and due process".
"A protocol could set out arrangements to ensure that the employing entity's processes do not interfere with the processes of the Integrity Commission," the estimates report said.
Mr Adams said this should not be addressed through a statutory amendment as it could result in "unforeseen consequences and be difficult to change".
The estimates committee also recommended a policy be developed to guide legal funding for public servants who are the subject of an Integrity Commission investigation.
ACT public servants and former public servants are entitled to have their legal fees for integrity investigations paid for by the territory government. Non-public servants who have to give evidence to the watchdog are not entitled to any funding.
Education Directorate director-general Katy Haire is also receiving legal funding for her Supreme Court action against the Integrity Commission and Mr Adams. She is suing the watchdog, alleging an apprehended bias.
Ms Haire is a witness in the investigation into the tender process for an expansion of Campbell Primary School. The watchdog is investigating whether public officials failed to exercise their official functions honestly and impartially while handling the procurement which took place in 2019 and 2020.
Mr Adams told budget estimates the scale of legal fees should be examining, indicating it should be paid at the "legal aid scale" rather than the "Supreme Court scale".
The committee also recommended changes to procedural fairness timeframes under the Integrity Commission Act to make investigations quicker.
Under the act, there is a minimum six-week period for commission witnesses to respond to draft reports by the watchdog. The report must be circulated to parties named in the report, including those who are not adversely affected.
Mr Adams said the timeframe was arbitrary and it ultimately held up the release of the CIT contracts report.
The committee said the government should provide more flexibility to the commissioner around this timeframe.
Chief Minister Andrew Barr has already backed these changes.