Reforms to reduce the use of grants for pork-barrelling need to be enacted before next March’s state election if the New South Wales government wants to protect its credibility, crossbenchers and a former supreme court judge have said.
A chorus of crossbenchers have demanded the premier, Dominic Perrottet, introduce legislation in coming months based on the grants-reform recommendations handed to the government at the weekend.
Their call has been backed by the retired supreme court judge and chair of the Centre for Public Integrity, Anthony Whealy QC, who said it would put the state in a leading role in the fight for greater transparency in government spending.
Whealy was buoyed up by the findings of the review carried out by the Department of Premier and Cabinet and the state’s productivity commissioner, Peter Achterstraat, as well as the government’s initial response.
He said he was “confident” Perrottet would implement “at least a majority of these recommendations”, even though no commitments have yet been made.
“I’m therefore very hopeful that we’re going to see pork-barreling cleaned up in NSW, at least,” Whealy said, noting the federal system had a long way to go.
He said acting on the recommendations “would put NSW well ahead … to be the leader” in administering public money in such a way.
On Saturday, Perrottet said grants were significant part of public spending – from Covid support to money for community sporting centres and flood recovery.
He said the government would respond to the recommendations “in the coming weeks”.
The review of grant processes was announced last year when the former premier Gladys Berejiklian gave evidence to the state’s anti-corruption watchdog that the government “threw money at seats to keep them”.
It made 19 recommendations, including measures to get better value for public money and to create more robust, transparent and accountable processes.
It also recommended all grant guidelines be published and administrators should document when ministers and politicians try to influence grants processes, rather than making pork-barrelling a criminal offence.
The Coalition government has a minority in the lower house and has to rely on crossbench support to pass legislation. It does not control the upper house.
The independent crossbencher Greg Piper said the report was a “really good start” and was supportive of the recommendation to allow transparent ministerial discretion.
“In my time I’ve seen lots of things that have a very high value to the community but may not fit the criteria perfectly – and that … allows for that,” Piper said.
“It’s got to be documented, articulated as to why there was a departure [from the guidelines]. So, at first glance, I think it’s good.”
But he warned the premier against delaying implementation.
“It goes to his credibility,” Piper said.
“If he drags his feet, that that could certainly be causing problems in future.”
Fellow independent MP Alex Greenwhich said reform was needed before the next poll.
“I do hope that they are able to implement the required transparency processes before the next election,” he said.
“There’s probably a lot that the federal government could learn from these recommendations as well.”
The crossbench MP Mark Banasiak said clearer processes and judgments would benefit community groups who had been left wondering why they missed out on money.
“If there was that transparency about how they were judged, if they had that feedback, then they could improve for next time,” he said.
Banasiak said the government should have acted on grant spending integrity years ago.
The opposition leader, Chris Minns, said reform was “long overdue”.
“Greater transparency and accountability will improve the grants process, and restore faith and confidence of New South Wales taxpayers in the system.”
