Question regarding the State Solicitor's Office's (SSO) role in the St John of God Midland Health Campus contract, including scrutiny, advice, external legal counsel, and Treasury's involvement. The answer details the SSO's involvement, external legal costs, and the collaborative nature of the contract development.

AnsweredQoN 886Legislative Council
Asked
13 March 2014
Portfolio
Attorney General

QuestionView source ↗

(1) In relation to the contract with St John of God Health Care to build and operate hospitals on the new Midland Health Campus, did the State Solicitor's Office (SSO) scrutinise and provide advice on this contract: (a) if yes to (1), over what timeframe; and (b) if yes to (1), to which Government agencies did it provide advice? (2) Did the SSO seek external legal advice on the contract: (a) if yes to (2), which firm provided this advice; (b) if yes to (2), what was the cost of this advice; and (c) if yes to (2), was the contract to provide this advice advertised? (3) Was the final contract given to the Department of Treasury to examine, and if so how long was the Department given to examine this version of the contract?

AnswerView source ↗

Answered
1 April 2014
Response time
19 days
(1) The State Solicitor's Office received instructions from the Department of Health to advise and draft contractual documentation for the construction and delivery of services at a new general hospital in Midland.
(a) From January 2010 until June 2012 (until the contracts were executed).
(b) The Department of Health, the Department of Treasury as well as on occasion to the Western Australian Treasury Corporation.
(2) Yes
(a) Freehills (now Herbert Smith Freehills) and Clayton Utz.
(b) Clayton Utz - from March 2010 to October 2010, legal fees incurred amounted to $220,702.00 (excluding GST).
Freehills - from April 2010 to February 2014, legal fees incurred amounted to $2,558,351.17 (excluding GST).
(c) No.  The State Solicitor's Office has a partial exemption to the State Supply Commission Act which allows it to source legal service providers in the private sector.
(3) The final contracts were thus the result of work jointly performed by representatives of the Department of Health, the Department of Treasury and Treasury Corporation with advice and drafting support provided by the State Solicitor's Office and the external legal team.
As such, it is not possible to specify how long the Department of Treasury was given to examine the final contracts as their officers were part of the team that developed the contracts since 2010.

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