A parliamentary question regarding new contracting arrangements for Homeswest housing repairs, specifically the impact on small contractors and regional economies. The Minister acknowledges the concerns and promises to review the plan, but indicates the contracts will likely stay.

AnsweredQoN 257Legislative Assembly
Asked
25 May 2010
Portfolio
Housing

QuestionView source ↗

HOMESWEST HOUSING REPAIR — HEAD CONTRACTOR ARRANGEMENTS
I refer to the new contracting arrangements for the repair of Homeswest housing around Western Australia. (1) Why has the minister dumped longstanding, small contractors, such as painters and plumbers, who have done a good job of repairing our state’s public housing stock over many years? (2) Will he guarantee that the new system of inserting a head contractor between the department and the subcontractor will result in the same standards of work and will save money? (3) Will he reconsider this plan in country areas such as the Kimberley because of the devastating impact this system will have on regional economies? Mr W.R. MARMION

AnswerView source ↗

I thank the member for Willagee for the question. (1)–(3) This is an issue that I have to actually get my head around because I have not had a full briefing. I do remember about 10 years maybe 12 years ago Main Roads went through a similar situation when it contracted out all the maintenance on roads through head contractors. Indeed, I was probably a bit of a cynic. I thought there would be problems with some of the small contractors when it happened. Quite surprisingly, the fear created by the possibility of head contractors did not eventuate. I remember people from a small firm in Bunbury called Malatesta Road Paving and Hot Mix, which does spray-painting and asphalt, were concerned. They came and saw the Premier, and they came and saw me. They were concerned that firms like Malatesta would get contracts, and they did. As the new minister, I thank the member for the question. I will be looking at it. But the advice I have had so far, member, is that the contracts will stay. I will have another look at it. I can assure the member that I am sure that the standard will probably improve.
(1) Why has the minister dumped longstanding, small contractors, such as painters and plumbers, who have done a good job of repairing our state’s public housing stock over many years? (2) Will he guarantee that the new system of inserting a head contractor between the department and the subcontractor will result in the same standards of work and will save money? (3) Will he reconsider this plan in country areas such as the Kimberley because of the devastating impact this system will have on regional economies? Mr W.R. MARMION replied: I thank the member for Willagee for the question. (1)–(3) This is an issue that I have to actually get my head around because I have not had a full briefing. I do remember about 10 years maybe 12 years ago Main Roads went through a similar situation when it contracted out all the maintenance on roads through head contractors. Indeed, I was probably a bit of a cynic. I thought there would be problems with some of the small contractors when it happened. Quite surprisingly, the fear created by the possibility of head contractors did not eventuate. I remember people from a small firm in Bunbury called Malatesta Road Paving and Hot Mix, which does spray-painting and asphalt, were concerned. They came and saw the Premier, and they came and saw me. They were concerned that firms like Malatesta would get contracts, and they did. As the new minister, I thank the member for the question. I will be looking at it. But the advice I have had so far, member, is that the contracts will stay. I will have another look at it. I can assure the member that I am sure that the standard will probably improve.
(2) Will he guarantee that the new system of inserting a head contractor between the department and the subcontractor will result in the same standards of work and will save money? (3) Will he reconsider this plan in country areas such as the Kimberley because of the devastating impact this system will have on regional economies? Mr W.R. MARMION replied: I thank the member for Willagee for the question. (1)–(3) This is an issue that I have to actually get my head around because I have not had a full briefing. I do remember about 10 years maybe 12 years ago Main Roads went through a similar situation when it contracted out all the maintenance on roads through head contractors. Indeed, I was probably a bit of a cynic. I thought there would be problems with some of the small contractors when it happened. Quite surprisingly, the fear created by the possibility of head contractors did not eventuate. I remember people from a small firm in Bunbury called Malatesta Road Paving and Hot Mix, which does spray-painting and asphalt, were concerned. They came and saw the Premier, and they came and saw me. They were concerned that firms like Malatesta would get contracts, and they did. As the new minister, I thank the member for the question. I will be looking at it. But the advice I have had so far, member, is that the contracts will stay. I will have another look at it. I can assure the member that I am sure that the standard will probably improve.
(3) Will he reconsider this plan in country areas such as the Kimberley because of the devastating impact this system will have on regional economies? Mr W.R. MARMION replied: I thank the member for Willagee for the question. (1)–(3) This is an issue that I have to actually get my head around because I have not had a full briefing. I do remember about 10 years maybe 12 years ago Main Roads went through a similar situation when it contracted out all the maintenance on roads through head contractors. Indeed, I was probably a bit of a cynic. I thought there would be problems with some of the small contractors when it happened. Quite surprisingly, the fear created by the possibility of head contractors did not eventuate. I remember people from a small firm in Bunbury called Malatesta Road Paving and Hot Mix, which does spray-painting and asphalt, were concerned. They came and saw the Premier, and they came and saw me. They were concerned that firms like Malatesta would get contracts, and they did. As the new minister, I thank the member for the question. I will be looking at it. But the advice I have had so far, member, is that the contracts will stay. I will have another look at it. I can assure the member that I am sure that the standard will probably improve.
Mr W.R. MARMION replied: I thank the member for Willagee for the question. (1)–(3) This is an issue that I have to actually get my head around because I have not had a full briefing. I do remember about 10 years maybe 12 years ago Main Roads went through a similar situation when it contracted out all the maintenance on roads through head contractors. Indeed, I was probably a bit of a cynic. I thought there would be problems with some of the small contractors when it happened. Quite surprisingly, the fear created by the possibility of head contractors did not eventuate. I remember people from a small firm in Bunbury called Malatesta Road Paving and Hot Mix, which does spray-painting and asphalt, were concerned. They came and saw the Premier, and they came and saw me. They were concerned that firms like Malatesta would get contracts, and they did. As the new minister, I thank the member for the question. I will be looking at it. But the advice I have had so far, member, is that the contracts will stay. I will have another look at it. I can assure the member that I am sure that the standard will probably improve.
I thank the member for Willagee for the question. (1)–(3) This is an issue that I have to actually get my head around because I have not had a full briefing. I do remember about 10 years maybe 12 years ago Main Roads went through a similar situation when it contracted out all the maintenance on roads through head contractors. Indeed, I was probably a bit of a cynic. I thought there would be problems with some of the small contractors when it happened. Quite surprisingly, the fear created by the possibility of head contractors did not eventuate. I remember people from a small firm in Bunbury called Malatesta Road Paving and Hot Mix, which does spray-painting and asphalt, were concerned. They came and saw the Premier, and they came and saw me. They were concerned that firms like Malatesta would get contracts, and they did. As the new minister, I thank the member for the question. I will be looking at it. But the advice I have had so far, member, is that the contracts will stay. I will have another look at it. I can assure the member that I am sure that the standard will probably improve.
(1)–(3) This is an issue that I have to actually get my head around because I have not had a full briefing. I do remember about 10 years maybe 12 years ago Main Roads went through a similar situation when it contracted out all the maintenance on roads through head contractors. Indeed, I was probably a bit of a cynic. I thought there would be problems with some of the small contractors when it happened. Quite surprisingly, the fear created by the possibility of head contractors did not eventuate. I remember people from a small firm in Bunbury called Malatesta Road Paving and Hot Mix, which does spray-painting and asphalt, were concerned. They came and saw the Premier, and they came and saw me. They were concerned that firms like Malatesta would get contracts, and they did. As the new minister, I thank the member for the question. I will be looking at it. But the advice I have had so far, member, is that the contracts will stay. I will have another look at it. I can assure the member that I am sure that the standard will probably improve.

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