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Taxpayers are being kept in the dark on cost blowouts relating to more than $2 billion worth of information technology projects because the state government hasn’t updated the relevant disclosure log in more than 12 months.
The Victorian government’s IT dashboard, which paints a picture of any delays and cost overruns for projects worth $1 million or more, began in 2018 in a bid to boost transparency and was designed to be refreshed every three months.
Treasurer Tim Pallas. Credit: Eamon Gallagher
The dashboard features a WorkSafe data analytics project that was initially costed at $1.17 million but which, by September 2022, had blown out to $25.13 million.
That same month, an $89 million case management system for the Magistrates’ and Children’s courts was listed as unfinished, despite work on the project beginning in 2016.
And a new automated rostering system for Barwon Health, in Geelong, was also registered as unfinished, despite more than $3 million being funnelled towards the project and its business case being approved in June 2018.
There have been no updates to the dashboard for those three projects, or others with delays or cost blowouts, since September last year.
As a result, opposition finance spokesperson Jess Wilson has issued a please-explain to Victorian Auditor-General Andrew Greaves. In her letter, sent on Thursday and seen by The Age, the member for Kew says the failure to update the dashboard raises questions about accountability and financial transparency.
“With Victoria’s net debt heading towards $200 billion over coming years, the need for strong financial accountability and transparency measures has never been more important,” she wrote.
Wilson later told The Age it was yet another example of Labor being caught out trying to hide key financial information.
“What does the Allan government have to hide? The government must provide an immediate update to the dashboard so that taxpayers can understand the true state of Victoria’s books.”
The overdue disclosure log has also drawn the ire of integrity experts. Accountability Round Table chair and former Democrats senator Lyn Allison said the rolling delays were unacceptable.
“Taxpayers have every right to know the status of these big contracts and their cost overruns,” she said.
“Reporting that is 12 months overdue is not transparent or acceptable.”
The IT dashboard has tracked more than 260 projects worth at least $2.3 billion across more than 70 government departments and agencies since its inception.
Government agencies subject to financial reporting requirements must provide quarterly updates on their IT projects, according to the Financial Management Act.
A spokesperson for the Victorian Auditor-General’s Office (VAGO) said that while the agency had previously investigated the effectiveness of the disclosure log, updating it was not part of its remit.
“Responsibility for updating the dashboard sits with the Department of Premier and Cabinet and your questions are best directed to the department,” the spokesperson said.
A Victorian government spokeswoman said the dashboard would be updated soon, but did not give a specific timeframe or cite a reason for the delays.
Victoria’s net debt was $115 billion at the end of June 2023, according to a state-of-finances report released last month. Those updated figures also showed the state was slugged with a $4 billion interest bill at the end of last financial year and had an operating deficit of $8.8 billion – $1.5 billion better than forecast in the May budget.
Despite the improved bottom line, more than 50 state government agencies and services ran deficits last financial year, with hundreds of annual reports released earlier this month showing combined operating losses above $1 billion.
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