The NSW Government is accepting all the recommendations made by the NSW Auditor-General in her damning review of WestInvest grants scheme.
The Auditor-General's performance audit looked into the integrity and design of the $5 billion WestInvest programme established by the previous NSW Liberal/National Government.
The report found:
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The areas of focus for WestInvest were decided by Ministers and their staff without advice from agencies.
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Funding advice from the WestInvest steering committee was not followed by the then Treasurer.
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Justifications for key funding decisions were not documented.
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Multiple projects were allocated funding despite being assessed as ineligible or unsuitable.
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The process for assessing applications was not agreed between government agencies and the then Treasurer.
The Perrottet Government created WestInvest to purportedly stimulate economic recovery in the Western Sydney local government areas most affected by COVID-19 lockdowns.
The money used came from privatising the WestConnex motorway. Then Treasurer Matt Kean was in charge of administering the program.
NSW Labor went to the election promising to redirect $3 billion from the government projects stream towards rebuilding Western Sydney schools and hospitals but said it would not make changes to the $2 billion community and council streams of the program.
Treasurer Daniel Mookhey said:
“The previous Liberal/National Government were expert pork-barrellers. WestInvest is another example of them playing politics with the public’s money.
“The NSW Government is making better, fairer choices about funding to Western Sydney.”
Deputy Premier and Minister for Western Sydney Prue Car said:
“The former government’s process for allocating funding obtained from the sale of WestConnex was rushed, lacking in oversight and inequitable.
“We are directing $3 billion of this funding to rebuilding Western Sydney schools and hospitals as we promised to do before the election, in the best interests of the community.
“While the process was poorly managed by the former government, we remain committed to honouring the remaining $2 billion in community and council grants awarded to local organisations who followed the process.”
Member for Penrith Karen McKeown OAM said:
“NSW Labor made no apologies for prioritising schools and hospitals across Western Sydney in the lead-up to March 2023.
“Our communities did the hardest yards during the pandemic and were neglected by the Liberals for too long.
“This report underlines just how careless and shonky Matt Kean, the Member for Hornsby, could be when making decisions for Western Sydney.”