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Inquiry Details

Road Maintenance and Competitive Road Tendering

The terms of reference for the inquiry were referred to the Committee by the Hon Carl Scully MP, Minister for Transport and Minister for Roads who requested that the Standing Committee on State Development inquire into and report on the road maintenance delivery methods and the implementation of competitive tendering for road maintenance work.
Hon Carl Scully MP, Minister for Transport and Minister for Roads That the Standing Committee on State Development inquire into and report on the following issues: · A comparison of road maintenance delivery methods in other jurisdictions; · A comparison of the cost effectiveness of road maintenance in New South Wales with other jurisdictions · The effect of Federal cuts to maintenance of the National Highway system on regional development; · The use of competitive tendering for road maintenance in accordance with the NSW Government’s Service Competition Policy to reduce the cost and improve the quality of road maintenance in New South Wales; · The implementation of competitive tendering, particularly methods to optimise opportunities for the participation of Roads and Traffic Authority road services and Local Government in competitively tendered road maintenance work. (Reference received on 17 September 1999) In addition, the House resolved that the Standing Committee on State Development inquire into and report on: · The social impact of compulsory competitive tendering in relation to the letting of contracts by the Roads and Traffic Authority for works to be carried out on State roads. (Received by resolution of the House on 13 October 1999) The terms of reference received by the House clarified the scope of the inquiry subsequent to correspondence received on 23 September 1999 by the Minister for Transport and Minister for Roads, who advised that, “I believe the Terms of Reference are wide enough to cover examination of the social impacts of State and Federal policies in relation to the points outlined in the reference, should you chose to do so.” By correspondence received on 12 October 1999, the Minister for Transport and Minister for Roads outlined the following issues as relevant for consideration during the inquiry with respect to the social impacts of road maintenance tendering: · The impact upon occupational health and safety; · Community service obligations; · Industrial relations, including the impact upon rates of pay, conditions of employment, equal employment opportunity, together with the effects upon job security and unemployment; · The impact upon rural and regional employment, including the maintenance of local government as a strong and independent public employment sector; · Economic and regional development; and · The effect upon skill development and training.

That the Standing Committee on State Development inquire into and report on the following issues: · A comparison of road maintenance delivery methods in other jurisdictions; · A comparison of the cost effectiveness of road maintenance in New South Wales with other jurisdictions · The effect of Federal cuts to maintenance of the National Highway system on regional development; · The use of competitive tendering for road maintenance in accordance with the NSW Government’s Service Competition Policy to reduce the cost and improve the quality of road maintenance in New South Wales; · The implementation of competitive tendering, particularly methods to optimise opportunities for the participation of Roads and Traffic Authority road services and Local Government in competitively tendered road maintenance work. (Reference received on 17 September 1999) In addition, the House resolved that the Standing Committee on State Development inquire into and report on: · The social impact of compulsory competitive tendering in relation to the letting of contracts by the Roads and Traffic Authority for works to be carried out on State roads. (Received by resolution of the House on 13 October 1999) The terms of reference received by the House clarified the scope of the inquiry subsequent to correspondence received on 23 September 1999 by the Minister for Transport and Minister for Roads, who advised that, “I believe the Terms of Reference are wide enough to cover examination of the social impacts of State and Federal policies in relation to the points outlined in the reference, should you chose to do so.” By correspondence received on 12 October 1999, the Minister for Transport and Minister for Roads outlined the following issues as relevant for consideration during the inquiry with respect to the social impacts of road maintenance tendering: · The impact upon occupational health and safety; · Community service obligations; · Industrial relations, including the impact upon rates of pay, conditions of employment, equal employment opportunity, together with the effects upon job security and unemployment; · The impact upon rural and regional employment, including the maintenance of local government as a strong and independent public employment sector; · Economic and regional development; and · The effect upon skill development and training.


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