King Annette: Oral Questions — Questions to MinistersText is incorporated into the Bound VolumeKing Annette: Oral Questions — Questions to Ministers[Sitting date: 08 March 2016. Volume:711;Page:9424. Text is incorporated into the Bound Volume.]6.Hon ANNETTE KING (Deputy Leader—Labour) to the Minister of Health: When was he informed that the Ministry of Health request for a capital injection to fund the fit out of its new headquarters was not supported by Treasury and “exposed a serious failure of financial management within the Ministry”?Hon Dr JONATHAN COLEMAN (Minister of Health): I was informed by the Director-General of Health in mid-February 2015. The director-general advised me that he was calling in PricewaterhouseCoopers to both give advice on resolving the funding issue and provide independent advice on improving the ministry’s financial management. I told Mr Chuah very clearly that what had happened was unacceptable that it would not happen again and that the matter had to be resolved and subsequently it has been.Hon Annette King: In light of the exposure of serious financial management problems within the Ministry of Health under the current director-general when he was acting in the role in 2013 did the Minister raise any concerns with the State Services Commission before agreeing to the permanent appointment of the director-general in 2015; if not why not?Hon Dr JONATHAN COLEMAN: I think it is very unfair to go after a defenceless public servant but what I will say is the State Services Commissioner was very happy—Hon Annette King: I raise a point of order Mr Speaker. [Interruption]Mr SPEAKER: Order! [Interruption] Order! Could the Minister please resume his seat.Hon Annette King: You accepted the question—Mr SPEAKER: Order! I now want to hear the answer.Hon Annette King: Well he was not answering it.Mr SPEAKER: Can we now give the Minister an opportunity to answer the question.Hon Dr JONATHAN COLEMAN: I have answered it.Mr SPEAKER: Well then I did not hear the answer so I invite the member to ask the question again.Hon Annette King: Thank you Mr Speaker. In light of the exposure of serious financial mismanagement in the Ministry of Health under the current director-general when he was acting in the role from 2013 did the Minister raise any concerns with the State Services Commission before agreeing to the permanent appointment of the director-general in 2015; if not why not?Hon Dr JONATHAN COLEMAN: I think it is pretty bad form for the member to attack a public servant when he cannot defend himself personally but Mr Chuah was appointed because he was the very best person for the job. [Interruption]Mr SPEAKER: Order! I will allow the member an additional supplementary question because I do not think it has been answered.Hon Annette King: No.Thank you Mr Speaker. Why did he not make the PricewaterhouseCoopers report into the serious financial management public after it was presented in June last year rather than wait for it to be discovered through an Official Information Act request? Could the Minister please answer that question?Hon Dr JONATHAN COLEMAN: Well I know the member is trying to make out there is some sort of cover-up but that is complete nonsense.Hon Annette King: Why did he only receive verbal briefings on the issue of serious financial mismanagement from the Director-General of Health after he was informed there was a problem?Hon Dr JONATHAN COLEMAN: I am quite satisfied with the way that this whole issue has been resolved.Hon Annette King: I seek leave to table a letter from the Ministry of Health to our research unit saying the Minister only received verbal briefings from the director-general on this matter.Mr SPEAKER: Leave is sought to table that particular document. Is there any objection? There is none. It can be tabled.Document by leave laid on the Table of the House.Hon Annette King: What—[Interruption]Mr SPEAKER: Order! Supplementary question the Hon Annette King.Hon Annette King: What—[Interruption]Mr SPEAKER: Order! If the Hon Paula Bennett would prefer to leave question time she is welcome; otherwise please cooperate.Hon Annette King: What was the cost of the PricewaterhouseCoopers report—an inquiry that the Secretary to the Treasury requested and not the Director-General of Health even though he claimed on Radio New Zealand this morning he had asked for it?Hon Dr JONATHAN COLEMAN: I am happy to go and find the answer to that question for you but I have not got it on me now.Hon Annette King: Supplementary question—this is one I asked—well you gave me an extra did you not Mr Speaker?Mr SPEAKER: I gave you one more yes.Hon Annette King: Where will the Ministry of Health to quote him “be finding that $18 million” needed to pay for the refurbishment”? Will it be coming from funding better used for health services?Hon Dr JONATHAN COLEMAN: That is an excellent question. It is coming from the departmental expenditure. Under the Labour Government that was $230 million. We have reduced that to $190 million. There were 1500 people in the ministry when Annette King was running it; there are now 1100 but we are producing better results for New Zealanders. So very good question thank you.