Twyford Phil: Questions for Oral Answer — Questions to Ministers 
Twyford Phil: Questions for Oral Answer — Questions to Ministers 
[Volume:666;Page:13981] 
10. 
PHIL TWYFORD (Labour) 
 to the  
Minister of Local Government 
: Why did the Auckland Transition Agency award the $53.8 million contract for the Auckland Council’s Enterprise Resource Planning computer system without a competitive tender? 
Hon JOHN CARTER (Acting Minister of Local Government) 
: 
 The member’s assertion is incorrect. I understand that the Auckland Transition Agency ran a limited tender process to deliver—[ 
Interruption 
] If the members listen to the answer they will find out what it means. It ran a tender process to deliver an enterprise resource planning system. Nine parties were invited to respond to a tender as part of a selection process for choosing an implementation partner for the delivery of the system. 
Phil Twyford 
: Can the Minister confirm that the selection of a contractor for the $53 million contract for the Enterprise Resource Planning computer system was done on the basis of an internal evaluation and that the implementation of that system worth approximately $14 million was put out to a limited tender to nine parties as he described in his earlier answer? 
Hon JOHN CARTER 
: Yes I can confirm that there was a limited tender process but I should also draw the member’s attention to the fact that the project will cost about $124 million in total. This part of it is $53 million. Local government in Auckland normally spends about $90 million so the increased cost is not significant in the context of reorganisation. I am confident that the Auckland Transition Authority will get a good end result. 
Phil Twyford 
: Was advice sought from the Auditor-General regarding the tendering process—or non-tendering process—for the $53 million contract given that several chief information officers of the council have expressed their concerns in writing about the lack of a tender with one describing it as indefensible and another urging the Government to get advice from the Auditor-General? 
Hon JOHN CARTER 
: I cannot confirm that. That is an operational matter and I do not have that information. If the member wishes to give me a written question I will happily find the answer. 
Phil Twyford 
: How does the awarding of a $53 million contract without tender demonstrate the kind of clear transparent and accountable decision-making he has been advocating for local government? 
Hon JOHN CARTER 
: As I have said the member should not continue to say there was no tender process. There was a limited tender process. I also say as I have said earlier this is a big project. However I have every confidence in the Auckland Transition Agency’s handling of this issue. The agency is within budget as was expected; it is doing a particularly good job and is to be commended for it. 
Phil Twyford 
: Did he consider that the contract for a $53 million information technology system for the Auckland City was expensive and risky in the terms of the Auditor-General’s recommendation that competitive tendering should be used especially with expensive and risky projects? 
Hon JOHN CARTER 
: I do not accept that. The fact is that as I have said this is a big project. The total cost is $124 million. Normally—[ 
Interruption 
] well if members just listen they will get the answer—we spend $90 million on information technology services in Auckland across Auckland councils anyway. I am satisfied that we will end up with a good product that will serve Auckland and Aucklanders extremely well.