No contract conflict: Genter
WELLINGTON: The transport consultancy firm of the partner of the Associate Transport Minister has secured a large increase in Government contracts in the past year.
But a spokesman for Prime Minister Jacinda Ardern said as Julie Anne Genter had no responsibility for, or involvement in, any decisions to award contracts to the firm, no conflict of interest has arisen.
According to an Official Information Act request by the Taxpayers’ Union, the NZ Transport Agency has spent $246,000 on contracting MR Cagney for consulting within the space of a year.
That number jumps to $356,000 when a November 20 contract, which is projected to cost $110,000, has been paid to the firm.
MR Cagney principal economist Peter Nunns is the partner of Ms Genter.
A spokesman for MR Cagney said the potential conflict of interest was declared.
‘‘We ensure that clients are aware of any conflicts of interest prior to commencing a project.
‘‘Where indicated in project contracts we include a clause that identifies any actual, or perceived conflicts of interest and explains how we will manage them.’’
But Taxpayers’ Union spokesman Louis Houlbrooke has an issue with the tender for the contracts.
None of the 18 paid MR Cagney contracts were open to tender.
‘‘Even if the minister has stepped aside from the decisionmaking, why aren’t these contracts being tendered?
‘‘How can we have confidence that taxpayers are getting value for money, and that the firm is the most qualified if noone is bothering with a competitive process?’’
In a statement, NZTA said its procurement manual enabled direct appointment for contracts up to $100,000.
None of the contracts awarded and paid out to MR Cagney were over $100,000.
The spend on contracting MR Cagney was higher under this Government than it was the last.
Between November 2013 and May 2017, National government spent just over $200,000 on contracting the firm.
MR Cagney said NZTA’s increased use of its services was a function of greater investment in public transport, walking and cycling being undertaken by the agency, rather than regional councils.
Ms Genter said she had nothing to do with who NZTA used as consultants.
‘‘The decisions about these contracts are not mine to make, and I had no involvement in them. I have discussed this potential (or perceived) conflict of interest with the Cabinet Office, and it is being managed appropriately.’’ — NZME