AR 2016-17 Other Disclosures

10.1 Disclosures

10.1.1 Implementation of the Victorian Industry Participation Policy

The Victorian Industry Participation Policy Act 2003 requires departments and public sector bodies to report on the implementation of the Victorian Industry Participation Policy (VIPP). Departments and public sector bodies are required to apply VIPP in all procurement activities valued at $3 million or more in metropolitan Melbourne or $1 million or more for procurement activities in regional Victoria. 

CenITex did not commence or complete any contracts for which a VIPP was required. 

10.1.2 Consultancies

Details of consultancies (valued at $10,000 or greater) 
In 2016/17, there were 10 consultancies where the total fee payable to each of the consultants was $10,000 or greater. The total expenditure incurred during 2016/17 in relation to these consultancies was $680,483.63. Details of individual consultancies are outlined below.

Consultant Purpose of consultancy
Start date
End date
Total approved project fee (excluding GST)
Expenditure 2016-17
(excluding GST)
Future expenditure
(excluding GST)
UXC CONSULTING Lean and agile for Customer Improvement Project 13 Apr 2016 30 Jun 2016
$249,772.73
$183,171.14
Nil
STRATICA Business continuity plan / disaster recovery refinement 1 Jun 2016 31 Dec 2016
$138,181.82
$133,636.36
Nil
ANDREWS GROUP Customer satisfaction benchmarking 2 Nov 2015 30 Nov 2017
$90,000
$23,310.00
$66,690.00
BEVINGTON GROUP Lean accreditation 25 Jul 2016 30 Jun 2017
$38,065.00
$35,442.00
Nil
ISG INFORMATION SERVICES GROUP Application software solution market research 25 Jul 2016
2 Sep 2016
$91,113.66
$91,113.66
Nil
KPMG Provision of probity advisory services 18 Aug 2016 17 Aug 2017
$72,727.27
$32,270.00
$40,500.00
TRUSTED IMPACT Development of 2-year CenITex Customer Cybersecurity Strategy and threat risk assessment report 6 Jun 2016 30 Dec 2016
$68,600.00
$68,600.00
Nil
PRICE WATERHOUSE COOPERS Procurement reform review 4 Oct 2016 21 Apr 2017
$43,584.55
$38,868.19
Nil
PRICE WATERHOUSE COOPERS Procurement services probity audit 5 Oct 2016 26 Oct 2018
$134,298.18
$132,796.36
Nil
KPMG Accreditation services 10 Nov 2016 31 May 2017
$77,181.80
$77,181
Nil

Details of consultancies under $10,000
In 2016/17, four consultancies were engaged, where the total fees payable to the individual consultancies was less than $10,000. Total expenditure incurred during 2016/17 in relation to these consultancies was $19,833.30 (excl. GST).

10.1.3 Information and Communication Technology expenditure

For the 2016-17 reporting period, CenITex had a total ICT expenditure of $4,162,000, with the details shown below.

($ thousand)

All operational ICT expenditure ICT expenditure related to projects to create or enhance ICT capabilities ICT expenditure related to projects to create or enhance ICT capabilities ICT expenditure related to projects to create or enhance ICT capabilities
Business As Usual (BAU) ICT expenditure

(Total)
Non=Business As Usual (non-BAU) ICT expenditure
(Total = Operational expenditure and Capital expenditure)
Operational expenditure Capital expenditure
2,795
1,367
1,213
154

ICT expenditure refers to CenITex’s costs in consuming business-enabling ICT services to support our own business operations. It comprises Business As Usual (BAU) ICT expenditure and non-Business As Usual (Non-BAU) ICT expenditure. Non-BAU ICT expenditure relates to extending or enhancing CenITex’s current ICT capabilities. BAU ICT expenditure is all remaining ICT expenditure which primarily relates to ongoing activities to operate and maintain the current ICT capability. 

10.1.4 Disclosure of major contracts

CenITex has disclosed, in accordance with the requirements of Government policy and accompanying guidelines, all contracts greater than $10 million in value which it entered into during the year ended 30 June 2017. Details of contracts that have been disclosed in the Victorian Government contracts publishing system can be viewed at:  procurement.vic.gov.au

Contractual details have not been disclosed for contracts where disclosure is exempted under the Freedom of Information Act 1982 and/or Government guidelines.

10.1.5 Freedom of Information Act 1982

The Freedom of Information Act 1982 allows the public a right of access to documents held by CenITex. For the 12 months ending 30 June 2017, CenITex did not receive any requests for access under Freedom of Information. 

Making a request
Access to documents may be obtained through written request to the Freedom of Information Manager, as detailed in section 17 of the Freedom of Information Act 1982. In summary, the requirements for making a request are :

  • It should be in writing
  • It should identify as clearly as possible which document is being requested; and
  • It should be accompanied by the appropriate application fee (the fee may be waived in certain circumstances).

Requests for documents in the possession of the CenITex should be addressed to:

Freedom of Information Manager
CenITex
PO Box 2750
Melbourne VIC 3001

Requests can also be lodged online at foi.vic.gov.au.

Access charges may also apply once documents have been processed and a decision on access is made; for example, photocopying and search and retrieval charges.

Further information regarding Freedom of Information can be found at foi.vic.gov.au.

10.1.6 Compliance with the Building Act 1993

CenITex does not own nor control any government buildings. Consequently it is exempt from notifying its compliance with the building and maintenance provisions of the Building Act 1993.

10.1.7 National Competition Policy

Under the National Competition Policy (NCP), the guiding legislative principle is that legislation, including future legislative proposals, should not restrict competition unless it can be demonstrated that:

  • the benefits of the restriction to the community as a whole outweigh the costs; and
  • the objectives of the legislation can only be achieved by restricting competition.

CenITex continues to comply with the requirements of the NCP by establishing prices for services that are fully cost reflective.

Competitive neutrality requires government businesses to ensure where services compete, or potentially compete with the private sector, any advantage arising solely from their government ownership be removed if it is not in the public interest. Government businesses are required to cost and price these services as if they were privately owned. Competitive neutrality policy supports fair completion
between public and private businesses and provides government businesses with a tool to enhance decisions on resource allocation. This policy does not override other policy objectives of government and focuses on efficiency in the provision of service.

10.1.8 Compliance with the Protected Disclosure Act 2012 

The Protected Disclosure Act 2012 encourages and assists people in making disclosures of improper conduct by public officers and public bodies. The Act provides protection to people who make disclosures in accordance with the Act and establishes a system for matters disclosed to be investigated and for rectifying action to be taken. 

CenITex does not tolerate improper conduct by employees, or the taking of reprisals against those who come forward to disclose such conduct. It is committed to ensuring transparency and accountability in its administrative and management practices and supports the making of disclosures that reveal corrupt conduct, conduct involving substantial mismanagement of public resources, or conduct involving a substantial risk to public health and safety or the environment. 

CenITex will take all reasonable steps to protect people who make such disclosures from any detrimental action in reprisal for making the disclosure. It will also afford natural justice to the person who is the subject of the disclosure to the extent that this is legally possible.

Reporting procedures
Disclosures of improper conduct or detrimental action by CenITex or any of its employees may be made to:

The Protected Disclosure Officer
Corporate Communications
CenITex 
Phone: (03) 8688 1507

Alternatively, disclosures of improper conduct or detrimental action by CenITex or any of its employees may also be made directly to the Independent Broad-based Anti-corruption Commission at:

Level 1, North Tower, 459 Collins Street
Melbourne VIC 3000
Phone: 1300 735 135
Internet:  www.ibac.vic.gov.au 
Email: See the website above for the secure email disclosure process, which also provides for anonymous disclosures.

Further information
The Protected Disclosure Policy and Procedures, which outline the system for reporting disclosures of improper conduct or detrimental action by CenITex or any of its employees are available on the CenITex website

Disclosures under the Protected Disclosure Act 2012

 
2016-17
2015-16
The number of disclosures made by an individual to CenITex and notified to the Independent Broad-based Anti-corruption Commission
Number
Number
Assessable disclosures
0
0

10.1.9 Office-based environmental impacts

CenITex collects data for environmental impacts reporting. The sixth full year of data collection is reported here. The data includes our office-based environmental impacts in three areas: energy, paper and transport. 

 
Environmental Reporting
 
2016-17
 
2015-16
 
Offices
Data centres
 
Offices
Data centres
Electricity consumption (megajoules - MJ)
3,866,872
22,086,549
 
3,854,666
21,673,759
MJ per square metre (m2)
491
13,038
 
546
11,492
MJ per full-time employee ( FTE)
6,854
39,151
 
7,298
41,033
Paper consumption (reams)
1,910
   
2,244
 
Reams per FTE
3.39
   
4.25
 
Motor vehicle use (kilometres)
157,717
   
106,728
 
km per FTE
280
   
199
 

Water and waste
CenITex pays indirectly for water consumption and waste disposal as part of the 80 Collins Street lease, billed as a percentage of the whole of the property budget across 50 floors. This is standard practice in leased buildings. Therefore, we do not keep data as we do not process direct accounts from these suppliers.

Procurement
Where possible, CenITex buys equipment from WoVG contracts and state purchasing panels to take advantage of environmental requirements covered for all departments in tenders and contracts. The contracts and panels we purchase from include:

  • Stationery & Workplace Consumables
  • Multifunctional devices and printers contract
  • Citrix Systems Asia Pacific contract
  • WoVG Data Centre contracts
  • End User Computing Equipment contract
  • IT Infrastructure register
  • Telecommunications (TPAMS2025) service contract

10.1.10 Additional information

For additional information contact:
Corporate Communications 
CenITex 
PO Box 2750
Melbourne VIC 3001
Australia
corporate.communications@cenitex.vic.gov.au

10.2 Disclosure index

Legislation Requirement Reference

Ministerial Directions
 

Report of operations – FRD guidance
 
Charter and purpose  
FRD 22H Manner of establishment and the relevant Ministers 3 & 4.1
FRD 22H Purpose, functions, powers and duties 3 & 4.1
FRD 8D Departmental objectives, indicators and outputs Preamble
FRD 22H Key initiatives and projects 5.7 - 5.8, 6.1 - 6.2
FRD 22H Nature and range of services provided 3, 6.1 - 6.2
Management and structure  
FRD 22H Organisational structure 4.4
Financial and other information  
FRD 10A Disclosure index 10.2
FRD 12B Disclosure of major contracts 10.1.4
FRD 15D Executive officer disclosures Financial Report note 21
FRD 22H Employment and conduct principles 7.2
FRD 22H Occupational health and safety policy 7.3
FRD 22H Summary of the financial results for the year Financial Report
FRD 22H Significant changes in financial position during the year Financial Report
FRD 22H Major changes or factors affecting performance 8.2 - 8.3
FRD 22H Subsequent events Financial Report note 24
FRD 22H Application and operation of Freedom of Information Act 1982 10.1.5
FRD 22H Compliance with the building and maintenance provisions of the Building Act 1993 10.1.6
FRD 22H Statement on National Competition Policy 10.1.7
FRD 22H Application and operation of the Protected Disclosure Act 2012 10.1.8
FRD 22H Details of consultancies over $10,000 10.1.2
FRD 22H Details of consultancies under $10,000 10.1.2
FRD 22H Disclosure of ICT expenditure 10.1.3
FRD 22H Statement of availability of other information 10.1.10
FRD 24C Reporting of office-based environmental impacts 10.1.9
FRD 25B Victorian Industry Participation Policy disclosures 10.1.1
FRD 29B Workforce data disclosures 7.1
Compliance attestation and declaration  
SD 3.7.1 Attestation for compliance with Ministerial Standing Direction see below
SD 5.2.3 Declaration in report of operations see below
Financial statements    
Declaration    
SD 5.2.2 Declaration in financial statements Financial Report
Other requirements under Standing Directiosn 5.2  
SD 5.2.1 (a) Compliance with Australian accounting standards and other authoritative pronouncements Financial Report note 1
SD 5.2.1 (a) Compliance with Ministerial Directions Financial Report note 1
SD 5.2.1 (b) Compliance with Model Financial Report Financial Report note 1
Other disclosures as required by FRDs in notes to the financial statements  
FRD 9A Departmental disclosure of Administered Assets and Liabilities by Activity Financial Report note 16
FRD 11A Disclosure of Ex-gratia Expenses Financial Report note 19
FRD 21C Disclosures of Responsible Persons, Executive Officers and other Personnel (Contractors with Significant Management Responsibilities) in the Financial Report Financial Report notes 20, 21
FRD 103F Non Financial Physical Assets Financial Report notes 6, 7
FRD 110A Cash Flow Statements Financial Report
FRD 112D Defined Benefit Superannuation Obligations Financial Report note 13

Legislation
 
Freedom of Information Act 1982 10.1.5
Building Act 1983 10.1.6
Protected Disclosure Act 2012 10.1.8
Victorian Industry Participation Policy Act 2003 10.1.1
Financial Management Act 1994 preamble

10.3 Our websites

CenITex has an online presence in three website environments:

Website Audience
Staff intranet CenITex staff
insITe CenITex staff and customers
Internet Public, CenITex customers and staff
  www.cenitex.vic.gov.au

10.4 Glossary of terms

ARC Audit and Risk Committee
CFO Chief Finance Officer
CIO Chief Information Office/r
CPI Consumer Price Index
Departments Department of Economic Development, Jobs, Transport and Resources (DEDJTR)
Department of Environment, Land, Water and Planning (DELWP)
Department of Health and Human Services (DHHS)
Department of Justice and Regulation (DJR)
Department of Premier and Cabinet (DPC)
Department of Treasury and Finance (DTF)
Executive In the Victorian Public Service, a person employed as a public service body head or other executive under Part 3, Division 5 of the Public Administration Act 2004. The definition of an executive officer does not include statutory officers unless they are specifically declared to be employed under the executive employment provisions of the Public Administration Act 2004.
FTE Full-time equivalent. One FTE is the equivalent of one person working full-time for one financial year. For example, two persons, each working 2.5 days per week (or 0.5 of standard hours) equals one FTE.
GSP Government Shared Platform
ICT Information and Communications Technology
ITIL Information Technology Infrastructure Library
MoG Machinery of Government
MPLS Multiprotocol Label Switching
MOU Memorandum of Understanding
Public Sector All organisations (i.e. VPS departments and agencies, as well as public entities) covered by the Public Administration Act 2004.
Remedy Tool for managing internal service desk calls
SAC Stakeholder Advisory Committee
SOC Security Operations Centre
state agencies Administrative unit of state government providing community and other services. State agencies mentioned in this report:
  • Public Transport Victoria (PTV)
  • Victorian Ombudsman (VO)
  • VicForests
  • Environment Protection Authority (EPA)
  • Taxi Services Commission (TSC)
  • Office of the Governor
  • Victorian Public Sector Commission
  • Office of the Chief Parliamentary Counsel
  • Public Record Office Victoria
  • Victorian Multicultural Commission
  • Transport Safety Victoria
  • Metropolitan Waste and Resource Recovery Group
  • Court Services Victoria (CSV)
Victorian public sector All Victorian organisations (i.e. Victorian Public Service departments and agencies, as well as public entities) covered by the Public Administration Act 2004.
VPS Victorian Public Service (see also Victorian public sector)
WoVG Whole of Victorian Government

Risk attestation * 

I, Randall Straw, certify that CenITex has risk management processes in place consistent with the Australian/New Zealand International Risk Management Standard, and that an internal control system is in place that enables the executive to understand, manage and satisfactorily control risk exposures, except for the following elements: 

Risk management processes are effective in managing risks to a satisfactory level and it is clear who is responsible for managing each risk. Partially Compliant - CenITex is in the process of implementing the recommendations of an Enterprise Risk Management Internal Audit. The implementation of these recommendations, which will be finalised during 2017-18, will enhance risk management processes within CenITex.
image of signature of Randall Straw

 Randall Straw
Chairman 
29 June 2017


* Risk attestation approved by the Audit and Risk Committee on 24 May 2017