Opinion

Public Sector Informant: Community grants in need of better scrutiny

By Richard Mulgan
Updated March 2 2021 - 10:47am, first published 12:00am
Home Affairs Minister Peter Dutton. Picture: Sitthixay Ditthavong
Home Affairs Minister Peter Dutton. Picture: Sitthixay Ditthavong

Continuing disquiet over the rorting of discretionary grants and charges of pork-barrelling raise the general question of the proper role of ministers in awarding such grants. Under the Commonwealth Grant Rules and Guidelines, all applications must first be assessed by officials in terms of published criteria designed to further the objectives of the program. Applications deemed eligible under the criteria should normally then be ranked by officials in order of priority. When making a final decision, ministers must first receive this written advice from officials but they are not obliged to follow the recommendations so long as they clearly record, in writing, the reasons for their decision in terms of the program's guidelines. Ministers are also obliged to follow "the key principle of achieving value with relevant money". Ministers may also, in exceptional circumstances, approve an application that has not been recommended by relevant officials, provided that they report their reasons to the Department of Finance.

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