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Media Release by Senator the Hon Kay Patterson

South Australia found to have complied with housing funding rules

The Minister for Family and Community Services, Senator Kay Patterson, said today that her Department had found that South Australia had complied with the formal financial reporting requirements of the Commonwealth State Housing Agreement.

She said that the Department of Family and Community Services had conducted a review of documentation provided by South Australia.

South Australian Treasurer Kevin Foley had claimed late in December that CHSA funds had been misspent on health instead of housing.

However, Senator Patterson said documentation provided by both the SA Department of Human Services and the SA Auditor-General’s Department showed that funds were used in accordance with the CSHA.

“My Department has informed me that it is their view that SA appears to have complied with the formal financial reporting requirements of the CSHA,” she said.

“The SA government has announced a review of the Department of Human Service’s budget and past accounting practices, involving external accounting consultants, to examine the past financial management of that department.

“SA has undertaken to keep the Australian Government informed about progress and outcomes of the review which is expected to report most of its findings by May 2004.”