News Article

NSW GOVERNMENT CUTS RED TAPE FOR NGOS

Co-ordinating Minister for Human Services Linda Burney released a report today outlining how the NSW Government will reduce the burden of red tape on non-government organisations (NGOs).

NGOs are funded by the Government to deliver a wide range of services to the community.

Ms Burney said that the recommendations contained in the NGO Red Tape Reduction report were developed by the Department of Premier and Cabinet in close consultation with NGOs, peak bodies and other government agencies.

"We are confident that the strategies contained in this report will make it easier for NGOs to focus on their core business - delivering services to people in need in the community," she said.

Approximately 90 percent of the NSW Government's funding to NGOs is administered by the Ageing, Disability and Home Care and Community Services divisions of the Department of Human Services NSW.

"About $1.5 billion was provided to more than 2,600 NGOs in 2007/08 by government agencies including Health, Community Services and Ageing, Disability and Home Care," Ms Burney said.

"We've listened to the NGOs, who told us how the time and resources they spend on preparing funding submissions impacts on their core business of providing a valuable service to the community.

"And we understand the disproportionate impact of Government red tape on smaller NGOs."

Alison Peters, Director at the Council of Social Services NSW (NCOSS), welcomed the recommendations.

"NGOs constantly tell us about their concern with the level of bureaucracy, red tape and compliance requirements when working with government. Any attempt to bring about greater consistency in government processes and make funding and reporting easier will be a huge improvement," she said.

The Government will move immediately to implement the following initiatives by mid-year:
- the introduction of e-tendering and word limits
- standardising insurance requirements
- the development and application of standard questions across agencies for tenders on issues such as management and financial viability
- the reduction of information required from NGOs in the tendering process where
information has already been collected by agencies.

Other reforms to follow include:
- standardising and simplifying contracts
- establishing more pre-registration panels with automatic eligibility for providers with a consistent record of performance and reliability, and
- establishing a risk framework for NGO funding that would relate tendering and EOI processes to risk.

Ms Burney said that this Government is committed to a strong partnership with the nongovernment sector

"These organisations have long sought government help to streamline their funding processes and reduce the administrative burden on their businesses," she said.

"Reducing costs through cutting red tape is an effective way to improve the efficiency and productivity of the NGO sector."

The NSW Government established the Department of Human Services in mid-2009 to provide better and more integrated services for vulnerable client groups across the state. The Department is made up of Aboriginal Affairs NSW, the Aboriginal Housing Office, Ageing, Disability and Home Care, Community Services, Housing NSW and Juvenile Justice.

"This initiative is one of the first examples of how agencies within a super-department can produce tangible benefits for their stakeholders," Ms Burney said.

Media contact: Phyllis Sakinofsky 9228 4455/0406 164 034