Indigenous housing program under fire

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Australian Broadcasting Corporation

Broadcast: 14/05/2010

Reporter: Kirsty Nancarrow

The Northern Territory's embattled Indigenous housing program is once again under fire after revelations it has so far delivered just seven of the 750 promised new houses.


LEIGH SALES, PRESENTER: The Northern Territory's embattled Indigenous housing program is once again under fire. The $672 million initiative has so far delivered only seven of the 750 new houses promised and may now come under the scrutiny of the auditor-general.

Kirsty Nancarrow reports from Alice Springs.

KIRSTY NANCARROW, REPORTER: The keys to a new house and a new life. Pamela Lynch and her family are the first town camp residents in Alice Springs to get a new home under the strategic Indigenous housing program.

PAMELA LYNCH, LARAPINTA VALLEY RESIDENT: It means a lot to us because we've been sort of under that influence of the overcrowding in our family groups.

JENNY MACKLIN, INDIGENOUS AFFAIRS MINISTER: It's been quite a struggle to get to this point. As you're all aware, we went through the courts.

KIRSTY NANCARROW: The program's already been independently reviewed, had its original head sacked and caused a Labor minister to resign from the Territory Government in disgust.

Now the Government's facing a new battle: to prove its spending taxpayers' money responsibly.

NIGEL SCULLION, OPPOSITION INDIGENOUS AFFAIRS SPOKESMAN: There's been a motion put before the Senate that's been supported by the Senate that is to refer to the auditor-general the CHIP program, to look specifically at waste and mismanagement within the CHIP program.

KIRSTY NANCARROW: The two-year-old program has so far produced seven new houses and 174 upgrades. That's well short of the 750 new houses and nearly 2,500 refurbishments promised under the five-year program.

NIGEL SCULLION: Almost $52 million worth of money spent on renovation and housing, a total of $170 million has been expended.

And clearly, over $110 million that hasn't actually gone towards housing is a real question that needs to be answered.

KIRSTY NANCARROW: The Federal Government's defending the average $75,000 cost of the upgrades, which in many cases have been limited to kitchens and bathrooms.

JENNY MACKLIN: In other houses we'll possibly have to spend more because of the standard that these houses were in when we started this job.

KIRSTY NANCARROW: The new houses come with tenancy agreements designed to ensure the Government's investment is protected.

PAMELA LYNCH: I'm not really overly concerned because I'm always welcoming my family and my family always respect me and they don't, like, overstay their visit.

KIRSTY NANCARROW: The federal minister has hand-balled the program to the Territory Government to ensure targets are met.

CHRIS BURNS, NT HOUSING MINISTER: By the end of this calendar year, we're looking for 150 completions on new houses and 1,000 refurbs and rebuilds.

KIRSTY NANCARROW: This is one of 85 new houses promised for Alice Springs town camps under a 40-year lease deal, but the other Central Australian Aboriginal communities earmarked for housing under this program are yet to sign a lease deal with the Commonwealth and it's unclear whether they'll ultimately miss out.

JENNY MACKLIN: There's a few issues which they're working through with the Northern Territory Government. I look forward to seeing houses built and refurbished in those communities.

KIRSTY NANCARROW: The auditor-general is yet to confirm whether he'll conduct an investigation.

Kirsty Nancarrow, Lateline.


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Indigenous housing program under fire

Indigenous housing program under fire

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