The Green Shed at Mugga Lane. The audit will examine whether the tender was fair, transparent and equitable. Photo: Region.
The dumping of The Green Shed from running the ACT Government’s reuse facilities at Mugga Lane and Mitchell will now be investigated by the ACT Auditor-General.
In March, Transport and City Services awarded a new contract to the St Vincent de Paul Society Canberra/Goulburn, better known as Vinnies, prompting an emotional reaction from the public on social media.
ACT Auditor-General Michael Harris announced that the Audit Office would look at the probity of TCCS’s procurement but not why it decided to put the services at the Mugga Lane Resource Management Centre and the Mitchell Resource Management Centre out to tender.
The audit would examine whether the tender was fair, transparent and equitable, and was expected to be handed to the Speaker of the Legislative Assembly in the first quarter of 2024-25.
After 14 years operating at both sites, The Green Shed recycling and second-hand goods business operated by Charlie Bigg-Wither and Sandie Parkes had won a loyal following.
The loss of the contract shocked the owners and many in the community, who took to social media to express their grief and anger at TCCS’s decision to change providers.
Both Mr Bigg-Wither and Vinnies would not comment on the Auditor-General’s decision to investigate.
The Auditor-General said the audit would focus on how TCCS planned for and conducted the procurement, which began in 2023 and concluded in March 2024 when the new contract was announced.
It would consider whether the procurement met policy objectives and provided for a fair, transparent and equitable process.
It would look at how TCCS engaged and communicated with potential service providers and assessed and evaluated their responses against the tender criteria.
The audit would consider whether appropriate processes were followed, including if any procurement rules or requirements were broken or not met.
It would also examine whether the contract was the best value-for-money outcome for taxpayers, whether the Vinnies deal aligned with ACT Government policies, and whether it met the terms and conditions of the procurement.
The audit would not consider the reasons for, or merit, of the tender, including the initial identification of business and operational needs.
Vinnies has set an ambitious target to reduce material sent to landfill by 10 to 30 per cent over the next four years, which is believed to be a key reason for its preference over The Green Shed.
The new contract commences on 31 May 2024 and has an initial service term of four years, with possible extensions of up to two more years.
Vinnies has said any staff who wants to stay will be re-employed. Transition talks are continuing.
The Green Shed will finish on 30 May, but between 31 May and 30 June, Vinnies will accept donations from the public at the Mitchell and Mugga Lane shopfronts but may not open for trading to the public until 1 July.
It is expected that the business will be rebranded.
The Green Shed itself won a tender to operate the reuse facilities, ousting the incumbent Revolve business.
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