What is it with IT tenders?
Sure, tech stuff is complex and way beyond most people’s limited comprehension, but these digital solutions are touted as long-time money savers that provide services at our fingertips.
In short, they are supposed to make our lives easier.
Yet, recent history in the ACT shows that not only do they end up costing us a motza, much more than the government expected, but in at least one case, there was nothing to show for $78 million, and in another, millions unaccounted for, or in the recent MyWay+ launch, the results are literally patchy.
The Auditor-General’s take on the Digital Health Record procurement blowout – $66 million to $110 million – again highlights the perils of these tech tenders that promise so much but leave the taxpayer drained and empty-handed to boot.
The $78 million HR write-off, the Digital Health Record blowout and now the MyWay+ troubles are all highly embarrassing for the ACT Government, which appears to be held to ransom by tech firms who find wriggle room in their contractual obligations.
When problems emerge, contracts tend to get varied until the cost becomes so great that, like in the HR instance, government finally pulls the plug to cut its losses.
With MyWay+, it is still early days, but how long before NEC says that to make the system work the way it was supposed to, it will take more than updates and patches, and the $64 million contract will need to be upgraded?
At that point, one starts to wonder if just making the service free would be simpler and less expensive than building an elaborate architecture full of holes that need to be repaired.
Transport Canberra insists the system is settling down, but it does not say what is still going wrong. Those on the ground say MyWay+ is far from being there yet, and the issues run far deeper than what the government is willing to admit.
An Assembly committee has been given a wide brief to investigate the MyWay replacement program from go to whoa.
With both the now unrestrained Greens and the Canberra Liberals with strong political motivation to make life tough for Transport Minister Chris Steel and the government amid strong public interest, the inquiry hearings and findings should provide plenty of headlines and fascinating detail.
Mr Steel’s political career may be on the line if the final report is damning. And you can bet the Auditor-General will want to take a look at it as well.
But the fallout from these digital failures goes much further. The public may lose faith in technology to solve practical problems and in government to manage such projects.
It is a big challenge for any government and the public service because of the huge amounts of taxpayer money involved and the potential productivity gains foregone.
The ACT Government needs to get on top of this.