Onkaparinga Council introduce new credit card rules after public backlash over extravagant spending
THE Adelaide council that spent $70,000 on credit cards in 18 months — including flowers and Apple products — has overhauled its spending policies after a public backlash.
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ONKAPARINGA Council has overhauled its credit card spending policies after a public backlash over the use of ratepayers’ funds to bankroll extravagant staff expenses.
The council voted at its last meeting to accept the new credit card rules, including hospitality purchasing guidelines, to be more transparent.
Among the changes are a limit on gift expenditure, a ban on alcohol at some staff functions and an end to expensive lunches.
It follows Freedom of Information documents that revealed the lavish spending by council staff — including overnight accommodation in city hotels after functions, $18,000 on flowers and thousands more on Apple products, including an Apple Watch for Onkaparinga chief executive Mark Dowd.
Mr Dowd said he hoped the amendments proved the council was committed to transparency.
“Council recognises that corporate purchase cards are an effective and efficient part of doing business and are committed to continually reviewing policies and procedures to ensure responsible usage and accountability and accurate reporting,” he said.
The new rules on credit card spending include:
A LIMIT on how much can be spent per person on meals.
BANNING the purchase and supply of alcohol for staff-only council events, unless approved otherwise.
A $50 flowers and giftlimit.
MORE scrutiny about when it is appropriate for staff to use a taxi or Uber service, and when accommodation for staff should be used.
NO LONGER purchasing ICT equipment, including phones, tablets and laptops.
A PUBLIC record of when hospitality limits are exceeded.
BANNING gift card purchases.
REDUCING credit card limits.
A report written by Mr Dowd stated: “We also recognise the issue of the executive group spend at restaurants has highlighted the need for restraint and ensuring greater transparency and explanation.”
Mr Dowd said although the community did not agree with expenses incurred on planning days, they would not be cut.
Credit records showed the council spent more than $5000 on hiring the Adelaide Oval function room, a tour and a rooftop climb for a team-building day.
The new limits on credit cards for Onkaparinga Council
■ Only $30 per head can be spent on breakfast and lunch, $50 for dinner and $7.50 on light refreshments. Whenever this limit is exceeded a report must be given to council directors and the Audit, Risk, Value and Efficiency Committee.
■ Staff can spend $50 on flowers and gifts to an unpaid guest speaker, an employee or their family if there has been a death, life- threatening injury or illness, or for political or diplomatic reasons where gifts are expected.
■ Alcohol can no longer be purchased or supplied at staff-only events, unless otherwise authorised.
■ Staff can only use alternative transport, including taxi and Uber services, when a fleet vehicle or public transport is not available, or when it is safer than driving.
■ Overnight stays can only be considered when accommodation is cheaper than transport, if the person has to travel an “extended journey” to their final destination, if an employee has worked more than 10 consecutive hours or if extra work needs to be completed at a location away from their normal place of work.