Transport consultancy company MU Group awarded six major contracts after hiring ex-minister Duncan Gay
A TRANSPORT company that hired ex-roads minister Duncan Gay as an “executive adviser” has been publicly awarded six major contracts totalling about $4.5 million since he joined the firm just one year ago.
NSW
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A TRANSPORT consultancy firm which hired former roads minister Duncan Gay has been publicly awarded six government contracts from Mr Gay’s former department — none of which went to open tender.
A Daily Telegraph investigation can reveal consultancy firm MU Group has been publicly awarded by Roads and Maritime Services contracts worth more than $4.46 million since hiring Mr Gay as an “executive adviser” in August 2017, just weeks after he quit parliament. But Mr Gay says he hasn’t had anything to do with the deals.
None of the contracts went to public tender — with three marked as “non tender” and three “limited tender”— meaning only selected parties were invited to apply. It can also be revealed that MU Group has at least 11 former RMS employees on its staff, including two directors.
Contracts granted to MU Group include a $1.056 million deal to provide “construction management support” for RMS’s Smart Motorway project from April 13, 2018, to January 2019.
The “smart motorway project” is the installation of electronic freeway management signage on Western Sydney’s M4 and was originally announced by Mr Gay while he was minister in 2012.
Other contracts awarded include $825,000 to provide “Transport Planning and Traffic Management Design” from January 2018 to August 2019, $825,000 for “Network Integration” from January 2018 to August 2019, and $156,320 for a Stewardship Maintenance contract from November 9, 2017. The firm was also given $850,000 for a “Program Director” for the Parramatta Light Rail. All contracts were publicly announced after Mr Gay joined MU Group.
But the former Upper House MP last night said he had “not been involved in any RMS contracts that MU have won”.
“MU have won them because they are an excellent small company,” he said.
“My gardening leave and the determination by the Parliamentary Ethics Advisor preclude me from having any contact with RMS staff on MU and I have totally honoured that proper ruling.
“Most of those contracts predate my joining and new ones are because of their ability to deliver good outcomes.”
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Opposition roads spokeswoman Jodi McKay said she was concerned that a “former minister should be working for a firm which is financially benefiting from the department he controlled for eight years”.
Under the Lobbying of Government Officials Act, NSW ministers are banned from accepting jobs as lobbyists for 18 months after leaving parliament.
Ex-ministers who take a job within 18 months of leaving office must seek the advice of the parliamentary ethics adviser if it relates to their former portfolio.
In advice given to Mr Gay last year before he accepted the MU Group job, parliamentary ethics adviser John Evans said the position did not involve lobbying. Roads Minister Melinda Pavey said she had “no role in awarding contracts”. RMS boss Ken Kanofski said it acted “within robust procurement processes”.