I refer to the Premier's memoranda 89-52 and 89-73 concerning implementation of Cabinet's decision on restructuring the administration of public sector staff housing.

Memorandum 89-52 detailed the Principles to be applied to the management of public sector staff housing and Memorandum 89-73 devolved implementation of the restructuring to the Chief Executive Officers of Departments and Authorities.

It has come to my notice that some public sector organisations are under the impression that they must await decisions by the Industrial Authority or this office prior to actioning Cabinet's decisions. This is not the case.

In order to clarify matters it should be noted that:

1. It is the responsibility of each organisation to take action to ensure that, subject to existing awards and conditions, the Government's decision to charge market rents for Government owned premises occupied by Public Sector employees is implemented.

2. In those cases where an organisation considers that the special nature of the duties or conditions of employment require that less than market rent should be charged or an allowance be paid, the relevant Chief Executive Officer should forward a submission to the Industrial Authority for determination. The submission should detail the circumstances that exist, the full rationale for charging less than market rent or payment of an allowance together with an appropriate recommendation.

It is suggested that other organisations having housing in similar locations be consulted in arriving at recommendations which vary from the notion of charging market rents.

Pending a decision by the Industrial Authority on any recommendation that a rental subsidy continue, Chief Executive Officers may approve, where it is considered essential and justified, the continuation of an existing subsidy arrangement.

3. Any staged rental increase programs considered necessary by Chief Executive Officers to implement full market rents for existing tenants are also to be approved by the Industrial Authority.

4. In order to determine rental charges on the basis of 100% of market values, rent levels are to be reviewed and where necessary adjusted every twelve (12) months and prior to the commencement of new tenancies in accordance with advice obtained from the Valuer General, Department of Housing or other registered real estate valuer.

Responsibility for impIementing all other aspects of Cabinet's decision, in an effective and timely manner, rests with the Chief Executive Officer. In this regard attention is drawn to the Residential Tenancies legislation requiring tenants to receive 60 days written notification of rental increases.

It would be appreciated if Chief Executive Officers could now give top priority to implementing Cabinet's decisions on this matter. Should it not be possible to implement Cabinet's decisions in full prior to 1 October 1990 Chief Executive Officers should advise this office, in writing, of the outstanding items and their proposed course of action to address them.

R. G. Humphry
Director General.