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Paula Bennett - Source: ONE News -
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The Government's reason for not putting a $2.4 million contract out to tender is being disputed.
The Ministry of Social Development is investing the money in parenting courses for the caregivers of vulnerable children.
The money will be going to Parents Inc which helps run the Tool Box parenting programme, a scheme Social Development Minister Paula Bennett described as "unique".
Treasury guidelines indicate contracts may not need to be put out to tender if no other organisation can provide a suitable service. Frances Steinberg who has a PhD in psychology and runs a parenting education company, said there are alternatives available.
"There are a number of programmes in New Zealand that cover from birth through adolescence and that have services in place where they would be able to do training across New Zealand," she told ONE News.
Steinberg said some of these programmes are already used by the Health and Education Ministries.
She said Parents Inc probably got the contract because of the contacts its chief executive Bruce Pilbrow was able to make while working in the government-appointed Families Commission.
"He's been developing relationships with the Ministers and they saw it as a valuable product.
"I'm not saying whether it is or not, it's just something that should have gone out to tender," she said.
Pilbrow was appointed to the Families Commission by Bennett two years ago.
His resignation was announced last Tuesday, just two days before the contract was revealed in the Budget. Bennett said this was a coincidence.
Pilbrow is forthright about how he has developed relationships within Government.
"I've had a good professional relationship with Paula Bennett over the years, she's been watching us and been excited about what we can achieve," he said.
Labour is calling for closer scrutiny of the deal. Health spokesperson Grant Robertson said it is important the public knows the money has been well spent.
"We're in a time when money is clearly tight...the public deserves a transparent process and I don't think they've had one here," he said.
The Auditor General could be called in to assess the contract.
