Dunne: Labour needs to get facts straight over IRD privacy breaches

Revenue minister Peter Dunne. File photo / NZPA

Revenue Minister Peter Dunne says the Labour Party need to get their facts straight on the tender process for updating IRD's computer system.

Mr Dunne has lashed out at Labour's revenue spokesman David Clark, saying he has made a habit of "going off half-cocked" over his latest comments on the tender process for updating Inland Revenue's computer system.

Dr Clark said in a press statement after question time yesterday (Thur) that the Government's tender process to update IRD's IT systems was still unclear.

He asked Mr Dunne if criteria for registration of interest for the contract could limit the chances of Kiwi bidders.

Dr Clark said Mr Dunne was evasive and acknowledged the department had no expectations about who would respond.

"It is plain for anyone to see the mandatory requirements listed in the registration of interest document effectively exclude any New Zealand-owned company for tendering," Dr Clark said.

The registration of interest document is very specific, saying a supplier of the IT upgrade must:

- Have planned and managed transformational change in a public sector organisation where:

- over 4000 employees were affected;

- the duration of the transformation work programme was greater than four years;

- the ICT fixed assets book value was more than US$200 million;

- the number of consultants employed by the supplier exceeded 1000, and

- the supplier had led the design, development and managed the implementation of a US$100m (or greater) information systems strategic plan designed to replace legacy ICT systems.

Mr Dunne defended the criteria saying the mandatory requirements did not exclude New Zealand-based providers.

"The opportunity exists for them to either register their interest individually or partner with other companies in New Zealand or elsewhere."

Mr Dunne said Dr Clark needed to gather his facts - "yet again it is a case of 'Ready! Fire! Aim!' from Dr Clark."

He said the registration of interest document outlined the mandatory criteria were appropriate in that they reflected the skills and expertise required to undertake a transformation of this scale and complexity.

"Dr Clark seems determined not to understand this is not just an IT system upgrade, but a much wider business transformation programme that will include the modernisation of all of Inland Revenue's business processes."

The registration of interest process was the first stage of the procurement process. As a result of that procurement process Capgemini (correct) was selected for that phase of the transformation planning. Capgemini entered into a partnership with a local New Zealand firm, Tenzing, to complement the expertise that Capgemini provided.

The transformation programme business case would go to Cabinet early next year.