A Corrections Department computer system that has already cost $26 million, and which internal reports say may not be up to the task, could soak up a further $40 million of taxpayers' funds over the next five years.
A review of the Integrated Offender Management System (IOMS), released last year, found the system could be upgraded and meet the department's needs until 2012.
The review came after draft departmental reports, obtained by the Herald last year, identified flaws in the IOMS and the plan for managing offenders it supports.
One report said: "The possibility must be faced that IOMS may not be capable of providing the flexible, user-friendly case management database that the Corrections sentence management model requires."
Figures obtained by the Herald under the Official Information Act now show the department has set aside $40 million to maintain and enhance the system over the next five years.
Annual operating expenditure of $4 million is made up of $750,000 for code changes and maintenance of the software and $3.25 million for running costs, hardware and helpdesk services.
The department has also set aside $4 million a year for the next five years for new development and other enhancements to the system.
There were no plans to scrap the system, the department said, although another review was expected in 2008.
Corrections adopted the system in 1997 and implemented it two years later at a cost of $13.8 million. The database became fully operational in 2002.
It is designed to gather information on offenders, measure their reoffending risks, and design sentence management plans for them to help rehabilitation.
The 2003 internal draft reports, obtained by the Herald last year, showed staff found the system difficult to operate. Many did not use it or did not know how to use it.
They also said the IOMS lacked information on some offenders and record-keeping was scattered between the database and paper files - although the department says this has since been rectified.
The figures obtained show since 1999, when the system was implemented, Corrections spent an average $225,000 a year trying to bring staff up to speed on the system.
General manager corporate management Bob Calland said the money was being spent on training materials for staff.
New Zealand First MP Ron Mark said he was not surprised by the cost, saying he had long held concerns about the system.
"The setting-up and running of it is giving all the appearances of Labour's Incis," he said, referring to the police computer system that had to be canned.
COMPUTER CORRECTIONS
Cost of upgrades to the Corrections Department system since it was implemented.
1999-2000 $1.3 million
2000-2001 $4.1 million
2001-2002 $3.2 million
2002-2003 $2.5 million
2003-2004 $1.5 million
Corrections computer system could absorb extra $40m
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