Officials chewed out over card bills

Public service leaders are told to go for pizza rather than flash restaurant meals. Photo / Martin Sykes

It's so long Logan Brown and hello Hell Pizza for as many as half of New Zealand's top public servants who have been rapped over the knuckles for spending too much on boozy staff lunches and dinners at expensive restaurants.

Releasing the last two years' credit card records for 36 public sector chief executives, State Services Commissioner Iain Rennie highlighted excessive spending on wining and dining.

"Some expenditure - particularly on food and alcohol for staff - appears to be excessive.

"When I look at the results of this survey, this is the particular area where I think the public service needs to change its behaviour."

Former New Zealand Food Safety Authority chief Andrew McKenzie, whose $66,000 credit card bill was the biggest, frequently enjoyed pricey meals at top restaurants.

A "staff recognition lunch" for 10 at renowned Wellington eatery Logan Brown in December last year set the taxpayer back $1119.

Mr Rennie refused to point the finger at particular chief executives and noted the requirement to offer suitable hospitality to visiting officials. But he said "nosh-ups at Logan Brown" as a form of staff recognition were not consistent with his expectations.

"I do not think that using departmental credit cards in expensive restaurants is an appropriate way to encourage good performance or a culture of prudence with public funds."

Mr Rennie said most taxpayers would struggle to afford $100 a head for meals.

"I think public servants need to reflect on that."

A "good model of working practice" was the $9 a head for pizza Treasury Secretary John Whitehead charged to his credit card for a working dinner for 25, including the Minister of Finance, he said.

Mr Rennie noted a number of state sector chief executives, including himself, made "personal judgments that we don't want the taxpayer to pay for alcohol-related costs". Instead, they routinely reimbursed alcohol-related costs they charged to their credit cards.

However, Mr Rennie said there was nothing that fell outside departmental policies and required disciplinary action.

Across $431,000 of credit card spending in the 2008 to 2009 financial year and $382,000 in the 12 months to July this year, all of it appeared to be work-related.

Nevertheless, Mr Rennie said he had spoken to all chief executives regarding expenditure on entertainment and he expected they would adjust their spending accordingly.

This is the first time top public servants' credit card records have been made public and the practice will continue on a quarterly basis.

Disclosure of hospitality and gifts received by top public servants and also of credit card records for their staff are being considered.

BIGGEST SPENDERS
June 2008-July 2010:

* Andrew McKenzie, NZ Food Safety Authority: $66,105, including staff recognition lunch for 10 directors at Logan Brown, $1119.

* David Collins, Solicitor-General: $64,210.

* Helen Anderson, Ministry Of Research, Science & Technology: $52,589.

GOOD SPENDING:
* John Whitehead, Secretary to the Treasury: April 6, 2009, Hell Pizza dinner meeting for 25: $238.60.