KEY POINTS:
Public sector bosses have been warned against inappropriate use of corporate boxes in a guide on controlling "sensitive expenditure" of taxpayer funds.
Sensitive expenditure by public entities was that which could be seen to give some private benefit to a staff member such as overseas travel, accommodation and hospitality spending.
Auditor-General Kevin Brady said in the guide, tabled in Parliament, that decisions by public entities on such spending had featured in several past reports and were also the subject of "many" queries to his office.
He said public sector leaders and senior managers needed general guidelines on when such sensitive expenditure could be made. These people had to "set the tone at the top".
The report said expenditure on corporate boxes might be appropriate in some circumstances but ran the risk of being perceived as benefiting staff more than the organisation.
State Services Commissioner Mark Prebble said some things used in areas of work that had a commercial focus - such as corporate boxes - could be "inappropriate".
An example of a public sector boss who stepped over the line was former Television New Zealand head Ross Armstrong who was found by the Auditor-General in 2003 to have double-dipped while chairman of three public entities.
At the time, TVNZ's use of a corporate box at Wellington's Westpac Stadium also came under scrutiny.
The guide said all expenditure by public entities must have a justifiable business purpose, be moderate, be made appropriately and be able to withstand parliamentary and public scrutiny.
Included in the guidelines were that business credit cards should not be used to obtain cash advances except in the case of an emergency, on those rare occasions when cash was required for official purposes or if the public entity had a specific policy allowing this in some situations.
The guide also said that all international travel should get prior written approval, discounted economy travel should be used for journeys of up to at least four hours, staff must not be reimbursed for mini-bar expenses, and that the most economical type and size of rental car should be used.
Public sector staff could undertake private travel before, during or at the end of a business trip provided it was done at no extra cost to the organisation.
Public sector entities needed to have clear guidance on how much to spend on Christmas parties and how much alcohol should be paid for, if at all.
Air points schemes required scrutiny and donations must be "non-political".
The guide also addressed the personal use of cellphones, telephones, email and the internet by public sector workers.
It said public sector entities must have policies on personal use of communications technology and, where possible, require reimbursement for personal use.
Staff could accept small, inexpensive gifts such as pens, badges and calendars but other gifts should be receipted and remain the property of the public sector entity.
The guidelines did not cover MPs or the judiciary.
Getting Best Behaviour
The Auditor-General, Kevin Brady, says travelling public servants:
* Should not use business credit cards to get cash except in an emergency.
* Obtain prior approval for international travel.
* Use their own money for the mini bar.
* Drive the most economical type and size of rental car.
- NZPA
