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Media Release Minister for Housing and Public Works and Minister for Sport Queensland Government the Honourable Mick De Brenni

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Media Release Minister for Housing and Public Works and Minister for Sport Queensland Government the Honourable Mick De Brenni Palaszczuk Government makes history with nation leading subbies payment reforms - The Queensland Cabinet and Ministerial Directory 13/7/20, 1:20 pm I Media release Minister for Housing and Public Works and Minister for Sport Queensland Government The Honourable Mick de Brenni Thursday, October 26, 2017 Palaszczuk Government makes history with nation leading subbies payment reforms Today marks a new era for the state’s building and construction industry, with the Palaszczuk Government’s historic subcontractors payment legislation passed through the Parliament. Minister for Housing and Public Works Mick de Brenni said the Building Industry Fairness (Security of Payment) Bill 2017 would bring security and confidence to the Queensland’s $45 billion construction industry. “For far too long, subcontractors have had to shoulder most of the financial risk on building projects, but that changes today,” Mr de Brenni said. “These reforms help ensure that subcontractors in the building and construction industry are paid in full and on time, every time. With these reforms, Queensland will have the strongest protections for subcontractors anywhere in Australia.” Mr de Brenni paid tribute to the extraordinary contribution of the Speaker Peter Wellington. “It’s almost unheard of for the Speaker to vacate the chair in order to speak on a bill, and entirely unprecedented for an independent Speaker give such passionate support for a policy of the Premier and her government,” Mr de Brenni said. “We are where we are today because of the dedication the Speaker Wellignton has shown in standing up for his constituents after the 2014 Walton’s collapse, which sent so many subcontractors to the wall. “I want to thank him for his tireless advocacy and for his support for people who make up Queensland’s building and construction industry.” The reforms have been roundly applauded by the building and construction industry. Master Electricians State Manager Gary Veenstra said their members were relieved to know that the Building Industry Fairness Bill had been passed. “I never thought I’d see the day, honestly. Subbies have spent so many nights sitting up late, going over the books, wondering how they going to pay their staff,” Mr Veenstra said. “I can’t tell you how much it means to subbies that this government has passed legislation to make sure that subbies and their workers are going to get paid.” National Fire Industry Association CEO Wayne Smith said their members had been asking for payment security for as long as he could remember, but the Palaszczuk Government was the first wth the courage to address the issue. http://statements.qld.gov.au/Statennent/2017/10/26/palaszczuk-government-makes-history-with-nation-leading-subbies-payment-reforms Page 1 of 2 1 Palaszczuk Government makes history with nation leading subbies payment reforms - The Queensland Cabinet and Ministerial Directory 13/7/20, 1:20 pm “This is a turning point for the building and construction industry,” Mr Smith said. “When I’ve spoken to members up until now, they’ve said that even when they do chase big builders for payment, it’s complicated and difficult and in then end it’s not worth it. So knowing that we’ll be able to use a simplified, faster dispute resolution process is just going to free up people’s time, they can get their money and get back to work. “We are so glad to have a government and a Minister who really listened, who worked with us on these reforms.” Airconditioning and Mechanical Contractors Association Executive Director Graham Mackrill said subcontractors have never had such robust protections anywhere in Australia. “This legislation is historic - it will create the kind of environment that will make people want to do business in Queensland,” Mr Mackrill said. Master Plumbers Association of Queensland Executive Director Penny Cornah said the Building Industry Fairness Bill would bring balance for subcontractors. Plumbers will no longer be used as a line of credit by unscrupulous operators,” Ms Cornah said. “Payment certainty allows businesses to employ more apprentices and employees, knowing that they know they will be paid what they are owed.” Mr de Brenni said the comprehensive package of reforms were the result of extensive consultation, and would deliver a range of measures to secure payment for subcontractors. “Project Bank Accounts are part of this comprehensive package of reforms, and PBAs will prevent builders who want to use subcontractor payments as a line of credit from using funds from one project on another project,” Mr de Brenni said. “We listened to industry, and our new laws mean that we will have the ability to expand the use of PBAs down to sub­ subcontractor level if needed. “We will use PBAs on all Government projects valued at between $1 million and $10 million from 1 January 2018, and will look to extend them to private sector projects over $1 million after 1 January 2019.” Mr de Brenni said Queensland’s $45 billion building and construction industry employs almost 220,000 people and this is expected to grow to $52.3 billion and 230,000 people in 2018-2019 - a rise of $7.4 billion. “Queensland deserves a strong, viable and productive building and construction industry,” he said. “These measures are part of a comprehensive suite of reforms developed following extensive consultation over the past two years. 'They are considered, they are comprehensive and they will protect the lives and livelihoods of Queenslanders.” [ENDS] Media contact: Tristan Douglas - 0447 164 197 http://statements.qld.gov.au/Statement/2017/10/26/palaszczuk-government-makes-history-with-nation-leading-subbies-payment-reforms Page 2 of 2 Palaszczuk Government securing payment for subbies - The Queensland Cabinet and Ministerial Directory 13/7/20, 1:23 pm Media release Minister for Housing and Public Works, Minister for Digital Technology and Minister for Sport Qutenstoorf Government The Honourable Mick de Brenni Thursday, March 01, 2018 Palaszczuk Government securing payment for subbies The Palaszczuk Government’s landmark building industry fairness reforms mark an important milestone today with the commencement of Project Bank Accounts (PBAs) as part of the Building Industry Fairness Act. Minister for Housing and Public Works Mick de Brenni said PBAs are the centrepiece of a suite of measures that create the strongest sub-contractor protections in the nation. “This Labor Government is committed to a fair go for construction businesses, for workers, and for families,” Mr de Brenni said. “Queensland’s $45 billion construction sector employs over 220,000 people and it is vitally important that subcontractors and suppliers feel confident they will be paid in full, on time and every time. “Today we take a giant step in reversing the damage caused by the LNP’s absurd self-reporting financial scheme for building companies. “It was the LNP that opened the door for dodgy operators to send Queensland subbies to the wall by making it easy for them to delay payments, or, in too many cases, not pay them at all by setting up sham companies in someone else’s name. “Subbies are not an interest-free loan facility, they are not a source of free money for unscrupulous operators. “They are mums and dads, families, small business people out there having a go and they deserve to be paid for the work they have completed.” The first phase of the new PBA model applies to government projects valued at between $1 million and $10 million, excluding engineering projects like bridges and roads. Progress payments are paid through a trust for head contractors and first-tier sub-contractors and suppliers, with separate trust accounts for retention funds and disputed funds. The second phase of the reforms takes effect from 1 July 2018 and includes new procedures for payment claims, responses and adjudication of disputed claims. The third phase from 1 January 2019 will reinstate mandatory financial reporting for building companies in Queensland. Mr de Brenni said the reforms also strengthen the Queensland Building and Construction Commission’s powers to intervene to protect subbies by re-opening its line of sight to companies that may be in trouble. “The LNP tied the hands of the QBCC behind its back, whilst the Palaszczuk Government has given the tiger back its teeth,” he said. “The Palaszczuk Government’s is committed to fairness - and that’s what these reforms are all about. http://statements.qld.gov.aU/Statement/2018/3/1/palaszczuk-government-securing-payment-for-subbles Page 1 of 2 Palaszczuk Government securing payment for subbies - The Queensland Cabinet and Ministerial Directory 13/7/20, 1:23 pm After evaluation, PBAs will eventually be rolled out to all government and private sector projects over $1 million and, if needed, will be extended further to cover lower tiers of subcontractors. Mr de Brenni said the wide-ranging benefits of the security of payment reforms include reduced project delays, fewer disruptions and disputes as well as more money for subbies to grow their own businesses. “Importantly it will also mean more jobs, adding to the Palaszczuk Government’s impressive record of delivering 152,400 positions since Queenslanders turfed the LNP out of office in January 2015,” he said. “These security of payment measures are part of the Queensland Building Plan that has been developed through the most comprehensive consultation on building industry reforms in this state’s history. “Our industry and consumer stakeholders have worked tirelessly with us over the past two years to lay the
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