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TABLE OF CONTENTS

Page No

INTRODUCTION 3-4

STRUCTURE AND FUNCTIONS OF THE BOARD 4 Functions 4 Responsible Minister 5 Board Composition 5-6 Meetings and Attendance Details 7 ADMINISTRATION AND STAFFING 8 Administration 8 Employees 8-9 Organisation Structure 9 Equal Employment Opportunity and Training 9 Workers’ Compensation 10 Language Services Strategy 10 Enterprise Bargaining Agreement 10 FREEDOM OF INFORMATION 10 FOI Applications 10-11 FOI Charges 11-12 FOI Applications for the Year 12 THE ACT AND REGULATIONS

13

PUBLICITY 13 Advertising 13 Pamphlets and Magazines 13 Statutory Forms 13 Board’s Website 14 Internal Documents 14 Code of Ethics and Code of Conduct 14

REGISTRATION 15 The Register of Painters 15-16 Applications 16 Limited Registrations 17 Area of Jurisdiction 17 Appeals – Refusal of Registration 18 Reasons for Refusal of Applications 18 Terminations and Suspensions 18 Mutual Recognition

18

EDUCATION

Page No 19

Painters’ Registration Course 19 Additional Examinations 19 Apprenticeship Awards 19 The Master Painters’ Association Awards for Excellence

19

PAINTING COMPLAINT INVESTIGATION 20 Complaints 20 Requests for Assistance 21 Random Site Inspections 21 Building Disputes Committee 21 COMPLAINTS (PROSECUTIONS) 22 Prosecution Policy 22 Section 4A(b) of the Act – Unregistered Persons holding out to be Registered

22

Section 4(1) of the Act – Unregistered Painting

22

PARLIAMENTARY COMMISSIONER FOR ADMINISTRATIVE INVESTIGATIONS

23

FINANCIAL STATEMENTS

23

REGISTRATION FEES 24 TABLES 1. Attendance - Board members 2. Staff 3. Categories of Entitlement to Registration 4. Categories of Registered Painters 5. Applications for Registration 6. Board Inquiries and Orders 7. Prosecutions – Section 4A(b) 8. Prosecutions – Section 4(1)

7 9 15 16 17 20 22 22

APPENDICES ‘A’ Financial Statements ‘B’ Mission Statement & Objectives ‘C’ Organisation Structure ‘D’ Information Statement – FOI Index

INTRODUCTION The Painters' Registration Act was established in 1961 by a Private Member's Bill introduced into Parliament by the Hon. Herb Graham, MLA. Its main purpose was to provide protection for consumers and industry. The Bill provided that before a person could engage in painting, other than as an employee, that person had to be registered, and was required to obtain qualifications prior to registration. The rationale was that in addition to having served an apprenticeship or acquiring painting skills through experience, a painter should have adequate business skills. The Bill was promoted by the Master Painters' Association and supported by the Painters' Union. It was enacted on January 1, 1963.

FOI/3

Originally the Act applied only in the Perth Metropolitan Region. In 1983 it was extended to include Mandurah. On January 5 1993 the area of jurisdiction of the Act was extended to include the whole of the South West Land Division of the State. Following representations from several Local Authorities the Minister excluded the Shires of Mt Marshall, Narembeen and Mukinbudin with effect from March 25, 1994. From January 1995 the Board’s area of jurisdiction was extended to include major townsites within the Eastern Goldfields and Esperance regions. National Competition Policy Review During 1997 and 1998 the Painters’ Registration Act was the subject of a review under the National Competition Policy Guidelines and the Minister for Fair Trading has extended the review to include a full ‘fair trading’ review. The purpose of the original review was to establish whether the restriction on competition imposed by the Act is greater than the benefits provided by the legislation. The Board is still awaiting the outcome of these reviews. Gunning Inquiry During 2000 the Board was, along with a number of other Boards and Committees, the subject of an Inquiry under the Chair of retired District Court Judge Ivan Gunning. The recommendations of the Gunning Inquiry were published in December 2000. Machinery of Government Taskforce To give effect to Governments undertaking, the Minister has asked the Department of Consumer and Employment Protection to conduct a review of all boards and committees in his portfolios. The task force has found that the number of statutory authorities in WA is excessive. The review to assess the appropriateness and flexibility of incorporating their functions into departments of State is to be completed by 30t h June 2002. FOI Format This Annual Report has been prepared in a form that satisfies the Freedom of Information (FOI) requirements. Throughout the report FOI details have been included and cross referenced. An index is contained at Appendix D.

Electoral Act 1907 In October 1996 this Act was amended to require all public agencies to publish annually information on expenditure on certain advertising, market research, polling, direct mail and media advertising. In accordance with these requirements, I make the following statement as Principal Officer of the Board in respect of expenditure incurred by the Board. No expenditure was spent on items that are required to be reported upon as provided in the Electoral Act 1907. NIGEL LILLEY REGISTRAR & PRINCIPAL OFFICER STRUCTURE AND FUNCTIONS OF THE BOARD FOI/3 Functions

? provide for the registration of painters in the area specified within the Act and Rules.

? maintain a register of painters ? provide training and education for painters by providing a course and

examinations that are prescribed by the Board ? ensure adequate supervision of painting ? receive complaints against painters in relation to work that is not carried out in

a proper and workmanlike manner, and take such action as is provided in the Act

? provide the means with which to prosecute persons who do not comply with

the requirements of the Act or any lawful direction of the Board

? receive fees and penalties from painters and apply them in or towards payment of the remuneration and costs of carrying out the provisions of the Act.

Responsible Minister At the commencement of the year under review, the Minister charged with the administration of the Painters' Registration Act was the Minister for Fair Trading The Hon Doug Shave MLA. Following the change of Government, the Hon. John Kobelke MLA, Minister for Consumer and Employment Protection, assumed responsibility. Board Composition FOI/6 Section 7 of the Act provides that the Board shall consist of five members appointed by the Governor. All Members are part-time appointees nominated by the Minister. The Chairman is the person who, for the time being, is Chairman of the Builders' Registration Board of Western Australia. Other Members are nominees of the Minister, selected from a panel of names provided by -

? The Chamber of Commerce and Industry of W.A. [representing the body known as the Australian Paint Manufacturers Federation (W.A, Branch)]

? The Master Painters, Decorators & Signwriters' Association of Western

Australia ? The Operative Painters & Decorators’ Union of Australia (WA) Branch now

incorporated in the WA Builders Labourers, Painters & Plasterers Union of Workers

The Consumer representative is nominated by the Minister as a person the Minister considers to be qualified to represent the interests of consumers. Deputies have been nominated for each Member other than the Chairman. Apart from the Chairman the term of appointment for Members may not exceed three years, but Members are eligible for re-appointment at the conclusion of the period.

At December 31, 2001 the Board comprised the following: PAUL MARSH Chairman of the Board from April 1992. Current term expires

March 31, 2002. JIM GATT Nominee of the Chamber of Commerce and Industry of W.A.

Appointed to the Board in December 1980 and to the position of Deputy Chairman in October 1987. Current term expires March 31, 2003.

Deputy - Mr W Sashegyi PETER BARKER Nominee of the Master Painters Decorators & Signwriters’

Association of W.A. Appointed Member from May 11, 1997. Current term expires March 31, 2002.

Deputy- - Mr P Mahon. GERALDINE PEEL Nominee of the Minister to represent the interests of consumers.

Appointed Member from April 4, 2000. Current term expires March 31, 2002. Was previously a deputy member.

Deputy - Ms L Ridley. FRED SMITH Nominee of WA Builders Labourers, Painters & Plasterers Union

of Workers. Appointed Member from March 11, 1997. Current term expires December 31, 2002.

Deputy - Ms Jennifer Harrison.

Meetings and Attendance Details Rule 14 of the Painters' Registration Board Rules provides that Board meetings shall be held at least once in every month. During the calendar year the Board met on 14 occasions. Minutes of general meetings are available at cost in an edited form. FOI/7a A table of attendance at meetings is set out below:

TABLE 1

ATTENDANCE AT PAINTERS' REGISTRATION BOARD MEETINGS

JANUARY TO DECEMBER 2001

BOARD MEMBER

ORDINARY MEETINGS

SPECIAL

MEETINGS

P MARSH

10

2

J GATT (sat as Deputy Chair on 2

occasions)

10

2

P BARKER

12

2

G PEEL (Deputy L Ridley attended 1

meeting)

11

2

F SMITH (Deputy J Harrison attended1

meeting)

10

2

In addition to the above duties the Chairman and members are also involved in preparing reasons for decision, and preparation of other documents and reports.

ADMINISTRATION AND STAFFING Administration

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Section 9 of the Act provides that the Board shall appoint a Registrar/Secretary who shall be the Registrar of the Builders’ Registration Board of W.A., and may appoint other officers as it considers necessary. The Registrar and other officers of the Builders Registration Board spend part of their time on Painters’ Registration Board duties. Generally the Deputy Registrar acts as Executive Officer and services the requirements of the Painters’ Registration Board.

The Senior Painting Inspector co-ordinates the role of the inspectorate and is responsible for the management of complaints. He also provides assistance to the inspectors whose duties include interviewing applicants, assisting consumers, patrolling the Board's area of jurisdiction, and investigating allegations of painting work by unregistered persons and complaints about improper and unworkmanlike painting. The Registrations Manager provides administrative support at Board meetings. The Registrations Assistant carries out the registration functions, and provides clerical and administrative assistance to the Registrations Manager and three Painting Inspectors. The Board gives great importance to the high calibre and professional standards of its staff and wishes to record its appreciation of their efforts throughout the last twelve months. Employees Other than the Inspectorate, who are all full time employees of the Board, staffing needs are met by employees of the Builder’s Registration Board of WA on a recoup basis.

Staff who provided service to the Board during 2001 are listed below:

TABLE 2

STAFF

Registrar/Secretary

Nigel Lilley

Deputy Registrar

Vic Websdane

Registrations Manager

Tony Cooper / Noreen De Nicolis

Senior Painting Inspector

David Anderson

Inspectors

Richard Hall Greg Migro

Registrations Assistant

Sonja Nolan

Corporate Services Manager

Ian Wilson

Legal Officer

Libby Buttfield

Executive Assistant

Christiane Browning / Adrienne Whiting

Clerical Staff

Sarah Hayter (resigned) Diane Dean Alison Baverstock (resigned) Jasmine Weir Kelly Baldam Celeste Cooper

Organisation Structure The Board's Organisation Structure is shown at Appendix 'C'. FOI/4 Equal Employment Opportunity and Training The Board is committed to the promotion of Equal Employment Opportunities for all its employees. The Registrar has overall responsibility for monitoring the effectiveness of this policy and for implementing an on-going programme of action. However, specific responsibility falls upon managers, supervisors and persons involved in the human resource function. Workers Compensation

There were no claims by Painters’ Registration Board staff during 2001. Language Services Strategy The Board has adopted Cabinet’s decision that all Government Agencies develop and implement a language services plan. The Board has trained its staff to deal with language difficulties effectively. Appropriate signs are displayed. During the year the Board employed interpreters, on several occasions. In addition the telephone interpreter service was also used. Enterprise Bargaining Agreement The Board’s second Enterprise Agreement was registered on August 4, 1998 and expired August 4, 2000. It was pleasing to note that all targets set by the Enterprise Bargaining Agreement were achieved and in some cases exceeded. FREEDOM OF INFORMATION FOI/1 Freedom of Information Operations It is the aim of the Board to make information available promptly and for the least possible cost, and wherever possible documents will be provided outside the FOI process. If information is not routinely available, the Freedom of Information Act 1992 provides for the right to apply for documents held by the Board thus enabling the public to ensure that personal information in documents is accurate, complete, up to date and not misleading. Freedom of Information Applications FOI/8 Applications may be made to: ? gain access to documents; ? amend personal information; ? review a previous FOI decision regarding access to, or amendment of, a document. All applications may be lodged at the Board's office, 18 Harvest Terrace, West Perth or mailed direct to the FOI Co-ordinator at this address. Application forms are available from the Board's office. The use of application forms is not mandatory, but all applications must be in writing and: ? give an Australian address for correspondence; ? give enough information to identify documents to which access is sought. ? If the application is to gain access to a document which does not contain personal

information, then it must be accompanied by an application fee.

Applications are acknowledged in writing and the parties are notified of the decision within 45 days. Freedom of Information Charges Details of fees and charges are listed below. Where required, the charge must be paid in full before access to non-exempt documents will be permitted.

A rate of fees and charges are set under FOI Act Regulations. Apart from the application fee for non personal information all charges are discretionary. The charges are as follows. Personal Information about applicant No fee Application Fee (for non-personal information) $30.00 [FOI Act Sec 12(1)(e)] Time taken for a routine search for a document $30.00 (per hour or pro rata) [FOI Act Sect 16(a)] Supervised access time $30.00 (per hour or pro rata) Time spent photocopying $30.00 (per hour or pro rata) Photocopying (per page) 0.20 Time spent transcribing a document from a tape Actual Cost or other medium (per hour or pro rata) Duplicating a tape, film or computer information Actual Cost (Tapes from Board disciplinary hearings are not available) Estimate An estimate of charges will be given if the time spent dealing with an application for non-personal information is likely to exceed one hour.

Deposit A deposit of 25% of the estimated charge may be requested. [FOI Act Sect 19(1)] A further advance deposit may be required if thought necessary to meet the charges for dealing with an application. [FOI Act Sect 18(4)] Access to Documents Documents to which access has been granted will, if possible, be made available in the form requested. However, it is the Board's preference to provide copies of documents sought. In some cases documents may also be made available for viewing. Viewing Documents Documents made available for viewing may be viewed at the Board's office during normal working hours. A fee will be charged for the supervised viewing of non-personal documents. Notice of Decision As soon as possible, but no later than 45 days the applicant will be provided with a notice of decision which will include the following details: ? ? the date when the decision was made; ? ? the name and position of the officer who made the decision; ? ? if the document is an exempt document, the reasons for classifying the matter

exempt; or the fact that access is given to an edited document; ? ? information on the right to review and the procedures to be followed in exercising

those rights. Refusal of Access Applicants who are dissatisfied with a decision of the Board’s officer are entitled to ask for an internal review. Application may be made in writing within 30 days of receiving the notice of decision and applicants are notified of the outcome of the review within 15 days.

The Board’s Legal Officer Libby Buttfield has attended information workshops on the legislation. Ms Buttfield has been designated the FOI co-ordinator. Internal reviews of a decision, are undertaken by the Registrar, or in his absence by the Deputy Registrar. Applicants who disagree with the result may apply to the Information Commissioner for an external review, and details are provided to applicants when the internal review decision is issued. Freedom of Information Applications for the Year. There were no applications for access to Freedom of Information during 2001.

THE ACT AND REGULATIONS The Painters Registration Rules were amended twice during 2001. Firstly, the Rules were amended to clarify the position of the Board in appeals against decisions of the Board made under section 16 of the Painters’ Registration Act. The Board is not the respondent to such appeals. The standard appeal form (Form 8) was amended, as was rule 11. Secondly, as a result of the Corporations Act 2001 (Cth) coming into force, Form 7 was consequentially amended. PUBLICITY Advertising The Board has once again embarked on an advertising campaign in the West Australian Newspaper, and is well pleased with the response. Registered painters are provided with identification cards which confirm that the person is currently registered with the Board. The Board also had a spot advertisement on Curtin University Radio 6NR pointing out the Board’s role in dispute resolution and the need for painters to be registered. Pamphlets and Magazines FOI/7a The Board's pamphlet entitled Registration of Painters for Your Protection sets out how the Board may help consumers with painting workmanship problems and provides general information concerning the Board and its role. This is available free of charge. The Board also circulates articles to registered painters through the following magazines and journals: ? The Master Painters Journal (Quarterly) ? Painters Update (Annual) These publications provide information of interest, including technical data on painting and general building matters that are of concern to the Board. Statutory Forms

Various prescribed forms used by applicants for registration, persons lodging complaints, and persons seeking advice on FOI requests are available at no cost.

FOI/7a

Board’s Website

The opportunity now exists to visit the Board’s website at www.prb.org.au . Interesting information is made available, including back copies of ‘Updates’, ‘Annual Reports’, ‘Registration Application Forms’, Details of Board Membership, technical reports, etc. Where access to the internet is not available, copies of such information can be requested by alternate forms of contact. Internal Documents Other internal documents such as policy statements, various guidelines, administrative procedures, and technical guidelines for use by inspectors in assessing matters on site are available on application at cost.

FOI/7a

Code of Ethics and Code of Conduct The Public Sector Standard Commissioner’s (PSSC) Code of Ethics became operative on July 1, 1996. All staff were issued with a copy of the Code and advised of its implementation and the need to embrace its principles. A Code of Conduct for Board members was adopted in 1995 and reviewed during 1999. In October 1998 the Board developed and adopted a Code of Conduct for its staff and copies of this and the Board’s Code of Conduct are available on request.

REGISTRATION The Register of Painters The Board maintains a Register of Painters pursuant to Section 10 of the Act. Applicants are entitled to register under categories of qualification set out in Section 12. The following table shows the composition of the Register and the basis for registration at December 31 for each year listed.

FOI/7a

The Register is open for inspection by any person, without fee, during normal business hours. It is available for purchase in a printed or electronic format. It is also possible for anyone to check via the Board’s website, whether a person, partnership or company is registered as a painter.

TABLE 3

CATEGORIES OF ENTITLEMENT TO REGISTRATION

1997 1998 1999 2000 2001 Individuals

Registered on Commencement Of Act

29 32 22 18 14

By Board’s Course of Examination & Experience S.12(1)(a)

420 444 417 435 440

By Apprenticeship & Additional Examination. S.12(1)(aa)

692 708 727 738 736

By Experience S.12(1)(c)

789 750 794 800 833

Mutual Recognition 10 14 20 26 30 TOTAL

1,940

1,948

1,980

2,017

2,053

Section 14 of the Act enables a company or other body corporate or a partnership to become registered and the composition of the registrations showing individual, partnership and company is as follows:

TABLE 4

CATEGORIES OF REGISTERED PAINTERS

1997 1998 1999 2000 2001 Individual

1,940

1,948

1,980

2,017

2,053

Partnership 386 386

386 360 405

Company 112 114

124 127 141

TOTAL

2,438

2,448

2,490

2,504

2,599

Applications Section 4 of the Painters' Registration Act requires that any individual, partnership or company carrying out painting other than as a bona fide employee, within the Board's area of jurisdiction, for a charge, fee or reward in excess of $200.00 must be registered. On December 31, there were 2,599 painters currently registered with the Board.

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During 2001, Board staff processed 285 applications for registration. This is an increase of 18% from the previous year. 264 were approved and 21 were refused. A further 21 applications were pending as at December 31, 2001. Applicants for registration who have not undertaken an apprenticeship in the painting trade, or completed the Board’s course of training and examinations as prescribed in Section 13 of the Act, are interviewed by Board staff to assess their experience. In addition, the Board gives these applicants the opportunity to complete a comprehensive assessment paper as a means by which they can satisfy the Board that they have attained a degree of proficiency as a painter which the Board considers is comparable with that ordinarily attained by persons who have completed the course of training, passed the examinations, and had 5 years practical experience in the painting trade. Where a person has not completed an apprenticeship in the painting trade the Board may require a practical examination of work or a trade test. These requirements may be waived for a limited period when the Board extends to new areas, provided the Board is satisfied that applicants were operating as contract painters at the time of the extension, and that they have been earning their livelihood from the business. Limited Registration The Board has received a number of applications for registration for limited purposes such as roof coating, fence painting and wall paper hanging.

The Board does not have a discretion to allow this, but has sought amendments to the Act for power to grant registration for limited purposes. This proposal also formed part of the Board’s submission to the review under the Competition Policy Guidelines.

TABLE 5

APPLICATIONS FOR REGISTRATION

Category

Approved

Rejected

1998

1999

2000

2001

1998

1999

2000

2001 Individuals

117

128

158

156

11

16

9

21

Partnership 37 33 54 85 -

- - -

Company 19 23 19 23 -

- 1 -

TOTAL 173 184 231 264 32

16 10 21

Applications for registration are personal and are retained in the Board's offices and are available only to the applicant on FOI application.

FOI/7b

Area of the Board’s Jurisdiction The Painters’ Registration Act presently encompasses the metropolitan region and most of the South West Land Division of the State other than the Shires of Mukinbudin, Mt Marshall and Narembeen. The South West Land Division extends from the Kalbarri area on the West Coast through to the Hopetoun region on the South Coast in an approximate triangular shape with the coast line. In addition, the Board’s area includes specified townsites within the Shires of Coolgardie, Dundas, Esperance, Yilgarn, Laverton, Ravensthorpe and the City of Kalgoorlie/Boulder. Proposals by the Board to extend to various townsites in the northern part of the State have been postponed because of insufficient funds and whilst awaiting the outcome of the various legislative reviews.

Appeals - Refusal of Registration Any person who has had an application for registration refused by the Board may appeal to a stipendiary magistrate of the Local Court pursuant to Section 18 of the Act. Such an appeal is a re-hearing. The magistrate may confirm, reverse or modify the Board’s decision. During 2001 an appeal filed in 2000 was discontinued, as were the 2 appeals filed in 2001. There were no appeals ongoing at the end of the year. Reasons for Refusal of Application A painter whose application for registration is refused may apply to the Board for written reasons for the refusal. The Board is required by the Act to give these to the applicant.

FOI/7a

In 2001 written Reasons for Decision were provided to four applicants.

Terminations and Suspensions Section 21 of the Act provides that every registered painter shall pay by February 1 in each year the annual registration fee. When the payment has not been made, the Board may cancel or suspend the registration.

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One hundred and sixty nine registered painters were removed from the Register by the Board during 2001. Of these, ninety two terminated their registrations, three died and the balance were suspended for non-payment of the annual fee. Mutual Recognition The Mutual Recognition (Western Australia) Act 1995, came into operation on December 9 1995 and was extended until February 28, 2001. This Act was re-introduced on June 29, 2001. The Act adopts the provisions of the Mutual Recognition Act 1992 of the Commonwealth of Australia and provides a licensed painter from any state or territory with the right to apply for registration/licensing elsewhere in Australia. Guidelines and information about the operation of the Mutual Recognition Act were prepared in April 1996. During 2001 four applicants received their registration as painters under provisions of the Mutual Recognition Act.

EDUCATION Painters’ Registration Course Section 13 of the Act requires the Board to prescribe and conduct, or supervise the examinations of individuals applying for registration, pursuant to Section 12(1)(a) of the Act.

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Training courses and examinations are conducted on the Board's behalf at the Thornlie College of TAFE, Great Southern College Albany and the Plumbing & Painting Skills Centre (PPSC) in Maylands. Full-time intensive courses and part-time courses are available. The Board's course consists of the following subjects: Painters Estimating Business Management Paint Technology The three subjects were reviewed during 1995 and all three units were re-written in competency based terms. The Board continues to review its course to ensure that it meets the training needs of contract painters. Additional Examinations Board staff conduct monthly examinations for applicants applying for registration under the provision of Section 12(1)(aa) of the Act for persons who have completed an apprenticeship in the painting trade. Persons applying under Section 12(1)(c) of the Act (experience) have the opportunity of sitting these examinations or assessments as one means of satisfying the Board as to their proficiency as a painter. Apprenticeship Awards The appropriate training of apprentices provides the foundation upon which the Board’s course is built. TAFE and the Plumbing and Painting Skills Centre in Maylands conduct apprenticeship training within the painting trade. The Board donates a prize to the painting trade apprentice who achieves the highest results throughout all stages of their painting apprenticeship. The recipient of the Board’s award for 2001 was Nicole Rebello. The Master Painters' Association Awards for Excellence The Board has continued to support the abovementioned awards, with Board Inspectors serving on the judging panel. The Board supports awards such as this, as they improve the standard of workmanship as well as provide appropriate incentives for painters. The 2001 overall winner was Roger Higginson (RP 3715) for a property in Dalkeith.

PAINTING COMPLAINT INVESTIGATIONS Section 16D of the Painters' Registration Act provides that where the Board is satisfied that any painting has not been carried out in a proper and workmanlike manner on any building or other structure, the Board may, by order in writing served on the person who carried out the painting work, order the painter to either remedy the work or pay to the owner of the building such costs of having the work remedied by others.

FOI/5

Prior to making an Order, the Board must give the painter notice of the allegations and afford a reasonable opportunity of answering at an Inquiry. During 2001 the number of formal complaints received against painters decreased by 8% from the previous year. In 2001, 136 complaints involving allegations of unregistered painters carrying out painting work were investigated by Board inspectors. In some instances these investigations resulted in prosecution under Section 4(1) of the Act. Complaints During 2001, 144 formal complaints were received by the Board compared with 157 in 2000. A further 32 complaints were carried over from 2000. Of the 144 new complaints, 13 were against unregistered painters. Twenty-eight formal Board hearings were conducted during the year and 2 of these required consideration on another 2 occasions and 2 required consideration on another 1 occasion. This represents a 15% increase over the number of hearings held the previous year. Twenty-nine of the complaints continue into 2002. Of the 144 matters dealt with during 2001, 125 or 87% were resolved by the Board Inspectors without having to be referred to a Board hearing. A summary of complaints made to the Board are shown in the following table:

TABLE 6

1997 1998 1999 2000 2001 No. of Complaints

280

173

298

157

144

Resolved by Inspector on site

242 144 254 136 125

Inquiries by Board

43 27 44 21 28

Orders to Remedy 5

5 6 - 3

Orders to Pay 23

16 27 15 15

Dismissed

N/A 4 N/A N/A 4

Total Value of Orders to Pay

$48,616

$36,492

$49,482

$45,064

$37,343

Files are maintained on each complaint. These are personal and are only available to the parties to the complaint. However, Reasons for Decision are available upon request and are public documents, none were requested in the year in review.

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Requests for Assistance Section 16J of the Act allows a registered painter to request an examination of his work and the Board may comply with such a request. Technical On 135 occasions during the year, Inspectors attended

sites to assist painters experiencing technical difficulties compared with 181 occasions in 2000.

Disputes Where the client/painter relationship deteriorates,

Inspectors attend in a conciliatory role in an effort to resolve disputes. During 2001 the Inspectors attended on site to assist on 44 occasions compared with 53 the previous year.

Although most of the disputes were resolved without further reference, the Inspectors issued written recommendations in some instances. Random Site Inspections Board Inspectors regularly patrol the Board's area of jurisdiction and make random inspections of painting work. This has many benefits including acquainting them with contemporary painting practices and alerting them to any illegal painting activities. During 2001 a total of 2130 informal inspections were made by the Board’s Inspectors compared with 2331 the previous year. Also, Inspectors dealt with 3,266 telephone calls which consisted of general enquiries and assistance. Building Disputes Tribunal During 2001 the Board’s inspectors gave assistance on complaints made to the Building Disputes Tribunal on 33 occasions compared with 54 in 2000. The Building Disputes Tribunal is established under the Builder’s Registration Act. The overlapping jurisdiction of the Disputes Tribunal and the Painters’ Registration Board continued to cause difficulties in the resolution of disputes due to the BDT being limited to orders against the builder who executed the work.

COMPLAINTS (PROSECUTIONS) Prosecution Policy In line with its commitment for open and accountable decision making the Board has adopted a prosecution policy with clear guidelines for staff. The policy is available at the Board’s office for viewing. Section 4A(b) of the Act – Unregistered persons holding out to be registered In respect of Section 4A(b) of the Act the Board was successful with 1 prosecution for an unregistered person holding out to be registered. (Table 7) Section 4(1) of the Act - Unregistered Painting Pursuant to Section 4(1) of the Act the Board was successful with 7 prosecutions for unregistered painting. (Table 8) A further 2 matters were pending at the end of 2001.

TABLE 7

PROSECUTIONS

SECTION 4A(b) - UNREGISTERED PERSONS HOLDING OUT TO

BE REGISTERED

Fine ($)

Costs ($)

S Rowland 200.00 175.60

TABLE 8

PROSECUTIONS

SECTION 4(1) - UNREGISTERED PAINTING

Fine ($) Costs ($)

R Abbs

200.00 205.60

I Antoniak 75.00 202.80

T Bate

300.00 284.20

N Brennan

300.00 284.20

S Rowland (2 charges)

550.00 378.40

C Skilton

100.00 202.80

PARLIAMENTARY COMMISSIONER FOR

ADMINISTRATIVE INVESTIGATIONS The State Ombudsman has jurisdiction to investigate complaints made in respect of acts done or omitted by the Board that relate to matters of administration. His office also receives complaints that relate to judicial decisions of the Board although jurisdiction does not exist. These are also included in this report. Three matters were referred to the Board during 2001. One was recorded as being partially sustained whilst another was discontinued, although as a result the Board is seeking an amendment to the Painters’ Registration Act, which if successful, will give the Board power to require registered painters to submit updated police clearance certificates. The third matter is still being processed by the Ombudsman. FINANCIAL STATEMENTS Section 23A of the Act requires that the Accounts and Financial Statements of the Board shall be audited at the expense of the Board by an Auditor appointed by the Board, with prior approval of the Minister. The Board has adopted the accrual system of accounting. Butler Settineri were appointed and approved to audit the 2001 Accounts. Financial Statements, including the Auditor's Report for the Year Ended December 31, 2001 are appended to this Report at Appendix ‘A’.

REGISTRATION FEES The Board is a self-funded statutory authority financed mainly from fees payable by registered painters and persons applying for registration. The annual registration fees have remained unchanged since 1997 and are set at $160 for individuals, $100 for partnerships and $240 for companies. The Board did not seek a fee increase for 2002 as the Minister of the day had previously informed the Board that he was not prepared to grant any fee increases until the outcome of the review under the National Competition Policy Guidelines is known. .......................................… … … ............ ........................................................ Paul Marsh Nigel Lilley CHAIRMAN SECRETARY/REGISTRAR

APPENDIX ‘A’

PAINTERS’ REGISTRATION BOARD

AUDITED FINANCIAL REPORT FOR THE YEAR ENDED

31 DECEMBER 2001


INDEX OF FINANCIAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2001

Pages 1 Statement by Registrar 1 2 Independent Audit Report 2 3 Statement of Financial Position 3 4 Statement of Income and Expenditure 4 5 Statement of Cash Flows 5 6 Notes to the Financial Statements 6-9

PRB Annual Report - 27


STATEMENT BY REGISTRAR

FOR THE YEAR ENDED 31 DECEMBER 2001

In the opinion of the Registrar of the Board the financial report as set out on pages 3 to 9: 1. Presents fairly the financial position of the Painters’ Registration Board as at 31

December 2001 and its performance for the year ended on that date in accordance with Australian Accounting Standards, mandatory professional reporting requirements and other authoritative pronouncements of the Australian Accounting Standards Board

2. The report has been properly prepared by a competent person. 3. a) The Board has kept such accounting records as to correctly record and

explain the transactions and financial position of the Board. b) The Board has kept its accounting records in such a manner as would

enable true and fair accounts of the Board to be prepared from time to time.

4. At the date of this statement, there are reasonable grounds to believe that the

Board can meet its debts as and when they fall due. N LILLEY Registrar Dated this 19th day of March 2002.


INDEPENDENT AUDIT REPORT TO THE MINIST ER FOR CONSUMER & EMPLOYMENT

PROTECTION Scope We have audited the financial report of the Painters’ Registration Board for the year ended 31 December 2001 as set out on pages 3 to 9. The Members of the Board are responsible for the financial report. We have conducted an independent audit of the financial report in order to express an opinion on it to the Minister. The financial report has been prepared for the purpose of fulfilling the requirements of the Board. We disclaim any assumption of responsibility for any reliance on this report or on the financial report to which it relates to any person other than the Minister, or for any purpose other than that for which it was prepared. Our audit has been conducted in accordance with Australian Auditing Standards. Our procedures included examination, on a test basis, of evidence supporting the amounts and other disclosures in the financial report, and the evaluation of accounting policies and significant accounting estimates. These procedures have been undertaken to form an opinion as to whether in all material respects, the financial report is presented fairly in accordance with the accounting policies described in Note 1 so as to present a view which is consistent with our understanding of the Board’s financial position and performance as represented by the results of its operations and cash flows. These policies do not require the application of all Accounting Standards and other mandatory professional reporting requirements in Australia. The audit opinion expressed in this report has been formed on the above basis. Audit Opinion In our opinion the financial report presents fairly in accordance with the requirements of section 23(1) of the Painters’ Registration Act 1961 (as amended) and with the accounting policies as described in Note 1 to the financial statements, the financial position of the Painters’ Registration Board as at 31December 2001, and of the result of its operations for the year then ended. BUTLER SETTINERI Chartered Accountants PAUL J CHABREL Partner Perth, WA Dated: 19th March 2002



STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2001

2001 2000 Note $ $ FUNDS EMPLOYED Accumulated funds Balance at the beginning of the year 525,438 488,323 Operating surplus 42,966 37,115 ---------- ---------- Total Accumulated Funds 568,404 525,438 ======== ======== These funds are represented by: Current Assets Cash 4(a) 366,268 284,839 Interest accrued 1,056 1,350 Sundry debtors 2 10,728 14,414 Prepayments 2,701 2,291 ---------- ---------- 380,753 302,894 ---------- ---------- Non Current Assets Fixed assets 3 65,202 79,586 Loan to Builders’ Registration Board 194,130194,130 ---------- ---------- 259,332 273,716 ---------- ---------- Total Assets 640,085 576,610 ---------- ----------

Current Liabilities Sundry creditors and accruals 35,544 13,434 Provision for long service leave 23,276 19,803 Provision for annual leave 12,861 17,935 ---------- ---------- Total Liabilities 71,681 51,172 ---------- ---------- NET ASSETS 568,404 525,438 ======== ========

The accompanying notes form part of these financial statements.



INCOME AND EXPENDITURE STATEMENT FOR THE YEAR ENDED 31 DE CEMBER 2001

2001 2000 Note $ $ Income Annual registration fees 404,310 393,629 Application fees 24,425 26,250 Certificate fees 2,250 2,005 Interest on investments 31,028 35,692 Publication and photocopy sale 85 55 Prosecutions/costs recovery 3,106 13,490 Sundry income 187 14 Profit on sale of motor vehicles - 4,517 ---------- ---------- Total Income 465,391 475,652 ---------- ---------- Expenditure Administrative expenses 3 111,000 111,000 Advertising and promotion expenses 12,575 11,836 Annual leave (5,074) 3,545 Audit 2,092 2,058 Bank charges 1,022 1,002 Board members’ fees 16,446 11,982 Bursary award costs 250 250 Consultancy fees 1,537 2,615 Depreciation 16,120 16,015 Doubtful debts 5,337 9,484 Fringe benefits tax 3,877 2,179 Insurance premiums 4,992 5,026 Legal expenses 1,940 9,514 Long service leave 3,473 4,899 Motor vehicle expenses 14,596 15,031 Office expenses 633 319 Postage and courier charges 339 61 Printing and stationery 10,671 10,364 Salaries - administration 54,969 51,288 Salaries - inspectors 134,185 140,672 Social business expenses 573 906 Staff training expenses 900 - Subscriptions 14 1,582 Superannuation 24,943 21,128 Telephone 2,387 2,113 Travelling expenses 2,628 3,668 ---------- ---------- Total Expenditure 422,425 438,537 ---------- ---------- Operating surplus 42,966 37,115 ======== ========

The accompanying notes form part of these financial statements.



STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEM BER 2001

2001 2000 Note $ $ Cash inflow (outflow) from operating activities Receipts from registered painters 433,055 420,059 Prosecution monies received 1,746 3,722 Payments to suppliers and employees (383,232) (418,354) Interest received 31,322 34,958 Other income 273 2,500 ---------- ---------- Net cash provided by operating activities 4(b) 83,164 42,885 ---------- ---------- Net cash inflow (outflow) from investing activities Proceeds from sale of fixed assets - 64,250 Payments for fixed assets (1,735) (90,337) ---------- ---------- Net cash used in investing activities (1,735) (26,087) ---------- ---------- Net increase/(decrease) in cash held 81,429 16,798 Cash as at the beginning of the year 284,839 268,041 ---------- ---------- Cash as at the end of the year 4(a) 366,268 284,839 ======== ========

The accompanying notes form part of these financial statements. PAINTERS’ REGISTRATION BOARD


NOTES TO THE FINANCIAL STATMENTS

FOR THE YEAR ENDED 31 DECEM BER 2001 NOTE 1 ACCOUNTING METHODS AND POLICIES This financial report is a special purpose financial report prepared in order to

satisfy the financial reporting requirements of the Board under the Painters’ Registration Act 1961 (as amended). The Members of the Board have determined that the Board is not a reporting entity.

The financial report has been prepared in accordance with the requirements of

the Painters’ Registration Act 1961 and the following Australian Accounting Standards:

AAS 1 Profit and Loss or Other Operating Statements AAS 5 Materiality AAS 8 Events Occurring After Reporting Date AAS 28 Cash Flows No other Australian Accounting Standards, Urgent Issues Group Consensus Views or

other authoritative pronouncements of the Australian Accounting Standards Board have been applied.

The financial report has been prepared on an accruals basis and is

based on historic costs and does not take account changing money values or, except where specifically stated, current valuations of non-current assets.

The following specific accounting policies, which, unless otherwise

stated, are consistent with the previous year, have been adopted in the preparation of this financial report:

(a) Depreciation Depreciation is calculated on the diminishing value basis in order to write the

assets off over their useful economic life. (b) Income Tax

No provision for income tax is necessary as the organisation is exempt from income tax under Section 23(f) of the Income Tax Assessment Act 1997.

(c) Employee entitlements

A liability for annual and long service leave is recognised in respect of services provided up to balance date. No material liability exists for sick leave.



NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2001

2001 2000 $ $ NOTE 2 SUNDRY DEBTORS Registration fees 440 2,510 Builders’ Registration Board 776 - Prosecutions 24,132 22,773 Input tax credits 4,038 2,452 ---------- ---------- 29,386 27,735 Less: Provision for doubtful debts (18,658) (13,321) ---------- ---------- 10,728 14,414 ======== ======== NOTE 3 FIXED ASSETS

Motor vehicles - at cost 90,337 90,337 Less: Accumulated depreciation (26,668) (10,751) ---------- ---------- 63,669 79,586 ---------- ---------- Office furniture and equipment – at cost 1,735 - Less: Accumulated depreciation (202) - ---------- ---------- 1,533 - ---------- ---------- 65,202 79,586 ---------- ----------



NOTES TO THE FIN ANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2001

NOTE 3 ADMINISTRATION EXPENSES

Administration expenses consist of an amalgamation of the following operating expenses incurred:

$ Office expenses 3,600 Postage 3,600 Printing and stationery 1,200 Machine hire 10,800 Rent 14,400 Repairs and maintenance 600 Salary - administration 60,960 Subscription 360 Superannuation 7,800 Telephone 2,400 Motor vehicle expenses 3,600 Provision for long service leave 1,680 ---------- 111,000 ======== These represent indirect charges paid to the Builders’ Registration Board for the use of

premises, staff and equipment provided and financed by the Builders’ Registration Board of WA, on behalf of the Painters’ Registration Board.

NOTE 4 NOTES TO THE STATEMENT OF CASH FLOWS (a) Reconciliation of cash For the purposes of the statements of cash flows, cash includes cash on hand and in

banks, net of outstanding bank overdrafts, and short term money market balances. Cash at the end of the financial year as shown in the statement of cash flows is reconciled to the related items in the balance sheet as follows:

2001 2000 $ $ Cash on hand 510 510 Cash at bank - General account 83,835 16,252 Cash on short term deposits 281,923 268,077 ---------- ---------- 366,268 284,839 ======== =========



NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2001

NOTE 4 NOTES TO THE STATEMENT OF CASH FLOWS (Cont’d) (b) Reconciliation of net c ash provided by operating activities to operating surplus Operating surplus 42,966 37,115 Non cash flows in operating surplus: Depreciation 16,120 16,015 Doubtful debts 5337 9,484 Profit on sale of motor vehicle - (4,517) Movement in assets and liabilities: (Increase) Decrease in prepayments (409) 559 (Increase) Decrease in accrued interest 295 (734) (Increase) Decrease in sundry debtors 710 (11,614) Increase/(Decrease) in sundry creditors and accrued expenses 19,746 (11,867) Increase (Decrease) in provision for employee entitlements (1,601) 8,444 ---------- ---------- Net cash flows from operating activities 83,164 42,885 ======== ========