AFTER months of speculation and controversy, embattled social welfare agency Community Connections has announced that it will be winding up.
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The decision follows at least two separate government investigations and audits and the withdrawal of millions of dollars in vital state funding.
Community Connections Victoria (CCV) chief executive officer Bruce du Vergier confirmed his agency would “cease to exist as a legal entity” and was planning to merge with the Melbourne-based agency OzChild.
“The plan is yet to be finalised and remains in a developmental stage,” Mr du Vergier told The Standard yesterday.
“We’re working on a smooth transition of all existing programs and staff.”
The new entity would carry the OzChild name. Mr du Vergier said OzChild, established in 1851, already operated many Department of Human Services (DHS) funded services throughout the state and would bring a lot of expertise to the region.
“OzChild’s possible entry as a key and expert provider of children’s services is a wonderful opportunity for the Victorian Department of Human Services to build a long-term, sustainable commitment to the community’s future,” he said.
“Community Connection’s board of directors believes it is very important the community resources that the agency has built up over the years remain in the Western District area and continue to serve in the interests of regional children and their families.
“The activities were suspended when DHS withdrew significant services from CCV and this reshaping has now led to a refreshed look at combining the best of both.”
He said talks between both agencies had been taking place for the past two years but had been expedited after the recent government “defunding” of some services.
He said the merger was not a “fait accompli” and the agency would be asking DHS to “look kindly” on it.
Set up 20 years ago, Community Connections provided a wide range of services across the south-west, including financial counselling, residential care, foster care and legal aid.
Independent reviews of the agency conducted last year by DHS and the Department of Justice (DoJ) followed claims by former staff of bullying and mismanagement of government funds.
Legal Aid Victoria has also audited the agency’s community legal service and a decision on its future is expected shortly.
Eight staff who worked in the DoJ programs were made redundant last November and received their entitlements, but 42 employees in the Human Services -funded services are yet to receive any benefits and last week launched a case with Fair Work Australia.
A government spokesman yesterday confirmed that the DHS was “in the process of determining a service provider” to operate its remaining services — Child FIRST and integrated family services, disability and housing programs — in the Warrnambool region.
“This follows a decision by the current service provider, Community Connections, to discontinue delivering services,” he said.
“The department will work closely with Commuanity Connections to minimize any impact on services while it transitions to the new arrangements.
“Only providers that meet the mandatory criteria for service provision and demonstrate their capacity to deliver services in accordance with DHS standards and the proposed service agreement will be considered.”
A spokesman for the Australian Services Union said the union was still concerned about CCV not fulfilling its obligation to pay entitlements to former staff.
“We would hope in any transition that Community Connections honour their obligations,” he said.