Infrastructure Canberra cannot locate 38 of its 200 community facility tenancy agreements, while 84 per cent of the agreements it holds have continued beyond their original terms, an ACT Auditor-General’s report has revealed.

The audit, tabled in the Legislative Assembly today, found widespread failures in the management of government-owned community facilities, including inadequate asset planning, poor recordkeeping, inconsistent tenancy arrangements and ineffective maintenance oversight.

Of the 162 agreements available for examination, 136 had expired but continued under hold-over arrangements as of February 2026. Twenty-two had continued this way for between 10 and 15 years, and three for more than 15 years, creating uncertainty for community organisations trying to plan and budget.

The audit also found Infrastructure Canberra had retained copies of only 43 community facility applications, representing 52 per cent of those recorded in its register. Of those, 20 had incorrect application dates, while applicant details had not been verified since 2023.

The agency’s allocation policy was last reviewed in 2008, raising concerns about whether community organisations were being assessed fairly and consistently.

A 2021 assessment of 63 community facilities in Woden, Belconnen and Weston Creek found 25 per cent were in run-down or poor condition. However, the resulting recommendations had not been acted on.

The audit also identified shortcomings in the management of heavily subsidised peppercorn tenancies, which Infrastructure Canberra estimated resulted in about $13 million in forgone annual revenue.

As of February, 72 facilities operated under peppercorn arrangements, with 12 agreements missing. The government was spending about $2 million annually on repairs and maintenance at these properties, despite undertaking only minimal and reactive work.

Maintenance procurement also came under scrutiny. The auditor identified $488,844 in roof safety services and $72,051 in pest control services delivered through individual work orders without evidence of written contracts or standing-offer arrangements.

Another contractor received $334,807 for grounds maintenance and gutter cleaning between 2023 and 2025, without the agency approaching competing suppliers on its panel.

Maintenance quality assurance was also inadequate, with one manager responsible for overseeing approximately 50,000 repair actions annually. Planned maintenance quality checks fell from 118 in 2022-23 to just 30 in 2023-24.

Auditor-General Ajay Sharma made 10 recommendations, beginning with developing an overarching asset management policy, a strategic plan and individual plans for community facilities.

He also recommended updating the allocation policy and eligibility criteria, introducing consistent application procedures and recordkeeping, and maintaining a complete register of tenancy agreements.

Other recommendations include reducing reliance on expired agreements, reviewing rental fee calculations and cost-recovery policies, and establishing transparent eligibility rules for peppercorn tenancies.

The auditor also called for property condition reports for all tenancies, reviews of maintenance contracting arrangements to determine whether competitive procurement is appropriate, and stronger risk-based quality assurance procedures to monitor maintenance work and address deficiencies.

The ACT government acknowledged the findings, saying reforms were already underway, including updated tenancy policies, improved records and procurement training.

It says 94 per cent of peppercorn licences have been updated in 2026 and a broader program of asset management and property service reforms is underway.

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