The committee responsible for the relocation of the Australian Pesticides and Veterinary Medicines Agency (APVMA) to Armidale held two meetings at the hotel owned by Greg Maguire, the man who provided a rent-free apartment to Barnaby Joyce and his partner Vikki Campion, Senate estimates heard today.

APVMA chief executive Dr Chris Parker faced sustained questioning over the relocation and whether there were any benefits flowing to Joyce’s benefactor, who is the owner of the largest hotel in Armidale, the Powerhouse.

Joyce’s decision to accept free rent on an Armidale town house from his friend Maguire after the breakdown of his marriage to his wife, Natalie, came under intense scrutiny until he resigned as deputy prime minister last week.

Joyce’s 2016 decision to relocate the APVMA has also proved controversial with the organisation suffering an exodus of staff, including its former chief executive after the order to relocate.

Parker declined to answer questions on who would develop the new offices for the AVPMA in Armidale, saying the organisation was in final negotiations with a preferred tenderer. An announcement is expected in two weeks, he said.

Three sites have been identified. None appear to be linked with Greg Maguire.

However Parker confirmed the committee advising on the relocation of the agency had held two meetings and stayed at the Powerhouse Hotel, including holding a reception for stakeholders at one. He has undertaken to provide more information on spending by staff on accommodation at the hotel. The Guardian was told by APVMA that staff had spent $14,700 on accommodation at the Powerhouse to date.

Senate estimates was told 42 staff had left in the 2016-17 financial year and that “the majority” had left because they did not want to relocate.

But Parker said the organisation was making progress on the move. He said there were currently 15 staff in the Armidale office who were working in the temporary office or working off site under e-working arrangements. Ultimately the organisation aims to have 150 staff in Armidale.

So far only three staff have relocated from Canberra to Armidale, despite an incentive of up to $55,000 which will be paid towards costs of relocation.

Senators were particularly concerned about the loss of scientists from the APVMA. Parker said there were 92 scientific positions and these were fully staffed. But so far only two regulatory scientists have moved to Armidale from Canberra and “half a dozen or so” had been recruited to work in Armidale.

Nine scientists have resigned but more are expected to leave rather than relocate. The agency is conducting a survey to understand the staff intentions, Parker said.

Asked whether it would be more sensible to have some scientific staff located in Canberra, Parker replied: “My responsibility is to implement the government policy order,” he said.

Parker said he was being paid up to $32,000 a year toward his accommodation costs for the next two years in Armidale in order to run the organisation over two locations.



“ I live in both places,” he said, adding that he was not being paid any travel allowances.

The move to Armidale, which was directed by Joyce when he was agriculture minister, has also added to the financial pressures on the APVMA, which has run at a loss for the past three years. The organisation is required to raise about 85% of its budget from fees charged to industry.