12 months on: Public Trustee delivers progress on Public Advocate’s Report recommendations

3 March 2022

The Public Trustee of Queensland’s progress report shows the significant progress made in implementing the recommendations of The Public Advocate’s review of Public Trustee fees, charges and practices tabled in 2021.

The report contained 32 recommendations and the Public Trustee (PT) has responded with more than 30 significant initiatives as part of the organisation’s evolution into a more modern, customer-centric, ethical and sustainable organisation.

Of the 23 recommendations outlined in the Public Advocate’s Report that are the responsibility of the Public Trustee, action has been taken on all recommendations, with 10 accepted and implemented in full, 12 underway and on schedule to be completed by the end of the financial year 21/22, and a further recommendation under further consideration.

The Public Trustee of Queensland CEO Samay Zhouand, said progress and change over the past 12 months has been focused on delivering effective outcomes and making a positive social impact in Queensland communities.

Mr Zhouand said many of the Public Advocate’s recommendations were being addressed through PT’s industry-leading Customer First Agenda and the Public Advocate’s Report helped with the continual improvement process.

“Though the past year has presented challenges because of COVID-19, we have continued to take positive steps towards implementing the Report’s recommendations,” he said.

“In keeping with our purpose, to protect and strengthen the rights, dignity and financial interests of all Queenslanders, we have made significant reforms in the core service areas of advocacy, education and governance.

“Our new initiatives are focused on putting the customer first to ensure any and all decisions are made with compassion, purpose and clarity, and our customers have responded positively with customer complaints down 20 per cent.”

A key initiative of the Public Trustee’s Customers First Agenda is the Customer Advocate Office, established to provide a voice to the Public Trustee’s customers, and their support networks, to ensure their needs, thoughts and wishes are put at the forefront of our decisions and actions.

The Public Trustee has also completed a full review of its complaint handling processes, leading to a number of changes in how the organisation works with customers to resolve issues.

This customer-first approach has extended to training for staff in complaints handling as well as the rollout of an integrity training and awareness program designed specifically for Public Trustee staff’s unique customer responsibilities.

Other significant improvements made by the Public Trustee since the introduction of the Customers First Agenda includes:

The introduction of the Public Trustee Financial Independence Pathway Program, designed to support customers to apply for a declaration of capacity with QCAT, removing the need for the Public Trustee's appointment entirely and returning financial independence to the customer
Adopting Easy English — an easy-to-read written form of English — across all PT materials to ensure the work the Trustee does on behalf of customers is easier to understand
Establishing an Official Solicitor – Customer Legal Services role to directly manage and support customer matters, meaning customers now receive dedicated advice on matters from qualified lawyers solely focused on improved outcomes for them
A new Legal Expert Transformation Panel is being established which will provide guidance for the Official Solicitor – Customer Legal Services regarding any policies of the office to ensure customer needs are at the centre of advice
Removing the value of the primary residence from any asset tests conducted, recognising a person’s house or apartment is not just an asset, it is their home
A refreshed Public Trustee website that gives customers access to helpful publications and tools, such as the Ready Reckoner and Deceased Estate Fee Calculator
The introduction of online portals for appointment bookings, complaints and compliments to speed-up response times, and provide customers and their families with easier and faster access to the help they need
The implementation of more than 150 improvements to frontline work practices.

“We have worked hard to make the services we provide for our customers easier to understand and navigate, and while we are pleased with our progress, we know there is more to be done,” Mr Zhouand said.

“We are up for the challenge of continual improvement to provide customers and their families easier and faster access to the help they need.

“We have also welcomed the opportunity to work with Government to meet these recommendations and the appointment of a Public Trustee Board which will provide oversight and accountability in our operations for our customers.

“In 2022, we will continue our work on a range of initiatives to meet the Public Advocate’s recommendations and build on the policies and programs we have already established.”

The Public Trustee will continue to assess and implement new initiatives in line with the Public Advocate’s recommendations, including an independent review of the Public Trustee’s fees and charges currently being undertaken by a specialist consultant and to be completed in June of this year.

“We will continue our work with a determination to be a dependable and responsive organisation to the Queensland community, while creating a positive social impact.”

Visit the Public Trustee website to find a table showing the actions taken by the PTQ to implement the recommendations in the Public Advocate’s Report.

THE PUBLIC ADVOCATE RECOMMENDATION	CURRENT STATUS (ACCEPTED / NOT ACCEPTED / IN PART / IN PRINCIPLE / FURTHER CONSIDERATION	PUBLIC TRUSTEE OF QUEENSLAND’S IMPROVED PROCESSES AND PRACTICES
1. Undertake a full fees and charges review	Accepted – in progress	A specialist consultancy is leading an independent and comprehensive review of PT’s fees and charges. Due FY21/22 including public consultation Developed and implemented an integrity training and awareness calendar Provided $32 million in rebates of fees to 11,251 customers Introduced a Fees and Charges Integrity and Governance framework Removing principal place of residence from asset test which will save customers more than $1 million in the next year If expert financial advice for the customer results in a recommendation to invest in only PT financial products, that advice will no longer attract a charge
2. Improve the transparency of fees and charges	Accepted and implemented	Developed a ready reckoner to explain PT fees and charges in plain language Developed the Customer Budget document to explain PT processes in plain language in consultation with current and previous customers Developed an online Fees Estimator for deceased estate fees Redesigned the PT website so all information is presented in easy English Designing a new Financial Statement to improve clarity for customers Established a Customer Advocate Office to resolve customer issues on the customer’s terms Introduced online portals for appointment bookings, complaints and compliments Continually promoting the PT Structured Decision-Making Framework for customer clarity and accountability In the last year, fee-related information on PT Online was accessed more than 50,000 times by customers 70% of customers surveyed since the new Customer Budget was launched in July 2021, indicated that it is easy to understand and read
3. Consider the effect of fees when appointing the Public Trustee as financial administrator	Government Recommendation Additionally, the Public Trustee has implemented administrative solutions and initiatives with respect to this item.	PT is usually only appointed when there is no suitable family or friend to take the role Most appointments of PT are made with consideration of PT fees and charges In cases where a PT appointment is likely, PT officers attend QCAT specifically to answer questions on fees and charges PT officers also support QCAT reviews by providing tribunal briefings laying out PT fees and charges within the customer budget context Further work is underway to ensure PT representatives attend as many of these hearings as possible and review how QCAT’s work on behalf of our customers can be better supported Established a QCAT referral panel to identify opportunities to improve interactions with QCAT and to provide better outcomes for customers The Public Trustee’s Financial Independence Pathway Program is designed to support customers to apply for a declaration of capacity with QCAT, removing the need for the Public Trustee's appointment
4. Reconsider the practice of routinely obtaining external financial advice	Accepted and implemented	Establishing a Legal Expert Transformation Panel, to provide guidance for the Official Solicitor - Customer Legal Services regarding any policies of the office, including the appointment of external financial advisors If expert financial advice for the customer results in a recommendation to invest in only PT financial products, that advice will no longer attract a charge as of 1 April 2022 Established a Customer Advocate Office, an important interface function between the Public Trustee and customers and their support networks Currently finalising a procurement process to guide the appointment of a provider, or providers, of financial planning, investment administration and aged care funding advice A key requirement of the procurement process is that the successful provider is to consider investment products other than PT’s Consideration has determined that obtaining external professional assistance to provide advice in respect of TPD insurance claims, is the most cost-effective approach
5. Discontinue general fees for incidental outlays	Further consideration – in progress	Incidental outlay fees are currently being independently reviewed as part of the independent and public review of all PT fees and charges
6. Seek a Goods and Services Tax exemption	Government Recommendation	The Public Trustee is currently seeking a GST exemption from the ATO with the support of Government
7. Review Community Services Obligations	Accepted in principle – in progress	The Public Trustee will ensure the sustainability of its CSOs, in light of adjustments to fees and charges, when implementing the findings and recommendations of the independent review
8. Discontinue client subsidisation of Community Service Obligations	Further consideration – in progress	PT CSOs are funded from interest earned on investments, not customer fees and charges The best way to fund CSOs sustainably will be determined following receipt of independent report
9. Limit the level of Community Service Obligations	Further consideration – in progress	PT CSOs are funded from interest earned on investments, not customer fees and charges The best way to fund CSOs sustainably will be determined following receipt of independent report
10. Review fee rebate and financial hardship provisions to ensure client assets are not depleted by fees and charges	Accepted – in progress	A change to the CSO rebate calculation means customers’ primary residence will no longer count towards asset tests, saving PTQ customers more than $1 million in the next year All other fees and charges are currently under independent review
11. Do not profit from administration clients unless expressly permitted by law	Government recommendation	The Public Trustee strongly agrees that it must always comply with its legal and fiduciary duties in dealing with administration customer funds, including the obligation not to "profit" from those funds. The Public Trustee is committed to encouraging customers to make use of its Financial Independence Pathway Program, designed to support customers to achieve a declaration of capacity with QCAT and remove the need for the Public Trustee's appointment The ongoing independent review of fees and charges will consider the reasonableness of the Public Trustee's fees and charges This review includes independent benchmarking of fees and detailed data analysis to ensure the future sustainability of the Public Trustee business
12. Improve transparency of Public Trustee revenue sources	Accepted and implemented	The PT Annual Report includes this information, complies with Australian Accounting Standards and Qld Treasury Reporting guidelines, and is subject to annual QAO audit PT has published a public document about how customer administered funds are invested PT has updated fee-related information on its website Regular information campaigns are conducted to empower and educate customers about fees and charges Social Impact Reports are used to better understand customer needs Created PT Customer Advocate Office as an important customer interface that improves transparency Established PT Structured Decision-Making Framework to ensure customers are involved in all decisions relating to them
13. Clearly report the fees and costs of managing Public Trustee investments	Accepted and implemented	The PT Annual Report includes this information, complies with Australian Accounting Standards and Qld Treasury Reporting guidelines, and is subject to annual QAO audit PT’s newly developed Ready Reckoner on fees and charges was downloaded more than 2,700 times in 2021 Created a Customer Advocate Office as an important customer interface that improves transparency Established PT Structured Decision-Making Framework to ensure customers are involved in all decisions relating to them Documentation has been developed and published to explain community administered funds investment
14. Stop requiring administration clients to pay double charges on their funds	Further consideration – in progress	PT does not double charge customers in any case PT and Public Advocate are in dialogue on the best way to explain fees to customers
15. Limit the amount of Public Trustee surpluses and reserves	Government recommendation	PT is required to retain sufficient reserves to operate financially independent of government, as stated in the Public Trustee Act 1978 Since 2020, PT has made significant savings and efficiency gains, including an ICT overhaul in order to reduce resourcing requirements The Public Trustee’s Financial Independence Pathway Program is designed to support customers to achieve a declaration of capacity with QCAT, and then ultimately remove the need for the Public Trustee's appointment
16. Review investment practices and discontinue activities that do not directly benefit clients	Accepted and implemented	PT Customer Investment Strategy was independently reviewed in December 2020 leading to a number of changes in threshold assessments and investment approaches based on this Implementation plans for this revised strategy are currently being developed and will roll out in 2022 PT has reviewed all investment practices and its Prudent Person Manual to ensure customer benefit and prudential care are the only guiding considerations in investing funds Regular information campaigns are conducted to empower and educate customers about fees and charges Social Impact Reports are used to better understand customer needs Created a Customer Advocate Office as an important customer interface that improves transparency Established PT Structured Decision-Making Framework to ensure customers are involved in all decisions relating to them
17. Review and update the Prudent Person Manual	Partly accepted and implemented	PT recently reviewed its Prudent Person Manual and does so annually The revised Prudent Person Manual was first published on the Public Trustee’s website in May 2020 Created a Customer Advocate Office as an important customer interface that improves transparency Established PT Structured Decision-Making Framework to ensure customers are involved in all decisions relating to them Following a 2020 review of the PT Customer Investment Strategy, it was determined to continue to prioritise capital preservation over growth in investing customer funds However, individual customer investment strategies may vary to suit specific circumstance
18. Publish the Prudent Person Manual	Accepted and implemented	PT Prudent Person Manual was revised recently, and a revised version was first published on the PT website in May 2020
19. Review position on conflict transactions	Further consideration	Public Trustee customers benefit from the economies of scale that are possible through the investment in the Public Trustee’s products PT has always been and remains fully compliant with its duties owed to its customers as both a trustee and fiduciary PT has conducted a review of its approach to "conflict transactions" and will consider this issue further as part of its annual review of its Prudent Person Manual PT is establishing a Legal Expert Transformation Panel, to provide guidance for the Official Solicitor – Customer Legal Services regarding any policies of the office
20. Review the practice of only investing in Public Trustee investment products	Partly accepted – in progress	PT’s Annual Report provides transparency to PT investments PT relies on expert investment advice that considers a range of investment products outside of the Public Trustee’s products, depending on a customer's individual circumstances PT does not charge customers for financial advice where that advice solely recommends investment in Public Trustee products PT is currently finalising a procurement process for a provider or providers of financial planning advice PT will ensure the successful provider considers investment products other than just those of the Public Trustee
21. Adopt a new client investment strategy	Accepted and implemented	PT’s Customer Investment Strategy was independently reviewed in December 2020 in accordance with industry best practice PT is in the process of implementing a revised Customer Investment Strategy to transition to customers in 2022 which incorporates all aspects of recommendation 21 PT is reviewing all agreements with providers of direct services to Public Trustee customers, to ensure that customers are receiving value for money
22. Reconsider routinely obtaining external financial advice for certain types of assets	Accepted and implemented	PT obtains external financial advice only where it is reasonable and appropriate to do so, to further the customer’s interests, comply with our fiduciary and statutory duties, and with consideration to the customer’s individual circumstances PT is in the process of implementing a revised Customer Investment Strategy to transition to customers in 2022 which incorporates all aspects of recommendation 21 PT is reviewing all agreements with providers of direct services to Public Trustee customers, to ensure that customers are receiving value for money
23. Obtain advice about refunding financial advice fees	Further consideration – in progress	PT obtains external financial advice only where it is reasonable and appropriate to do so, to further the customer’s interests, comply with our fiduciary and statutory duties, and with consideration to the customer’s individual circumstances PT relies on expert investment advice that considers a range of investment products outside of the Public Trustee’s products, depending on a customer's individual circumstances PT is in the process of implementing a revised Customer Investment Strategy to transition to customers in 2022 which incorporates all aspects of recommendation 21 PT is reviewing all agreements with providers of direct services to Public Trustee customers, to ensure that customers are receiving value for money It is always open for the expert PT financial advisor to recommend an approach which differs from the Customer Investment Strategy
24. Review the role and operations of the Official Solicitor	Joint Government and Public Trustee Recommendation In progress by the Public Trustee	2019 Governance and Structure Review 2020 implementation separated the Official Solicitor function into Official Solicitor – Corporate Legal Services, and Official Solicitor – Customer Legal Services, to better delineate services and advice between customers and internal clients PT has introduced a policy to require all permanently appointed lawyers working in an Official Solicitor Office to hold a current practising certificate This is now a requirement in all new PDs and also for recruitment purposes PT is establishing a Legal Expert Transformation Panel, to provide guidance for the Official Solicitor – Customer Legal Services regarding any policies of the office
25. Develop a policy to support administration clients to make complaints about the Public Trustee	Accepted and implemented	Currently implementing six recommendations from QAO audit of 2020 to enhance the accessibility, effectiveness, and responsiveness of our complaints management system Published ‘Your Complaints Journey’ brochure to clearly explain customer complaint process Reviewed Complaints Management Policy Published complaint handling resources in Plain English PT complaints information materials on the website have been accessed more than 3,500 times since published in 2021 A downward trend (20 per cent) in the number of substantiated complaints has also been observed, even though our online complaints form is more accessible than ever PT complaints process is supported through increased staff training and development in customer service Education sessions for frontline staff in complaints handling Worked to increase complaint handling times and monitoring Finalising procurement processes for a new complaint handling system Established a Customer Advocate Office to resolve customer issues on the customer’s terms
26. Amend legislation so Public Trustee solicitors are overseen by the Legal Services Commission	Government Recommendation Additionally, the Public Trustee has commenced administrative solutions and initiatives with respect to this item.	2019 Governance and Structure Review 2020 implementation separated the Official Solicitor function into Official Solicitor – Corporate Legal Services, and Official Solicitor – Customer Legal Services, to better delineate services and advice between customers and internal clients PT has introduced a policy to require all permanently appointed lawyers working in an Official Solicitor Office to hold a current practising certificate This is now in a requirement in all new PDs and also for recruitment purposes PT is establishing a Legal Expert Transformation Panel, to provide guidance for the Official Solicitor – Customer Legal Services regarding any policies of the office
27. Review Official Solicitor policies and practices	Accepted – in progress	2019 Governance and Structure Review 2020 implementation separated the Official Solicitor function into Official Solicitor – Corporate Legal Services, and Official Solicitor – Customer Legal Services, to better delineate services and advice between customers and internal clients As part of providing customer-centric legal services, lawyers for the Official Solicitor consider the commerciality of the case, the customer’s views, wishes and preferences, the Human Rights Act 2019, and the benefit to the customer of the legal action PT’s Structured Decision-Making Framework ensures that customers and/or their support network are consulted, where possible, before commencing any legal process PT reviews all legal fees charged to customers before invoices are issued These fees are also currently being considered as part of the independent review PT has established processes to allow a customer to attend a Public Trust Office and review legal advice to ensure legal professional privilege and customer’s interests are protected A process has been implemented to enable Public Trustee Officers to query any of the legal fees charged to a customer PT retains discretion to not charge legal fees to a customer in some instances or provide a rebate on fees through its Community Service Obligations The Legal Expert Transformation Panel will be available for the Official Solicitor – Customer Legal Services, to provide guidance regarding any of the policies or practices of the office, including charging practices
28. Consideration for the review of Public Trustee fees and charges	Accepted – in progress	All of these matters are part of the brief for the independent review of fees and charges currently underway by a specialist consultancy The independent review is overseen by a Fees and Charges Steering Advisory Board which includes representatives from the Department of the Premier and Cabinet, Queensland Treasury, Department of Justice and the Attorney-General, Department of Seniors, Disability Services and Torres Strait Islander Partnerships, the Integrity Commissioner, and an independent member
29. Amend legislation to clarify how the Public Trustee can invest client funds	Government recommendation	All matters pertaining to changes to the Public Trustee Act 1978 are a matter for the Queensland Government and the Attorney-General All operations, policies, and practices of PT have been scrutinised for over a century PT has undergone, and continues to undergo, a continual reform of all its policies and practices including the investment of customer funds The Public Trustee reviews and reports on the performance of a customer’s investments, individually and as a whole, at least annually
30. Consider additional oversight mechanisms	Government recommendation Additionally, the Public Trustee has commenced administrative solutions and initiatives with respect to this item.	Oversight mechanisms and processes are a matter for the Queensland Government The Government has committed to establishing a statutory board to provide PT oversight The Bill to achieve this has been reviewed and agreed to by parliamentary committee PT has established increased governance and accountability measures through its Customers First Agenda These oversight mechanisms include the oversight roles undertaken by the Customer and Government Reference Groups established in 2020
31. Update the Public Trustee Act to better acknowledge rights and interests of people with impaired decision-making capacity	Government recommendation Additionally, the Public Trustee has commenced administrative solutions and initiatives with respect to this item.	All matters pertaining to changes to the Public Trustee Act 1978 are a matter for the Queensland Government and the Attorney-General In 2020, a 7-Step Structured Decision-Making Framework, which supports Public Trustee officers in making all customer decisions, was implemented In 2021, the Public Trustee designed a Strategic Policy function. Recruitment processes for these roles are currently underway
32. Amend legislation to ensure the Public Trustee is an appointment of last resort and the appointment is periodically reviewed	Government recommendation Additionally, the Public Trustee has commenced administrative solutions and initiatives with respect to this item.	All matters pertaining to changes to the Guardian and Administration Act 2000 are a matter for the Queensland Government and the Attorney-General PT has established a QCAT referral panel, which will continue to identify opportunities to improve interactions with QCAT and provide better outcomes for customers