Estimates of appropriations

Vote ACC - Economic Development and Infrastructure - Estimates 2014/2015

Formats and related files

APPROPRIATION MINISTER(S): Minister for ACC (M1)

APPROPRIATION ADMINISTRATOR: Ministry of Business, Innovation and Employment

RESPONSIBLE MINISTER FOR MINISTRY OF BUSINESS, INNOVATION AND EMPLOYMENT: Minister for Economic Development

Summary of the Vote#

Overview#

Part 1 - Summary of the Vote#

The Minister for ACC is responsible for appropriations in the Vote for the 2014/15 financial year covering the following:

Departmental appropriations of just under $120,000 for purchasing services to manage the residual long-term responsibility related to the Crown's ongoing risks resulting from the introduction of the competitive accident insurance market during 1999/2000.

Non-departmental appropriations consisting of:

  • a total of just under $112 million to cover the estimated cost of injury prevention, claim processing, assessment, payment services and case management on the Non-Earners' Account
  • a total of just under $10 million to cover the cost of injury prevention, claim lodgement and management, investment management and appropriation setting for claims by non-earners on the Treatment Injury Account
  • a total of just under $300 million to fund public health acute services for claims on the Non-Earners' Account
  • a total of just over $1 million to fund public health acute services for claims by non-earners on the Treatment Injury Account
  • a total of just under $440 million to cover the estimated cost of purchasing medical services, social rehabilitation, elective health care and contracted services on the Non-Earners' Account, and
  • a total of just over $72 million to cover the cost of purchasing medical services, social rehabilitation and elective health care services and contracted services for claims by non-earners on the Treatment Injury Account.

Benefits or related expenses consisting of:

  • a total of just over $23 million to cover the cost of income maintenance, independence allowance, and other compensation payments for claims on the Non-Earners' Account, and
  • a total of just over $7 million for provision of income maintenance, independence allowance, and other compensation payments for claims by non-earners on the Treatment Injury Account.

Multi-category expenses and capital expenditure of under $3 million to provide policy advice and other support relating to the accident compensation scheme and ministerial servicing.

Details of these appropriations are set out in Parts 2-4.

Estimates of Appropriations#

Details of Appropriations and Capital Injections#

Annual and Permanent Appropriations

2013/142014/15
Titles and Scopes of Appropriations by Appropriation TypeBudgeted
$000
Estimated
Actual
$000
Budget
$000

Departmental Output Expenses

Regulatory Services (M1)

This appropriation is limited to the management of the residual long-term responsibility related to the Crown's ongoing risks resulting from the introduction of the competitive accident insurance market during 1999/2000.
116116119

Policy Advice and Related Outputs MCOA (M1)

2,9122,912-
Ministerial Services
This output class is limited to the provision of services to Ministers to enable them to discharge their portfolio (other than policy decision-making) responsibilities.
509509-
Policy Advice - ACC
This output class is limited to the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government policy matters relating to the accident compensation system.
2,4032,403-

Total Departmental Output Expenses

3,0283,028119

Non-Departmental Output Expenses

Case Management and Supporting Services (M1)

To cover the cost of injury prevention, claim processing, assessment, payment services and case management on the Non-Earners' Account.
106,873106,873111,995

Case Management and Supporting Services - Treatment Injuries for Non-Earners' (M1)

This appropriation is limited to cover the cost of injury prevention, claim lodgement and management, investment management and appropriation setting for claims by non-earners' on the Treatment Injury Account.
16,72616,7269,107

Public Health Acute Services (M1)

To fund public health acute services for claims on the Non-Earners' Account.
286,172286,172296,853

Public Health Acute Services - Treatment Injuries for Non-Earners' (M1)

This appropriation is limited to fund public health acute services for claims by non-earners' on the Treatment Injury Account.
7187181,197

Rehabilitation Entitlements and Services (M1)

To cover the cost of purchasing medical services, social rehabilitation and elective health care services on the Non-Earners' Account and contracted services.
507,060507,060438,593

Rehabilitation Entitlements and Services - Treatment Injuries for Non-Earners' (M1)

This appropriation is limited to cover the cost of purchasing medical services, social rehabilitation and elective health care services and contracted services for claims by non-earners' on the Treatment Injury Account.
129,308129,30872,300

Total Non-Departmental Output Expenses

1,046,8571,046,857930,045

Benefits or Related Expenses

Compensation Entitlements (M1)

This appropriation is limited to the provision of income maintenance, independence allowance, and other compensation payments for claims on the Non-Earners' Account.
49,04049,04023,323

Compensation Entitlements - Treatment Injuries for Non-Earners' (M1)

This appropriation is limited to the provision of income maintenance, independence allowance, and other compensation payments for claims by non-earners' on the Treatment Injury Account.
16,72716,7277,134

Total Benefits or Related Expenses

65,76765,76730,457

Multi-Category Expenses and Capital Expenditure

Policy Advice and Related Outputs MCA (M1)

The overarching purpose of this appropriation is to provide policy advice and other support to Ministers in discharging their policy decision-making and other portfolio responsibilities.
--2,502
Departmental Output Expenses
Ministerial Services
This category is limited to the provision of services to Ministers to enable them to discharge their portfolio (other than policy decision-making) responsibilities.
--501
Policy Advice - ACC
This category is limited to the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government policy matters relating to the accident compensation system.
--2,001

Total Multi-Category Expenses and Capital Expenditure

--2,502

Total Annual and Permanent Appropriations

1,115,6521,115,652963,123

Supporting Information#

Part 1 - Vote as a Whole#

1.1 - New Policy Initiatives

Policy InitiativeAppropriation2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
Formation of Ministry of Business, Innovation and Employment Savings

Regulatory Services

Departmental Output Expenses
-(1)(1)(1)(1)

Ministerial Services

Multi-Category Expenses and Capital Expenditure Policy Advice and Related Outputs
-(8)(8)(8)(8)

Policy Advice - ACC

Multi-Category Expenses and Capital Expenditure Policy Advice and Related Outputs
-(38)(38)(38)(38)
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes

Case Management and Supporting Services

Non-Departmental Output Expenses
-9,6932,717(10,732)(22,522)

Case Management and Supporting Services - Treatment Injuries for Non-Earners'

Non-Departmental Output Expenses
-(21,218)(12,225)(20,104)(28,241)

Public Health Acute Services

Non-Departmental Output Expenses
-(3,158)(3,828)(4,407)(5,052)

Public Health Acute Services - Treatment Injuries for Non-Earners'

Non-Departmental Output Expenses
-1,1971,1821,3831,473

Rehabilitation Entitlements and Services

Non-Departmental Output Expenses
-(105,935)(42,515)43,329128,737

Rehabilitation Entitlements and Services - Treatment Injuries for Non-Earners'

Non-Departmental Output Expenses
-(27,668)(30,337)3,05235,882

Compensation Entitlements

Non-Departmental Benefits or Related Expenses
-(5,649)5,25227,60640,813

Compensation Entitlements - Treatment Injuries for Non-Earners'

Non-Departmental Benefits or Related Expenses
-(20,745)(9,630)(15,683)(22,112)
Total Initiatives by Year-(173,530)(89,431)24,397128,931

Summary of Financial Activity#

2009/102010/112011/122012/132013/142014/152015/162016/172017/18
Actual
$000
Actual
$000
Actual
$000
Actual
$000
Budgeted
$000
Estimated
Actual
$000
Departmental
Transactions
Budget
$000
Non-
Departmental
Transactions
Budget
$000
Total
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000

Appropriations

Output Expenses1,205,2291,167,2521,075,0671,077,4191,046,9731,046,973119930,045930,1641,051,7411,156,7471,254,659
Benefits or Related Expenses57,82254,73013,47850,46865,76765,767N/A30,45730,45739,55548,37955,001
Borrowing Expenses------------
Other Expenses------------
Capital Expenditure-1,335----------
Intelligence and Security Department Expenses and Capital Expenditure-------N/A----
Multi-Category Expenses and Capital Expenditure (MCA)
Output Expenses
3,3134,2064,6153,3162,9122,9122,502-2,5022,4522,7272,727
Other Expenses
------------
Capital Expenditure
------N/A-----

Total Appropriations

1,266,3641,227,5231,093,1601,131,2031,115,6521,115,6522,621960,502963,1231,093,7481,207,8531,312,387

Crown Revenue and Capital Receipts

Tax Revenue------N/A-----
Non-Tax Revenue----500500N/A500500500500500
Capital Receipts------N/A-----

Total Crown Revenue and Capital Receipts

----500500N/A500500500500500

Note - where restructuring of the vote has occurred then, to the extent practicable, prior years information has been restated as if the restructuring had occurred before the beginning of the period covered.

Adjustments to the Summary of Financial Activity table due to Vote Restructuring#

2009/10
Adjustments
$000
2010/11
Adjustments
$000
2011/12
Adjustments
$000
2012/13
Adjustments
$000
2013/14
Budgeted
Adjustments
$000
2013/14
Estimated
Actual
Adjustments
$000

Appropriations

Output Expenses(3,313)(4,206)(4,615)(3,316)(2,912)(2,912)
Benefits or Related Expenses------
Borrowing Expenses------
Other Expenses------
Capital Expenditure------
Intelligence and Security Department Expenses and Capital Expenditure------
Multi-Category Expenses and Capital Expenditure (MCA)
Output Expenses3,3134,2064,6153,3162,9122,912
Other Expenses------
Capital Expenditure------

Total Appropriations

-

-

-

-

-

-

Crown Revenue and Capital Receipts

Tax Revenue------
Non-Tax Revenue------
Capital Receipts------

Total Crown Revenue and Capital Receipts

------

As a consequence of the 2013 Amendment to the Public Finance Act, Multi Class Output Expense Appropriations were converted to Multi-Category Appropriations.

Total Vote: All Appropriations

The changes in total appropriations are mainly due to the periodic valuation of costs and services for non-departmental activities, which are undertaken by the Accident Compensation Corporation.

Output Expenses and Benefits and Related Expenses

The fluctuating trend in the output expenses reflects the annual revaluation of ongoing liabilities, assets, and forecasted costs based on updated historical performance and economic factors to meet the funding needs of the Non-Earners' Account portion of ACC.

Multi-Category Expenses and Capital Expenditure

The following are the key changes that are reflected in these trends:

  • 2011/12 contained one-off funding for additional policy work in relation to the investigation of choice in scheme provision
  • from 2011/12 there was additional funding of $482,000 as a result of internal structural changes in corporate and policy functions within the Department of Labour
  • from 2012/13 there was a decrease as a result of efficiency savings of $129,000
  • in 2012/13 the function of monitoring the Accident Compensation Commission (ACC) was transferred to the Treasury, and
  • 2013/14 reflects the full decrease of the transfer of the monitoring function.

1.4 - Reconciliation of Changes in Appropriation Structure#

Old StructureNew Structure
2013/14 Appropriations
in the 2013/14 Structure
2013/14
(Current)
$000
Appropriations to which
Expenses (or Capital
Expenditure) have been Moved from or to
Amount
Moved
$000
2013/14 Appropriations
in the 2014/15 Structure
2013/14
(Restated)
$000
2014/15
$000

Departmental Output Expense

Policy Advice and Related Outputs MCOA2,912From Policy Advice and Related Outputs (MCOA)2,912To Policy Advice and Related Outputs (MCA)2,9122,502
Total Changes in Appropriations2,9122,9122,9122,502

The above changes reflect the implementation and restructure of Multi-Class Output Expense appropriations (MCOAs) to Multi-Category Appropriations (MCAs) as per the Public Finance Act amendments.

Explanations of the reasons for changing the appropriation structure are noted in the details of each appropriation in Parts 2-4.

Part 2 - Details of Departmental Appropriations#

2.1 - Departmental Output Expenses#

Regulatory Services (M1)

Scope of Appropriation

This appropriation is limited to the management of the residual long-term responsibility related to the Crown's ongoing risks resulting from the introduction of the competitive accident insurance market during 1999/2000.

Expenses and Revenue

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation116116119
Revenue from the Crown116116119
Revenue from Others---

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve timely policy advice that manages the Crown's risk and contributes to skilled and safe workplaces, and trusted, competitive and well-functioning markets, as measured by our response to enquiries.

How Performance will be Assessed and End of Year Reporting Requirements

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
The Accident Insurance Regulator responds to all complaints and enquiries, including notices of insurers failing to comply with their obligation under the Accident Insurance Act 1998, within five days of receipt.100%100%100%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
Reprioritisation Across Votes to Meet Cost Pressures2015/16--(2)--
Formation of Ministry of Business, Innovation and Employment savings2014/15-(1)(1)(1)(1)
Efficiency Savings2012/13(4)(4)(4)(4)(4)
Vote Realignment to Reflect Changes in Cost Allocation and Reprioritisation2012/13711141414

Reasons for Change in Appropriation

The decrease in this appropriation for 2014/15 is mainly due to budget initiatives relating to a prior year vote realignment and formation of Ministry of Business, Innovation and Employment savings.

Part 3 - Details of Non-Departmental Appropriations#

3.1 - Non-Departmental Output Expenses#

Case Management and Supporting Services (M1)

Scope of Appropriation

To cover the cost of injury prevention, claim processing, assessment, payment services and case management on the Non-Earners' Account.

Expenses

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation106,873106,873111,995

Components of the Appropriation

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Claims handling costs102,705102,705106,421
Other expenses4,1684,1685,574

What is Intended to be Achieved with this Appropriation

This appropriation is intended to contribute to reducing the incidence and severity of injury to non-earners in New Zealand, and to ensure that injured non-earners covered by the scheme receive case management and supporting services that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Injury prevention, and case management and supporting services, will be delivered according to the performance measures set out in the Service Agreement between the Minister for ACC and ACC (see Note 1).New measureNew measureAll measures achieved

Note 1 - Performance assessment information will be updated in the Supplementary Estimates with appropriate measures and standards from the Service Agreement for the year commencing 1 July 2014 that is presented to the House under Section 271 (5) of the Accident Compensation Act 2001.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-9,6932,717(10,732)(22,522)
Non-Earners' Account Appropriation for 2013/142013/1447,57942,52248,60058,59769,669
Non-Earners' Account Appropriation for 2012/132012/13(10,023)(9,537)(9,331)(8,195)(8,195)
Forecast Change Between Non-Departmental Output Expenses and Other Unrequited Expenses2011/12410410410410410
Productivity Commission2010/11(150)(150)(150)(150)(150)

Reasons for Change in Appropriation

The increase in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Case Management and Supporting Services - Treatment Injuries for Non-Earners' (M1)#

Scope of Appropriation#

This appropriation is limited to cover the cost of injury prevention, claim lodgement and management, investment management and appropriation setting for claims by non-earners' on the Treatment Injury Account.

Expenses#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation16,72616,7269,107

What is Intended to be Achieved with this Appropriation#

This appropriation is intended to contribute to reducing the incidence and severity of injury to non-earners in New Zealand, and to ensure that injured non-earners covered by the scheme receive claim lodgement and management services that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements#

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Injury prevention, claim lodgement and management, investment management, and appropriation setting will be delivered according to the performance measures set out in the Service Agreement between the Minister for ACC and ACC (see Note 1).New measureNew measureAll measures achieved

Note 1 - Performance assessment information will be updated in the Supplementary Estimates with appropriate measures and standards from the Service Agreement for the year commencing 1 July 2014 that is presented to the House under Section 271 (5) of the Accident Compensation Act 2001.

End of Year Performance Reporting#

Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives#

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-(21,218)(12,225)(20,104)(28,241)
Non-Earners' Account Appropriation for 2013/142013/142,29615,8119,61217,74726,343
Non-Earners' Account Appropriation for 2012/132012/135,5085,5925,5585,7615,761
Forecast Change Between Non-Departmental Output Expense and Benefits and Other Unrequited Expenses2011/128,9228,9228,9228,9228,922

Reasons for Change in Appropriation#

The decrease in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Public Health Acute Services (M1)#

Scope of Appropriation#

To fund public health acute services for claims on the Non-Earners' Account.

Expenses#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation286,172286,172296,853

Components of the Appropriation#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Public Health Acute Services286,172286,172296,853

What is Intended to be Achieved with this Appropriation#

This appropriation is intended to ensure that injured non-earners covered by the scheme receive public health acute services that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements#

Performance assessment information for public health acute services will be updated in the Supplementary Estimates. Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives#

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-(3,158)(3,828)(4,407)(5,052)
Non-Earners' Account Appropriation for 2013/142013/14(1,600)(97)51328616,061
Non-Earners' Account Appropriation for 2012/132012/139,95322,28936,21151,50151,501
Forecast Change Between Non-Departmental Output Expenses and Benefits and Other Unrequited Expenses2011/12(26,904)(26,904)(26,904)(26,904)(26,904)

Reasons for Change in Appropriation#

The increase in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Public Health Acute Services - Treatment Injuries for Non-Earners' (M1)#

Scope of Appropriation#

This appropriation is limited to fund public health acute services for claims by non-earners' on the Treatment Injury Account.

Expenses#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation7187181,197

What is Intended to be Achieved with this Appropriation#

This appropriation is intended to contribute to reducing the incidence and severity of injury to non-earners in New Zealand, and to ensure that injured non-earners covered by the scheme receive public health acute services that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements#

Performance assessment information for public health acute services will be updated in the Supplementary Estimates. Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives#

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-1,1971,1821,3831,473
Non-Earners' Account Appropriation for 2013/142013/141(886)(914)(1,134)(1,134)
Non-Earners' Account Appropriation for 2012/132012/13(337)(168)(33)8080
Forecast Changes Between Non-Departmental Output Expenses and Benefits and Other Unrequited Expenses2011/121,0541,0541,0541,0541,054

Reasons for Change in Appropriation#

The increase in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Rehabilitation Entitlements and Services (M1)#

Scope of Appropriation#

To cover the cost of purchasing medical services, social rehabilitation and elective health care services on the Non-Earners' Account and contracted services.

Expenses#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation507,060507,060438,593

Components of the Appropriation#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Ambulance Services34,82834,82835,828
General Practitioner Services69,63569,63569,916
Radiology Services32,46932,46933,277
Physiotherapy Services36,29536,29541,976
Other Medical and Vocational Rehabilitation Services57,59557,59538,062
Elective Surgery Services84,35684,35670,669
Social Rehabilitation - Serious Injuries117,309117,30971,503
Social Rehabilitation - Non-Serious Injuries74,57374,57377,362

What is Intended to be Achieved with this Appropriation#

This appropriation is intended to ensure that injured non-earners covered by the scheme receive medical services, social rehabilitation and elective health care services, and contracted services that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements#

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Medical services, social rehabilitation and elective health care services, and contracted services will be purchased and delivered according to the performance measures set out in the Service Agreement between the Minister for ACC and ACC (see Note 1).New measureNew measureAll measures achieved

Note 1 - Performance assessment information will be updated in the Supplementary Estimates with appropriate measures and standards from the Service Agreement for the year commencing 1 July 2014 that is presented to the House under Section 271 (5) of the Accident Compensation Act 2001.

End of Year Performance Reporting#

Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives#

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-(105,935)(42,515)43,239128,737
Non-Earners' Account Appropriation for 2013/142013/14(103,856)(60,266)(34,111)(36,155)(55,616)
Non-Earners' Account Appropriation for 2012/132012/13(15,668)(21,790)(27,950)(37,836)(37,836)
Forecast Change Between Non-Departmental Output Expenses and Benefits and Other Unrequited Expenses2011/12(98,580)(98,580)(98,580)(98,580)(98,580)

Reasons for Change in Appropriation#

The decrease in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Rehabilitation Entitlements and Services - Treatment Injuries for Non-Earners' (M1)#

Scope of Appropriation#

This appropriation is limited to cover the cost of purchasing medical services, social rehabilitation and elective health care services and contracted services for claims by non-earners' on the Treatment Injury Account.

Expenses#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation129,308129,30872,300

Components of the Appropriation#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Social Rehabilitation - Serious Injuries121,808121,80868,632
Other7,5007,5003,668

What is Intended to be Achieved with this Appropriation#

This appropriation is intended to ensure that injured non-earners covered by the scheme receive medical services, social rehabilitation and elective health care services, and contracted services that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements#

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Medical services, social rehabilitation and elective health care services, and contracted services will be purchased and delivered according to the performance measures set out in the Service Agreement between the Minister for ACC and ACC (see Note 1).New measureNew measureAll measures achieved

Note 1 - Performance assessment information will be updated in the Supplementary Estimates with appropriate measures and standards from the Service Agreement for the year commencing 1 July 2014 that is presented to the House under Section 271 (5) of the Accident Compensation Act 2001.

End of Year Performance Reporting#

Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives#

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-(27,668)(30,337)3,05235,882
Non-Earners' Account Appropriation for 2013/142013/14(9,653)(41,205)(18,171)(34,076)(49,902)
Non-Earners' Account Appropriation for 2012/132012/13(14,907)(12,695)(10,921)(10,036)(10,036)
Forecast Change Between Non-Departmental Output Expenses and Benefits and Other Unrequited Expenses2011/12153,868153,868153,868153,868153,868

Reasons for Change in Appropriation#

The decrease in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Compensation Entitlements (M1)#

Scope of Appropriation

This appropriation is limited to the provision of income maintenance, independence allowance, and other compensation payments for claims on the Non-Earners' Account.

Expenses

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation49,04049,04023,323

What is Intended to be Achieved with this Appropriation

This appropriation is intended to ensure that injured non-earners covered by the scheme receive income maintenance, independence allowance, and other compensation entitlements that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Income maintenance, independence allowance, and other compensation entitlements will be administered and delivered according to the performance measures set out in the Service Agreement between the Minister for ACC and ACC (see Note 1).New measureNew measureAll measures achieved

Note 1 - Performance assessment information will be updated in the Supplementary Estimates with appropriate measures and standards from the Service Agreement for the year commencing 1 July 2014 that is presented to the House under Section 271 (5) of the Accident Compensation Act 2001.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-(5,649)5,25227,60640,813
Non-Earners' Account Appropriation for 2013/142013/14(2,281)(15,649)(15,002)(22,728)(30,113)
Non-Earners' Account Appropriation for 2012/132012/1315,7389,0381,070(5,470)(5,470)
Forecast Change Between Non-Departmental Output Expenses and Benefits and Other Unrequited Expenses2011/12(209,825)(209,825)(209,825)(209,825)(209,825)
Injury, Prevention, Rehabilitation and Compensation Act 2001: Changes2010/11(4,240)(4,240)(4,240)(4,240)(4,240)

Reasons for Change in Appropriation

The decrease in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Compensation Entitlements - Treatment Injuries for Non-Earners' (M1)#

Scope of Appropriation#

This appropriation is limited to the provision of income maintenance, independence allowance, and other compensation payments for claims by non-earners' on the Treatment Injury Account.

Expenses#

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation16,72716,7277,134

What is Intended to be Achieved with this Appropriation#

This appropriation is intended to ensure that injured non-earners covered by the scheme receive income maintenance, independence allowance, and other compensation entitlements that ensure a swift return to independence or everyday life.

How Performance will be Assessed and End of Year Reporting Requirements#

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Income maintenance, independence allowance, and other compensation entitlements will be administered and delivered according to the performance measures set out in the Service Agreement between the Minister for ACC and ACC (see Note 1).New measureNew measureAll measures achieved

Note 1 - Performance assessment information will be updated in the Supplementary Estimates with appropriate measures and standards from the Service Agreement for the year commencing 1 July 2014 that is presented to the House under Section 271 (5) of the Accident Compensation Act 2001.

End of Year Performance Reporting#

Performance information for this appropriation will be reported by the Accident Compensation Corporation in its annual report.

Current and Past Policy Initiatives#

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000
ACC Non-Earners' and Treatment Injury Accounts Appropriation Changes2014/15-(20,745)(9,630)(15,683)(22,112)
Non-Earners' Account Appropriation for 2013/142013/14(422)13,1959,47317,46324,692
Non-Earners' Account Appropriation for 2012/132012/139,7367,2715,3964,1954,195
Forecast Change Between Non-Departmental Output Expenses and Benefits and Other Unrequited Expenses2011/127,4137,4137,4137,4137,413

Reasons for Change in Appropriation#

The decrease in this appropriation for 2014/15 is as a result of the actuarial review of future costs.

Part 4 - Details of Multi-Category Expenses and Capital Expenditure#

Multi-Category Expenses and Capital Expenditure#

Policy Advice and Related Outputs (M1)

Overarching Purpose Statement

The overarching purpose of this appropriation is to provide policy advice and other support to Ministers in discharging their policy decision-making and other portfolio responsibilities.

Scope of Appropriation

Departmental Output Expenses
Ministerial Services
This category is limited to the provision of services to Ministers to enable them to discharge their portfolio (other than policy decision-making) responsibilities.
Policy Advice - ACC
This category is limited to the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government policy matters relating to the accident compensation system.

Expenses, Revenue and Capital Expenditure

2013/142014/15
Budgeted
$000
Estimated Actual
$000
Budget
$000

Total Appropriation

--2,502

Departmental Output Expenses

Ministerial Services--501
Policy Advice - ACC--2,001

Funding for Departmental Output Expenses

Revenue from the Crown

--2,502
Ministerial Services--501
Policy Advice - ACC--2,001

Revenue from Others

---
Ministerial Services---
Policy Advice - ACC---

Comparators for Restructured Appropriation

2013/142014/15
Vote, Type and Title of Appropriation Budgeted
$000
Estimated Actual
$000
Budget
$000

Vote ACC

Departmental Output Expenses

Ministerial Services509509501
Policy Advice - ACC2,4032,4032,001
Total2,9122,9122,502

The previous MCOA Policy Advice and Related Outputs has been converted to a MCA.

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve effective and efficient ministerial services and high quality policy advice that contribute to skilled and safe workplaces, and trusted, competitive and well-functioning markets, through an effective accident compensation system that seeks to prevent injury and rehabilitate those who are injured.

How Performance will be Assessed for this Appropriation

Performance will be assessed by ministerial feedback on policy advice, external review of policy advice, cost of policy advice, timeliness of ministerial service, and managing appointments to Board and other advisory groups as specified in the following table for each MCA category.

What is Intended to be Achieved with each Category and How Performance will be Assessed

2013/142014/15
Assessment of Performance Budgeted
Standard
Estimated Actual
Standard
Budget
Standard

Policy Advice and Related Outputs

Departmental Output Expenses

Ministerial Services
This category is intended to achieve effective and efficient Ministerial services related to the accident compensation system.
Responses to Parliamentary Questions, Ministerial correspondence and Ministerial Official Information Act 1982 requests are to be completed within either specified or statutory timeframes.95% or above95% or above95% or above
Policy Advice - ACC
This category is intended to achieve high quality policy advice that contributes to skilled and safe workplaces, and trusted, competitive and well-functioning markets, as measured by compliance with Cabinet and SSC requirements, the satisfaction of the Minister for ACC, an external review of policy advice and the cost of policy advice.
Fairway Resolution Limited Board appointments, and appointments to any other advisory groups, are managed in accordance with Cabinet and SSC requirements.Managed in accordance with Cabinet and SSC requirementsManaged in accordance with Cabinet and SSC requirementsManaged in accordance with Cabinet and SSC requirements
The satisfaction of the Minister for ACC with the policy advice service, as per the common satisfaction survey.At least 70%At least 70%At least 70%
Technical quality of policy advice papers assessed by a survey with a methodological robustness of 80%.At least an average of 73%At least an average of 73%At least an average of 73%
The total cost per hour of producing outputs.At most $155At most $155At most $155

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy InitiativeYear of
First
Impact
2013/14
Budgeted
$000
2014/15
Budget
$000
2015/16
Estimated
$000
2016/17
Estimated
$000
2017/18
Estimated
$000

Ministerial Services

Formation of Ministry of Business, Innovation and Employment savings2014/15-(8)(8)(8)(8)

Policy Advice - ACC

Formation of Ministry of Business, Innovation and Employment savings2014/15-(38)(38)(38)(38)

Policy Advice MCOA

Reprioritisation Across Votes to Meet Cost Pressures2014/15-(300)(275)--
Future Monitoring of the Accident Compensation Corporation2012/13(714)(714)(714)(714)(714)
Efficiency Savings2012/13(125)(125)(125)(125)(125)
Reprioritisation Across Years to Meet Cost Pressures2012/13(100)125---
Vote Realignment to Reflect Changes in Cost Allocation and Reprioritisation2012/13786833883883883

Reasons for Change in Appropriation

These appropriations have been established through the changes to the Public Finance Act. This appropriation converted from a Multi-Class Output Expense Appropriation in 2013/14 to a Multi-Category Appropriation in 2014/15.