Estimates of appropriations

Vote Ombudsmen - Finance and Government Administration Sector - The Estimates of Appropriations 2017/18 - Estimates 2017/18

APPROPRIATION MINISTER(S): Speaker of the House of Representatives (M78)

APPROPRIATION ADMINISTRATOR: Office of the Ombudsman

RESPONSIBLE MINISTER FOR OFFICE OF THE OMBUDSMAN: Speaker of the House of Representatives

Overview of the Vote#

The Speaker of the House of Representatives is responsible for appropriations in Vote Ombudsmen in 2017/18 totalling $18.551 million (GST exclusive). This comprises:

  • Just over $16 million annual appropriation for the Office of the Ombudsmen
  • $668,000 permanent legislative authority of Ombudsmen remuneration, and
  • Just under $2 million permanent legislative authority for capital expenditure.

The whole of the Vote is committed to the investigation, resolution of complaints and the provision of advice relating to central and local government administrative actions, and monitoring compliance with international conventions.

The Speaker of the House of Representatives is also responsible for a capital injection of over $1 million to the Office of the Ombudsman to fund its capital expenditure.

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

Details of Appropriations and Capital Injections#

Annual and Permanent Appropriations#

2016/172017/18
Titles and Scopes of Appropriations by Appropriation TypeFinal
Budgeted
$000
Estimated
Actual
$000
Budget
$000

Departmental Output Expenses

Investigation and Resolution of Complaints About Government Administration (M78)

This appropriation is limited to the investigation, resolution of complaints and the provision of advice relating to central and local government administrative actions, and monitoring compliance with international conventions.
13,59813,59816,057

Total Departmental Output Expenses

13,59813,59816,057

Departmental Other Expenses

Remuneration of Ombudsmen PLA (M78)

This appropriation is limited to remuneration expenses for the Ombudsmen as authorised by sections 8 and 9 of the Ombudsmen Act 1975.
668668668

Total Departmental Other Expenses

668668668

Departmental Capital Expenditure

Office of the Ombudsman - Capital Expenditure PLA (M78)

This appropriation is limited to the purchase or development of assets by and for the use of the Office of the Ombudsman, as authorised by section 24(1) of the Public Finance Act 1989.
9509501,826

Total Departmental Capital Expenditure

9509501,826

Total Annual and Permanent Appropriations

15,21615,21618,551

Capital Injection Authorisations#

2016/172017/18
Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Office of the Ombudsman - Capital Injection (M78)1,0721,0721,294

Supporting Information#

Part 1 - Vote as a Whole#

1.1 - New Policy Initiatives

Policy InitiativeAppropriation2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Clearing aged investigations

Investigation and Resolution of Complaints about Government Administration

Departmental Output Expenses
--(965)--
Monitoring detained people

Investigation and Resolution of Complaints about Government Administration

Departmental Output Expenses
-1,1271,1651,1651,165
Retention of staff

Investigation and Resolution of Complaints about Government Administration

Departmental Output Expenses
-253686686686
ICT systems

Investigation and Resolution of Complaints about Government Administration

Departmental Output Expenses
-332269269269
Christchurch and Wellington accommodation

Investigation and Resolution of Complaints about Government Administration

Departmental Output Expenses
278322322322322
Additional capital for office accommodation

Department Capital Injection

523----
Additional capital for new staff - Monitoring detained people

Department Capital Injection

-51---
ICT systems - CMS and ECM

Department Capital Injection

-1,243---
Total Initiatives8013,3281,4772,4422,442

Summary of Financial Activity#

2012/132013/142014/152015/162016/172017/182018/192019/202020/21
Actual
$000
Actual
$000
Actual
$000
Actual
$000
Final 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 Expenses8,9509,1069,86811,49513,59813,59816,057-16,05715,15515,17415,174
Benefits or Related Expenses------N/A-----
Borrowing Expenses------------
Other Expenses647673684696668668668-668668668668
Capital Expenditure165986993439509501,826-1,826200200200
Intelligence and Security Department Expenses and Capital Expenditure-------N/A----
Multi-Category Expenses and Capital Expenditure (MCA)
Output Expenses------------
Other Expenses------------
Capital Expenditure------N/A-----

Total Appropriations

9,7629,87711,25112,53415,21615,21618,551-18,55116,02316,04216,042

Crown Revenue and Capital Receipts

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

Total Crown Revenue and Capital Receipts

------N/A-----

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. In this instance Total Appropriations for the Budgeted and Estimated Actual year may not equal Total Appropriations in the Details of Appropriations and Capital Injections.

Adjustments to the Summary of Financial Activity Table Due to Vote Restructuring#

There have been no restructuring adjustments to prior year information in the Summary of Financial Activity table.

The bulk of the movement in departmental appropriations in Vote Ombudsmen, which are detailed in the Summary of Financial Activity table above, are largely driven by movements in departmental output expenses required to maintain an efficient, effective and professional Ombudsman function. Details of significant movements within each appropriation are shown below.

Departmental Output Expenses

The baseline movements amounting to approximately $6.196 million during the period detailed in the Summary of Financial Activity are due to:

  • As part of Estimates 2012/13 temporary capability funding that was to end in 2013/14 was approved on an ongoing basis. Additional funding was also approved to assist the office address remuneration pressures.
  • Supplementary funding was approved for the period 2012/13 for recruitment costs for a new Ombudsman.
  • Parliament approved as part of the 2013/14 Estimates a baseline increase to meet the cost of increased rents in Auckland and Christchurch and additional investigating staff and related costs.
  • Parliament approved as part of the 2014/15 Estimates a baseline increase to meet the additional operating costs associated with the capital injection for infrastructure and relocation.
  • As part of the 2015/16 Estimates Parliament approved a baseline increase for proactive advice, training and guidance, additional staff to assist with inspection and monitoring under the Crimes of Tortures Act 1989 and the United Nations Convention on the Rights of Persons with Disabilities, additional resources for capability, and security of the office's staff and information.
  • Supplementary funding was approved for the period 2015/16 for recruitment costs for a new Chief Ombudsman, accommodation, and Information, Communication and Technology (ICT) systems and capability.
  • As part of the 2016/17 Estimates Parliament approved a baseline increase over three years to clear the aged investigations and on going budgets for Official Information Act (OIA) compliance investigations, ICT systems and capability, Auckland office rent increase and address remuneration anomalies.
  • Supplementary funding was approved for the period 2016/17 for the establishment of new accommodation in Christchurch and expansion in Wellington, an adjustment for the reduction in the rate of capital charge and an expense transfer from 2016/17 to 2017/18.
  • As part of the 2017/18 Estimates funding was approved for on going costs of new accommodation, to align salaries with the current public sector market rates, revising the Case Management Systems, an adjustment for the reduction of capital charge, to monitor the treatment of detained people and an expense transfer from 2016/17 to 2017/18.

Departmental Other Expenses

Movements in Departmental Other Expenses are wholly attributable to:

  • Determinations issued by the Remuneration Authority relating to Ombudsmen remuneration and to decisions by Parliament regarding the number of Ombudsmen appointed at any one time. There are presently two permanent Ombudsmen.

Capital Expenditure

Movements in the provision for capital expenditure follow:

  • The 2013/14 Estimates provided for an increased capital provision to $200,000 to reflect updated capital expenditure intentions.
  • The 2014/15 Estimates provided for an increased capital provision by $1.487 million to $1.687 million for this year only for infrastructure and relocation costs.
  • The 2015/16 Estimates provided for an increased capital provision by $260,000 to $460,000 for this year only for security and costs associated with the increase in capability
  • The 2016/17 Estimates provides for an increased capital provision by $549,000 to $749,000 to reflect the capital needs for additional staff and to upgrade the Office's ICT capability to make the best use of the capital funding provided in the 2014/15 budget.
  • Supplementary funding was approved for the period 2016/17 for new accommodation in Christchurch and additional accommodation in Wellington.
  • The 2017/18 Estimates provides for an increased capital provision by $1.294 million to $1.494 million for ICT systems and capability and capital needs for new staff of the Optional Protocol to the Convention against Torture unit (OPCAT).

Part 2 - Details of Departmental Appropriations#

2.1 - Departmental Output Expenses#

Investigation and Resolution of Complaints About Government Administration (M78)

Scope of Appropriation

This appropriation is limited to the investigation, resolution of complaints and the provision of advice relating to central and local government administrative actions, and monitoring compliance with international conventions.

Expenses and Revenue

2016/172017/18
Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation13,59813,59816,057
Revenue from the Crown13,59013,59816,057
Revenue from Others8--

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve investigation, review and inspection of the administrative conduct of state sector agencies, and provision of advice and guidance in order to ensure people are treated fairly in New Zealand.

How Performance will be Assessed and End of Year Reporting Requirements

2016/172017/18
Assessment of PerformanceFinal Budgeted
Standard
Estimated
Actual
Budget
Standard

Investigate state sector administration and decision making -number of Ombudsmen Act complaints completed

225022502250

Investigate and review official information decisions - number of official information complaints completed

125014001250

Deal with requests for advice and guidance about serious wrongdoing - number of requests for advice and guidance (including enquiries) completed

404040

Monitor and inspect places of detention - number of full inspections and visits to places of detention

324235

Improve state sector capability in areas relevant to our work - number of requests for advice or comment by state sector agencies responded to

150160150

Improve public awareness and accessibility of our services -% of members of the public who have heard of the Ombudsman

65%Not yet known - survey to be run May 201770%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Office of the Ombudsman in the Annual Report to be presented in the House.

Current and Past Policy Initiatives

Policy InitiativeYear of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Clearing aged investigations2018/19--(965)--
Monitoring detained people2017/18-1,1271,1651,1651,165
Retention of staff2017/18-253686686686
ICT systems2017/18-332269269269
Christchurch and Wellington accommodation2016/17278322322322322
Adjustment for capital charge2016/17(37)(53)(53)(53)(53)
Clear aged investigations2016/17925965965--
OIA compliance investigations2016/17564564564564564
Address remuneration anomalies2016/17341358376395395
ICT systems and capability2015/16684628628628628
Corporate capacity - updating lease agreements2015/162020202020
Complaints and investigations2015/16340340340340340
Proactive advice, training and guidance2015/16166166166166166
Inspections and monitoring2015/16390390390390390
Security of staff and information2015/16126126126126126
Corporate and support capability2015/16360360360360360
Capability Maintenance2014/15493493493493493

Reasons for Change in Appropriation

The increase in this appropriation for 2017/18 is due to:

  • $1,127,000 to provide additional OPCAT staff to monitor the treatment of detained people
  • $322,000 for accommodation in Christchurch and Wellington
  • $332,000 to improve ICT systems and capability
  • $253,000 to align salaries with current public sector market rates
  • $363,000 expense transfer from 2016/17
  • $53,000 reduction in capital charge

2.2 - Departmental Other Expenses#

Remuneration of Ombudsmen PLA (M78)#

Scope of Appropriation

This appropriation is limited to remuneration expenses for the Ombudsmen as authorised by sections 8 and 9 of the Ombudsmen Act 1975.

Expenses

2016/172017/18
Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation668668668

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve provision of remuneration payment to the Ombudsmen as determined by the Remuneration Authority.

How Performance will be Assessed and End of Year Reporting Requirements

The Chief Ombudsman leads the performance of the Office. The performance of the Office's activities, including the above payment, is reflected in the information for departmental output appropriations.

End of Year Performance Reporting

Performance information for the Office will be reported in the Annual Report that is to be presented to the House.

2.3 - Departmental Capital Expenditure and Capital Injections#

Office of the Ombudsman - Capital Expenditure PLA (M78)#

Scope of Appropriation

This appropriation is limited to the purchase or development of assets by and for the use of the Office of the Ombudsman, as authorised by section 24(1) of the Public Finance Act 1989.

Capital Expenditure

2016/172017/18
Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Forests/Agricultural---
Land---
Property, Plant and Equipment850850179
Intangibles1001001,647
Other---

Total Appropriation

9509501,826

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the provision of assets for the use of the Office of the Ombudsman.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Office of the Ombudsman in the Annual Report to be tabled in the House.

Reasons for Change in Appropriation

For 2017/18 there is an increase in capital expenditure of $1.294 million to a total of $1.826 million due to:

  • $51,000 for furniture and ICT equipment for additional OPCAT staff
  • $1,243,000 for the development of the Case Management System.

Capital Injections and Movements in Departmental Net Assets

Office of the Ombudsman

Details of Net Asset Schedule2016/17
Estimated Actual
$000
2017/18
Projected
$000
Explanation of Projected Movements in 2017/18
Opening Balance2,0763,148
Capital Injections1,0721,294ICT systems - CMS and ECM
Capital Withdrawals--
Surplus to be Retained (Deficit Incurred)--
Other Movements--

Closing Balance

3,1484,442