Vote Women's Affairs - Māori, Other Populations and Cultural - Estimates 2014/2015

Summary of the Vote#

Overview#

The Minister of Women's Affairs is responsible for appropriations in the Vote for the 2014/15 financial year covering the following:

• providing effective policy advice to support decision-making by Ministers on government policy matters relating to improving outcomes for women, including managing New Zealand's international obligations with respect to the status of women ($3.615 million)
• providing suitable women nominees for appointment to state sector boards and committees ($460,000)
• providing administrative, advisory and research support for the National Advisory Council on the Employment of Women ($200,000)
• providing support services to the Vote Minister ($355,000)
• departmental capital expenditure ($317,000).

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

Estimates of Appropriations#

Details of Appropriations and Capital Injections#

Annual and Permanent Appropriations

Supporting Information#

Part 1 - Vote as a Whole#

This part provides trend information for the vote.

1.2 - Trends in the Vote

Summary of Financial Activity

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

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

The prior year information in the Summary of Financial Activity table has been restated to reflect the current Vote Structure.

1.3 - Analysis of Significant Trends

Capital Expenditure

The Ministry is not a capital intensive agency. Capital expenditure is primarily for the routine replacement and upgrade of the Ministry's information technology and office equipment.

In 2009/10 significant work was undertaken on the Ministry's knowledge management system.

In 2013/14 the Ministry planned to move premises ahead of its lease expiration. It is likely that the fit-out construction work will be partially completed in 2013/14 and that the remainder of the work will be completed in 2014/15.

Multi-Category Output Expenses

From 2009/10 the Ministry's baseline increased to do more in-depth work relating to improved economic outcomes for women ($500,000 per year). In 2009/10 special project funding was also received for a pilot study on healthy sexuality, respectful relating and resilience in young people ($153,000).

In 2010/11 funds were brought forward from the next three years to fund the possible one-off costs of implementing a review of the Ministry's administrative and support services ($300,000). Funds not required for the implementation of the review were transferred back to 2011/12 ($81,000), 2012/13 ($100,000) and 2013/14 ($100,000).

In 2012/13 funds were transferred to 2013/14 to enable the Ministry to move premises ahead of its lease expiration ($180,000).

From 1 July 2012 funding for the National Advisory Council on the Employment of Women was transferred to Vote Women's Affairs from Vote Labour ($250,000 in 2012/13 and $200,000 in 2013/14 and out-years).

1.4 - Reconciliation of Changes in Appropriation Structure

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#

2.3 - Departmental Capital Expenditure and Capital Injections

Ministry of Women's Affairs - Capital Expenditure PLA (M76)

Scope of Appropriation

Capital Expenditure

What is Intended to be Achieved with this Appropriation

This appropriation is intended to enable the Ministry to move premises and achieve the routine replacement and upgrade of office equipment and information technology to efficiently deliver Ministry services.

How Performance will be Assessed and End of Year Reporting Requirements

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Women's Affairs in its 2014/15 Annual Report.

Reasons for Change in Appropriation

The increase in this appropriation for 2014/15 is a result of delays in the Ministry moving premises. It is likely that the fit-out construction work will be partially completed in 2013/14 and that the remainder of the work will be completed in 2014/15.

Capital Injections and Movements in Departmental Net Assets

Ministry of Women's Affairs

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

Multi-Category Expenses and Capital Expenditure

Policy Advice and Nomination Services (M76)

Overarching Purpose Statement

Scope of Appropriation

Expenses, Revenue and Capital Expenditure

Comparators for Restructured Appropriation

The previous MCOA Policy Advice and Nomination Services has been converted to an MCA.

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve improved outcomes for women in New Zealand. This is not only important for women but as an investment in New Zealand's future prosperity and well-being:

• Increased opportunities for women to contribute to the workforce to the full extent of their skills and abilities will assist New Zealand to further develop a productive and competitive economy.

• Greater participation in paid employment improves outcomes for women and their families, decreases benefit dependence, and increases productivity.

• Greater diversity in governance and leadership roles correlates with better decision making and organisational performance with consequent economic gains.

• Reducing the burden of violence on women will increase women's safety and reduce the social and economic cost of violence.

The Ministry does this by focussing on specific areas, within the wider Government targets, where it can best contribute by providing evidence and advice to influence key decision makers to generate the greatest change for New Zealand women.

How Performance will be Assessed for this Appropriation

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

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Women's Affairs in its 2014/15 Annual Report.

Reasons for Change in Appropriations

The decrease in this appropriation for 2014/15 is mainly due to an expense transfer to 2013/14 to enable the Ministry to move premises ahead of its lease expiration ($180,000) and departmental contributions received for staff on secondment in 2013/14 ($93,000).

Introduction#

Purpose of the Estimates of Appropriations#

The Estimates of Appropriations (the Estimates) provides members of Parliament with:

• Details of the terms of all proposed appropriations and of capital injections to departments and Offices of Parliament.
• Supporting information providing for each appropriation or category of a multi-category appropriation:
  • a concise explanation of what is intended to be achieved, and
  • (unless an appropriation has been exempted from end-of-year performance reporting)
    • a concise explanation of how performance will be assessed
    • who will report on what was achieved with the appropriation, and
    • in what document that report will be presented to the House of Representatives.

The information ensures that Parliament can exercise an appropriate level of scrutiny and control over the Government's operating and investing activities and provides a basis against which Parliament can, after the end of the financial year, assess actual performance against each appropriation (or category of a multi-category appropriation).

The 10 sector volumes of the Estimates are presented to the House of Representatives on the same day as the government introduces the main Appropriation Bill for each financial year.

Information No Longer in the Estimates of Appropriations#

Following recent amendments to the Public Finance Act 1989 (PFA), and subsequent changes to the format and content of the Estimates, the following information is no longer in the Estimates:

How the Estimates of Appropriations are Organised#

The Estimates of Appropriations are organised into 10 volumes (B.5 Vols 1-10) by sector, each of which covers one or more Votes. The scope of each sector and the allocation of Votes to a sector reflect a balancing of three desired characteristics - namely that each volume should, where possible:

• reflect natural sectors
• keep together Votes administered by the same department, and
• keep together Votes allocated to a particular select committee of the House of Representatives for examination.

The number of sectors and coverage of each sector was set initially in consultation with the Finance and Expenditure Committee.

There are 54 Votes for 2014/15 as:

• Vote Economic Development and Vote Employment have been combined into Vote Economic Development and Employment
• Vote Commerce and Vote Consumer Affairs have been combined into Vote Commerce and Consumer Affairs, and
• Vote Veterans' Affairs - Social Development has been merged into Vote Social Development.

The table below shows the Votes by Sector and which departments are in each sector.

Votes in Each Sector#

Appropriations#

Purpose and Nature of Appropriations#

An appropriation is a statutory authority from Parliament allowing the Crown or an Office of Parliament to incur expenses or capital expenditure.

Neither the Crown nor an Office of Parliament can legally incur any expense or capital expenditure - as those terms are defined in the PFA - unless it is expressly authorised by or under an Act of Parliament.

Limits Created by Appropriations#

Each appropriation is allocated to, and managed as, one of seven types of appropriation.

Each appropriation has a defined scope that limits the uses or activities for which the expenses or capital expenditure can be incurred. The scope should be sufficient on its own to establish the nature and extent of the authority to incur expenses or capital expenditure. The wording of the appropriation scope should achieve the balance between being sufficiently precise to act as an effective constraint against non-authorised activities and not so specific that it inadvertently limits activity intended to be authorised.

Except in a very limited number of cases (eg, permanent appropriations or revenue dependent appropriations) an appropriation also limits the amount of expenses or capital expenditure that can be incurred, and the time period within which those expenses or capital expenditure can be incurred.

Aside from the very limited exclusions provided for in the PFA, the amount of expense or capital expenditure authorised by an appropriation is measured in accordance with generally accepted accounting practice.

Responsibility for Appropriations#

The PFA requires each appropriation to be the responsibility of one Minister (or the Speaker) and to be administered by one department (or an Office of Parliament).

A Vote is a group of appropriations (and can be a single appropriation) administered by a single department. Different appropriations within a Vote may be the responsibility of different Ministers.

Types of Appropriation#

The PFA provides for seven types of appropriation. Four appropriation types authorise the incurring of expenses; one type authorises the incurring of capital expenditure; and the remaining types authorise both. These appropriation types can be further differentiated by whether the expenses or capital expenditure are departmental or non-departmental transactions.

Types of Output Expense Appropriations#

Some variation is possible for output expense appropriations. For example, the constraint on the amount of expense that can be incurred is not always a fixed sum.

Appropriation Period#

Three kinds of appropriation can be distinguished on the basis of period - annual and multi-year (as referred to in the above table on types of output expense appropriations), and permanent:

• Annual Appropriations - Most appropriations allow expenses or capital expenditure to be incurred only during a particular financial year. The amounts for RDAs are forecasts only.
• Multi-Year Appropriations (MYAs) - The PFA also permits appropriations that allow expenses or capital expenditure to be incurred during a specified period that spans the whole or parts of more than one financial year, but no more than five financial years.
• Permanent Appropriations (sometimes referred to as permanent legislative authorities or PLAs) -Permanent appropriations are authorised by legislation other than an Appropriation Act and continue in effect until revoked by Parliament. Generally the authorising legislation will impose limits on the scope of the appropriation and not its amount. For those appropriations with limits set in cash terms, section 11(2) of the Public Finance Act 1989 requires that they be reported on an accrual basis. The usual legislative wording allows for expenses to be incurred for the purpose specified in the legislation “without further appropriation than this section”. The scope of a permanent appropriation will reference the relevant section of the authorising legislation.

Types of Crown Revenue and Capital Receipts#

An operating and capital split also applies to Crown revenue and receipts. The following table outlines the three Crown revenue/receipt types:

Capital Injections and Movements in Net Assets#

A capital injection is an investment by the Crown in a department (or an Office of Parliament), which increases the department's net asset balance. Section 12A of the PFA requires capital injections to departments or an Office of Parliament to be authorised under an Appropriation Act.

Further information on capital injections and other movements in a department's net asset balance appears in the Estimates in a Vote that has appropriations belonging to a department's Responsible Minister. The movements reconcile a department's opening and closing net asset balances. This makes it easier to see the balance sheet flows.

Guide to Reading the Estimates of Appropriations#

After the introduction in each sector volume, the following information is provided, where applicable, for each Vote within the sector.

Guide to Reading the Estimates of Appropriations (continued)#

* This appropriation is used for the salaries of the Officers of Parliament as determined by the Remuneration Authority and for events that cannot be related back to output production.

** The purchase or development of assets by a department (other than an intelligence and security department) is made under a permanent appropriation authorised by section 24 of the PFA. Capital expenditure is defined in the PFA as the cost of assets acquired or developed, including tangible, intangible or financial assets, and any ownership interest in entities, but excluding inventories.

Useful Links#

• The suite of documents presented to the House on Budget day can be accessed in the Budgets section of the website: www.treasury.govt.nz/budget/2014
• Summary Tables, which are available online, provide a high-level perspective and comparative “ready reference” for all appropriations (annual, permanent and MYAs). They cover:
  • the trends for all Votes - showing actual or estimated actual totals for the five years to 2013/14, Budget totals proposed for 2014/15 and estimated totals for the three financial years to 2017/18 with respect to each type of appropriation and of Crown revenue and capital receipts
  • each appropriation type and total appropriations - showing budgeted and estimated actual totals for 2013/14 and totals proposed for 2014/15 for each Vote
  • current-year revenue-dependent appropriations for each Vote
  • multi-year appropriations by Vote, appropriation type and period
  • capital injection authorisations for 2014/15, and
  • types of Crown revenue and Crown capital receipts for 2013/14 and 2014/15 associated with each Vote.

For inclusion in the Summary Tables, MYAs are converted into actual or forecast amounts for each financial year. The summary tables can be accessed www.treasury.govt.nz/budget/2014/summarytables/estimates

An electronic archive of Budgets of the Government of New Zealand from 1997 to 2013 can be accessed here: www.treasury.govt.nz/budget/archive

How the Estimates Relate to Other Performance Information presented to the House#

This section outlines the relationship between the information in the Estimates and other performance information presented to the House.

Strategic Intentions#

Each department, Office of Parliament, Crown entity and Public Finance Act Schedule 4A company presents information on its strategic intentions to the House, at least once every three years. It may be more frequently if the responsible Minister requires it; there is a material or significant change in the intentions; or the information in the strategic intentions is false or misleading.

Strategic intentions set the out the direction of an agency and how the agency is organised to get there. The information must cover at least the next four financial years, and may include the current financial year. An agency's most recent strategic intentions must always be available on the agency's website, and can be presented to the House with other information eg, the annual report for the previous financial year or grouped with other agencies in a sector.

Annual Performance Expectations#

What an agency (eg, department, Office of Parliament, Crown entity or other service provider) intends to achieve with expenditure from appropriations in the next financial year and how each agency will demonstrate its performance (if not exempted) is available in the Estimates.

In addition, Crown entities and Public Finance Act Schedule 4A companies may have reportable outputs that are funded from revenue other than appropriations. What each agency intends to achieve and how it will demonstrate its performance for all its reportable outputs are presented to the House in a Statement of Performance Expectations. The Statement of Performance Expectations must always be available on an agency's website and can be presented to the House with other information eg, the strategic intentions or annual report.

End of Year Performance Information#

Performance information on what has been achieved with each appropriation as a whole and each category of a multi-category appropriation is provided to the House in the document most recently indicated in the Estimates or Supplementary Estimates. For example, reporting against appropriations would typically be provided to the House with the annual report of the appropriation administrator (department or Office of Parliament), the Crown entity receiving the appropriation, or in a Minister's report. Alternatively, information on the performance of an appropriation may be provided in a separate sector or thematic report where this would be more useful to Parliament.

Departmental, Office of Parliament, Crown entity, PFA Schedule 4A Company annual reports, and Ministerial reports on what has been achieved with appropriations are required to be provided to the House in the timeframes indicated below:

• Departmental and Office of Parliament annual report -each department's annual report must be presented 3-4 months after the end of the financial year. The annual report includes the financial statements for the previous financial year, the financial forecasts for the current financial year, the statement of expenses and capital expenditure, and reporting against the department's strategic intentions and annual performance expectations contained in the Estimates.
• Crown entity orPFA Schedule 4A company annual report - each annual report must be presented 4-5 months after the end of the financial year and includes the financial statements, as well as reporting against the Crown entity's strategic intentions and annual performance expectations from all sources of reportable revenue.
• Appropriation Minister's annual report - the appropriation Minister must be presented within 4 months after the end of the financial year on the use of non-departmental appropriations that are not reported to the House thorough any other mechanism and have not been exempted from year-end reporting under s.15D of the PFA.

Terms and Definitions#

The table below contains terms that are used in the Estimates of Appropriations.