Māori, Other Populations and Cultural Sector - Information Supporting the Estimates 2010/11 - Budget 2010

Information Supporting the Estimates is organised on the basis of sectors, with each Vote and its administering department allocated to one sector (with a small number of exceptions). The Information Supporting the Estimates comprises of sector overview information, together with statements of responsibility; performance information for appropriations in Votes covered by the sector; and statements of forecast service performance and forecast financial statements of departments included in the sector. Statements of Intent of departments included in the sector form part of the supporting information.

 

Cover, Contents#

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Introduction#

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• Purpose of Information Supporting the Estimates
• Votes and Departments in Each Sector
• Purpose and Nature of Appropriations
• Guide to Reading Information Supporting theEstimates
• Terms and Definitions
• Useful Links

Sector Overview#

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• Ministerial Statements of Responsibility
• Chief Executive Statements of Responsibility

Performance Information for Appropriations in Each Vote#

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• Vote Arts, Culture and Heritage
• Vote Community and Voluntary Sector
• Vote Emergency Management
• Vote Internal Affairs
• Vote Māori Affairs
• Vote National Archives
• Vote National Library
• Vote Pacific Island Affairs
• Vote Racing
• Vote Sport and Recreation
• Vote Statistics
• Vote Treaty Negotiations
• Vote Women's Affairs

Statements of Forecast Service Performance of Departments#

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Forecast Financial Statements of Departments#

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• Statement of Common Accounting Policies
• Archives New Zealand
• Ministry for Culture and Heritage
• Department of Internal Affairs
• National Library of New Zealand
• Ministry of Pacific Island Affairs
• Statistics New Zealand
• Te Puni Kōkiri
• Ministry of Women's Affairs

Statements of Intent of Departments (separately produced but forming part of this volume)#

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• Archives New Zealand
• Ministry for Culture and Heritage
• Department of Internal Affairs
• National Library of New Zealand
• Ministry of Pacific Island Affairs
• Statistics New Zealand
• Te Puni Kōkiri
• Ministry of Women's Affairs

Notes to the Financial Statements#

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Note 1 - Other Revenue

Note 2 - Operating Expenses#

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Note 3 - Property, Plant and Equipment#

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Note 4 - Intangible Assets#

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Note 5 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the year ending 30 June 2011#

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Note 6 - Reconciliation of Departmental Expenses and Appropriations#

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Forecast Financial Statements National Library of New Zealand#

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Statement of Forecast Comprehensive Income for the year ending 30 June 2011

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2011#

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Forecast Statement of Financial Position as at 30 June 2011#

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Statement of Forecast Cash Flows for the year ending 30 June 2011#

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Statement of Significant Assumptions#

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These statements have been compiled on the basis of the Government's policies and the National Library's Output Plan with the Minister Responsible for the National Library at the time the statements were finalised.

These forecast financial statements include all the activities of the National Library of New Zealand as constituted by the National Library of New Zealand (Te Puna Matauranga o Aotearoa) Act 2003 and reported as required by the Public Finance Act 1989, and comply with generally accepted accounting practice. The measurement base applied is historical cost unless otherwise stated.

Actual results achieved for the year to 30 June 2011 are likely to vary from the information presented in these statements. Variations may be material.

The factors that may lead to a material difference include:

• changes to the baseline budget through new initiatives or technical adjustments.

• that the carrying amount of the building fit out is affected by the decision to redevelop the existing building in Wellington. There is uncertainty about the extent of re-use of existing building plant and equipment (fit out) upon return to the Wellington building after the redevelopment is completed.

Statement of Entity-Specific Accounting Policies#

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The National Library of New Zealand has applied the accounting policies set out in Statement of Accounting Policies Standard included in this document, except as stated below.

Reporting Entity

These are the prospective financial statements of National Library of New Zealand, prepared in accordance with section 38 of the Public Finance Act 1989.

National Library of New Zealand is a Government Department as defined by section 2 of the Public Finance Act 1989. For the purposes of financial reporting National Library of New Zealand is a public benefit entity.

The activities of the National Library comprise the maintenance of collections for current and future
use, the provision of information and advisory services, and the development of policy advice on information issues.

Specific Accounting Policies

Non Current Assets

Collections

The General Collections and Schools Collection are recorded at cost less accumulated depreciation and accumulated impairment losses.

Property, plant and equipment

Property, Plant and Equipment is stated at cost less accumulated depreciation. Land and buildings are revalued at least every five years or whenever the carrying amount differs materially to fair value. The last revaluation was completed on 30 June 2008.

Intangible assets

Intangible assets with finite lives are recorded at cost less accumulated depreciation and accumulated impairment losses. The National Library records computer software as an intangible asset.

Depreciation and Amortisation

Depreciation

Depreciation is provided on the General Collections and Schools Collection on a straight-line basis at rates which will write off the cost of the collections over their useful lives. The estimated useful lives of the collections range between 5 and 50 years.

Depreciation is provided on Property, Plant and Equipment on a straight-line basis at rates that will write off the cost (or valuation) of the assets to their estimated residual values over their useful lives. Buildings are depreciated over 44 to 61 years. Furniture, building fit-out and equipment are depreciated over 3 to 30 years.

Depreciation is not charged on land, artworks, or capital work in progress.

Amortisation

Amortisation is charged to the Statement of Financial Performance on a straight-line basis over the useful life of the asset. The National Library amortises its computer software over 2 to 8 years.

Amortisation is not charged on capital work in progress.

Cost Allocation

The National Library has determined the cost of outputs using the cost allocation system outlined below.

Criteria for direct and indirect costs

"Direct Costs" are those costs directly attributed to an output. "Indirect Costs" are those costs which cannot be identified with a specific output in an economically feasible manner.

Cost allocation policy

Direct costs are charged directly to significant activities. Indirect costs are charged to significant activities based on cost drivers and related activity/usage information.

Method of assigning direct costs to outputs

Direct charging of costs to outputs includes capital charge and depreciation (which are charged on the basis of assets utilised), personnel costs (which are charged by recording time spent on each output) and operating costs (such as property maintenance charges which are charged on the basis of the floor area occupied by each output).

Bases for assigning indirect costs to outputs

Indirect costs are pro-rated to outputs on the proportion of direct employee costs used in each output, with the exception of the National Library's Finance unit costs which are pro-rated on the proportion of direct total costs used in each output.

Notes to the Financial Statements#

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Note 1 - Operating Expenses

Note 2 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the year ending 30 June 2011#

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Forecast Financial Statements Ministry of Pacific Island Affairs#

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Statement of Forecast Comprehensive Income for the year ending 30 June 2011

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2011#

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Forecast Statement of Financial Position as at 30 June 2011#

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Statement of Forecast Cash Flows for the year ending 30 June 2011#

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Statement of Significant Assumptions#

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These forecast financial statements have been compiled on the basis of existing government policies and Ministerial expectations at the time the statements were finalised.

The main assumptions are as follows:

• The activities of the Ministry of Pacific Island Affairs will remain substantially the same as for the previous year.
• Personnel costs are based on 47 staff positions.
• Operating costs are based on historical experience. The general historical pattern is expected to continue.
• Estimated year end information for 2009/10 is used as the opening position for the 2010/11 forecasts.

These assumptions are adopted as at 22 April 2010.

Factors that could lead to material differences between the forecast financial statements and the 2010/11 actual financial statements include changes to the baseline budget through new initiatives, or technical adjustments.

Statement of Entity-Specific Accounting Policies#

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The Ministry of Pacific Island Affairs has applied the accounting policies set out in Statement of Accounting Policies Standard included in this document, except as stated below.

Reporting Entity

These are the prospective financial statements of Ministry of Pacific Island Affairs, prepared in accordance with section 38 of the Public Finance Act 1989.

Ministry of Pacific Island Affairs is a Government Department as defined by section 2 of the Public Finance Act 1989. For the purposes of financial reporting Ministry of Pacific Island Affairs is a public benefit entity.

Authorisation Statement

These forecast financial statements were authorised for issue by the Chief Executive of the Ministry for Pacific Island Affairs on 22 April 2010. The Chief Executive is responsible for the forecast financial statements presented, including the appropriateness of the assumptions underlying the forecast financial statements and all other required disclosure.

Specific Accounting Policies

Property, plant and equipment

All property, plant and equipment costing more than $3,000 are capitalised and recorded at historical cost. Assets below $3,000 can be capitalised as a group of assets when the benefits from them are expected to be received in more than one period.

Depreciation

The estimated useful lives of property, plant and equipment are set out below:

• Furniture and fittings - 8 years.
• Office equipment - 3 to 4 years.
• Motor vehicles - 4 to 5 years.
• IT equipment - 3 to 4 years.

Notes to the Financial Statements#

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Note 1 - Operating Expenses

Note 2 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the year ended 30 June 2011#

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Forecast Financial Statements Statistics New Zealand#

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Statement of Forecast Comprehensive Income for the year ending 30 June 2011

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2011#

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Forecast Statement of Financial Position as at 30 June 2011#

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Statement of Forecast Cash Flows for the year ending 30 June 2011#

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Statement of Significant Assumptions#

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These forecast financial statements have been compiled on the basis of existing government policies and Ministerial expectations at the time the statements were finalised.

The main assumptions are as follows:

• The department's activities will remain substantially the same as for the previous year.
• Operating costs are based on historical experience. The general historical pattern is expected to continue.
• Estimated year end information for 2009/10 is used as the opening position for the 2010/11 forecasts.
• On the basis that the resources provided for will enable Statistics New Zealand to deliver the outputs as specified in the "Statement of Objectives Specifying the Performance Forecast for Official Statistics MCOA and 2011 Census of Population and Dwellings - MYA.
• On the basis of historical cost.

These assumptions are adopted as at 19 April 2010.

Factors that could lead to material differences between the forecast financial statements and the 2010/11 actual financial statements include:

• Changes to the baseline budget through new initiatives, or technical adjustments.
• The 2009/10 budgeted figures are those represented in the Estimates for 2009/10 as amended by the Supplementary Estimates.
• The 2010/11 budgeted figures are those represented in the Main Estimates for 2010/11.

Variations and changes to the forecast financial statements

• While every attempt has been made to accurately forecast final results for 2009/10, actual results achieved for the year ending 30 June 2010 are likely to vary from the forecast information presented, and this variation could be material.
• Once the Statement of Intent is presented, Statistics New Zealand will not be updating the forecasts for any changes to appropriations or forecast financial statements made in ensuing Supplementary Estimates. However, subsequent changes, and any material error in these forecasts will be reported in the Annual Report of Statistics New Zealand for the year ended 30 June 2011.

Statement of Entity-Specific Accounting Policies#

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Statistics New Zealand has applied the accounting policies set out in the Statement of Accounting Policies Standard included in this document, except as stated below.

Reporting Entity

These are the prospective financial statements of Statistics New Zealand, prepared in accordance with section 38 of the Public Finance Act 1989.

Statistics New Zealand is a Government Department as defined by section 2 of the Public Finance Act 1989. For the purposes of financial reporting Statistics New Zealand is a public benefit entity.

Authorisation Statement

These forecast financial statements were authorised for issue by the Chief Executive on 8 April 2010. The Chief Executive is responsible for the forecast financial statements presented, including the appropriateness of the assumptions underlying the forecast financial statements and all other required disclosure.

Specific Accounting Policies

Going concern

The financial statements of Statistics New Zealand are prepared on a going concern basis.

Property, plant and equipment

Capitalisation thresholds applied are set out below:

• Physical assets costing more than $1,000 (except for Computer Equipment that form an integral part of the asset) are capitalised and recorded at cost. Any write-down of an item to its recoverable amount is recognised in the Statement of Financial Performance.

Depreciation

The estimated useful lives of property, plant and equipment are set out below:

• Leasehold improvements - 10 years or remaining term of lease.
• IT Equipment / Hardware - 3 to 5 years.
• Motor vehicles - 3 to 5 years.
• Furniture and fittings - 7 Years.
• Office Equipment - 5 years.

Intangible assets

Capitalisation thresholds applied are:

• Intangible assets costing more than $1,000 are capitalised and recorded at cost. The cost of an internally generated intangible asset represents expenditure incurred in the development of the asset. Internally developed software (work-in- progress) is valued at the lower of cost and net realisable value. No depreciation is charged against work in progress.

The estimated useful lives of intangible assets are set out below:

• Purchased software - 3 to 5 years.
• Internally developed software - 3 to 10 years.

Cost allocation

Statistics New Zealand will derive the costs of outputs shown in these statements using cost drivers to assign indirect costs. Direct costs are assigned to outputs based on direct charging and time recording. Direct costs are the significant cost driver in allocating indirect costs to outputs.

Revenue allocation

Statistics New Zealand will allocate revenue Crown to outputs based on the Vote appropriation. Within each output, revenue Crown is allocated to respective outputs based on direct and allocated costs.

Revenue Crown for the 2011 Census of Population and Dwellings - MYA will be allocated on an actual basis in the current year and any surplus will be returned to the Crown in the final year of the MYA.

Changes in accounting policies

There have been no major changes in accounting policies, since the date of the last audited financial statements. All policies have been applied on a basis consistent with those used in the previous published financial reports.

Accounting policies are changed only if the change is required by an accounting standard or interpretation, or if it otherwise provides more reliable and relevant information.

Notes to the Financial Statements#

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Note 1 - Operating Expenses

The increase in domestic travel during 2010/11 is mainly due to 2011 Census.

Note 2 - Capital Charge#

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The Department is required to pay capital charge on its net assets. The capital charge rate for the year ending 30 June 2011 is 7.5% per annum.

Note 3 - Debtors and Other Receivables#

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(1) - Crown Debtor (reported as a negative in the Crown Financial Information System).

Note 4 - Other Current Liabilities#

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Other current liabilities contain deferred revenue which is the portion of the operating revenue received which relates to future years. It will be recognised as income in the year in which the services are provided.

Note 5 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the year ending 30 June 2011.#

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Forecast Financial Statements Te Puni Kōkiri#

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Statement of Forecast Comprehensive Income for the year ending 30 June 2011

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2011#

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Forecast Statement of Financial Position as at 30 June 2011#

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Statement of Forecast Cash Flows for the year ending 30 June 2011#

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Statement of Significant Assumptions#

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These forecast financial statements have been compiled on the basis of existing government policies and Ministerial expectations at the time the statements were finalised. They have been prepared in accordance with Section 34A of the Public Finance Act 1989 and are consistent with generally accepted accounting practice. They comply with NZ IFRS and Financial Reporting Standard No. 42: Prospective Financial Statements (FRS-42), as appropriate for public benefit entities.

The purpose of the forecast financial statements is to facilitate parliamentary consideration of the appropriations for, and planned performance of, Te Puni Kōkiri.

These forecast financial statements have been compiled on the basis of government policies and prepared on assumptions of future events that the Chief Executive of Te Puni Kōkiri reasonably expects to occur at the date this information was prepared. It is not intended that this published information will be updated.

The statements assume the functions and duties of Te Puni Kōkiri will remain consistent with those set out in the Ministry of Māori Development Act 1991.

The main assumptions are as follows:

• The department's activities will remain substantially the same as for the previous year after incorporating the impact of administrating the delivery of the Whānau Ora approach.
• Personnel costs are based on 381 full time equivalents staff positions.
• Operating costs are based on historical experience. The general historical pattern is expected to continue.
• Estimated year end information for 2009/10 is used as the opening position for the 2010/11 forecasts.

These assumptions are adopted as at 1 April 2010.

Actual results achieved for the year to 30 June 2011 are likely to vary from information presented in these statements and the variances may be material. This could be due to changes in existing policies that may change the funding requirement of Te Puni Kōkiri, and as a result have an impact on the prospective financial statements. The potential financial effect of this cannot be quantified now as it will depend on the quantum of the change that may be proposed.

Statement of Entity-Specific Accounting Policies#

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The Te Puni Kōkiri has applied the accounting policies set out in Statement of Accounting Policies Standard included in this document, except as stated below.

Reporting Entity

These are the prospective financial statements of Te Puni Kōkiri, prepared in accordance with section 38 of the Public Finance Act 1989.

Te Puni Kōkiri is a Government Department as defined by section 2 of the Public Finance Act 1989. For the purposes of financial reporting Te Puni Kōkiri is a public benefit entity.

Authorisation Statement

These forecast financial statements were authorised for issue by the Chief Executive of Te Puni Kōkiri on 23 April 2010. The Chief Executive of Te Puni Kōkiri is responsible for the forecast financial statements presented, including the appropriateness of the assumptions underlying the forecast financial statements and all other required disclosure.

Specific Accounting Policies

Property, Plant and Equipment

Capitalisation thresholds applied are set out below:

• IT Equipment / Hardware - $5,000
• All other property, plant and equipment - $5,000

Depreciation

The estimated useful lives of property, plant and equipment are set out below:

• Computer Equipment - 4 years
• Motor Vehicles - 5 years
• Office Equipment - 5 years
• Furniture and Fittings - 5 years
• Leasehold Improvements - up to 12 years

Intangible Assets

Capitalisation thresholds applied are:

• Purchased software - $5,000
• Internally developed software - $5,000

The estimated useful lives of intangible assets are:

• Purchased software - 3 and 1/3 years
• Internally developed software - 3 and 1/3 years

Cost Allocation

Te Puni Kōkiri has determined the cost of outputs using the cost allocation system outlined below.

Criteria for Direct Costs

'Direct costs' are those costs that are directly attributed to an output.

Criteria for Indirect Costs

'Indirect costs' are those costs that cannot be attributed in an economically feasible manner, to a specific output.

These include depreciation and capital charge which are charged to outputs on the basis of asset utilisation. The depreciation and capital charge of IT assets are allocated to outputs on the basis of budgeted staff hours attributable to each output.

Personnel costs (excluding those of Support Services Wahanga and the Office of the Chief Executive) are allocated to outputs based on budgeted staff hours attributable to each output. Property and other premises costs, such as maintenance, are charged to Wahanga (business units) on the basis of budgeted full time equivalents (FTEs).

Corporate overheads are allocated to outputs on the basis of budgeted staff hours attributable to each output.

Notes to the Financial Statements#

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Note 1 - Operating Expenses

Note 2 - Property, Plant and Equipment#

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Note 3 - Intangible Assets#

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Note 4 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the year ending 30 June 2011#

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Note 5 - Reconciliation of Departmental Expenses and Appropriations#

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Forecast Financial Statements Ministry of Women's Affairs#

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Statement of Forecast Comprehensive Income for the year ending 30 June 2011

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2011#

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Forecast Statement of Financial Position as at 30 June 2011#

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Statement of Forecast Cash Flows for the year ending 30 June 2011#

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Statement of Significant Assumptions#

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These forecast financial statements have been compiled on the basis of existing government policies and Ministerial expectations at the time the statements were finalised.

The main assumptions are as follows:

• The Ministry's activities will remain substantially the same as for the previous year.
• Personnel costs are based on expected staff numbers for the year (36 full time equivalents).
• Operating costs are based on historical experience. The general historical pattern is expected to continue.
• Estimated year end information for 2009/10 is used as the opening position for the 2010/11 forecasts.

These assumptions are adopted as at 19 April 2010.

Due care and attention has been given by the Ministry in preparing the financial forecasts. However, the Ministry cannot give any guarantee or assurance that the forecasts will be achieved. The Ministry is not aware of anything that could lead to a material difference between the forecast financial statements and the 2010/11 actual financial statements other than decisions by the Government such as new initiatives or technical adjustments.

Statement of Entity-Specific Accounting Policies#

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The Ministry of Women's Affairs has applied the accounting policies set out in the Statement of Accounting Policies Standard included in this document, except as stated below.

Reporting Entity

These are the prospective financial statements of the Ministry of Women's Affairs, prepared in accordance with section 38 of the Public Finance Act 1989.

The Ministry of Women's Affairs is a Government Department as defined by section 2 of the Public Finance Act 1989. For the purposes of financial reporting the Ministry of Women's Affairs is a public benefit entity.

Authorisation Statement

These forecast financial statements were authorised for issue by the Ministry's Chief Executive on 19 April 2010. The Chief Executive is responsible for the forecast financial statements presented, including the appropriateness of the assumptions underlying the forecast financial statements and all other required disclosure.

Specific Accounting Policies

Depreciation

The estimated useful lives of property, plant and equipment are set out below:

• Leasehold improvements - over the term of the lease.
• IT equipment and hardware - 3 years.
• Furniture and office equipment - 5 to 10 years.
• Library books (legal reference) - 2 to 10 years.
• Library books (non-fiction and reference) - 10 years.

Intangible Assets

The estimated useful life of computer software is 3 years.

Notes to the Financial Statements#

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Note 1 - Operating Expenses

Note 2 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the year ending 30 June 2011#

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Purpose of Information Supporting the Estimates#

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The Information Supporting the Estimates provides members of Parliament with information on expected performance to:

• support their examination of the appropriations and other authorities requested by the Government in the first Appropriation Bill for the forthcoming financial year, and
• provide a basis against which they can later assess the actual performance of each individual department and Office of Parliament over that financial year.

The Information Supporting the Estimates is organised into 10 volumes 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 in consultation with the Finance and Expenditure Committee. The 10 sectors are:

• Economic Development and Infrastructure Sector
• Education and Science Sector
• Environment Sector
• External Sector
• Finance and Government Administration Sector
• Health Sector
• Justice Sector
• Māori, Other Populations and Cultural Sector
• Primary Sector
• Social Development and Housing Sector.

 

Votes and Departments in Each Sector#

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Purpose and Nature of Appropriations#

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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 Public Finance Act 1989 (PFA) - unless it is expressly authorised by or under an Act of Parliament.

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

Limits Created by Appropriations#

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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.

In most cases 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.

As generally accepted accounting practice does not normally treat GST as an expense, appropriation amounts also generally exclude GST. Prior to 2005/06, however, appropriations included applicable GST. All prior-year appropriation data, such as in the Summary of Trends table in the Estimates and the Summary of Financial Activity Table for each Vote in Information Supporting the Estimates - have been adjusted to exclude GST to allow appropriate comparison.

Responsibility for Appropriations#

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Each appropriation is the responsibility of a designated Minister, who controls the right to use that appropriation within the limits authorised by Parliament. A department is also assigned to administer that appropriation in accordance with the Minister's wishes concerning its use.

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#

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The PFA provides for six types of appropriation. Four appropriation types authorise the incurring of expenses; one type authorises the incurring of capital expenditure; and the remaining type authorises 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#

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A number of variations are possible for output expense appropriations. In particular, the constraint on the amount of expense that can be incurred is not always a fixed amount; and an output expense appropriation can cover more than one class of outputs.

Appropriation Period#

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The length of the appropriation period affects how appropriations are presented in the Estimates and Supplementary Estimates. 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 listed in the Estimates and Supplementary Estimates allow expenses or capital expenditure to be incurred only during a particular financial year. The annual amounts, for which parliamentary authority is being sought, are shown in bold type in Details of Annual and Permanent Appropriations in the Estimates and Supplementary Estimates for each Vote. The amounts for RDAs and annual DDAs are forecasts only, and so are not shown in bold type.
• 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. The details of each MYA, including its commencement date and expiry date, are specified in Details of Multi-Year Appropriations in the Estimates and Supplementary Estimates for relevant Votes.
• 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 that 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 or capital expenditure to be incurred for the purpose specified in the legislation “without further appropriation than this section”. Details of permanent appropriations are included in Details of Annual and Permanent Appropriations in the Estimates and Supplementary Estimates for each Vote for completeness, though the amount specified is a forecast rather than a limit. The amounts of permanent appropriations are therefore not shown in bold type. The scope of a permanent appropriation will reference the relevant section of the authorising legislation.

Guide to Reading Information Supporting theEstimates#

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The Information Supporting the Estimates for each of the 10 sectors comprises five components, each of which is briefly described, below.

1 Sector Overview Information

The first component of the Information Supporting the Estimates may include a statement, agreed by all Ministers responsible for appropriations in each Vote included in the sector, that presents an overview of the sector and a high-level summary of the government's expectations and priorities. The Overview also includes Ministerial and Chief Executive Statements of Responsibility for the information provided in the Information Supporting the Estimates.

2 Performance Information Relating to Appropriations in Each Vote#

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The second component of the Information Supporting the Estimates presents performance information relating to each appropriation.

Thetitle pages for each Vote specify the Minister(s) responsible for existing and proposed appropriations in the Vote, and the Responsible Minister for the department. The performance information meets the requirements of sections 15 and 41(1)(e) of the PFA and contains up to six parts. If particular information is not applicable to the Vote or a specific appropriation or type, or is otherwise unavailable, the relevant heading is not included.

Part 1 - Summary of the Vote

The Summary of the Vote comprises:

• Part 1.1 Overview of the Vote - A plain-language summary of the focus of the appropriations through a brief explanation of the Vote. The Overview also appears at the start of the Vote in the Estimates.
• Part 1.2 High-Level Objectives of the Vote - The objectives for the Vote presented through links and relationships and high-level priorities and outcomes to which they contribute. Where applicable, priorities and outcomes are drawn from the priorities and desired outcomes and published strategy documents. Links are also made to specific government strategies. Links may also be made to specific Government objectives.
• Part 1.3 Trends in the Vote - A presentation of the actual and estimated trends in the Vote, comprising:
  • Summary of Financial Activity - A table showing financial information over the preceding five years (actual, budgeted or estimated actual), the current year (Budget) and the following three years (estimated) for the type of appropriations and Crown revenue and capital receipts.
  • New Policy Initiatives - A table showing how new initiatives (and the associated expenses or capital expenditure) are allocated to appropriations in the Vote. References are included where appropriations in other Votes are affected by the same initiative.
  • Analysis of Significant Trends - High-level analysis of appropriations and Crown revenue and capital receipts by type over the nine financial years covered by the Summary of Financial Activity table, explanations of significant changes and may also contain graphical presentations.

• Part 1.4 Reconciliation of Changes in Appropriation Structure - a table providing a reconciliation and explanation of any changes in the structure or classification of appropriations made in the Budget year. These changes are restated for the previous financial year to facilitate comparison.

Part 2 - Details and Expected Performance for Output Expenses#

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This Part provides further detail about appropriations and expected performance for output expenses.

• Part 2.1 Departmental Output Expenses - Intended impacts, outcomes and objectives are presented for departmental output expense appropriations in the Vote. This is followed by information on each appropriation, including its scope, a table showing expenses and revenue (distinguishing the revenue sources between the Crown and others), a statement of reasons for change in the appropriation (if material), and tables detailing performance measures and standards for significant aspects of expected output performance, any conditions on use of appropriation, any memorandum accounts (which record accumulated surpluses and deficits incurred in the provision of outputs on a full cost-recovery basis), and any current and past policy initiatives affecting the appropriation.
  • Information on impacts and outcomes or objectives to which the outputs contribute is provided. Further information on the relationships between outputs, impacts, and outcomes or objectives is outlined in Part 1.2 and the Statement of Intent. Conditions on use include administrative criteria and processes contained in legislation, regulation and Government decisions, which may be reference in scope statement or performance measures. The current and past policy initiatives tables provides a five-year history of announced initiatives that impact on the Budget year, the preceding year and the following three years.
  • For MCOA, an explanation is provided as to why the classes of outputs have been grouped under a single appropriation, and the scope statement, expenses and revenue, and performance information is presented for each output class.
  • Information provided for MYAs enables the original appropriation to be reconciled to the adjusted level if changes have been approved or are proposed, and the balance remaining to be derived taking account of actual or estimated expenses incurred to date.
  • The appropriation scope, expenses and revenue, and output performance measures and standards match information required to be included in a department's Statement of Forecast Service Performance with respect to departmental output expense appropriations used by the department.
• Part 2.2 Non-Departmental Output Expenses - This sub-part contains comparable information to that presented in Part 2.1 on departmental output expense appropriations. The main differences are that details of third parties’ other revenue is not relevant and a summary of service providers is included.
  • The service providers table shows Crown entities and non-governmental organisations providing outputs funded through the Vote, and (where applicable) the mechanism for reporting actual performance to Parliament and the expiry of the Government's resource commitment. The reporting mechanisms are typically an entity's annual report or a report by the responsible Minister required by section 32A of the PFA. Where the provider is a Crown entity that is required to produce a Statement of Intent, its annual report may contain more detailed performance information at the output class or output level. ‘Section 32A' reports include a statement of service performance in relation to the appropriation.

Part 3 - Details for Benefits and Other Unrequited Expenses#

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Part 3 provides performance information about appropriations for benefits and other unrequited expenses incurred by the Crown. No departmental transactions arise under this appropriation type.

• Part 3.2 Non-Departmental Benefits and Other Expenses - Information on each appropriation includes impacts and outcomes intended to be achieved, a scope statement, expense components, reasons for material changes, any conditions of use, and details of any current and past policy initiatives over the five years up to and including the Budget year.

Part 4 - Details for Borrowing Expenses#

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This Part provides detail about appropriations for borrowing expenses. No departmental borrowing expense appropriations exist at present.

• Part 4.2 Non-Departmental Borrowing Expenses - The set of performance information is the same as that for non-departmental benefits and other expenses, except that conditions on use are no specified.

Part 5 - Details and Expected Results for Other Expenses#

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Part 5 provides detail about appropriations for:

• Part 5.1 Departmental Other Expenses - It is uncommon for this category of appropriation to be utilised. In the few cases where it occurs, the performance information is the same as that for non-departmental other expense appropriations except for a summary of reporting mechanisms.
• Part 5.2 Non-Departmental Other Expenses- Information on other expenses incurred by the Crown covers intended impacts and outcomes, appropriation scope, expenses analysed by component, reasons for material changes in the appropriation, expected results and standards, any conditions on use, any current and past policy initiatives, and a summary of mechanisms for reporting actual performance to Parliament.

Part 6 - Details and Expectations of Capital Expenditure#

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This Part provides further details about appropriations for capital expenditure.

• Part 6.1 Departmental Capital Expenditure - The purchase or development of assets by a department is made under a permanent appropriation authorised by section 24(1) of the PFA. Capital expenditure is defined in section 2 as the cost of assets acquired or developed, including tangible, intangible or financial assets, and any ownership interest in entities, but excluding inventories. The appropriation appears in the Vote that contains appropriations that are the responsibility of the department's Responsible Minister.
  • Information is provided on intended impacts and outcomes of the appropriation, its scope, expenditure analysed by standard asset categories, reasons for material changes in the appropriation, and expected results. The scope statement is in a standard form for all departments. The performance information relates to the department as a whole and is not limited to any specific capital injection.
• Part 6.2 Non-Departmental Capital Expenditure - Performance information for capital expenditure incurred by the Crown is the same as that for departmental capital expenditure except for not detailing asset categories and the addition of any conditions on use of the appropriation, any current and past policy initiatives, and a summary of the mechanism for reporting to Parliament.
  • The scope statement indicates the form of interest or asset acquired by the Crown, such as a capital injection (equity), loan or shares.

The following table summarises the performance information that is required for a ‘standard' appropriation in each sub-part.

Information on reasons for change, conditions on use, current and past policy initiatives, and reporting mechanisms appears where applicable or material. Memorandum accounts are relevant only in Part 2.1. Some variations exist for non-standard appropriations, including MCOAs in Parts 2.1 and 2.2 and MYAs in Parts 2.1, 2.2, 5.2 and 6.2. Furthermore performance information may not be available for some appropriations.

3 Statement of Forecast Service Performance of Departments#

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The third component of the Information Supporting the Estimates of Appropriations comprises the Statement of Forecast Service Performance for each department included in the sector, by reference to material already set out in Part 2.1 of Votes containing appropriations proposed to be used by the department.

4 Forecast Financial Statements of Departments#

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The fourth component of the Information Supporting the Estimates begins with a Statement of Common Accounting Policies applicable to all departments. The forecast financial statements for the forthcoming financial year for each department covered by the sector includes a:

• Statement of Forecast Comprehensive Income
• Statement of Forecast Changes in Taxpayers' Funds
• Forecast Statement of Financial Position
• Statement of Forecast Cash Flows
• Statement of Significant Assumptions.

Each department will include a Statement of Entity- Specific Accounting Policies detailing policies for any matters not addressed by the Statement of Common Accounting Policies (such as a “going concern” statement) or where its policies are more specific than the common policies (such as capitalisation thresholds and estimated useful lives of individual classes of assets). Notes to the Financial Statements provide additional details to assist interpretation of the accounts and to meet disclosure requirements outlined in legislation and accounting standards.

5 Statements of Intent of Departments#

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The final component of the Information Supporting the Estimates presents the Statements of Intent of the departments covered by each sector. These statements contain the information required by section 40 of the PFA. They focus on the medium term and generally cover:

• Nature and scope of the department's functions - A brief high-level description of the department's functions, addressing its role(s) and purpose and how it intends fulfilling them.
• Strategic direction - impacts and outcomes - A brief high-level overview of the department's strategic direction covering both the impacts and outcomes the department is seeking to achieve (or contribute to) and the strategic environment in which the department operates through, in particular, its responses to the government's priorities.
• Operating intentions - Information that describes how the department intends to achieve (or contribute to) those desired impacts and outcomes through its operations. This section should also include the main measures and standards the department will use to assess and demonstrate what it has achieved, including measures of outcome achievement, impact and cost effectiveness.
• Managing in a changeable operating environment - Information on the risks to achievement of the desired outcomes and priorities, and the department's mitigation strategies.
• Assessing organisational health and capability - The department's intentions for building and strengthening its internal capability, including its responses to the development goals for the State Services and its strategic approach to managing its asset base and forecast capital expenditure in the medium term. If capital expenditure is significant, it is in a separate section.
• Additional information and statutory reporting requirements - As required either by the responsible Minister or Minister of Finance, or by specific legislation.

Terms and Definitions#

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The table below contains terms that are used in the Estimates and the Information Supporting the Estimates.

Useful Links#

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The suite of Budget 2010 documents can be accessed in the Budgets section of the website: www.treasury.govt.nz/budget/2010. Documents providing guidance on the PFA and the public sector financial management system can be accessed in the Public Finance Overviews section of the Treasury's website: www.treasury.govt.nz/publications/guidance/publicfinance.

Ministerial Statements of Responsibility#

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Each of us is satisfied that the information on future operating intentions provided by our respective departments and included in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector is in accordance with sections 38, 40 and 41 of the Public Finance Act 1989 and is consistent with the policies and performance expectations of the government.

Chief Executive Statements of Responsibility#

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Ministry for Culture and Heritage

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to the Ministry for Culture and Heritage and for the Votes for which the Ministry for Culture and Heritage is the administering department. Specifically, this information is contained in the Ministry for Culture and Heritage's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

Ministry of Pacific Island Affairs

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to the Ministry of Pacific Island Affairs and for the Vote for which the Ministry of Pacific Island Affairs is the administering department. Specifically, this information is contained in the Ministry of Pacific Island Affairs's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

Ministry of Women's Affairs

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to the Ministry of Women's Affairs and for the Vote for which the Ministry of Women's Affairs is the administering department. Specifically, this information is contained in the Ministry of Women's Affairs's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

Statistics New Zealand

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to Statistics New Zealand and for the Vote for which Statistics New Zealand is the administering department. Specifically, this information is contained in Statistics New Zealand's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

Chief Executive Statements of Responsibility (continued)#

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Archives New Zealand#

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In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to Archives New Zealand and for the Vote for which Archives New Zealand is the administering department. Specifically, this information is contained in Archives New Zealand's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

Department of Internal Affairs#

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In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to the Department of Internal Affairs and for the Votes for which the Department of Internal Affairs is the administering department. Specifically, this information is contained in the Department of Internal Affairs's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

National Library of New Zealand#

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In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to the National Library of New Zealand and for the Vote for which the National Library of New Zealand is the administering department. Specifically, this information is contained in the National Library of New Zealand's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

Te Puni Kōkiri#

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In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Māori, Other Populations and Cultural Sector relating to Te Puni Kōkiri and for the Vote for which Te Puni Kōkiri is the administering department. Specifically, this information is contained in Te Puni Kōkiri's statement of forecast service performance, forecast financial statements and statement of intent.

This information has been prepared in accordance with the Public Finance Act 1989. It is also consistent with the proposed appropriations set out in the Appropriation (2010/11 Estimates) Bill, as presented to the House of Representatives in accordance with section 13 of the Public Finance Act 1989, and with existing appropriations and financial authorities.

Performance Information for Appropriations Vote Arts, Culture and Heritage#

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MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister for Arts, Culture and Heritage (M4), Minister of Broadcasting (M8)

ADMINISTERING DEPARTMENT: Ministry for Culture and Heritage

MINISTER RESPONSIBLE FOR MINISTRY FOR CULTURE AND HERITAGE: Minister for Arts, Culture and Heritage

Part 1 - Summary of the Vote

Part 1.1 - Overview of the Vote

The Minister for Arts, Culture and Heritage is responsible for appropriations in the Vote for the 2010/11 financial year covering the following:

• A total of nearly $16 million (6% of the vote) for purchasing services (international cultural diplomacy, history and heritage, policy advice, monitoring of funded agencies and ministerial servicing) from the Ministry for Culture and Heritage.
• A total of nearly $79 million (28% of the vote) for purchasing (mainly from arts and heritage Crown entities) ballet, Māori performing arts, archiving, museum, and orchestral services, protection for historic places, and promoting and supporting New Zealand films and the arts.
• A total of over $3 million (1% of the vote) for a contribution to an international organisation (Commonwealth War Graves Commission).
• A total of over $9 million (3% of the vote) for capital investment in Te Papa, and departmental capital expenditure.
• A total of nearly $7 million (3% of the vote) for other expenses including development and maintenance of war graves, historic graves and monuments ($527,000), Treaty of Waitangi commemorations ($288,000) and contributions to capital projects at Regional Museums ($6.667 million).

The Minister of Broadcasting is responsible for appropriations in the Vote for the 2010/11 financial year covering the following:

• A total of nearly $162 million (59% of the vote) for purchasing public broadcasting services mainly from broadcasting Crown entities.

Details of these appropriations are set out in Parts 2-6 below.

Part 1.2 - High-Level Objectives of the Vote#

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Vote Arts, Culture and Heritage contributes to the Government's priorities both directly and through its support of sector outcomes. Direct support for the Government's priorities is through the services provided through the Vote. The objectives (or outcomes) for these services are:

• thriving producers and healthy (Government funded) cultural organisations
• the preservation of New Zealand's culture, heritage and traditions, and
• New Zealanders value their arts, broadcasting, culture, heritage and sport.

These objectives are also outcomes for the arts, broadcasting, culture and heritage sector and are the focus for:

• sector wide support for the Government's priorities, and
• developing a thriving culture contributing to New Zealand's cultural, economic and social prosperity.

A thriving culture improves the lives of New Zealanders through the development of:

• capable enterprises and workforce - providing jobs, incomes, and developing skills, creativity and innovation
• better educated, skilled, and confident New Zealanders with a stronger sense of identity, and
• stronger, tolerant communities better able to work together and attract more resources, business and tourists.

Contribution of Appropriations to Government Priorities and Outcomes

Part 1.3 - Trends in the Vote#

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Summary of Financial Activity

New Policy Initiatives

Analysis of Significant Trends

Total Vote: All Appropriations

Trends in comparative actual and estimated total expenses and capital expenditure are shown in Figure 1 below.

Vote trends in actual expenses and capital expenditure by appropriation type

Source: Ministry for Culture and Heritage

Output Expenses

From 2005/06 to 2009/10 there was an increase in total appropriations for output expenses through Vote Arts, Culture and Heritage for a range of purposes, including:

• Enabling additional departmental policy and monitoring activity by the Ministry for Culture and Heritage in support of the government's culture and heritage aspirations.
• The advancement of a range of public broadcasting initiatives, which includes additional funding for the Ministry and for Radio New Zealand (RNZ), NZ On Air, Television New Zealand (TVNZ) and Freeview Limited, a consortium of free-to-air broadcasters (Freeview).
• Maintaining capability in New Zealand's leading arts and heritage organisations, including the NZSO, Royal New Zealand Ballet (RNZB), the NZHPT, New Zealand Film Archive (NZFA), Antarctic Heritage Trust (AHT), New Zealand Music Commission, Te Papa, Te Matatini Society Incorporated (Te Matatini) and the Arts Council of New Zealand, Toi Aotearoa - Creative New Zealand (CNZ), as well as in the Ministry for Culture and Heritage.
• Maintaining the national Pacific radio network (Niu FM) and enhancing broadcasting services transmitted to the Pacific region.
• Administering new legislation governing the authentication of protected objects and conservation of Crown-owned taonga tuturu.
• Expansion of mechanisms to support screen production, including establishing the New Zealand Screen Production Incentive Fund.

In the 2010/11 Budget additional funding will be applied to New Zealand Memorial Park as set out in the previous table. The funding reprioritised as part of the baseline alignment proposal is also set out in the table.

Crown Revenue and Capital Receipts

Non-tax revenue in 2006/07 ($7.578 million) was predominantly comprised of repaid grant funding and associated interest from Canterbury Museum for a project that did not proceed under the Regional Museums Policy for Capital Construction Projects ($7.353 million).

Part 2 - Details and Expected Performance for Output Expenses#

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Part 2.1 - Departmental Output Expenses

Intended Impacts, Outcomes and Objectives

Heritage Services (M4)

Scope of Appropriation

Expenses and Revenue

Output Performance Measures and Standards

Conditions on Use of Appropriation

Current and Past Policy Initiatives

International Cultural Diplomacy (M4)#

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Scope of Appropriation

Expenses and Revenue

Output Performance Measures and Standards

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Policy Advice and Monitoring of Funded Agencies (M4)#

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Scope of Appropriation

Expenses and Revenue

Output Performance Measures and Standards

Conditions on Use of Appropriation

Note - Product quality characteristics are assessed by Ministers indicating their level of satisfaction on the annual questionnaire as 'good' or better in a four point scale for each category; Cabinet Committees having a high acceptance rate of Ministry papers; and feedback from the Cabinet Office indicating that the Ministry's Cabinet papers meet Cabinet Office standards of presentation, including conciseness and clarity.

Current and Past Policy Initiatives

Part 2.2 - Non-Departmental Output Expenses#

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Intended Impacts, Outcomes and Objectives

Management of Historic Places (M4)

Scope of Appropriation

Expenses

Reasons for Change in Appropriation

The New Zealand Historic Places Trust received one off funding totalling $3 million during 2009/10 for emergency deferred maintenance and investment in heritage destinations. Operational funding increased $500,000 for 2010/11 due to a Budget 2008 decision.

Output Performance Measures and Standards

Current and Past Policy Initiatives

Museum Services (M4)#

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Scope of Appropriation

Expenses

Reasons for Change in Appropriation

The New Zealand Film Archive received one off funding totalling $2 million during 2009/10 for urgent film preservation. Direct operational funding increased $950,000 from 2010/11, as previous indirect vote funding was transferred from the Film Commission and NZ On Air.

Output Performance Measures and Standards

Current and Past Policy Initiatives

Performing Arts Services (M4)#

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Scope of Appropriation

Expenses

Output Performance Measures and Standards

Current and Past Policy Initiatives

Promotion and Support of the Arts and Film (M4)#

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Scope of Appropriation

Expenses

Reasons for Change in Appropriation

This appropriation decreased by $5.500 million for 2009/10 only. One-off additional Lottery Grants Board funding was re-prioritised on a one-off basis to meet particular pressures in the heritage sector and to support cultural projects for the Rugby World Cup Festival.

Output Performance Measures and Standards

Current and Past Policy Initiatives

Protection of Taonga Tuturu (M4)#

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Scope of Appropriation

Expenses

Reasons for Change in Appropriation

This appropriation was increased in 2009/10 by $60,000 during the baseline alignment proposal, due to increased charges from the only laboratory in New Zealand capable of providing the conservation service.

Output Performance Measures and Standards

Current and Past Policy Initiatives

Public Broadcasting Services (M8)#

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Scope of Appropriation

Expenses

Output Performance Measures and Standards

Current and Past Policy Initiatives

Summary of Service Providers for Non-Departmental Outputs#

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The above table summarises funding to be allocated through Vote Arts, Culture and Heritage to non-departmental providers, along with an indication of the mechanism to be used for reporting actual performance and (where determined) the length of the funding commitment.

Part 5 - Details and Expected Results for Other Expenses#

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Part 5.2 - Non-Departmental Other Expenses

Intended Impacts, Outcomes and Objectives

Commonwealth War Graves (M4)

Scope of Appropriation

Expenses

Expected Results

Development and Maintenance of War Graves, Historic Graves and Monuments (M4)#

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Scope of Appropriation

Expenses

Expected Results

New Zealand Screen Production Incentive Fund (M4)#

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Scope of Appropriation and Expenses

Expected Results

Preservation and Display of Taonga Pukaki (M4)#

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Scope of Appropriation

Expenses

Reasons for Change in Appropriation

This is a new one off appropriation established for 2010/11 as a result of the reprioritisation of vote money through the baseline alignment proposal. The new funding will be used for the care, conservation and custody of the carving known as Pukaki.

Expected Results

Current and Past Policy Initiatives

Regional Museums (M4)#

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Scope of Appropriation

Expenses

Reasons for Change in Appropriation

The regional museums appropriation was reduced during 2008/09 as part of the line by line review. However, because of existing commitments, the appropriation remained higher in 2009/10 than the ongoing appropriation of $6.667 million.

Expected Results

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Treaty of Waitangi Commemorations (M4)#

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Scope of Appropriation

Expenses

Expected Results

Conditions on Use of Appropriation

Reporting Mechanisms#

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The above table indicates the mechanisms to be used for reporting actual performance for each non-departmental other expenses appropriation.

Part 6 - Details and Expected Results for Capital Expenditure#

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Part 6.1 - Departmental Capital Expenditure

Intended Impacts, Outcomes and Objectives

Ministry for Culture and Heritage - Capital Expenditure PLA (M4)

Scope of Appropriation

Capital Expenditure

Part 6.2 - Non-Departmental Capital Expenditure#

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Intended Impacts, Outcomes and Objectives

Museum of New Zealand Te Papa Tongarewa (M4)

Scope of Appropriation

Capital Expenditure

Expected Results

New Zealand Memorial Park (M4)#

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Scope of Appropriation

Capital Expenditure

Reasons for Change in Appropriation

In 2004/05 $6 million was provided for the purchase of land for the establishment of a New Zealand Memorial Park. The preferred design has now been selected, with construction of the park due to commence in 2010/11. Vote funding of $350,000 was reprioritised during 2009/10 to partially fund New Zealand Memorial Park. This initial funding enabled the commencement of design work. The majority of the construction costs are anticipated to occur during 2013/14.

Expected Results

Current and Past Policy Initiatives

Reporting Mechanisms#

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The above table indicates the mechanisms to be used for reporting actual results for each non-departmental capital expenditure appropriation.

Performance Information for Appropriations Vote Community and Voluntary Sector#

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MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister for the Community and Voluntary Sector (M15)

ADMINISTERING DEPARTMENT: Department of Internal Affairs

MINISTER RESPONSIBLE FOR DEPARTMENT OF INTERNAL AFFAIRS: Minister of Internal Affairs

Part 1 - Summary of the Vote

Part 1.1 - Overview of the Vote

The Minister for the Community and Voluntary Sector is responsible for appropriations in the Vote for the 2010/11 financial year covering the following:

Departmental Appropriations

• a total of $14.123 million (68% of departmental appropriations in this Vote) for grant services to the Lottery Grants Board, other community-oriented grant schemes and several Crown Trusts and Fellowships
• a total of $5.303 million (25% of departmental appropriations in this Vote) for a community-based advisory service providing information to enable community groups to more effectively meet the needs of individuals, groups and agencies
• a total of $1.408 million (7% of departmental appropriations in this Vote) for the provision of policy advice with a community/whānau/hapu/iwi development perspective, and other support to the Minister, including matters relating to the performance of, and appointments to, the Charities Commission.

Non-Departmental Appropriations

• a total of $5.066 million for operational funding for the Charities Commission to register charities and promote public confidence and trust in the charitable sector
• a total of $20.425 million for grants to community and voluntary sector organisations.

Details of these appropriations are set out in Parts 2-6 below.

Part 1.2 - High-Level Objectives of the Vote#

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Contribution of Appropriations to Government Priorities and Outcomes

Part 1.3 - Trends in the Vote#

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New Policy Initiatives

Analysis of Significant Trends

Total Vote: All Appropriations

Significant changes in departmental and non-departmental appropriations are discussed briefly below.

Vote trends in actual expenses and capital expenditure by appropriation type

Source: Department of Internal Affairs

The movements in departmental and non-departmental appropriations in Vote Community and Voluntary Sector, are detailed in the Summary of Financial Activity table.

Departmental Output Expenses

In 2006/07 and outyears, expenditure increased due to funding for updating and ongoing support for the website Community Net Aotearoa and for the provision of increased services to the Lottery Grants Board. The level of funding from the Lottery Grants Board was increased again from 2008/09 to 2010/11 for the Significant Projects Fund and the Outcome Focus Framework.

Non-Departmental Other Expenses

In 2005/06 a four year multi-year appropriation "Community Partnership Fund" was created. Expenditure commenced in 2006/07 for this appropriation. Additional funding was provided in 2008/09 for the Community Partnership Fund to promote the development of new projects and further development and replication of successful projects, and identification and targeting of gaps to ensure equity in funding across New Zealand, expansion of the Community Organisation Grants Scheme and enhancements to the Community Internship Programme. From 2010/11 the baseline increases due to the provision of funding to selected communities to improve their access to digital tools and to improve their capability in those communities in the use of digital tools.

Non-Departmental Output Expenses

In 2005/06 the Charities Commission was established. The decrease in expenditure in 2006/07 reflects a lower level of funding for the Charities Commission post establishment in 2005/06. Additional funding was provided in 2007/08 and outyears to enable the completion of the inaugural registration of charities, address a shortfall in annual return funding and to provide broader functions under the Charities Act 2005.

Non-Departmental Capital Expenditure

In 2005/06, a one-off contribution was provided to fund the establishment of the Charities Commission.

Part 2 - Details and Expected Performance for Output Expenses#

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Part 2.1 - Departmental Output Expenses

Intended Impacts, Outcomes and Objectives

Community and Voluntary Sector Services MCOA (M15)

Scope of Appropriation

Explanation for Use of Multi-Class Output Expense Appropriation

All three outputs contribute to the effective delivery of policy and advisory services for the community and voluntary sector to assist in the building of strong, sustainable communities.

Expenses and Revenue

Output Performance Measures and Standards

Note 1 - Ratings used in all Ministerial Satisfaction Surveys are: Very Good, Good, Satisfied, Poor, Very Poor.

Note 2 - Activity information relates to output volume measures that are demand driven and therefore outside the Department's control.

Note 3 - This measure has been revised to better reflect the intended and desired level of performance. In particular, the Department of Internal Affairs has revised the level of satisfaction sought from a "3 or above" to a "4 or above" on a scale of 1 to 5.

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Part 2.2 - Non-Departmental Output Expenses#

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Intended Impacts, Outcomes and Objectives

Note 1 - For further information on the intended impacts, outcomes and objective of the non-departmental output expense appropriation, please see the Statement of Intent of the Charities Commission.

Charities - Administration (M15)

Scope of Appropriation

Expenses

Output Performance Measures and Standards

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Summary of Service Providers for Non-Departmental Outputs#

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The above table summarises funding to be allocated through Vote Community and Voluntary Sector to non-departmental providers, along with an indication of the mechanism to be used for reporting actual performance and (where determined) the length of the funding commitment.

Part 5 - Details and Expected Results for Other Expenses#

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Part 5.2 - Non-Departmental Other Expenses

Intended Impacts, Outcomes and Objectives

Community Development Scheme (M15)

Scope of Appropriation

Expenses

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Community Internship Programme (M15)#

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Scope of Appropriation

Expenses

Reasons for Change in Appropriation

This appropriation has decreased by $250,000 to $331,000 to reflect the expected level of demand. Funding has been reprioritised to Digital Literacy and Connection in 2010/11.

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Community Organisation Grants Scheme (M15)#

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Scope of Appropriation

Expenses

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Digital Literacy and Connection (M15)#

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Scope of Appropriation

Expenses

Reasons for Change in Appropriation

New appropriation with effect from 1 July 2010.

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Disarmament Education Grants (M15)#

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Scope of Appropriation

Expenses

Conditions on Use of Appropriation

Support for Volunteering (M15)#

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Scope of Appropriation

Expenses

Conditions on Use of Appropriation

Youth Workers Training Scheme (M15)#

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Scope of Appropriation

Expenses

Conditions on Use of Appropriation

Reporting Mechanisms#

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The above table indicates the mechanisms to be used for reporting actual performance for each non-departmental other expenses appropriation.

Performance Information for Appropriations Vote Emergency Management#

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MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister of Civil Defence (M11)

ADMINISTERING DEPARTMENT: Department of Internal Affairs

MINISTER RESPONSIBLE FOR DEPARTMENT OF INTERNAL AFFAIRS: Minister of Internal Affairs

Part 1 - Summary of the Vote

Part 1.1 - Overview of the Vote

The Minister of Civil Defence is responsible for appropriations in the Vote for the 2010/11 financial year covering the following:

Departmental Appropriations

• A total of $4.243 million (38% of the total departmental appropriations in this Vote) for the management of the national emergency readiness, response and recovery capability, including maintenance of the National Crisis Management Centre in a state of readiness.
• A total of $970,000 (9% of the total departmental appropriations in this Vote) for the provision of strategic policy development and policy advice on risk management, and civil defence and emergency management.
• A total of $5.830 million (53% of the total departmental appropriations in this Vote) for the development and implementation of structures and policies and assisting with the delivery of best practice approaches to civil defence and emergency management.

Non-Departmental Appropriations

• A total of $2 million for emergency expenses.
• A total of $889,000 for local authorities for emergency management preparation.

Details of these appropriations are set out in Parts 2-6 below.

Part 1.2 - High-Level Objectives of the Vote#

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Contribution of Appropriations to Government Priorities and Outcomes

Part 1.3 - Trends in the Vote#

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Summary of Financial Activity

New Policy Initiatives

Analysis of Significant Trends

Total Vote: All Appropriation

Significant changes in departmental and non-departmental appropriations are discussed briefly below.

Vote trends in actual expenses and capital expenditure by appropriation type

Source: Department of Internal Affairs

The movements in departmental and non-departmental appropriations in Vote Emergency Management are detailed in the Summary of Financial Activity table.

Departmental Output Expenses

The baseline increased in 2009/10 due to an expense transfer from 2008/09 to 2009/10 for the Ministry of Civil Defence and Emergency Management Information Management Programme. The baseline is forecast to be relatively stable from 2010/11.

Non-Departmental Other Expenses

In 2005/06, payments were made for the Integration Regeneration Package for Matata, and grants to Whakatane, Opotiki, Tauranga and Western Bay of Plenty District Councils.

In 2006/07, payments were made in relation to the May 2005 Bay of Plenty flooding and landslips, and reimbursements were made to local authorities in relation to the February 2004 and October 2005 storms.

In 2007/08 payments were made relating to the Upper North Island storm event, risk aversion on the Rangitikei River and in relation to the July 2006 Lower North Island floods.

In 2008/09 payments were made as a result of the 2005 Bay of Plenty Storm, the 2007 Upper North Island severe weather event, the 2007 Gisborne Earthquake, the February 2008 Patea Freezing Works fire and the July 2007 Hawkes Bay floods.

In 2009/10, payments were made as a result of the July 2008 National Storm Event, for hazard mitigation works following civil defence emergency events in 2004 and 2005 and to homeowners affected by flooding in Kaeo. Additional funding was also provided to improve the process for reimbursing Local Authorities' costs arising from Civil Defence emergencies.

Part 2 - Details and Expected Performance for Output Expenses#

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Part 2.1 - Departmental Output Expenses

Intended Impacts, Outcomes and Objectives

For further information on the intended impacts, outcomes and objectives of the departmental output expense appropriations please see the Statement of Intent for the Department of Internal Affairs.

Emergency Management Services MCOA (M11)

Scope of Appropriation

Explanation for Use of Multi-Class Output Expense Appropriation

All three outputs are concerned with ensuring the effective delivery and responsiveness of New Zealand's civil defence and emergency management services.

Expenses and Revenue

Output Performance Measures and Standards

Note 1 - Ratings used in all Ministerial Satisfaction Surveys are: Very Good, Good, Satisfied, Poor, Very Poor.

Note 2 - Activity information relates to output volume measures that are demand driven and therefore outside the Department's control.

Note 3 - A shift from monthly to almost weekly test of all National Crisis Management Centre systems

Note 4 - This measure has been revised to better reflect the intended and desired level of performance. In particular, the Department of Internal Affairs has revised the level of satisfaction sought from a "3 or above" to a "4 or above" on a scale of 1 to 5.

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Part 5 - Details and Expected Results for Other Expenses#

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Part 5.2 - Non-Departmental Other Expenses

Intended Impacts, Outcomes and Objectives

Emergency Expenses (M11)

Scope of Appropriation

Expenses

Reasons for Change in Appropriation

This appropriation has decreased by $5.562 million to $2 million. This is the result of one-off funding received in 2009/10 for the July 2008 National Storm Event, hazard mitigation work following civil defence emergency events in 2004 and 2005 in the Bay of Plenty and assistance to homeowners affected by flooding in Kaeo.

Conditions on Use of Appropriation

Current and Past Policy Initiatives

Subsidies to Local Government (M11)#

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Scope of Appropriation

Expenses

Performance Information for Appropriations Vote Internal Affairs#

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MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister for Ethnic Affairs (M30), Minister of Internal Affairs (M41)

ADMINISTERING DEPARTMENT: Department of Internal Affairs

MINISTER RESPONSIBLE FOR DEPARTMENT OF INTERNAL AFFAIRS: Minister of Internal Affairs

Part 1 - Summary of the Vote

Part 1.1 - Overview of the Vote

The Minister of Internal Affairs and the Minister for Ethnic Affairs are responsible for appropriations in the Vote for the 2010/11 financial year covering the following:

Departmental Appropriations

• A total of $1.535 million (1% of total departmental appropriations in this Vote) for supervisory functions carried out in respect of reporting entities for which the Department of Internal Affairs is the relevant supervisor under the Anti-Money Laundering and Countering Financing of Terrorism Act.
• A total of $908,000 (1% of total departmental appropriations in this Vote) for contestable services, including the provision of translation and other language services to government agencies and the public, and support services to government agencies.
• A total of $11.587 million (7% of total departmental appropriations in this Vote) for the development, deployment and operation of technology services across the State sector.
• A total of $104.841 million (66% of total departmental appropriations in this Vote) for identity services including issuing New Zealand passports, processing citizenship applications and the registration of and access to records of births, deaths, marriages and civil unions.
• A total of $3.018 million (2% of total departmental appropriations in this Vote) for information, advisory support services to commissions of inquiry and similar bodies, provision of the New Zealand Gazette and the authentication of official documents.
• A total of $4.145 million (3% of total departmental appropriations in this Vote) for policy advice relating to gaming, censorship, fire, identity, public inquires, daylight saving and the Significant Community Based Projects Fund; supporting the performance of and appointments to Crown entities; appointments to statutory bodies; and drafting ministerial correspondence and questions.
• A total of $25.687 million (16% of total departmental appropriations in this Vote) for operational policy advice and services to regulate gambling activity; and to services to regulate objectionable material and unsolicited electronic messages.
• A total of $5.982 million (4% of total departmental appropriations in this Vote) for services relating to ethnic affairs involving policy advice, provision of advisory and information services to ethnic communities, and management of the telephone interpreting service (Language Line).

Non-Departmental Appropriations

• A total of $1.960 million for purchasing services from the Office of Film and Literature Classification for examination and classification of films, videos and publications (including digital material).
• A total of $116,000 for services provided by the Office of the Privacy Commissioner in the development of on-line authentication services.
• A total of $49,000 for Crown grants to a range of community organisations.

Details of these appropriations are set out in Parts 2-6 below.

Part 1.2 - High-Level Objectives of the Vote#

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Contribution of Appropriations to Government Priorities and Outcomes

Part 1.3 - Trends in the Vote#

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Summary of Financial Activity

New Policy Initiatives

Analysis of Significant Trends

Total Vote: All Appropriation

Significant changes in departmental and non-departmental appropriations are discussed briefly below.

Vote trends in actual expenses and capital expenditure by appropriation type

Source: Department of Internal Affairs

The movements in departmental and non-departmental appropriations in Vote Internal Affairs are detailed in the Summary of Financial Activity table.

Departmental Output Expenses

The baseline increased in 2006/07, to fund the Local Government Rating Inquiry, increased expenditure associated with the electronic monitoring of gaming under the Gambling Act, igovt Identity Verification Service, the establishment of an enforcement unit to monitor and enforce compliance with the Unsolicited Electronic Messages Act 2007, and increased demand for identity products.

In 2007/08, funding was provided for the Royal Commission on Auckland Governance, gambling licensing and compliance activities, the expert panel and a citizens' forum on the electoral system and state funding of political parties and other issues of electoral finance, increasing the capacity of the Office of Ethnic Affairs to respond to increased demand from ethnic communities and government, and to establish a service to provide assistance to people who have alleged abuse or neglect or concerns regarding their time in State care prior to 1992.

The baseline increased in 2008/09 due to expense transfers from 2007/08 to 2008/09 for the Upgrade of Information and Technology Infrastructure, Sustainable Accommodation, the Expert Panel on War Disablement Pensions, the Expert Panel and Citizens Forum on the Electoral System and State Funding and the Royal Commission on Auckland Governance. From 2008/09 there was also an increase in funding for language line services, strong connected and participating diverse ethnic communities, the development of the igovt Identity Verification Service, historical abuse claims and increased demand for Identity products.

From 2009/10, Government Technology Services transferred from the State Services Commission to the Department of Internal Affairs.

The increase in baseline from 2010/11 mainly reflects the forecast increase in demand for passport products due to the change in validity from ten to five years for a passport.

Non-Departmental Output Expenses

In 2005/06, a multi-year appropriation called the "Significant Community-Based Project Fund" was created. Expenditure was incurred between 2005/06 and 2007/08.

Departmental Capital Expenditure

Capital expenditure was broadly stable until 2008/09. From 2008/09 to 2010/11, capital injections are provided mainly for the development of a replacement passport system. The passport system will be fully implemented during 2011/12.

Part 2 - Details and Expected Performance for Output Expenses#

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Part 2.1 - Departmental Output Expenses

Intended Impacts, Outcomes and Objectives

For further information on the intended impacts, outcomes and objectives of the departmental output expense appropriations please see the Statement of Intent for the Department of Internal Affairs.

Anti-Money Laundering and Countering Financing of Terrorism (M41)

Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

The increase in this appropriation is due to development of supervisory function commencing part way through 2009/10. Funding for this function increases in the lead-up to full implementation which will commence at a date yet to be set by Order in Council (October 2011 at the earliest).

Output Performance Measures and Standards

Activity for the 2010/11 financial year will consist of developing and setting up the function. The supervisory outputs will not commence until a date yet to be set by Order in Council (October 2011 at the earliest). Performance measures will be developed in the lead-up to full implementation.

Current and Past Policy Initiatives

Contestable Services RDA (M41)#

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Scope of Appropriation

Expenses and Revenue

Output Performance Measures and Standards

Government Technology Services (M41)#

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Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

The decrease in this appropriation is mainly due to closure of the Government Shared Network and a decrease in demand for services provided by the igovt logon service, partially offset by an expense transfer from 2009/10 to 2010/11 for Identity Management Web Infrastructure.

Output Performance Measures and Standards

The measures above reflect a significant review of the Government Technology Service (GTS) measurement framework to align with good practice guidance and a new GTS strategy that came into effect at the end of December 2009.

Current and Past Policy Initiatives

Identity Services (M41)#

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Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

The increase in this appropriation is mainly due to additional system maintenance costs associated with the passport system redevelopments and the additional customer services costs associated with processing increasing passport volumes.

Output Performance Measures and Standards

Note 1 - Activity information relates to output volume measures that are demand driven and therefore outside the Department's control.

Note 2 - These measures have been reassessed since the incorporation of igovt services into the Department. Changes were made to reflect recent developments in government agencies' planning and the more graduated approach to issuing logons.

Memorandum Account

The forecast movements in this account reflect the 2005 legislative changes which increased the citizenship eligibility qualifying period from 3 to 5 years of permanent residence.

The forecast movements in this account reflect higher cost structures associated with fluctuating volumes, the timing of system changes and legislative changes since fees were last reviewed.

The forecast movements in this account reflect higher cost structures associated with fluctuating volumes, the timing of system changes and legislative changes since fees were last reviewed.

The forecast movements in this account reflect fluctuating volumes and the timing of system changes. From 2010 the five year passports renewal cycle will commence. The forecast balance will contribute to the costs of the passports redevelopment programme.

Current and Past Policy Initiatives

Policy and Advisory Services MCOA (M41)#

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Scope of Appropriation

Explanation for Use of Multi-Class Output Expense Appropriation

Both output expenses contribute to better public services and maintaining trust in government.

Expenses and Revenue