Information supporting the estimates of appropriations

Primary Sector - Information Supporting the Estimates of Appropriations for the Government of New Zealand for the Year Ending 30 June 2009

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.

Formats and related files

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.

 

Chapters of the Primary Sector volume of the Information Supporting the Estimates 2008/09 are available in Adobe PDF and HTML formats.

Using PDF Files

Cover, Contents#

Introduction#

Sector Overview#

  • Ministerial Statements of Responsibility
  • Chief Executive Statements of Responsibility

Performance Information for Appropriations in Each Vote#

  • Vote Agriculture and Forestry
  • Vote Biosecurity
  • Vote Fisheries
  • Vote Food Safety
  • Vote Lands

Statement of Forecast Service Performance of Departments#

Forecast Financial Statements of Departments#

  • Statement of Common Accounting Policies
  • Ministry of Agriculture and Forestry
  • Ministry of Fisheries
  • New Zealand Food Safety Authority
  • Land Information New Zealand

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

Introduction#

Purpose of Information Supporting the Estimates#

The Information Supporting the Estimates provides members of Parliament with additional performance information in order 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 base against which they can later assess the actual performance of the Crown and individual departments and Offices 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 is set in consultation with the House of Representatives. 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
  • National Identity Sector
  • Primary Sector
  • Social Development and Housing Sector.

Votes and departments included in each sector are listed in the following table.

Votes and Departments in Each Sector#

Votes by Sector Departments by Sector
Economic Development and Infrastructure Sector - B.5A Vol.1  
Vote Economic Development
Vote Commerce
Vote Communications
Vote Consumer Affairs
Vote Energy
Vote Tourism
Ministry of Economic Development
Vote Transport Ministry of Transport
Vote Labour
Vote ACC
Vote Employment
Vote Immigration
Department of Labour
Education and Science Sector - B.5A Vol.2  
Vote Education Ministry of Education
Vote Education Review Office Education Review Office
Vote Research, Science and Technology Ministry of Research, Science and Technology
Vote Crown Research Institutes (this Vote is administered by the Treasury, which is in the Finance and Government Administration Sector)  
Environment Sector - B.5A Vol.3  
Vote Environment
Vote Climate Change
Ministry for the Environment
Vote Conservation Department of Conservation
Vote Local Government (this Vote is administered by the Department of Internal Affairs, which is in the National Identity Sector)  
Vote Parliamentary Commissioner for the Environment Parliamentary Commissioner for the Environment
External Sector - B.5A Vol.4  
Vote Foreign Affairs and Trade
Vote Official Development Assistance
Ministry of Foreign Affairs and Trade
Vote Defence Ministry of Defence
Vote Defence Force
Vote Veterans' Affairs - Defence Force
New Zealand Defence Force
Vote Customs New Zealand Customs Service
Finance and Government Administration Sector - B.5A Vol.5  
Vote Prime Minister and Cabinet Department of the Prime Minister and Cabinet
Vote Communications Security and Intelligence Government Communications Security Bureau
Vote Security Intelligence New Zealand Security Intelligence Service
Vote State Services State Services Commission
Vote Finance
Vote State-Owned Enterprises
The Treasury
Vote Revenue Inland Revenue Department
Vote Ministerial Services (this Vote is administered by the Department of Internal Affairs, which is in the National Identity Sector)  
Votes by Sector Departments by Sector
Vote Office of the Clerk Office of the Clerk of the House of Representatives
Vote Parliamentary Service Parliamentary Service
Vote Audit Controller and Auditor-General
Vote Ombudsmen Office of the Ombudsmen
Health Sector - B.5A Vol.6  
Vote Health Ministry of Health
Justice Sector - B.5A Vol.7  
Vote Justice
Vote Courts
Ministry of Justice
Vote Corrections Department of Corrections
Vote Police New Zealand Police
Vote Serious Fraud Serious Fraud Office
Vote Attorney-General Crown Law Office
Vote Parliamentary Counsel Parliamentary Counsel Office
National Identity Sector - B.5A Vol.8  
Vote Arts, Culture and Heritage
Vote Sport and Recreation
Ministry for Culture and Heritage
Vote Statistics Statistics New Zealand
Vote National Archives Archives New Zealand
Vote National Library National Library of New Zealand
Vote Māori Affairs Te Puni Kōkiri
Vote Treaty Negotiations (this Vote is administered by the Ministry of Justice, which is in the Justice Sector)  
Vote Pacific Island Affairs Ministry of Pacific Island Affairs
Vote Women's Affairs Ministry of Women's Affairs
Vote Internal Affairs
Vote Community and Voluntary Sector
Vote Emergency Management
Vote Racing
Department of Internal Affairs
Primary Sector - B.5A Vol.9  
Vote Agriculture and Forestry
Vote Biosecurity
Ministry of Agriculture and Forestry
Vote Fisheries Ministry of Fisheries
Vote Food Safety New Zealand Food Safety Authority
Vote Lands Land Information New Zealand
Social Development and Housing Sector - B.5A Vol.10  
Vote Social Development
Vote Senior Citizens
Vote Veterans' Affairs - Social Development
Vote Youth Development
Ministry of Social Development
Vote Housing Department of Building and Housing

Purpose and Nature of Appropriations#

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

Neither the Crown nor an Office of Parliament can legally incur any expense or capital expenditure - as those terms are defined in the Public Finance Act 1989 (PFA) - unless it is expressly authorised by or under an Act of Parliament.

Limits Created by Appropriations#

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

Each appropriation also 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 usually 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 and allow appropriate comparison.

Responsibility for Appropriations#

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#

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

Appropriation Type Transaction Status Description
Output Expenses Departmental Authorises expenses to be incurred by a department or an Office of Parliament in supplying a specified category of outputs (goods and services).
Non-Departmental Authorises expenses to be incurred by the Crown (excluding departments) in purchasing a specified category of outputs (goods and services) from Crown entities or other third parties.
Benefits and Other Unrequited Expenses Non-Departmental

Authorises expenses to be incurred by the Crown (excluding departments) in transferring resources (generally to individuals for their personal benefit) for which the Crown receives nothing directly in return.

Examples include the Unemployment Benefit, student allowances and various scholarships and awards.

Borrowing Expenses Departmental

Authorises the incurring of interest or other financing expenses for loans made to a department or an Office of Parliament, or public securities (undertakings that represent part of the public debt) issued by a department or an Office of Parliament.

In practice, limitations on the rights of departments to borrow or issue securities mean that these are likely to be incurred only by Offices of Parliament.

Non-Departmental

Authorises the incurring of interest or other financing expenses for loans made to the Crown (excluding departments), or public securities (undertakings that represent part of the public debt) issued by the Crown.

Crown debt management is centralised, which means that most debt-servicing expenses appear in Vote Finance.

Other Expenses Departmental

Authorises expenses to be incurred by a department or an Office of Parliament that are not either output expenses or borrowing expenses.

Other expenses should be used only for events that cannot be related back to output production, such as redundancy costs arising from a government decision to cease purchasing certain types of outputs, or a loss on sale of assets made surplus by departmental restructuring.

Non-Departmental

Authorises expenses to be incurred by the Crown (excluding departments) that are not structured or managed as output expenses, benefits or other unrequited expenses, or borrowing expenses.

Other expenses is the residual expense appropriation type, which should not be used where an appropriation could be better classified or managed as one of the other appropriation types (eg, as output expenses).

Examples include disposal of an asset for less than market value, grants to community organisations, subscriptions for membership of international bodies and remuneration of independent statutory officers.

Capital Expenditure Departmental Authorises capital expenditure to be incurred by a department or an Office of Parliament to acquire or develop assets for the use of the department.
Non-Departmental Authorises capital expenditure to be incurred by the Crown (excluding departments) to acquire or develop Crown assets, including the purchase of equity, or making a loan to a person or organisation that is not a department.
Expenses or Capital Expenditure Incurred by an Intelligence and Security Department Departmental Authorises both expenses and capital expenditure to be incurred by the New Zealand Security Intelligence Service or the Government Communications Security Bureau.

Types of Output Expense Appropriations#

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 sum; and an output expense appropriation can cover more than one class of outputs.

Output Expense Appropriation Type and Authority Description, Constraints on Form and Typical Application

Standard Output Expense Appropriation

(section 7(1)(a), Public Finance Act 1989)

Departmental or non-departmental:  Authorises a department or an Office of Parliament to incur expenses in supplying a specified class of outputs (goods and services), or the Crown (excluding departments) to incur expenses to purchase a specified class of outputs.

Annual or multi-year:  The authority lapses at the end of the financial year or multi-year period specified.

Single output class only:  The scope is limited to a single class of outputs (defined as a grouping of similar outputs).

Amount limited by Appropriation Act:  The amount of a standard output expense appropriation is limited to a set amount of New Zealand dollars specified in an Appropriation Act.

Typical application:  The normal or default form for an output expense appropriation, used for a wide range of outputs for which the flexibility offered by the other types of output expense appropriation is not required.

Multi-Class Output Expense Appropriation (MCOA)

(section 7(3)(b), Public Finance Act 1989)

Departmental or non-departmental:  Authorises a department or an Office of Parliament to incur expenses in supplying more than one specified class of outputs (goods and services), or the Crown (excluding departments) to incur expenses to purchase more than one specified class of outputs.

A proposed MCOA must be approved by the Minister of Finance before it is presented in the Estimates.  The information supporting the Estimates must explain why the Minister has allowed those classes of outputs to be grouped in one appropriation.

Annual or multi-year:  The authority lapses at the end of the financial year or multi-year period specified.

Multiple output classes:  The scope of an MCOA is determined by the combined scope of each of the output classes included in that appropriation.

Amount limited by Appropriation Act:  The amount of an MCOA is limited to a set amount of New Zealand dollars specified in an Appropriation Act. The amount of expense that can be incurred in relation to each component output class is flexible within the total amount of the MCOA, although expenses must be separately forecast and reported for each individual class in the Estimates, Information Supporting the Estimates, Supplementary Estimates and the department's annual report.

Typical application:  An MCOA is used where it is appropriate to give the responsible Minister or department ongoing discretion over the output mix across two or more classes of outputs. Such discretion will most commonly be sought where the output classes contribute to a common outcome, or use a common or closely related set of inputs or processes, and the circumstances that determine the appropriate output choice or mix are likely to vary during the appropriation period.

Revenue-Dependent Appropriation (RDA)

(section 21(1), Public Finance Act 1989)

Departmental only:  Authorises a department or an Office of Parliament to incur expenses in supplying a specified class of outputs (goods and services) that are not paid for directly by the Crown.

A proposed RDA must be approved by the Minister of Finance before it is presented in the Estimates.  Each class of outputs for which an RDA is approved is listed in an Appropriation Act for the relevant financial year.

Annual only:  The authority lapses at the end of the financial year specified.

Single output class only:  The scope of an RDA is limited to a single class of outputs (defined as a grouping of similar outputs).

Amount limited by amount of revenue earned:  The amount of an RDA is limited to the amount of revenue earned by a department or an Office of Parliament from other departments or from parties other than the Crown during a financial year.  The Minister of Finance can further direct a department to incur expenses to a level lower than the amount of revenue earned, though such directions have been rare.

Typical application:  An RDA provides flexibility to respond to unanticipated changes in the level of external demand for a class of outputs, where the full cost of the outputs is met by external parties and not the Crown.

Department-to-Department Appropriation (DDA)

(section 20(2), Public Finance Act 1989)

Departmental only:  Authorises a department or an Office of Parliament to incur expenses in supplying specified outputs (goods and services) paid for by another department.

Creation of a DDA requires an agreement between two departments. Implicitly, it also requires the approval of the Minister who will become responsible for the appropriation - namely, the Minister responsible for the supplying department - as the agreement has implications for the scope and risk of that department's operations.

Annual or multi-year:  The period of a DDA will depend on the negotiated terms of the agreement.

Single or multiple output class(es):  The scope of a DDA (and hence whether it covers one or more classes of outputs) will depend on the way in which the agreement defines what is to be delivered. In most cases, an agreement that provides for a range of different outputs is better treated as creating several single-class DDAs.

Amount limited by departmental agreement:  The amount of a DDA is limited to either the amount of revenue earned from the commissioning department, or the cost incurred by the supplying department in providing those outputs (if that cost is less than the amount of revenue earned under the agreement).

Typical application:  DDAs are intended to make collaboration between departments easier by reducing the time and effort otherwise required to obtain or adjust the relevant appropriations, while also allowing a commissioning department to retain full control over the resources it provides.

The use of a DDA is not confined to bilateral agreements. A set of related DDAs could be used to enable one department to co-ordinate and manage the work of several departments that must together contribute to providing an integrated service to third parties, or to pool contributions from several departments to enable another department to provide a specific service to or on behalf of those departments.

Appropriation Period#

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 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 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. 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 the Estimates#

 

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

Sector Overview#

The first component of the Information Supporting the Estimates may include a statement, agreed by all Ministers responsible for appropriations in Votes 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 on future operating intentions of departments in the sector.

Performance Information for Appropriations in Each Vote#

The second component of the Information Supporting the Estimates presents performance information relating to each appropriation, ordered by Vote and appropriation type.

The title page for each Vote specifies the Minister(s) responsible for existing and proposed appropriations in the Vote, the administering department for the Vote, and the Responsible Minister for that 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 a 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 between the appropriations and high-level priorities and outcomes to which they contribute. Where applicable, priorities and outcomes are drawn from the Government's themes and sub-themes, and published strategy documents. Links may also be made to specific Government objectives.
  • Part 1.3 - Trends in the Vote - A presentation of 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 (Budget) year and the following three years (estimated) for types of appropriations and Crown revenue and capital receipts.
    • Budget Policy Initiatives - A table showing how new initiatives (and 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 of Crown revenue and capital receipts by type over the nine financial years covered by the Summary of Financial Activity table, with graphical presentations and explanations of significant changes.
  • Part 1.4 - Reconciliation of Changes in Appropriation Structure - A table providing a reconciliation and explanation of 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

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

  • Part 2.1 - Departmental Output Expenses - Intended impacts, outcomes or 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 between revenue from 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 the 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 where the relationships are direct or involve a small number of output expenses. Where the relationships are more complex, this information will be included in high-level objectives of the Vote outlined in Part 1.2. Conditions of use include administrative criteria and processes contained in legislation, regulations and Government decisions, which may be referenced in scope statements or performance measures. The current and past policy initiatives table provides a five-year history of announced initiatives that impact on the Budget year, the preceding year and the following three years.

For MCOAs, 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. Data 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 actual 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

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 Unrequited 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.

 

Guide to Reading Information Supporting the Estimates (continued)#

 

Part 4 - Details for Borrowing Expenses

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 for these appropriations is the same as that for non-departmental benefits and other unrequited expenses, except that conditions on use of an appropriation are not specified.

Part 5 - Details and Expected Results for Other Expenses

Part 5 provides detail about appropriations for:

  • Part 5.1 - Departmental Other Expenses - It is uncommon for this category of appropriation to be used. 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

This Part provides 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 belonging to 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.

Overview of Performance Information

The following table summarises the performance information sought for a ‘standard’ appropriation in each sub-part.

Standard Appropriations Part 2.1 Part 2.2 Part 3.2 Part 4.2 Part 5.1 Part 5.2 Part 6.1 Part 6.2
For each sub-part:                
Intended impacts, outcomes or objectives
For each appropriation:                
Scope of appropriation
Expenses and revenue N/A N/A N/A N/A N/A N/A N/A
Expenses N/A N/A N/A
Capital expenditure N/A N/A N/A N/A N/A N/A
Reasons for change in appropriation
Output performance measures and standards N/A N/A N/A N/A N/A N/A
Expected results N/A N/A N/A N/A
Conditions on use of appropriation N/A N/A
Memorandum account N/A N/A N/A N/A N/A N/A
Current and past policy initiatives N/A
Summary of service providers N/A N/A N/A N/A N/A N/A N/A
Reporting mechanism N/A N/A N/A N/A N/A N/A

Information on reasons for change, conditions of use, current and past policy initiatives, and reporting mechanisms appears where applicable or material. Memorandum accounts are relevant only in Part 2. Some variations exist for non-standard appropriations, including MCOAs in Parts 2.1 and 2.2 and MYAs in Parts 2.2, 5.2 and 6.2. Furthermore, performance information may not be available for some appropriations.

Guide to Reading Information Supporting the Estimates (continued)#

Statement of Forecast Service Performance of Departments#

The third component of the Information Supporting the Estimates of Appropriations comprises the Statement of Forecast Service Performance of each department included in the sector, by reference to performance information set out in Part 2.1 of Votes containing appropriations proposed to be used by the department. This Statement is of particular importance for those departments proposing to use appropriations in more than one Vote.

Forecast Financial Statements of Departments#

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 Financial Performance
  • Statement of Forecast Changes in Taxpayers' Funds
  • Statement of Forecast 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.

Statements of Intent of Departments#

The final component of the Information Supporting the Estimates presents the Statements of Intent of departments included in each sector. These Statements contain 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.
  • Additional information and statutory reporting requirements - As required either by the responsible Minister or Minister of Finance, or by specific legislation.

 

Terms and Definitions#

 

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

Appropriation An appropriation is a parliamentary authorisation for the Crown or an Office of Parliament to incur expenses or capital expenditure.
Appropriation scope One of the defining terms of an appropriation that establishes limits on the activities for which the Crown or an Office of Parliament is authorised to incur expenses or capital expenditure under that appropriation.
Capital expenditure The cost of assets acquired or developed including any ownership interest in entities, but excluding inventory.
Crown revenue and capital receipts Flows accounted for as revenue and capital receipts on behalf of the Crown rather than as departmental revenue.
DDA Department-to-department appropriation -  as authorised by section 20(2) of the PFA.
Expenses Amounts consumed or losses of service potential or future economic benefits, other than those relating to capital withdrawals, in a financial year.  Expenses are an accrual concept measured in accordance with generally accepted accounting practice.
GST Goods and services tax.  Appropriations are stated GST-exclusive.
MCOA Multi-class output expense appropriation.
MYA Multi-year appropriation.
N/A Not applicable.
Outcomes States or conditions of society, the economy or the environment, including changes in those states or conditions.
Outputs Goods or services supplied by departments and other entities to external parties.  Outputs are a variety of types, including policy advice, administration of contracts and grants, and the provision of specific services.
PFA Public Finance Act 1989
PLA Permanent legislative authority - a traditional term for a permanent appropriation, ie, one that is authorised for an indefinite period by legislation other than an Appropriation Act.
Minister The Minister responsible for specific appropriations being sought within a Vote.  As several Ministers may hold appropriations within a single Vote, each appropriation has a tag (M1, M2, etc) identifying the Minister responsible for that line item.
RDA Revenue-dependent appropriation - as authorised by section 21(1) of the PFA 1989.
Responsible Minister The Minister responsible for the financial performance of a department or Crown entity.  In relation to an Office of Parliament, the Office of the Clerk of the House of Representatives, and the Parliamentary Service, the Speaker is the Responsible Minister.
Revenue from the Crown Revenue earned by a department from the Crown for the provision of outputs to or on behalf of the Crown.  These flows are accounted for as departmental revenue.  Revenue from the Crown is eliminated for purposes of reporting the Crown's overall financial performance and position.
Revenue from Others Revenue earned by a department from other departments and from third parties.  Revenue from other departments is eliminated for purposes of reporting the Crown's overall financial performance and position.
Vote A grouping of one or more appropriations that are the responsibility of one or more Ministers of the Crown and are administered by one department.

 

The suite of Budget 2008 documents can be accessed in the Budgets section of the website: www.treasury.govt.nz/budget/2008. 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.

Sector Overview - Primary Sector#

Ministerial Statements of Responsibility#

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 Primary 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.

Hon Lianne Dalziel
Responsible Minister for the New Zealand Food Safety Authority
16 April 2008

Hon Jim Anderton
Responsible Minister for the Ministry of Agriculture and Forestry
Responsible Minister for the Ministry of Fisheries
16 April 2008

Hon David Parker
Responsible Minister for Land Information New Zealand
16 April 2008

 

Chief Executive Statements of Responsibility#

Ministry of Agriculture and Forestry#

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Primary Sector relating to the Ministry of Agriculture and Forestry and for the Vote/Votes for which the Ministry of Agriculture and Forestry is the administering department. Specifically, this information is contained in the Ministry of Agriculture and Forestry'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 (2008/09 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.

Patricia McAuliffe
Chief Financial Officer
Ministry of Agriculture and Forestry
16 April 2008
Counter-signed

M A Sherwin
Director-General
Ministry of Agriculture and Forestry
16 April 2008

 

Ministry of Fisheries#

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Primary Sector relating to the Ministry of Fisheries and for the Vote/Votes for which the Ministry of Fisheries is the administering department. Specifically, this information is contained in the Ministry of Fisheries' 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 (2008/09 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.

Paul Laplanche
Chief Financial Officer
Ministry of Fisheries
16 April 2008
Counter-signed

Wayne McNee
Chief Executive
Ministry of Fisheries
16 April 2008

 

New Zealand Food Safety Authority#

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Primary Sector relating to the New Zealand Food Safety Authority and for the Vote/Votes for which the New Zealand Food Safety Authority is the administering department. Specifically, this information is contained in the New Zealand Food Safety Authority'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 (2008/09 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.

Gary Lewis
Chief Financial Officer
New Zealand Food Safety Authority
16 April 2008
Counter-signed

Andrew McKenzie
Chief Executive
New Zealand Food Safety Authority
16 April 2008

 

Land Information New Zealand#

In signing this statement, I acknowledge that I am responsible for the information contained in the Information Supporting the Estimates for the Primary Sector relating to Land Information New Zealand and for the Vote/Votes for which Land Information New Zealand is the administering department. Specifically, this information is contained in Land Information 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 (2008/09 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.

Brian Usherwood
Chief Financial Officer
Land Information New Zealand
16 April 2008
Counter-signed

Kevin D Kelly
Chief Executive (Acting)
Land Information New Zealand
16 April 2008

 

Performance Information for Appropriations Vote Agriculture and Forestry#

MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister of Agriculture (M2)

ADMINISTERING DEPARTMENT: Ministry of Agriculture and Forestry

MINISTER RESPONSIBLE FOR MINISTRY OF AGRICULTURE AND FORESTRY: Minister of Agriculture

Part 1 - Summary of the Vote#

Part 1.1 - Overview of the Vote

The Minister of Agriculture is responsible for appropriations in the Vote for the 2008/09 financial year covering the following:

  • a total of nearly $28 million for policy advice with respect to the agricultural, forestry and horticultural sectors
  • a total of over $43 million to support the Government's commitment on climate change under the Kyoto Protocol
  • a total of over $2 million for administering the legislative provisions relating to the management of indigenous forests
  • a total of over $2 million for setting of animal welfare standards, provision of animal welfare policy advice and investigations and prosecutions of breaches of the Animal Welfare Act 1999
  • a total of over $3 million for management of Crown forestry assets, the East Coast Forestry Project and the Sustainable Farming Fund
  • a total of over $9 million for providing support services and infrastructure to other agencies
  • a total of over $77 million on purchasing forest management and wood production services from sector contractors for Crown forests
  • a total of over $22 million for East Coast forestry grants, sustainable farming fund grants, community irrigation fund and the afforestation grants scheme
  • a total of over $3 million on other non-departmental expenses, including subscriptions to international organisations, possible adverse climatic events, community irrigation scheme, and organic initiatives
  • a total of over $16 million for departmental capital expenditure on property, plant, equipment and IT software
  • a total of $700 million for capital contributions to the Crown entity that will manage the Government's investment in pastoral and food innovation.

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

Part 1.2 - High-Level Objectives of the Vote#

Contribution of Appropriations to Government Priorities and Outcomes#

Government Priorities and Outcomes - Links to Appropriations - Agriculture and Forestry
Government Priorities - Themes / Sub-themes Government Outcomes Appropriations
Economic Transformation: Transforming New Zealand's economy into a high-income, knowledge-based market economy, which is both innovative and creative and provides a unique quality of life for all New Zealanders. End Outcome - Sustainable economic growth and prosperity for New Zealanders through:
  • Business sustainability and capitalising on commercial opportunities associated with the global focus on sustainability.
  • Maintained and/or enhanced market access for New Zealand goods and services.
  • Implementing research, development, and innovation initiatives to support New Zealand's food and pastoral industries.
Agriculture and Forestry Policy Advice
The sustainable commercialisation of indigenous forestry species. Administration of Indigenous Forestry Provisions
Maintained and/or enhanced market access for New Zealand goods and services due to our ability to adapt to changing consumer demand and ethics in key markets. Animal Welfare
Business sustainability and capitalising on commercial opportunities associated with the global focus on climate change.
Implementation of an Emissions Trading Scheme.
Climate Change
Effective stewardship of the Crown's forestry and related assets. Contract, Grant and Asset Management
The provision of cost-effective information management, financial and procurement, contract and payroll services to other agencies.
(Prime Minister's Statement to Parliament for 2007 and 2008, MAF's Outcome Performance Monitoring Framework).
Support Services and Infrastructure to Other Agencies
End outcome -A vibrant rural community by means of ensuring that the circumstances and needs of the rural community (people and businesses) are taken into account when developing and implementing policy.
(Prime Minister's Statement to Parliament for 2007 and 2008, MAF's Outcome Performance Monitoring Framework).
Agriculture and Forestry Policy Advice
End outcome -Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment through:
  • The sustainable afforestation of indigenous forestry species.
Administration of Indigenous Forestry Provisions
Seeking long-term solutions to reduce animal methane emissions, and to aim for world leadership in this area of science.
Lowering greenhouse gas emissions and New Zealand's carbon footprint.
Rolling out the plan of action on sustainable land management and climate change to improve the environmental performance of our land-based industries and to assist them to adapt to climate change.
(Prime Minister's Statement to Parliament for 2007 and 2008, MAF's Outcome Performance Monitoring Framework).
Climate Change

Summary of Financial Activity#

Summary of Financial Activity - Agriculture and Forestry
  2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Budgeted
$000
Estimated
Actual
$000
Departmental
Transactions
Budget
$000
Non-
Departmental
Transactions
Budget
$000
Total
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000

Appropriations

                       
Output Expenses 76,507 86,998 89,411 98,650 144,255 134,466 89,418 77,253 166,671 148,712 143,110 149,260
Benefits and Other Unrequited Expenses - - - - - - N/A - - - - -
Borrowing Expenses - - - - - - - - - - - -
Other Expenses 16,872 50,707 22,522 13,850 19,148 15,311 - 25,921 25,921 27,244 27,482 27,859
Capital Expenditure 16,197 7,058 26,859 19,967 12,000 12,000 16,600 700,070 716,670 14,750 13,000 13,250
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -

Total Appropriations

109,576 144,763 138,792 132,467 175,403 161,777 106,018 803,244 909,262 190,706 183,592 190,369

Crown Revenue and Receipts

                       
Tax Revenue - - - - - - N/A N/A - - - -
Non-Tax Revenue 78,449 81,594 81,549 88,179 91,807 88,534 N/A N/A 107,318 100,592 92,187 93,333
Capital Receipts 22,505 9,399 2,015 1,959 1,256 1,800 N/A N/A 2,345 1,970 1,640 1,450

Total Crown Revenue and Receipts

100,954 90,993 83,564 90,138 93,063 90,334 N/A N/A 109,663 102,562 93,827 94,783

Budget Policy Initiatives#

Budget Policy initiatives - Agriculture and Forestry
Policy Initiative Appropriation 2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Fonterra capital structure review

Agriculture and Forestry Policy Advice (M2)

Departmental Output Expense
2,000 - - - -
Sustainable land management and climate change plan of action

Climate Change (M2)

Departmental Output Expense
17,660 31,238 28,997 28,432 27,575
 

Community Irrigation Fund (M2)

Other Expense to be Incurred by the Crown
- 243 481 859 1,236
 

Afforestation Grants Scheme (M2)

Other Expense to be Incurred by the Crown
- 5,000 10,000 10,000 10,000
 

Bioenergy Development Fund (M2)

Other Expense to be Incurred by the Crown
1,700 - - - -
  Departmental Capital Injection 1,363 800 - - -
Implementation of the New Zealand emissions trading scheme

Climate Change (M2)

Departmental Output Expense
3,780 6,810 2,620 2,500 2,500
  Departmental Capital Injection 1,010 - - - -
(See also Vote Energy and Vote Economic, Industry and Regional Development in the Economic Development and Infrastructure Sector)            
Inter-agency resource needs for trade agreements

Agriculture and Forestry Policy Advice (M2)

Departmental Output Expense
- 150 - - -
National animal identification and traceability/New Zealand FarmsOnline Departmental Capital Injection - 5,900 4,180 - -
Te Manawa-O-Tuhoe forest bridge

Crown Forestry Assets (M2)

Non-Departmental Capital Expenditure
- 70 - - -
Pastoral and food innovation fund New Zealand Fast Forward FundNon-Departmental Capital Expenditure - 700,000 - - -

Total Initiatives

  27,513 750,211 46,278 41,791 41,311

Total Vote: All Appropriations

The departmental and non-departmental appropriations in Vote Agriculture and Forestry, which are detailed in the Summary of Financial Activity table above, show the following significant changes.

Output expenses

Output expense increases between 2003/04 and 2006/07 were due mainly to increased harvesting operations in Crown forests and the transfer of animal welfare appropriations from Vote Biosecurity in 2005/06. The baseline increases in 2007/08 and outyears are largely due to funding for climate change initiatives and continued increased harvesting activity in Crown forests.

Other expenses

Other expenses increased in 2004/05 and 2005/06 due to Government support to the agricultural sector following floods in the lower North Island and Bay of Plenty. The baseline increases in 2007/08 and outyears are largely due to climate change initiatives.

Capital expenditure

The increase in 2008/09 is largely due to a one-off funding of $700 million for the New Zealand Fast Forward Fund.

Part 1.4 - Reconciliation of Changes in Appropriation Structure#

Reconciliation of Changes in Appropriation Structure - Agriculture and Forestry
2007/08Structure -
Appropriations that have been
Changed
2007/08
(Current)
$000
Appropriations to which
Expenses (or Capital
Expenditure) have been
Transferred
Amount
Moved
$000
2008/09Structure -
Appropriations affected by the
Changes in Appropriation
Structure
2007/08
(Restated)
$000
2008/09
$000
Departmental Output Expenses            
Contestable Services 9,600 Transferred to:Support Services and Infrastructure to Other Agencies (change of title only) 9,600 Support Services and Infrastructure to Other Agencies 9,600 9,600
Total Changes in Appropriations 9,600   9,600   9,600 9,600

Explanations of the reasons for changing the appropriation structure are noted in the details of each appropriation in Parts 2-6.

Part 2 - Details and Expected Performance for Output Expenses#

Part 2.1 - Departmental Output Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 2.1 Departmental Output Expenses - Agriculture and Forestry
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Immediate outcome or impact
Policy advice and initiatives that support the sustainable development (environmental and economic) of the agriculture, food, forestry and related sectors in New Zealand.
Intermediate outcomes
Market access for New Zealand's animal and plant products is maintained and enhanced.
New Zealand's reputation for consistent and principled application of international trade, sanitary and phytosanitary rules is maintained and/or enhanced.
A business environment for the agriculture, food, forestry and related sectors that supports innovation, enterprise and high performance.
Enhanced prosperity for Maori engaged in the agriculture, food, forestry and related sectors.
Connected and resilient rural communities.
The sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
End outcome
Sustainable economic growth and prosperity for New Zealanders.
A vibrant rural community.
Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment.
Agriculture and Forestry Policy Advice
Immediate outcome or impact
New Zealand's animal welfare framework is updated and further developed to reflect domestic and international societal expectations regarding the ethical and humane treatment of production and domestic animals.
Compliance with New Zealand animal welfare legislative framework (stemming from the enforcement of regulatory provisions for non-compliance).
Intermediate outcomes
Market access for New Zealand's animal and plant products is maintained and enhanced.
New Zealand's reputation for consistent and principled application of international trade, sanitary and phytosanitary rules and regulations is maintained and/or enhanced.
New Zealanders are informed and involved participants in MAF's regulatory systems.
End outcomes
Sustainable economic growth and prosperity for New Zealanders.
Animal Welfare
Immediate outcome or impact
Compliance with aspects of New Zealand indigenous forestry legislative framework (stemming from the enforcement of regulatory provisions for non-compliance).
Intermediate outcomes
New Zealanders are informed and involved participants in MAF's regulatory systems.
Sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
A business environment for the agriculture, food, forestry and related sectors that supports innovation, enterprise and high performance.
End outcomes
Sustainable economic growth and prosperity for New Zealanders.
Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment.
Administration of Indigenous Forestry Provisions
Intermediate outcomes/objectives
Effective stewardship of the Crown's forestry assets.
The effective and efficient administration of the Sustainable Farming Fund, the East Coast Forestry Project and flood relief programmes.
A business environment for the agriculture, food, forestry and related sectors that supports innovation, enterprise and high performance.
Enhanced prosperity for Māori engaged in the agriculture, food, forestry and related sectors.
Sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
Connected and resilient rural communities.
End outcome
Sustainable economic growth and prosperity for New Zealanders.
Vibrant rural communities.
Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment.
Contract, Grant and Asset Management
Objective
The provision of cost-effective information management, financial, procurement, contract management and payroll services to other agencies (ie, the New Zealand Food Safety Authority).
Support Services and Infrastructure to Other Agencies
Immediate outcome or impact
Policy advice and initiatives that support the Government's response to climate change and its potential impact on the activities of the agriculture, food and forestry sectors.
A consistent approach to climate change policy development across government.
Information on emissions reduction/sink establishment is available and understood by land owners.
Intermediate outcomes
New Zealanders are informed and involved participants in MAF's regulatory systems.
Forests and forestry products are widely used in adapting to, and reducing, the impacts of climate change.
New Zealand is recognised as a world leader in the development of practical technologies and management practices for farmers to measure and reduce agricultural emissions.
A business environment for the agriculture, food, forestry and related sectors that supports innovation, enterprise and high performance.
Sectors are positioned to take better advantage of the economic opportunities arising from climate change and changing consumer preferences.
Enhanced prosperity for Maori engaged in the agriculture, food, forestry and related sectors.
Connected and resilient rural communities.
End outcomes
Sustainable economic growth and prosperity for New Zealanders.
A vibrant rural community.
Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment.
Climate Change
(Note that the intended impacts, outcomes or objectives of this appropriation are not reflected in the current 2008/09 Statement of Intent but will be incorporated in the 2009/10 SOI following a comprehensive review of the Ministry's overarching outcomes framework scheduled for completion at the end of April 2008.)

Administration of Indigenous Forestry Provisions (M2)

Scope of Appropriation

Administration of the indigenous forestry provisions of the Forests Act 1949, with the purpose of promoting the sustainable forest management of indigenous forest land.

Expenses and Revenue

Expenses and Revenue - Administration of Indigenous Forestry Provisions (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,211 2,111 2,181
Revenue from the Crown 2,157 2,057 2,119
Revenue from Others 54 54 62

Output Performance Measures and Standards

Output Performance Measures and Standards - Administration of Indigenous Forestry Provisions (M2) - Agriculture and Forestry
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Approval and auditing of draft sustainable forest management plans. 10 10 10
Approval of sustainable forest management permit applications. 30 30 30
Registration of sawmills.
Issuing of other milling statements.
Approval of annual logging plans.
Approval and monitoring of indigenous timber export consignments.
2002005075 2002005075 2002005075
Investigations of alleged breaches of New Zealand's indigenous forestry legislative framework. 10-20 10-20 10-20
Prosecution of alleged breaches of New Zealand's indigenous forestry legislative framework. 5 5 5
Percentage of successful prosecutions. 95 95 95
Percentage of cases discharged without conviction. 5 or less 5 or less 5 or less
Percentage of cases lodged with the Court that incurred adverse judicial comment. 0 0 0

Conditions on Use of Appropriation

Conditions on Use of Appropriation - Administration of Indigenous Forestry Provisions (M2) - Agriculture and Forestry
Reference Conditions
Approval and auditing of draft sustainable forest management plans, permits and annual logging plans.
Registration of sawmills and issuing milling statements and other approvals to enable the milling of indigenous timber.
Monitoring and inspection of indigenous forestry operations.
Inspection, approval and audit of indigenous forest produce export consignments.
Investigation of alleged breaches of Part 3A of the Forest Act, 1949.
Commensurate with Part 3A of the Forest Act, 1949.
Prosecution of alleged breaches. Prosecutions commenced through the Court process will be well researched, legally sound, led by legally qualified staff and reach the prima facie threshold.

Current and Past Policy Initiatives

Current and Past Policy Initiatives - Administration of Indigenous Forestry Provisions (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Staff remuneration 2005/06 63 98 132 165 165
Corporate services capability 2004/05 39 39 39 39 39
Implementation of a document management system 2004/05 44 44 44 44 44

Agriculture and Forestry Policy Advice (M2)#

Scope of Appropriation#

Policy advice in regard to the agricultural, forestry and horticultural sectors, and ministerial services.

Expenses and Revenue#

Expenses and Revenue - Agriculture and Forestry Policy Advice (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 27,558 25,735 27,987
Revenue from the Crown 27,010 25,540 27,815
Revenue from Others 548 395 172

Reasons for Change in Appropriation#

The increase in this appropriation is mainly due to the carry forward of walking access, genetic forestry marketing development and sustainable land management funding from 2007/08. This is partly offset by one-off funding in 2007/08 for the Fonterra capital structure review and the New Zealand primary industry conference.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Agriculture and Forestry Policy Advice (M2) - Agriculture and Forestry
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Percentage of policy advice developed and provided that will:      
Conform to the criteria outlined below (refer Conditions of Use of this Appropriation). 100% 100% 100%
Be assessed by using a ministerial rating; independent third-party review; evaluation results; agency/stakeholder feedback and/or internal peer review process. 100% 100% 100%
Be completed as agreed with the Minister in the 2008/09 output plan (including subsequent amendments). 100% 100% 100%
Provision of input to key international forums will meet ministerial expectations and conform to the criteria outlined below (refer Conditions of Use of this Appropriation) as well as domestic and international organisations' time/schedule or notification requirements. 100% 100% 100%

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Agriculture and Forestry Policy Advice (M2) - Agriculture and Forestry
Reference Conditions
Quality standards for analysis and advice  
Purpose The objective for the advice will be clearly stated; it will answer any financial and economic issues raised by the Minister and demonstrate a clear understanding of the desired outcome(s) of the Government and/or Minister.
Problem definition Any public policy problem, including the underlying causes, size and materiality of issues, will be defined and supported by data or other evidence.
Context It will be clear where the advice stands in the context of the wider policy process, including what has already been undertaken and what is expected to occur in the future.
Logic An appropriate analytical framework will be used. Assumptions behind the advice will be explicit and the argument will be logical and supported by facts.
Accuracy All material facts presented will be accurate. Known gaps that could significantly affect the conclusions will be identified and the range of uncertainty stated. Forecasts will be credible at the time they are produced and will take into account all relevant information.
Options A range of options will be presented that provides clearly differentiated choices and these will be rigorously evaluated against the analytical framework. Costs, benefits, consequences and risks/opportunities of the options will be assessed as part of the analysis. Where it is not appropriate to use a range of options, the reasons will be clearly stated.
Recommendations Recommendations will be clear, logical and action oriented and should stand alone from the rest of the advice. They will be sufficient to enable a decision to be made on the proposal or to move to the next decision/action point.
Consultation Evidence of thorough and timely consultation with other government departments and interested parties will be presented, and their views, including objections, will be incorporated as appropriate.
Practicality Issues of implementation, technical feasibility, practicality and timing will be considered and advice will accurately identify compliance, transitional, political, legislative, revenue, expense and administrative implications and costs (quantified where possible).
Communication Guidance will be provided on how communications arising from decisions on the advice should be handled, including an assessment of key stakeholders who should be informed and how.
Presentation Material will be presented to suit the target audience and:
  • Will be concise and structured in a way which assists others to understand the aim of the advice, key features of the information, analysis and recommendations, and their key implications.
  • Will use appropriate language and style.
  • Will use empirical evidence.
  • Will avoid clichés and technical jargon (or where the latter is not possible, it will be used appropriately for a general audience).
  • Will be consistent with departmental and Cabinet Office presentation requirements.
Monitoring and evaluation Policy analysis and advice will be assessed by using a ministerial rating; independent third-party review; evaluation results; agency/stakeholder feedback and/or internal peer review processes.

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Agriculture and Forestry Policy Advice (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Inter-agency resource needs for trade agreements 2008/09 - 150 - - -
Fonterra capital structure review 2007/08 2,000 - - - -
Sustainable land management programme 2007/08 1,500 3,500 2,500 2,500 2,500
New Zealand primary industry conference 2007/08 1,000 - - - -
Building rural capacity to respond to adverse events 2007/08 400 430 360 360 360
Policy advice capability 2006/07 600 600 600 600 600
Organic sector advisory programme 2006/07 50 50 - - -
Water programme of action 2006/07 240 - - - -
Sustainable water development 2005/06 444 444 444 444 444
Development of walking access policy 2005/06 389 2,389 2,889 1,889 1,889
Pursuing trade agreements and maximising gains 2005/06 1,350 1,350 1,350 1,350 1,350
Design innovation and excellence for timber products scheme 2005/06 609 595 267 142 -
Genetic forestry market development 2005/06 2,760 3,000 - - -
Staff remuneration 2005/06 857 1,339 1,845 2,295 2,295
Corporate services capacity and Head Office accommodation 2004/05 704 704 704 704 704
Implementation of a document management system 2004/05 260 260 260 260 260

Animal Welfare (M2)#

Scope of Appropriation#

Setting of animal welfare standards and investigations and prosecutions of breaches of the Animal Welfare Act 1999.

Expenses and Revenue#

Expenses and Revenue - Animal Welfare (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,639 2,639 2,640
Revenue from the Crown 2,579 2,579 2,580
Revenue from Others 60 60 60

Output Performance Measures and Standards#

Output Performance Measures and Standards - Animal Welfare (M2) - Agriculture and Forestry
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
The development and provision of policy advice:      
(see generic performance measures and standards under Agriculture and Forestry Policy Advice output expense). 100% 100% 100%
Developing and reviewing codes of animal welfare. 4 4 4
Animal welfare standards will be developed with priorities set out in conjunction with the National Animal Ethics Advisory Committee and the National Animal Welfare Advisory Committee. 100% 100% 100%
Priority work will be completed as agreed with the Minister in the 2008/09 output plan (including subsequent amendments). 100% 100% 100%
Investigations of alleged breaches of the Animal Welfare Act 1999. 700 686 700
Complaints received will be investigated in priority order and in accordance with the MAF compliance and enforcement priority grading framework. 100% 100% 100%
Prosecution of cases of alleged breaches of the Animal Welfare Act 1999. 10 9 10
Percentage successful prosecutions. 95 95 95
Percentage cases discharged without conviction. 1 or less 1 or less 1 or less
Percentage of cases lodged with the Court that incurred adverse judicial comment. 5 or less 5 or less 5 or less

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Animal Welfare (M2) - Agriculture and Forestry
Reference Conditions
Development and provision of policy advice. See conditions of use under Agriculture and Forestry policy advice output expense above.
Development, review and promulgation/communication of codes of animal welfare.
Implementation of surveillance and recording of complaints.
Investigation of alleged breaches.
Commensurate with the Animal Welfare Act 1999.
Prosecution of alleged breaches. Prosecutions commenced through the Court process will be well researched, legally sound, led by legally qualified staff and reach the prima facie threshold.

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Animal Welfare (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Corporate services capacity and Head Office accommodation 2004/05 35 35 35 35 35
Implementation of a document management system 2004/05 15 15 15 15 15
Animal Welfare Act implementation 2004/05 395 395 395 395 395

Climate Change (M2)#

Scope of Appropriation#

Policy advice and implementation, operational costs and fulfilling international obligations to support the Government's commitment on climate change under the Kyoto Protocol.

Expenses and Revenue#

Expenses and Revenue - Climate Change (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 27,394 22,774 43,384
Revenue from the Crown 27,172 22,652 43,167
Revenue from Others 222 222 217

Reasons for Change in Appropriation#

The increase in this appropriation mainly relates to the plan of action for sustainable land management and climate change and implementation of the New Zealand emissions trading scheme.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Climate Change (M2) - Agriculture and Forestry
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
The development and provision of policy advice:(see generic performance measures and standards under Agriculture and Forestry Policy Advice output expense). 100% 100% 100%
The provision of input to key international forums.(see generic performance measures and standards under Agriculture and Forestry Policy Advice output expense). 100% 100% 100%

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Climate Change (M2) - Agriculture and Forestry
Reference Conditions
Development and provision of policy advice Refer Agriculture and Forestry Policy Advice output expense above.

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Climate Change (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Implementation of the New Zealand emissions trading scheme 2007/08 3,780 6,810 2,620 2,500 2,500
International leadership on climate change research in agriculture and forestry 2007/08 1,000 1,000 1,000 1,000 1,000
Permanent forest sink 2007/08 200 153 72 - -
Sustainable land management and climate change plan of action 2006/07 18,857 31,238 28,997 28,432 27,575

Contract, Grant and Asset Management (M2)#

Scope of Appropriation#

Management of the Crown's ownership interest in forests established on Crown-Owned and leased Maori land. Management of the Sustainable Farming Fund, East Coast Forestry Project and flood relief programmes.

Expenses and Revenue#

Expenses and Revenue - Contract, Grant and Asset Management (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 3,547 3,447 3,626
Revenue from the Crown 3,513 3,513 3,594
Revenue from Others 34 34 32

Output Performance Measures and Standards#

Output Performance Measures and Standards - Contract, Grant and Asset Management (M2) - Agriculture and Forestry
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Management of Crown forests:      
Number of forests under administration and management. 25 25 25
Number of known breaches of statutes, lease agreements, forestry rights and other contractual arrangements brought or upheld against Crown Forestry since the last independent audit. 0 0 0
Contracting, evaluation/auditing and payment of forest managers. 6 6 6
Independent assessment of whether stumpage returns are consistent with the returns of other forest owners in the same locality. Consistent Consistent Consistent
Hectares lost from fire attributable to the quality of Crown Forestry's response and systems. 0 0 0
Number of hectares of Crown forestry interests surrendered or sold. 1,700 1,700 900
Effective and efficient administration and management of forestry encouragement loans (FELs). Achieved Achieved Achieved
Number of FEL grantees. 11 11 11
Number of FEL loans. 31 31 31
Total value of outstanding FEL loans. $25.296m $25.296m $24.040m
Effective and efficient administration of the sustainable farming fund. Achieved Achieved Achieved
Value of sustainable farming fund grants allocated. $8.444m $8.444m $8.444m
Effective and efficient administration of East Coast forestry grants. Achieved Achieved Achieved

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Contract, Grant and Asset Management (M2) - Agriculture and Forestry
Reference Conditions
Contracting, evaluation/auditing and payment of forest managers. Forest managers will be contracted and evaluated based on pre-determined sets of qualifying criteria.
Payment will be made to contractors at the agreed rates upon delivery of services following verification by audits as specified in a quality management system. Amounts paid and work completed will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes. This will be verified by independent management reviews/audits of each forest managed by MAF Crown Forestry (at three-year intervals).
Leasing of Crown forest land. Management and accounting for rent received will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes. Completion of rent reviews will be in accordance with the process required under the individual lease agreements.
Sale and surrender of Crown forestry assets. The sale or surrender of forestry assets will be in accordance with individual lease variations or negotiated sales approved by the Minister(s) of Finance, Forestry and Cabinet.
Valuations and negotiations will be performed in accordance with Crown policy and, in the case of Māori leases, as requested by lessors.
Administration and management of forestry encouragement loans (FELs). Management, valuation and recording of FEL loans will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes.
Administration of the sustainable farming fund. Commensurate with processes and procedures agreed with the Minister.
Administration of East Coast forestry grants. Commensurate with statutory framework.

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Contract, Grant and Asset Management (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Staff remuneration 2005/06 106 163 218 267 267
Corporate services capacity and Head Office accommodation 2004/05 133 133 133 133 133
Implementation of a document management system 2004/05 49 49 49 49 49

Support Services and Infrastructure to Other Agencies RDA (M2)#

Scope of Appropriation#

This appropriation is limited to the provision of support services to other agencies, including financial, personnel and information technology services and subleasing of surplus accommodation.

Expenses and Revenue#

Expenses and Revenue - Support Services and Infrastructure to Other Agencies RDA (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 9,600 10,100 9,600
Revenue from the Crown - - -
Revenue from Others 9,600 10,100 9,600

Output Performance Measures and Standards#

Output Performance Measures and Standards - Support Services and Infrastructure to Other Agencies RDA (M2) - Agriculture and Forestry
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Percentage of respondents that rated the information management services provided by MAF as 4 or higher on a scale of 1 to 5. 85 85 85
Percentage of respondents that rated the financial and procurement services provided by MAF as 4 or higher on a scale of 1 to 5. 85 85 85
Percentage of respondents that rated contract management services provided by MAF as 4 or higher on a scale of 1 to 5. 85 85 85
Percentage of respondents that rated payroll services provided by MAF as 4 or higher on a scale of 1 to 5. 85 85 85

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Support Services and Infrastructure to Other Agencies RDA (M2) - Agriculture and Forestry
Reference Conditions
Information management, financial, procurement, contract management and payroll services. In accordance with Government policy, legislation, regulations and MAF financial policies and internal processes.
Subleasing of surplus accommodation. Management and accounting for rent received will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes. Completion of rent reviews will be in accordance with the process required under the individual lease agreements.

Part 2.2 - Non-Departmental Output Expenses#

Intended Impacts, Outcomes and Objectives#

Intended Impacts, Outcomes and Objectives - Part 2.2 NonDepartmental Output Expenses - Agriculture and Forestry
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
The effective and efficient management (ie, cultivation, pruning, harvesting) of the Crown's forests. Management of Crown Forestry Assets

Management of Crown Forestry Assets (M2)#

Scope of Appropriation

Payments for forest and asset management of Crown forests established on both Crown-Owned and leased Maori land and 13 leases of Crown-Owned land to other parties for forestry purposes.

Expenses

Expenses - Management of Crown Forestry Assets (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 71,306 67,660 77,253

Reasons for Change in Appropriation

The increase in this appropriation is due to additional forest harvesting activity in 2008/09.

Output Performance Measures and Standards

Output Performance Measures and Standards - Management of Crown Forestry Assets (M2) - Agriculture and Forestry
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Number of forests under management. 25 25 25
Amount of net stocked forest hectares. 36,108 36,108 33,887
Number of forestry leases (where the Crown owns the land) under management. 13 13 13
Manage contracts for silviculture tending. 5,300ha 4,800ha 6,400ha
Manage contracts to supply logs. 1,281,500m3 1,162,600m3 1,288,200m3
Average stumpage price per cubic metre of logs sold. $40 $30 $31
Management fee (per net stocked hectare) exclusive of harvesting and re-investment fees. $19 $19 $20
Fixed cost per net stocked hectare. $40 $40 $50

Conditions on Use of Appropriation

Conditions on Use of Appropriation - Management of Crown Forestry Assets (M2) - Agriculture and Forestry
Reference Conditions
Management of forestry assets on behalf of the Crown. Management, silvicultural and timber production work programmes, as required by lease agreements and management plans, are completed under contracts which clearly prescribe work methods, acceptable standards and costs.
Completed work is audited using accepted sampling procedures and a quality management system.
Forests are independently audited on a three-yearly cycle to review management performance.

Summary of Service Providers#

Summary of Service Providers - Summary of Service Providers - Agriculture and Forestry
Provider 2007/08
Budgeted
$000
2007/08
Estimated Actual
$000
2008/09
Budget
$000
Reporting
Mechanism
Expiry of
Funding
Commitment
Non-government organisations          
NZ Forest Managers Ltd 36,665 35,000 38,327 Section 32A report Annual contracts with
P F Olsen Ltd 9,596 10,000 10,180   1-3 month
Northland Forest Managers Ltd 4,278 4,300 4,181   termination.
Fortus Forestry Ltd 6,074 6,100 10,414    
Ngati Porou Ltd 275 275 275    
Taitokerau Forest Ltd 220 220 144    
Management of Crown Forestry Assets          

The above table summarises funding to be allocated through Vote Agriculture and Forestry 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#

Part 5.2 - Non-Departmental Other Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 5.2 NonDepartmental Other Expenses - Agriculture and Forestry
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Sectors and their communities are less vulnerable and better able to adapt to a changing climate.
A vibrant rural community characterised by connected and resilient rural communities.
Adverse Climatic Events
Sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
New Zealanders are informed and involved participants in New Zealand's climate change response initiatives.
Forests and forest products are widely used in adapting to, and reducing, the impacts of climate change.
Afforestation Grants Scheme
Effective and efficient operational maintenance of the Beggs irrigation scheme. Community Irrigation Schemes
A business environment for the agriculture, food, forestry and related sectors that supports innovation, enterprise and high-performance.
New Zealanders are informed and involved participants in New Zealand's climate change response initiatives.
New Zealand land-based primary producers can position themselves for longer-term sustainable economic growth and competitive advantage.
Sectors and their communities are less vulnerable and better able to adapt to a changing climate.
Sectors are positioned to take better advantage of the economic opportunities arising from climate change and changing consumer preferences.
Connected and resilient rural communities.
Sectors are internationally competitive and land use flexibility is maintained, taking into account the environmental impacts of land use decisions.
Sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
Community Irrigation Fund
Forestry is fully integrated into land use decisions to help deliver sustainable land management practices.
Forests and forest products are widely used in adapting to, and reducing, the impacts of climate change.
Sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
East Coast Afforestation Grants
Sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
Sectors are positioned to take better advantage of the economic opportunities arising from climate change and changing consumer preference.
Market access and consumer demand for our animal-related products are enhanced in high-value markets.
Organic Initiatives
New Zealand's reputation for consistent and principled application of international trade, SPS, environmental sustainability and climate change rules, regulations and practices is maintained and/or enhanced. Subscriptions to International Organisations
A (sustainable) business environment for the agriculture, food, forestry and related sectors that supports innovation, enterprise and high-performance.
Sustainable use of resources (and the natural systems on which they are based) by the agriculture, food, forestry and related sectors.
Enhanced (sustainable) prosperity for Māori engaged in the agriculture, food, forestry and related sectors.
Sectors are internationally competitive and land use flexibility is maintained, taking into account the environmental impacts of land use decisions.
New Zealand land-based primary producers can position themselves for longer-term sustainable economic growth and competitive advantage.
Sustainable Farming Fund

Adverse Climatic Events (M2)

Scope of Appropriation

Support to the agriculture and horticulture industries in the aftermath of adverse climatic events.

Expenses

Expenses - Adverse Climatic Events (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,386 1,000 636

Reasons for Change in Appropriation

The decrease in this appropriation is due to one-off funding in 2007/08 for the Northland storm and nationwide drought.

Expected Results

Expected Results - Adverse Climatic Events (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Effective and efficient implementation of measures and initiatives to support rural communities affected by adverse events. Achieved Achieved Achieved

Conditions on Use of Appropriation

Conditions on Use of Appropriation - Adverse Climatic Events (M2) - Agriculture and Forestry
Reference Conditions
Implementation of adverse event recovery measures. Commensurate with the Adverse Events Recovery Policy guidelines. Funding is applied in an equitable manner, and all legal requirements are met.

Current and Past Policy Initiatives

Current and Past Policy Initiatives - Adverse Climatic Events (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Building rural capacity to respond to adverse events 2007/08 280 280 140 - -

Afforestation Grants Scheme (M2)#

Scope of Appropriation#

Payment of grants under the Afforestation Grants Scheme.

Expenses#

Expenses - Afforestation Grants Scheme (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation - - 5,000

Reasons for Change in Appropriation#

This is a new appropriation for 2008/09.

Expected Results#

Expected Results - Afforestation Grants Scheme (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
The Afforestation Grants Scheme will contribute to the Government target of achieving, by 2020, a net increase in forest area of 250,000 hectares of that in 2007 by increasing new forest planting rates in New Zealand. - - Achieved
The Afforestation Grants Scheme will help reduce the likely impacts of climate change and generate other environmental benefits by prioritising tenders that are expected to deliver these benefits. - - Achieved

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Afforestation Grants Scheme (M2) - Agriculture and Forestry
Reference Conditions
Payment of grants Amounts paid and work completed will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes. This will be verified by independent management reviews/audits.

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Afforestation Grants Scheme (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Sustainable land management and climate change plan of action 2008/09 - 5,000 10,000 10,000 10,000

Community Irrigation Fund (M2)#

Scope of Appropriation#

Payment of grants under the Community Irrigation Fund

Expenses#

Expenses - Community Irrigation Fund (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation - - 243

Reasons for Change in Appropriation#

This is a new appropriation for 2008/09.

Expected Results#

Expected Results - Community Irrigation Fund (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Extended length and quality of scheme developers' activities to raise investor support, with potentially more investment capital raised. - - Achieved
Extended length and quality of community consultation, so more community concerns can be addressed prior to the resource consent stage. - - Achieved
Reduced perceived risk to potential investors in schemes, encouraging investment. - - Achieved
Increases in:
  • the overall area of land irrigated
  • climate-change mitigation levels, and
  • economic, social and potentially environmental benefits.
- - Achieved

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Community Irrigation Fund (M2) - Agriculture and Forestry
Reference Conditions
Support to help promoters of community water storage and irrigation schemes raise investor and community support for their schemes. Amounts paid and work completed will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes. This will be verified by independent management reviews/audits.

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Community Irrigation Fund (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Sustainable land management and climate change plan of action. 2008/09 - 243 481 859 1,236

Community Irrigation Schemes (M2)#

Scope of Appropriation#

Operating and maintaining Crown irrigation schemes.

Expenses#

Expenses - Community Irrigation Schemes (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 17 17 17

Expected Results#

Expected Results - Community Irrigation Schemes (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Effective and efficient operational maintenance of the Beggs irrigation scheme. Achieved Achieved Achieved

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Community Irrigation Schemes (M2) - Agriculture and Forestry
Reference Conditions
Operational maintenance of the Beggs irrigation scheme. Management will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes.

East Coast Afforestation Grants (M2)#

Scope of Appropriation#

Grants to approved private forest growers under the Forestry (East Coast) Grants Regulations 1992.

Expenses#

Expenses - East Coast Afforestation Grants (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 4,953 1,800 8,803

Reasons for Change in Appropriation#

The increase in this appropriation is due to the transfer of funds from 2007/08. Operational and administrative changes to the East Coast Forestry Project are expected to result in increased demand for grants in 2008/09 and outyears.

Expected Results#

Expected Results - East Coast Afforestation Grants (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Afforestation to counter severe hill country erosion in the Gisborne district. 4,000 ha 1,500 ha 6,000 ha
Tending and final establishment payments in existing grant areas. 8,300 ha 4,000 ha 4,700 ha

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - East Coast Afforestation Grants (M2) - Agriculture and Forestry
Reference Conditions
Forestry (East Coast) Grants Regulations 2000. Subject to the conditions contained in Regulation 4.

Organic Initiatives (M2)#

Scope of Appropriation#

Delivery of an organic sector advisory programme.

Expenses#

Expenses - Organic Initiatives (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 750 750 750

Expected Results#

Expected Results - Organic Initiatives (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
An increase in certified organic production to $1 billion in total sector sales by 2013 through the delivery of:      
Generic 'Smart-start' programmes 120 120 120
User-defined programmes 60 60 60

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Organic Initiatives (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Organic sector advisory programme 2006/07 750 750 - - -

Subscriptions to International Organisations (M2)#

Scope of Appropriation#

Membership of various international organisations in particular the Food and Agriculture Organisation of the United Nations (FAO).

Expenses#

Expenses - Subscriptions to International Organisations (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,898 1,600 2,028

Reasons for Change in Appropriation#

The increase in appropriation is due to a one-off transfer to Vote Food Safety in 2007/08.

Expected Results#

Expected Results - Subscriptions to International Organisations (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Membership of the FAO (the FAO provides a critical underpinning to the World Trade Organisation Sanitary and Phytosanitary Agreement, through the work and standard-setting of Codex and the International Plant Protection Convention). Achieved Achieved Achieved
Provision of input to key international forums will meet Ministerial expectations as well as domestic and international organisations' time/schedule or notification requirements. 100% 100% 100%

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Subscriptions to International Organisations (M2) - Agriculture and Forestry
Reference Conditions
Membership of the FAO and other international organisations. Refer conditions of use for Agriculture and Forestry Policy Advice output expense.

Sustainable Farming Fund (M2)#

Scope of Appropriation#

Contestable fund for community driven programmes aimed at improving economic and environmental performance of land-based productive sectors.

Expenses#

Expenses - Sustainable Farming Fund (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 8,444 8,444 8,444

Expected Results#

Expected Results - Sustainable Farming Fund (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
This programme provides targeted funding that supports communities of interest-driven projects aimed at improving the sustainable development of the land-based production sectors. Achieved Achieved Achieved

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Sustainable Farming Fund (M2) - Agriculture and Forestry
Reference Conditions
Provision of funding. Amounts paid and work completed will be in accordance with Government policy, legislation, regulations and MAF financial policies and internal processes. This will be verified by independent management reviews/audits.

Reporting Mechanisms#

Reporting Mechanisms - Reporting Mechanisms - Agriculture and Forestry
Appropriation Reporting Mechanism
Adverse Climatic Events Not required
Afforestation Grants Scheme Not required
Community Irrigation Schemes Not required
Community Irrigation Fund Not required
East Coast Afforestation Grants Not required
Organic Initiatives Not required
Subscriptions to International Organisations Not required
Sustainable Farming Fund Not required

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#

Part 6.1 - Departmental Capital Expenditure#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 6.1 Departmental Capital Expenditure - Agriculture and Forestry
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Objective - To maintain and upgrade capability through the replacement and development of property, plant, equipment and IT software. Ministry of Agriculture and Forestry - Capital Expenditure (M2)

Ministry of Agriculture and Forestry - Capital Expenditure PLA (M2)

Scope of Appropriation

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

Capital Expenditure

Capital Expenditure - Ministry of Agriculture and Forestry Capital Expenditure PLA (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 8,400 8,400 8,600
Intangibles 3,600 3,600 8,000
Other - - -
Total Appropriation 12,000 12,000 16,600
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 8,400 8,400 8,600
Intangibles 3,600 3,600 8,000
Other - - -
Total Appropriation 12,000 12,000 16,600

Reasons for Change in Appropriation

The increase in the property, plant and equipment appropriation for 2008/09 compared to 2007/08 is mainly due to the planned construction of a new building at the National Centre for Biosecurity and Infectious Disease. The increase in intangibles reflects the continued development of IT software to support new MAF initiatives, particularly climate change information systems, national animal identification and traceability and MAF BNZ information management systems.

Part 6.2 - Non-Departmental Capital Expenditure#

Intended Impacts, Outcomes and Objectives#

Intended Impacts, Outcomes and Objectives - Part 6.2 NonDepartmental Capital Expenditure - Agriculture and Forestry
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Objective - Effective stewardship of the Crown's forestry assets. Crown Forestry Assets
The provision or release of funds to support the New Zealand Fast Forward Fund (NZFF) Governance or Partnership Board in implementing NZFF related activities. New Zealand Fast Forward Fund
A critical mass of world-class expertise, research and education in key innovation areas.  
Collaboration and partnerships between government, industry, research and education institutions.  
Alignment between New Zealand's scientific resources and domestic and international market trends and opportunities.  

Crown Forestry Assets (M2)#

Scope of Appropriation

This appropriation is limited to capital expenditure on Crown forests, including roading, bridges, fencing and fire equipment.

Capital Expenditure

Capital Expenditure - Crown Forestry Assets (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation - - 70

Reasons for Change in Appropriation

This is a new appropriation for 2008/09 to build a bridge across the Waihua stream, a tributary of the Rangitaiki River north of Murupara, to allow 90,000 tonnes of mature pine trees to be harvested from Te Manawa-O-Tuhoe forest.

Expected Results

Expected Results - Crown Forestry Assets (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Harvest of mature pine trees from Te Manawa-O-Tuhoe forest - - Achieved

Current and Past Policy Initiatives

Current and Past Policy Initiatives - Crown Forestry Assets (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Te Manawa-O-Tuhoe forest bridge 2008/09 - 70 - - -

Land and Seabed Data Capture and Processing (M44)#

Scope of Appropriation#

The collection and authorisation of land data and information in accordance with the regulatory frameworks.

Expenses and Revenue#

Expenses and Revenue - Land and Seabed Data Capture and Processing (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 48,790 45,090 42,953
Revenue from the Crown 18,550 17,050 18,410
Revenue from Others 23,579 22,979 22,373

Reasons for Change in Appropriation#

The increased appropriation in 2007/08 reflects the phasing of costs for the 100% e-lodgement programme.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Land and Seabed Data Capture and Processing (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Delivery of the Land Rights Registration and Cadastral Survey Systems      
Accurate and timely services are delivered in relation to the land rights registration and cadastral survey systems. Achieved Achieved Achieved
The number of title documents and cadastral survey datasets processed from paper and electronic lodgement are in accordance with the quantity agreed to with the Minister. Standard achieved as per Output Plan measures Standard achieved as per Output Plan measures Standard achieved as per Output Plan measures
Title documents and cadastral survey datasets processed from paper and electronic lodgement are processed within the timeframes agreed to with the Minister. Standard achieved as per Output Plan measures Standard achieved as per Output Plan measures Standard achieved as per Output Plan measures
The service received by customers meets timeliness and quality standards. Minimum of "good" rating achieved in the quarterly independent telephone surveys of randomly selected customers Minimum of "good" rating achieved in the quarterly independent telephone surveys of randomly selected customers Minimum of "good" rating achieved in the quarterly independent telephone surveys of randomly selected customers
Title documents and cadastral survey datasets are processed in accordance with the standards set by the respective Regulators (Registrar-General of Land and Surveyor-General). 100% 100% 100%
Landonline system is available to customers 7am and 9am Mon-Thurs, 7am to 7pm Fridays, 9am to 5pm Saturdays. 99.5% 99.5% 99.5%
Generation of the National Authorative Geospatial Record      
The national authoritative geospatial record (the geodetic reference system, topographic and hydrographic information and the electoral spatial reference dataset) is delivered according to quantity measures and standards agreed with the Minister. Output Plan standards achieved Output Plan standards achieved Output Plan standards achieved
All topographic, hydrographic and geodetic data generated will meet the quality standards as assessed by the Quality Assurance audit. Actions are undertaken in accordance with the standards and are confirmed by QA audits Actions are undertaken in accordance with the standards and are confirmed by QA audits Actions are undertaken in accordance with the standards and are confirmed by QA audits
All Electoral Spatial Reference Dataset actions will meet the quality standards in the MoUs with Statistics NZ, the Electoral Enrolment Centre, the Chief Electoral Officer and the Surveyor General as assessed by the Quality Assurance audit. Actions are undertaken in accordance with the standards and are confirmed by QA audits Actions are undertaken in accordance with the standards and are confirmed by QA audits Actions are undertaken in accordance with the standards and are confirmed by QA audits
The national authoritative geospatial record (the geodetic reference system, topographic and hydrographic information and the electoral spatial reference dataset) is delivered according to timeliness measures and standards agreed with the Minister. Output Plan standards achieved Output Plan standards achieved Output Plan standards achieved

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Land and Seabed Data Capture and Processing (M44) - Lands
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Landonline - implementation of stage 2 2003/04 5,353 1,992 2,042 1,838 1,757
Landonline - mandatory use 2005/06 7,635 6,543 2,971 2,935 2,540
Improved sea-level monitoring to enhance tsunami warning systems 2005/06 500 500 500 500 500

Land and Seabed Information Access and Dissemination (M44)#

Scope of Appropriation#

The provision of access to, and dissemination of, information held by LINZ.

Expenses and Revenue#

Expenses and Revenue - Land and Seabed Information Access and Dissemination (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 5,208 5,118 4,724
Revenue from the Crown 1,185 1,095 1,185
Revenue from Others 3,974 3,974 3,717

Reasons for Change in Appropriation#

The decrease in 2008/08 reflects the impact of cost savings arising from the 100% e-lodgement programme.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Land and Seabed Information Access and Dissemination (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Land title, and cadastral and geodetic survey information      
Electronic and paper title and survey records are supplied in the quantities agreed to with the Minister. Output Plan standards achieved Output Plan standards achieved Output Plan standards achieved
The service received by customers accessing and disseminating electronic and paper title and survey records meets timeliness and quality standards. Minimum of "good" rating achieved in the quarterly independent telephone surveys of randomly selected customers Minimum of "good" rating achieved in the quarterly independent telephone surveys of randomly selected customers Minimum of "good" rating achieved in the quarterly independent telephone surveys of randomly selected customers
Landonline system is available to customers between 7am and 9am Mon-Thurs, 7am to 7pm Fridays, 9am to 5pm Saturdays. 99.5% 99.5% 99.5%
Topographic and hydrographic information (maps, charts and information)      
Maintain a full inventory of topographic and hydrographic information. 100% 100% 100%

Land and Seabed Information Storage and Management (M44)#

Scope of Appropriation#

Ensuring that the security and management of LINZ's databases and systems for land information are managed effectively and efficiently.

Expenses and Revenue#

Expenses and Revenue - Land and Seabed Information Storage and Management (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 34,217 31,422 31,341
Revenue from the Crown 5,471 4,076 6,253
Revenue from Others 19,320 19,320 16,285

Reasons for Change in Appropriation#

The decrease in 2008/09 reflects the impact of cost savings arising from the 100% e-lodgement programme.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Land and Seabed Information Storage and Management (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
The integrity and security of LINZ's authorative databases is protected through ensuring:
  • IT infrastructure is future-proofed to maintain system availability and sustainability, and
  • IT architecture standards are maintained in line with Government and internationally recognised standards.
IT Architectural principles and standards are maintained, reviewed and communicated at least annually   IT Architectural principles and standards are maintained, reviewed and communicated at least annually
Enhancements to the information systems infrastructure are developed and implemented in accordance with the LINZ internal project governance process to ensure alignment with Government objectives and funding priorities. 100% 100% 100%

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Land and Seabed Information Storage and Management (M44) - Lands
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Landonline - implementation of stage 2 2003/04 5,353 1,992 2,042 1,838 1,757
Landonline - mandatory use 2005/06 7,635 6,543 2,971 2,935 2,540
Maori Freehold Land Registration project 2004/05 442 442 74 - -

Oceans Survey 20/20 Programme (M44)#

Scope of Appropriation#

This appropriation is limited to the undertaking of initiatives within the Oceans Survey 20/20 Programme.

Expenses and Revenue#

Expenses and Revenue - Oceans Survey 20/20 Programme (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 6,671 6,671 5,861
Revenue from the Crown 6,671 6,671 5,861
Revenue from Others - - -

Reasons for Change in Appropriation#

The increased appropriation in 2007/08 reflects one-off funding for the Census of Antarctic Marine Life.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Oceans Survey 20/20 Programme (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All survey projects will be carried out with specific performance measures and standards to be specified in a contract between LINZ as the co-ordinating agency, and the lead agency for each project. Not measured 2007/08 Not measured 2007/08 Standards and specifications met
The chartering of the RVTangaroaeach year until 30 June 2012 for the purposes of OS 20/20 will be completed in accordance with the timeframes and standards and specifications set out in the contract between LINZ and NIWA Vessel Management Ltd. Not measured 2007/08 Not measured 2007/08 Standards and specifications met

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Oceans Survey 20/20 Programme (M44) - Lands
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Marine science and information 2005/06 3,071 3,071 3,071 3,071 3,071
Ocean survey 20/20: Census of Antarctic Marine Life 2007/08 3,600 - - - -
Ocean survey 20/20: Bay of Islands survey   - 2,790 2,790 - -

Policy Advice (M44)#

Scope of Appropriation#

Policy advice to the Government and Minister, relating to land and property information and providing support to the Minister.

Expenses and Revenue#

Expenses and Revenue - Policy Advice (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,521 2,521 2,625
Revenue from the Crown 2,496 2,496 2,600
Revenue from Others 25 25 25

Output Performance Measures and Standards#

Output Performance Measures and Standards - Policy Advice (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Policy advice, briefings and support on matters relating to departmental functions provided to the Minister As requested, on time and accurate As requested, on time and accurate As requested, on time and accurate
Provision of Ministerial support services as required, including:
  • draft replies for letters to the Minister, including Official Information Act requests, and
  • draft responses to Parliamentary Questions.
300
(range 250-350)
300 300
(range 250-350)
Policy advice, reports and draft responses will meet the policy advice and ministerial communication quality and timeliness standards as assessed by the Minister. Minimum rating of "good" in six monthly assessments by the Minister Minimum rating of "good" in six monthly assessments by the Minister Minimum rating of "good" in six monthly assessments by the Minister
All accountability documents completed in accordance with the timeframes set by the Government and the statutory requirements of the Public Finance Act 1989. 100% 100% 100%

Standards and Quality Assurance (M44)#

Scope of Appropriation#

Ensuring that the regulatory frameworks that create and protect property rights, and protect the public interest in Crown property management, rating valuations and the land information for which LINZ is responsible, are managed effectively and that delivery against the frameworks is quality assured.

Expenses and Revenue#

Expenses and Revenue - Standards and Quality Assurance (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 10,247 9,897 10,423
Revenue from the Crown 4,488 4,138 4,376
Revenue from Others 5,994 5,994 6,222

Output Performance Measures and Standards#

Output Performance Measures and Standards - Standards and Quality Assurance (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Regulatory interventions developed, reviewed and implemented to reflect new Government policy, legislation, case law, audit findings, risk analysis and technology changes. 10(range 5-15) 3 10
(range 5-15)
Quality Assurance plans are completed for each Regulatory area. 9 9 9
Overseas Investment applications processed and decisions or recommendations made. 275
(range 250 -300)
275 275
(range 250 -300)
Percentage of Overseas Investment recommendations to Minister's accepted without amendment. 95% 96% 95%
Timeframe in which Overseas Investment delegated decisions are made when all correct information is received. 90% within 10 working days 75% within 10 working days 95% within 10 working days

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Standards and Quality Assurance (M44) - Lands
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Implementation of the Foreshore and Seabed Act 2004 2005/06 89 89 89 89 89
NZ Geographic Board - New Legislative Responsibilities 2007/08 50 455 455 270 270
Disposal of Crown Land: Conclusions of Wider Review 2008/09 - 110 110 110 110

Part 2.2 - Non-Departmental Output Expenses#

Intended Impacts, Outcomes and Objectives#

Intended Impacts, Outcomes and Objectives - Part 2.2 NonDepartmental Output Expenses - Lands
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
The objective of this appropriation is to: (i) facilitate the letting of contracts by competitive tender for the investigation and analysis of possible contamination on former Crown owned land (now in private ownership) and Crown land held by Land Information New Zealand; and (ii) ensure that identified areas of contamination that the Crown has accepted responsibility for are further investigated and appropriate remedial action taken. Contaminated sites
The objective of this appropriation is to bring Land Information New Zealand administered camping facilities in the South Island lakes area to the necessary Building Act and Resource Management Act standards. Lakes

Contaminated Sites (M44)#

Scope of Appropriation

Analysis, investigation and, where necessary, appropriate remedial action on contaminated sites for which the Crown has accepted responsibility.

Expenses

Expenses - Contaminated Sites (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 450 450 500

Reasons for Change in Appropriation

At the 2008 March Baseline Update (MBU), the transfer of $50,000 to Lakes (M44) was sought for 2007/08. Any new contaminated sites work in the period March to June 2007 will be managed under the existing appropriation.

Output Performance Measures and Standards

Output Performance Measures and Standards - Contaminated Sites (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All contracts for investigation, analysis and remediation action are let by competitive tender. 100% 100% 100%

Lakes (M44)#

Scope of Appropriation#

Project site work on hydro lakes and surrounding areas to rationalise and maintain lake assets

Expenses#

Expenses - Lakes (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 248 248 -

Reasons for Change in Appropriation#

This appropriation had one-off funding in 2007/08.  At MBU 2008, the transfer of $50,000 from Contaminated Sites (M44) to Lakes (M44) was sought for 2007/08 to progress rationalisation and maintenance of lake assets.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Lakes (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
That the work to upgrade or replace facilities receives sign-off from the appropriate territorial local authority. 100% 100% 100%

Part 5 - Details and Expected Results for Other Expenses#

Part 5.2 - Non-Departmental Other Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 5.2 NonDepartmental Other Expenses - Lands
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
The intended impact of this appropriation is the efficient management of Crown forest land and associated Crown Forestry Licences pending disposal of the land through the Treaty Settlement process; and maximising the return to the Crown and future owners bearing in mind the interests involved and minimising the cost of any disputes that may arise. Crown Forest Management
The intended impact of this appropriation is the recognition of the loss on disposal that occurs when there is an obligation to sell surplus land of the Crown at less than fair market value or to return surplus land to a former owner at nil cost because the Crown's ownership of the land has arisen from a gifting. Crown Obligations - Loss on Disposal
The intended impact of this appropriation is to enable LINZ to meet its obligations under the Local Government (Rating) Act 2002. Crown Rates
The objective of this appropriation is the resolution of land related claims against the Crown which have arisen from perceived errors or omissions by the Crown. Land Liabilities
The objective of this appropriation is to ensure contractual obligations with respect to Crown leasehold obligations administered by the department are met. Residual Crown Leasehold Rents
The intended impact of this appropriation is the recognition of the loss on disposal that will arise when legislation to effect the terms of the Deed of Settlement agreed with KEC is passed. Impact of covenant on value of land prior to sale

Bad and Doubtful Debts (M44)

Scope of Appropriation

This appropriation is limited to the provision for writing off bad and doubtful debts.

Expenses

Expenses - Bad and Doubtful Debts (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 25 25 25

Crown Forest Management (M44)#

Scope of Appropriation#

Management of Crown forest properties and licences, including settling reviews, interest liability and GST on refunded fees.

Expenses#

Expenses - Crown Forest Management (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 600 600 500

Expected Results#

Expected Results - Crown Forest Management (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All specifications and timeframes set out in Part 2 of the Crown Forest Licence Management Agreement are met. 100% 100% 100%

Crown Obligations - Loss on Disposal (M44)#

Scope of Appropriation#

Loss on disposal of properties arising from Crown obligations including the return of gifted land to the donor at nil value.

Expenses#

Expenses - Crown Obligations Loss on Disposal (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 544 544 267

Reasons for Change in Appropriation#

The change from 2007/08 reflects additional funds carried forward into 2007/08 from the prior year.

Expected Results#

Expected Results - Crown Obligations Loss on Disposal (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All cases are approved at the appropriate level. 100% 100% 100%

Crown Rates (M44)#

Scope of Appropriation#

Payment of rates on Crown land and surplus government properties administered by the department on behalf of the Crown.

Expenses#

Expenses - Crown Rates (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,107 1,107 1,107

Expected Results#

Expected Results - Crown Rates (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All Crown rates on land administered by the Department are paid on time. 100% 100% 100%

Depreciation (M44)#

Scope of Appropriation#

This appropriation is limited to depreciation of buildings on surplus Crown land.

Expenses#

Expenses - Depreciation (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 172 172 172

Impact of covenant on value of land prior to sale (M44)#

Scope of Appropriation#

The reduction in value of approximately 50,000 hectares in the selection unit areas on offer to Te Arawa KEC located in the central North Island, from the imposition of a covenant to prevent deforestation for twenty eight (28) years and to exclude the land owners from future compensation and benefits in relation to this land.

Expenses#

Expenses - Impact of covenant on value of land prior to sale (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 85,000 - -

Reasons for Change in Appropriation#

This appropriation received one-off funding in 2007/08.

Inventory Write-Offs (M44)#

Scope of Appropriation#

Write-down of maps and charts stock.

Expenses#

Expenses - Inventory WriteOffs (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 44 44 44

Land Liabilities (M44)#

Scope of Appropriation#

Investigation and resolution, including legal costs and settlement, of land-related liabilities administered by the department.

Expenses#

Expenses - Land Liabilities (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,859 1,859 843

Reasons for Change in Appropriation#

This appropriation received one-off funding in 2007/08 for a settlement against the Commissioner of Crown Lands.

Expected Results#

Expected Results - Land Liabilities (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
The requirements of the LINZ "Operating Framework for the investigation and Management of Land Related Crown Liabilities" are met. 100% 100% 100%

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Land Liabilities (M44) - Lands
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Funding for award against Commissioner of Crown lands. 2007/08 697 - - - -

Proceeds from Sale of Transit NZ Properties (M44)#

Scope of Appropriation#

To pay Transit NZ the equivalent of what the Crown has received from the sales of Transit properties.

Expenses#

Expenses - Proceeds from Sale of Transit NZ Properties (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 12,000 12,000 17,000

Reasons for Change in Appropriation#

The appropriation in each year reflects current Transit New Zealand forecasts of revenue from property disposals.

Residual Crown Leasehold Rents (M44)#

Scope of Appropriation#

Leasehold liabilities paid on residual surplus government accommodation administered by the department on behalf of the Crown.

Expenses#

Expenses - Residual Crown Leasehold Rents (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 337 337 396

Expected Results#

Expected Results - Residual Crown Leasehold Rents (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Payments of rent are actioned in accordance with the timeframes and terms of the lease. 100% 100% 100%

Part 6 - Details and Expected Results for Capital Expenditure#

Part 6.1 - Departmental Capital Expenditure#

Land Information New Zealand - Capital Expenditure PLA (M44)

Scope of Appropriation

This appropriation is limited to the purchase or development of assets by and for the use of the Land Information New Zealand, as authorised by section 24(1) of the Public Finance Act 1989

Capital Expenditure

Capital Expenditure - Land Information New Zealand Capital Expenditure PLA (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 1,000 9,374 4,698
Intangibles 8,374 - -
Other - - -
Total Appropriation 9,374 9,374 4,698
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 1,000 9,374 4,698
Intangibles 8,374 - -
Other - - -
Total Appropriation 9,374 9,374 4,698

Part 6.2 - Non-Departmental Capital Expenditure#

Intended Impacts, Outcomes and Objectives#

Intended Impacts, Outcomes and Objectives - Part 6.2 NonDepartmental Capital Expenditure - Lands
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
The intended outcome of this appropriation is the purchase of subsidence-affected properties from owners in accordance with the Government's "Huntly East Subsidence Policy. Affected owners initiate purchase requests, the Government's position is reactive. Crown Acquisitions - Huntly East
The intended outcome of this appropriation is the purchase of properties from vendor agencies when directed (as in the Crown's "Gifted Lands Policy") or from private owners when an obligation arises. Crown Obligatory Acquisitions
The intended outcome of this appropriation is the purchase of land from Territorial Authorities and other Crown agencies to effect boundary adjustments for works such as roading and rail service improvements. Crown Purchases - Land Exchanges

Access rights to crown forest licensed land. (M44)#

Scope of Appropriation

This appropriation is limited to the purchase of access rights over land adjoining Crown forest licensed land in order that the Crown forest licensed land may be more easily accessed.

Capital Expenditure

Capital Expenditure - Access rights to crown forest licensed land. (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 5,000 5,000 -

Reasons for Change in Appropriation

This is a new appropriation in 2007/08 for the purchase of access rights to Crown forest licensed land.

Current and Past Policy Initiatives

Current and Past Policy Initiatives - Access rights to crown forest licensed land. (M44) - Lands
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Access to Bonisch Rd, Kaingaroa Forest 2007/08 5,000 - - - -

Crown Acquisitions - Huntly East (M44)#

Scope of Appropriation#

Acquisition of properties falling within Cabinet's approved policy area for Huntly East subsidence zone.

Capital Expenditure#

Capital Expenditure - Crown Acquisitions Huntly East (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 263 263 500

Reasons for Change in Appropriation#

Funds were transferred in 2007/08 only to the Crown capital appropriation Crown Obligatory Acquisitions.

Expected Results#

Expected Results - Crown Acquisitions Huntly East (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All acquisitions are undertaken in accordance with the Government's "Huntly East Subsidence Policy". 100% 100% 100%

Crown Obligatory Acquisitions (M44)#

Scope of Appropriation#

Acquisition of properties arising from Crown obligations including gifted land.

Capital Expenditure#

Capital Expenditure - Crown Obligatory Acquisitions (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 504 504 267

Reasons for Change in Appropriation#

Funds were transferred in 2007/08 only from Crown appropriation Crown Acquisitions - Huntly East.

Expected Results#

Expected Results - Crown Obligatory Acquisitions (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All acquisitions undertaken in accordance with Crown or Government Policy and in accordance with appropriate statutory authority. 100% 100% 100%

Crown Purchases- Land Exchanges (M44)#

Scope of Appropriation#

Acquisition of land from Territorial Authorities and other Crown agencies to effect boundary adjustments for works such as roading and rail service improvements.

Capital Expenditure#

Capital Expenditure - Crown Purchases Land Exchanges (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 26 26 -

Reasons for Change in Appropriation#

This appropriation has funding for 2007/08 only.

Expected Results#

Expected Results - Crown Purchases Land Exchanges (M44) - Lands
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
All purchases are undertaken with appropriate statutory authority. 100% 100% 100%

Land Tenure Reform Acquisitions (M44)#

Scope of Appropriation and Expenses#

Multi-Year Appropriations - Lands
Type, Title, Scope and Period of Appropriations Appropriation $000

Capital Expenditure to be Incurred by the Crown

   

Land Tenure Reform Acquisitions (M44)

This appropriation is limited to the acquisition of the lessees' interest in pastoral lease land and purchase of any land and/or assets required to complete the acquisition of lessee interest in order to achieve Tenure Review outcomes under the Crown Pastoral Land Act 1998, or to achieve Government high country objectives.

Commences: 1 July 2008

Expires: 30 June 2011

Original Appropriation 32,001
Adjustments for 2006/07 -
Adjustments to 2007/08 -
Adjusted Appropriation 32,001
Actual to 2006/07 Year End -
Estimated Actual for 2007/08 -
Estimated Actual for 2008/09 16,560
Estimated Appropriation Remaining 15,441

Statement of Forecast Service Performance of Departments#

Statement of Forecast Service Performance#

The Statement of Forecast Service Performance of departments included in the Primary Sector comprise the service performance information for all departmental output expense appropriations that are proposed to be used by those departments. In this context, service performance information comprises the scope, expenses and revenue, and output performance measures and standards for each class of outputs within those departmental appropriations, as set out in Part 2.1 of the Performance Information for Appropriations in Each Vote.

The following table identifies the classes of outputs incorporated in the Statement of Forecast Service Performance for each department in the Primary Sector. In some circumstances, this may include reference to classes of outputs within appropriations presented in Votes in other sectors.

Department Composition of Statement of Forecast Service Performance
Ministry of Agriculture and Forestry

The service performance information in Part 2.1 for the classes of outputs within all the departmental output expense appropriations in:

  • Vote Agriculture and Forestry
  • Vote Biosecurity.
Ministry of Fisheries The service performance information in Part 2.1 for the classes of outputs within all the departmental output expense appropriations in Vote Fisheries.
New Zealand Food Safety Authority The service performance information in Part 2.1 for the classes of outputs within all the departmental output expense appropriations in Vote Food Safety.
Land Information New Zealand The service performance information in Part 2.1 for the classes of outputs within all the departmental output expense appropriations in Vote Lands.

Forecast Financial Statements of Departments#

Statement of Common Accounting Policies#

These accounting policies have been applied in the forecast financial statements of all departments and Offices of Parliament except as outlined in the statement of entity-specific accounting policies for individual departments or Offices of Parliament.

These forecast financial statements are prepared in accordance with section 38 of the Public Finance Act 1989. The purpose of the forecast financial statements is to facilitate Parliament's consideration of appropriations for, and planned performance of, departments and Offices of Parliament. Use of this information for other purposes may not be appropriate. It is not intended that these forecast financial statements be updated subsequent to publication.

Statement of Compliance

These forecast financial statements for the year ended 30 June 2009 comply with FRS-42 Prospective Financial Statements.

Specific Accounting Policies

The accounting policies set out below have been applied consistently to all periods presented in these statements. These statements have been prepared on a going-concern basis. The measurement base applied is historical cost modified by the revaluation of certain assets and liabilities as identified in this statement of accounting policies.

The accrual basis of accounting has been used unless otherwise stated. These financial statements are presented in New Zealand dollars, which is the entity's functional currency. All financial information presented has been rounded to the nearest thousand.

Judgements and Estimations

The preparation of forecast financial statements in conformity with FRS-42 requires judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances. Actual results may differ from these estimates and these variations may be material.

Revenue

Revenue is derived through the provision of outputs to the Crown and to third parties. Revenue is recognised in the forecast statement of financial performance when earned.

Leases

Operating Leases

Where substantially all of the risks and rewards of ownership are retained by the lessor, leases are classified as operating leases.

Lease payments under operating leases are recognised as an expense on a straight-line basis over the lease term.

Finance Leases

Leases which effectively transfer to the lessee substantially all the risks and rewards incidental to ownership of the leased items are classified as finance leases. These are capitalised at the lower of the fair value of the asset or the present value of the minimum lease payments. The leased assets and the corresponding lease liabilities are recognised in the statement of financial position. The leased assets are depreciated over the period the entity is expected to benefit from their use. The interest expense component of finance lease payments is recognised in the statement of financial performance.

Borrowing Costs

Borrowing costs are recognised as an expense when incurred.

Property, Plant and Equipment

Property, plant and equipment, other than land and buildings, is stated at cost less accumulated depreciation and impairment losses. Land and buildings are stated at fair value as determined by an independent registered valuer. Fair value is determined using market-based evidence. Land and buildings are revalued with sufficient regularity to ensure that carrying value is not materially different from fair value at the end of the reporting period. Additions between revaluations are recorded at cost. Any capitalisation thresholds applied are set out in the statement of entity-specific accounting policies.

Depreciation

Depreciation is provided on a straight-line basis so as to allocate the cost [or valuation] of an item of property, plant and equipment, less any estimated residual value, over its estimated useful life.

The estimated useful lives are set out in the statement of entity-specific accounting policies.

Leasehold improvements are capitalised and the cost is amortised over the unexpired period of the lease or the estimated useful life of the improvements, whichever is shorter.

Items under construction are not depreciated. The total cost of a capital project is transferred to the appropriate asset class on its completion and then depreciated.

Intangible Assets

Intangible assets with finite useful lives (such as computer software) are recorded at cost less accumulated amortisation and impairment losses.

Any capitalisation thresholds applied are set out in the statement of entity-specific accounting policies.

Amortisation is charged to the statement of financial performance on a straight-line basis over the estimated useful life of the asset.

The estimated useful lives are set out in the statement of entity-specific accounting policies.

Intangible assets with indefinite useful lives are not amortised, but are tested at least annually for impairment.

Where there is an active market for an intangible asset, the asset is recorded at a revalued amount, being fair value less any subsequent accumulated amortisation and accumulated impairment losses.

Cash and Cash Equivalents

Cash includes cash on hand and funds on deposit with banks with a maturity of 3 months or less from date of acquisition.

Debtors and Other Receivables

Debtors and other receivables are initially measured at fair value and subsequently measured at amortised cost using the effective interest rate, less impairment charges. Allowances for estimated irrecoverable amounts are recognised when there is objective evidence that the asset is impaired.

Inventories

Inventories held for sale or use in the production of goods and services on a commercial basis are recorded at the lower of cost and net realisable value. The cost of purchased inventory is determined using the weighted average cost method.

Inventories held for distribution for public benefit purposes are recorded at cost (calculated using the weighted average cost method) adjusted when applicable for any loss of service potential. Where inventories are acquired at no cost, or for nominal consideration, the cost is the current replacement cost at the date of acquisition.

Employee Entitlements

Pension Liabilities

Obligations for contributions to defined contribution retirement plans are recognised in the statement of financial performance as they fall due.

Other Employee Entitlements

Employee entitlements to salaries and wages, annual leave, sick leave, long service leave, retiring leave and other similar benefits are recognised in the statement of financial performance when they accrue to employees. Employee entitlements to be settled within 12 months are reported at the amount expected to be paid. Long-term employee entitlements are reported at the present value of the estimated future cash outflows.

Termination Benefits

Termination benefits are recognised in the statement of financial performance only when there is a demonstrable commitment to either terminate employment prior to normal retirement date or to provide such benefits as a result of an offer to encourage voluntary redundancy. Termination benefits to be settled within 12 months are reported at the amount expected to be paid. Other termination benefits are reported at the present value of the estimated future cash outflows.

Onerous Contracts

Where the benefits to be derived from a contract are lower than the unavoidable costs of meeting the obligation under the contract, a provision is recognised. The provision is stated at the present value of the future net cash outflows expected to be incurred in respect of the contract.

Foreign Currency

Foreign currency transactions are reported at the New Zealand dollar exchange rate at the date of the transaction.

Statement of Cash Flows

The following are definitions of the terms used in the statement of cash flows:

  • cash and cash equivalents include cash on hand, cash in transit, bank accounts and deposits with a maturity of no more than three months from date of acquisition
  • investing activities are those activities relating to the acquisition and disposal of non-current assets
  • financing activities comprise capital injections by, or repayment of capital to, the Crown, and
  • operating activities include all transactions and other events that are not investing or financing activities.

Taxation

Departments and Offices of Parliament are exempt from income tax as public authorities. Accordingly no charge for income tax has been provided for.

Goods and Services Tax

These forecast financial statements are GST exclusive, except for receivables and payables in the statement of financial position, which are stated on a GST inclusive basis. Where GST is not recoverable as input tax, then it is recognised as part of the related asset or expense.

The net amount of GST owing to or from the Inland Revenue Department at balance date is included as part of receivables or payables (as appropriate) in the statement of financial position.

Commitments

Future expenses and liabilities to be incurred on contracts that have been entered into at balance date are disclosed as commitments to the extent that there are equally unperformed obligations.

Contingent Liabilities and Contingent Assets

Contingent liabilities are disclosed if the possibility that they will crystallise is not remote. Contingent assets are disclosed if it is probable that the benefits will be realised.

Changes in Accounting Policies

Any changes in accounting policies since the date of the last audited financial statements (30 June 2007) are described in the statement of entity-specific accounting policies. The effect of the transition to NZ IFRS is explained in the 2007/08 Statement of Intent or Annual Plan of each department or Office of Parliament.

Forecast Financial Statements Ministry of Agriculture and Forestry#

Statement of Forecast Financial Performance for the year ending 30 June 2009#

Statement of Forecast Financial Performance for the year ending 30 June 2009 - Agriculture and Forestry
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Income

         
Crown   179,330 174,083 174,083 204,039
Department(s)   4,142 11,970 12,115 11,845
Other revenue 1 81,620 32,010 32,155 33,776
Gains   4 - - -
Interest   - - - -

Total Income

  265,096 218,063 218,353 249,660

Expenses

         
Personnel   127,302 92,488 91,458 96,849
Operating 2 121,837 112,400 111,720 138,496
Depreciation and amortisation   10,889 10,700 10,700 11,500
Capital charge   1,807 2,000 2,000 2,415
Finance costs   384 475 475 400
Other   92 - - -

Total Expenses

  262,311 218,063 216,353 249,660

Net Surplus / (Deficit)

  2,785 - 2,000 -

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2009#

Statement of Forecast Changes in Taxpayers' Funds for the year ending 302009 - Agriculture and Forestry
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Balance at 1 July

         
General funds   23,052 25,333 25,333 31,954
Revaluation reserve   362 251 251 251
Other reserves   - - - -

Taxpayers' Funds Opening Balance

  23,414 25,584 25,584 32,205

Changes in Taxpayers' Funds

         

Income and Expense for the Period

         
Net surplus / (deficit) for the year   2,785 - 2,000 -
Total gains / (losses) taken to equity   (111) - - -

Total Income and Expense for the Period

  2,674 - 2,000 -

Other Changes

         
Repayment of surplus   (2,879) - (2,000) -
Capital contribution   2,970 7,216 7,216 6,809
Capital withdrawal   (595) (595) (595) (595)
Other   - - - -

Total Changes in Taxpayers' Funds

  2,170 6,621 6,621 6,214

Balance at 30 June

         
General funds   25,333 31,954 31,954 38,168
Revaluation reserve   251 251 251 251
Other reserves   - - - -

Taxpayers' Funds Closing Balance

  25,584 32,205 32,205 38,419

Forecast Statement of Financial Position as at 30 June 2009#

Forecast Statement of Financial Position as at 30 June 2009 - Agriculture and Forestry
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Assets

         

Current Assets

         
Cash and cash equivalents   11,601 7,065 9,065 7,429
Debtors and other receivables 3 12,160 9,350 9,350 10,350
Prepayments   1,392 1,200 1,200 1,200
Inventories   3,778 3,800 3,800 4,000
Other current assets   - - - -

Total Current Assets

  28,931 21,415 23,415 22,979

Non-current Assets

         
Property, plant and equipment 4 39,340 35,432 35,432 35,832
Intangible assets 5 15,529 9,995 9,995 13,995
Other non-current assets   3,580 - - -

Total Non- current Assets

  58,449 45,427 45,427 49,827

Total Assets

  87,380 66,842 68,842 72,806

Liabilities

         

Current Liabilities

         
Creditors and other payables   21,214 14,786 14,786 14,786
Repayment of surplus   2,879 - 2,000 -
Employee entitlements   10,329 7,250 7,250 7,600
Other current liabilities 6 15,070 4,650 4,650 4,650

Total Current Liabilities

  49,492 26,686 28,686 27,036

Non-current Liabilities

         
Provisions   300 - - -
Employee entitlements   7,836 4,800 4,800 5,000
Other non-current liabilities 7 4,168 3,151 3,151- 2,351

Total Non-current Liabilities

  12,304 7,951 7,951 7,351

Total Liabilities

  61,796 34,637 36,637 34,387

Taxpayers' Funds

         
General funds   25,333 31,954 31,954 38,168
Revaluation reserve   251 251 251 251
Other reserves   - - - -

Total Taxpayers' Funds

  25,584 32,205 32,205 38,419

Total Liabilities and Taxpayers' Funds

  87,380 66,842 68,842 72,806

Statement of Forecast Cash Flows for the year ending 30 June 2009#

Forestry Statement of Forecast Cash Flows for the year ending 30 June 2009 - Agriculture and Forestry
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Cash Flows from Operating Activities

         

Receipts from:

         
Crown   182,450 172,701 172,701 203,039
Department(s)   4,289 11,853 11,998 11,845
Other   80,865 30,191 30,336 33,776
Interest   - - - -

Payments to:

         
Suppliers   (126,137) (115,428) (114,748) (138,696)
Employees   (124,810) (92,138) (91,108) (96,299)
Capital charge   (1,807) (2,000) (2,000) (2,415)
Goods and services tax (net)   878 - - -
Other operating activities   - - - -

Net Cash from Operating Activities

  15,728 5,179 7,179 11,250

Cash Flow from Investing Activities

         

Receipts from:

         
Sale of property, plant and equipment   412 100 100 700
Sale of intangible assets   - - - -
Sale of other non-current assets   - - - -

Purchase of:

         
Property, plant and equipment   (8,225) (2,612) (2,612) (6,100)
Intangible assets   (6,424) (3,600) (3,600) (8,000)
Other non-current assets   - - - -

Net Cash from Investing Activities

  (14,237) (6,112) (6,112) (13,400)

Cash Flow from Financing Activities

         
Capital contribution   2,970 4,757 4,757 6,809
Other financing cash inflows   - - - -
Repayment of surplus   (14) (2,879) (2,879) (2,000)
Capital withdrawal   (595) (595) (595) (595)
Other financing cash outflows   (3,159) (4,886) (4,886) (3,700)

Net Cash from Financing Activities

  (798) (3,603) (3,603) 514

Net Increase / (Decrease) in Cash

  693 (4,536) (2,536) (1,636)
Cash at the beginning of the year   10,908 11,601 11,601 9,065
Cash at the end of the year   11,601 7,065 9,065 7,429

Statement of Significant Assumptions#

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 and operating costs are based on historical experience. The general historical pattern is expected to continue after allowing for new initiative and one-off funding.
  • Estimated year end information for 2007/08 is used as the opening position for the 2008/09 forecasts.

These assumptions are adopted as at 16 April 2008.

Factors that could lead to material differences between the forecast financial statements and the 2008/09 actual financial statements include changes in activities required by the Government and demand for third-party funded activities.

The Ministry does not intend to update the forecast financial statements subsequent to presentation on Budget day.

Department-Specific Accounting Policies#

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

Reporting Entity

The Ministry of Agriculture and Forestry is a Government Department as defined by section 2 of the Public Finance Act 1989. For the purposes of financial reporting Ministry of Agriculture and Forestry is a public benefit entity.

Authorisation Statement

These forecast financial statements were authorised for issue by the Director General of the Ministry of Agriculture and Forestry on 16 April 2008. The Director General is responsible for the forecast financial statements presented, including the appropriateness of the assumptions underlying the forecast financial statements and all other required disclosure.

Statement of Entity-Specific Accounting Policies

Property, plant and equipment

The capitalisation threshold for property, plant and equipment is $5,000.

Depreciation

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

  • Buildings - 10 to 50 years.
  • Leasehold improvements - 2 to 10 years.
  • IT Equipment/Hardware - 3 to 6 years.
  • Motor vehicles - 4 to 8 years.
  • Furniture and office equipment - 4 to 10 years.
Intangible assets

The capitalisation threshold for purchased and internally developed software is $50,000.

The estimated useful lives of intangible assets range from 3 to 7 years.

Cost allocation

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

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

Direct costs are charged directly to outputs. Indirect costs are charged to outputs based on cost drivers and related activity/usage information. Depreciation and capital charge are charged on the basis of asset utilisation. Indirect costs are assigned to outputs based on various cost drivers including assessed usage, staff numbers, direct expenditure and estimated allocation of time.

Notes to the Financial Statements#

Note 1 - Other Revenue
Note 1 - Other Revenue - Agriculture and Forestry
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Statutory fees and fines 75,882 27,000 27,000 28,526
Other goods and services 5,738 5,010 5,155 5,250

Total

81,620 32,010 32,155 33,776

Note 2 - Operating Expenses#

Note 2 - Operating Expenses - Agriculture and Forestry
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Operating expenses include:        
Audit fees for financial statements 153 160 176 178
Audit fees for other services 22 - 30 -
Consultants fees 3,195 4,000 4,000 4,000
Overseas travel 3,203 1,750 1,450 1,600
Domestic travel 7,659 4,320 4,100 4,300
Operating lease payments 7,454 6,200 6,300 7,200
Contract payments 74,718 84,462 84,300 109,218
Other 25,433 11,508 11,364 12,000

Total

121,837 112,400 111,720 138,496

Note 3 - Debtors and Other Receivables#

Note 3 - Debtors and Other Receivables - Agriculture and Forestry
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Debtor Crown 1,618 3,000 3,000 4,000
Debtor other 10,542 6,350 6,350 6,350

Total

12,160 9,350 9,350 10,350

Note 4 - Property, Plant and Equipment#

Note 4 - Property, Plant and Equipment - Agriculture and Forestry
  Land
$000
Buildings
$000
Leasehold improvements
$000
Furniture/office equipment
$000
Other
$000
Total
$000

Cost or revaluation

           
Balance as at 1 July 2008 2,223 10,465 9,834 26,046 4,774 53,342
Additions by purchase - 3,000 300 3,300 2,000 8,600
Disposals - - - - (2,000) (2,000)

Balance as at 30 June 2009

2,223 13,465 10,134 29,346 4,774 59,942

Accumulated depreciation and impairment losses

           
Balance as at 1 July 2008 - 553 2,305 12,441 2,611 17,910
Depreciation expense - 450 820 5,480 750 7,500
Eliminate on disposal - - - - (1,300) (1,300)

Balance as at 30 June 2009

- 1,003 3,125 17,921 2,061 24,110

Carrying amount as at 30 June 2009

2,223 12,462 7,009 11,425 2,713 35,832

Note 5 - Intangible Assets#

Note 5 - Intangible Assets - Agriculture and Forestry
  Acquired software
$000
Internally
generated software
$000
Other
$000
Total
$000

Cost

       
Balance as at 1 July 2008 - 15,512 - 15,512
Additions internally developed - 8,000 - 8,000

Balance as at 30 June 2009

- 23,512 - 23,512

Accumulated amortisation and impairment losses

       
Balance as at 1 July 2008 - 5,517 - 5,517
Amortisation expense - 4,000 - 4,000

Balance as at 30 June 2009

- 9,517 - 9,517

Carrying amount as at 30 June 2009

- 13,995 - 13,995

Note 6 - Other Current Liabilities#

Note 6 - Other Current Liabilities - Agriculture and Forestry
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Finance leases 2,953 3,000 3,000 3,000
Unearned revenue 11,878 1,500 1,500 1,500
ACC partnership scheme 239 150 150 150

Total

15,070 4,650 4,650 4,650

Note 7 - Other Non-Current Liabilities#

Note 7 - Other Non-Current Liabilities - Agriculture and Forestry
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Finance leases 4,168 3,151 3,151 2,351

Total

4,168 3,151 3,151 2,351

Note 8 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ended 30 June 2009#

Note 8 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ended 30 June 2009 - Agriculture and Forestry
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Net surplus / (deficit) 2,785 - 2,000 -
Add/ (less) non-cash items        
Depreciation and amortisation expense 10,889 10,700 10,700 11,500
Revaluation loss 176 - - -
Transfer from New Zealand Food Safety Authority - 10,754 10,754 -
Total non-cash items 11,065 21,454 21,454 11,500
Add/ (less) items classified as investing or financing activities        
(Gains)/ losses on disposal property, plant and equipment (4) - - -
Finance lease interest costs 384 475 475 400
Total items classified as investing or financing activities 380 475 475 400
Add/ (less) movements in working capital items        
(Inc)/ Dec in debtors and other receivables 1,980 6,390 6,390 (1,000)
(Inc)/ Dec in prepayments (540) 192 192 -
(Inc)/ Dec in inventories (381) (22) (22) (200)
Inc/ (Dec) in creditors and other payables (2,920) (6,428) (6,428) -
Inc/ (Dec) in current provisions 2,172 - - -
Inc/ (Dec) in employee entitlements 1,512 (3,079) (3,079) 350
Inc/ (Dec) other current liabilities - (10,467) (10,467) -
Net movements in working capital items 1,823 (13,414) (13,414) (850)
Add/ (less) movements in non-current liabilities        
Inc/ (Dec) in non-current provisions - (300) (300) -
Inc/ (Dec) in employee entitlements (325) (3,036) (3,036) 200
Net cash from operating activities 15,728 5,179 7,179 11,250

Note 9 - Reconciliation of Departmental Expenses and Appropriations#

Note 9 - Reconciliation of Departmental Expenses and Appropriations - Agriculture and Forestry
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Appropriations for output expenses        
Total for Vote: Agriculture and Forestry 34,630 72,949 66,806 89,418
Total for Vote: Biosecurity 146,332 157,417 149,547 157,052
Total for Vote Food Safety 81,079 - - -
Total Appropriations for output expenses 262,041 230,366 216,353 246,470
Appropriations for other expenses        
Restructuring expenses 2 - - -
Total appropriations for other expenses 2 - - -
Adjustments        
Appropriation amounts unused - (6,113) - (3,000)
In principle expense transfers - (6,190) - 6,190
Remeasurements 176 - - -
Transition to NZ International Financial Reporting Standards 92 - - -

Total departmental expenses [as per statement of financial performance]

262,311 218,063 216,353 249,660

Forecast Financial Statements Ministry of Fisheries#

Statement of Forecast Financial Performance for the year ending 30 June 2009#

Statement of Forecast Financial Performance for the year ending 30 June 2009 - Fisheries
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Income

         
Crown   87,985 93,966 91,533 93,544
Department(s)   1,748 1,024 1,024 806
Other revenue   1,098 1,537 1,537 2,078
Gains   62 - - -
Interest   - - - -

Total Income

  90,893 96,527 94,094 96,428

Expenses

         
Personnel   40,452 42,570 42,588 41,906
Operating 1 45,772 50,648 47,322 50,875
Depreciation and amortisation   2,722 2,350 3,225 2,650
Capital charge   959 959 959 997
Finance costs   - - - -
Other   799 - - -

Total Expenses

2 90,704 96,527 94,094 96,428

Net Surplus / (Deficit)

  189 - - -

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2009#

Statement of Forecast Changes in Taxpayers' Funds for the year ending 302009 - Fisheries
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Balance at 1 July

         
General funds   12,658 12,658 12,658 12,658
Revaluation reserve   - - - -
Other reserves   - - - -

Taxpayers' Funds Opening Balance

  12,658 12,658 12,658 12,658

Changes in Taxpayers' Funds

         

Income and Expense for the Period

         
Net surplus / (deficit) for the year   189 - - -
Total gains / (losses) taken to equity   - - - -

Total Income and Expense for the Period

  189 - - -

Other Changes

         
Repayment of surplus   (189) - - -
Capital contribution   - - - -
Capital withdrawal   - - - -
Other   - - - -

Total Changes in Taxpayers' Funds

  - - - -

Balance at 30 June

         
General funds   12,658 12,658 12,658 12,658
Revaluation reserve   - - - -
Other reserves   - - - -

Taxpayers' Funds Closing Balance

  12,658 12,658 12,658 12,658

Forecast Statement of Financial Position as at 30 June 2009#

Forecast Statement of Financial Position as at 30 June 2009 - Fisheries
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Assets

         

Current Assets

         
Cash and cash equivalents   2,244 3,498 4,373 4,423
Debtors and other receivables   17,646 18,791 18,791 18,791
Prepayments   692 300 300 300
Inventories   - - - -
Other current assets   - 439 (131) (960)

Total Current Assets

  20,582 23,028 23,333 22,554

Non-current Assets

         
Property, plant and equipment   10,083 12,782 12,477 13,556
Intangible assets   2,588 - - -
Other non-current assets   - - - -

Total Non- current Assets

  12,671 12,782 12,477 13,556

Total Assets

  33,253 35,810 35,810 36,110

Liabilities

         

Current Liabilities

         
Creditors and other payables   15,182 17,471 17,471 17,371
Repayment of surplus   189 - - -
Employee entitlements   2,903 653 653 653
Other current liabilities   15 - - -

Total Current Liabilities

  18,289 18,124 18,124 18,024

Non-current Liabilities

         
Provisions   - - - -
Employee entitlements   2,306 5,028 5,028 5,428
Other non-current liabilities   - - -- -

Total Non-current Liabilities

  2,306 5,028 5,028 5,428

Total Liabilities

  20,595 23,152 23,152 23,452

Taxpayers' Funds

         
General funds   12,658 12,658 12,658 12,658
Revaluation reserve   - - - -
Other reserves   - - - -

Total Taxpayers' Funds

  12,658 12,658 12,658 12,658

Total Liabilities and Taxpayers' Funds

  33,253 35,810 35,810 36,110

Statement of Forecast Cash Flows for the year ending 30 June 2009#

Forestry Statement of Forecast Cash Flows for the year ending 30 June 2009 - Fisheries
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Cash Flows from Operating Activities

         

Receipts from:

         
Crown   88,502 93,073 90,640 93,544
Department(s)   1,854 1,024 1,024 806
Other   1,376 1,194 1,194 2,078
Interest   - - - -

Payments to:

         
Suppliers   (54,283) (55,719) (53,668) (57,204)
Employees   (30,218) (34,151) (32,894) (35,061)
Capital charge   (959) (959) (959) (997)
Goods and services tax (net)   (119) (119) (119) (216)
Other operating activities   - - - -

Net Cash from Operating Activities

3 6,153 4,343 5,218 2,950

Cash Flow from Investing Activities

         

Receipts from:

         
Sale of property, plant and equipment   209 - - -
Sale of intangible assets   - - - -
Sale of other non-current assets   - - - -

Purchase of:

         
Property, plant and equipment   (4,181) (2,900) (2,900) (2,900)
Intangible assets   - - - -
Other non-current assets   - - - -

Net Cash from Investing Activities

  (3,972) (2,900) (2,900) (2,900)

Cash Flow from Financing Activities

         
Capital contribution   - - - -
Other financing cash inflows   - - - -
Repayment of surplus   (1,349) (189) (189) -
Capital withdrawal   - - - -
Other financing cash outflows   - - - -

Net Cash from Financing Activities

  (1,349) (189) (189) -

Net Increase / (Decrease) in Cash

  832 1,254 2,129 50
Cash at the beginning of the year   1,412 2,244 2,244 4,373
Cash at the end of the year   2,244 3,498 4,373 4,423

Statement of Significant Assumptions#

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.
  • Personnel costs are based on 474 full time equivalents.
  • Operating costs are based on historical experience. The general historical pattern is expected to continue.
  • Estimated year end information for 2007/08 is used as the opening position for the 2008/09 forecasts.

These assumptions are adopted as at 1 July 2008.

Factors that could lead to material differences between the forecast financial statements and the 2008/09 actual financial statements include:

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

Department-Specific Accounting Policies#

The Ministry of Fisheries 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 Fisheries, prepared in accordance with section 38 of the Public Finance Act 1989.

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

Authorisation Statement

These forecast financial statements were authorised for issue by Wayne McNee, Chief Executive of the Ministry of Fisheries on 15 April 2008. 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.

Statement of Entity-Specific Accounting Policies

Property, plant and equipment

The capitalisation threshold for property, plant and equipment is $5,000.

Depreciation

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

  • Buildings - 10 to 100 years.
  • Plant and equipment - up to 10 years.
  • Motor vehicles - up to 10 years.
  • Vessels - 4-25 years.

The cost of leasehold improvements is capitalised and depreciated over the unexpired period of the lease or useful life, whichever is the shorter.

Intangible assets

The capitalisation threshold for intangible assets is $5,000.

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

  • Purchased software - up to 10 years.
  • Internally developed software - up to 10 years.

Cost allocation

Those costs that can be specifically attributed to an output are charged directly to that output. Indirect costs are assigned through a methodology that allocates them to front line outputs based either on the use of full time equivalent staff numbers or specific project costs.

Notes to the Financial Statements#

Note 1 - Operating Expenses
Note 1 - Operating Expenses - Fisheries
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Operating expenses include:        
Consultant's fees 31,611 35,437 32,111 32,713
Overseas travel 795 1,006 1,006 985
Domestic travel 3,573 3,462 3,462 4,103
Other 9,793 10,743 10,743 13,074

Total operating expenses

45,772 50,648 47,322 50,875

Note 2 - Reconciliation of Departmental Expenses and Appropriations#

Note 2 - Reconciliation of Departmental Expenses and Appropriations - Fisheries
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Appropriations for output expenses        
Aquaculture Settlement 987 1,667 1,667 1,543
Fisheries Compliance 29,980 30,059 30,059 30,121
Fisheries Information 28,873 32,225 31,186 31,011
Fisheries Operations 23.980 24,849 23,765 25,948
Fisheries Policy Advice 6,884 7,093 7,093 7,399
Interim Secretariat South Pacific Regional Fisheries Management Organisation - 634 324 406
Total Appropriations for output expenses 90,704 96,527 94,094 96,428

Total departmental expenses (as per statement of financial performance)

90,704 96,527 94,094 96,428

Note 3 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ending 30 June 2009#

Note 3 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ending 30 June 2009 - Fisheries
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Net surplus 189 - - -
Add non-cash items:        
Depreciation 2,722 2,350 3,225 2,650
Total non-cash items 2,722 2,350 3,225 2,650
Movements in working capital items:        
(Increase)/decrease in        
  • debtors and receivables
919 1,145 1,145 -
  • prepayments
(171) (392) (392) -
Increase/(decrease) in        
  • creditors and payables
2,372 783 783 (100)
  • employee entitlements
245 472 472 400
  • unearned revenue
(61) (15) (15) -
Net increase/(decrease) in working capital items 3,304 1,993 1,993 300
Add/(less) investing activity items:        
Net (gain)/loss on sale of property, plant and equipment (62) - - -
Total investing activity items (62) - - -
Net cash inflow/outflow from operating activities 6,153 4,343 5,218 2,950

Forecast Financial Statements New Zealand Food Safety Authority#

Statement of Forecast Financial Performance for the year ending 30 June 2009#

Statement of Forecast Financial Performance for the year ending 30 June 2009 - Food Safety
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Income

         
Crown   - 31,596 29,696 33,469
Department(s)   - 1,751 1,751 1,019
Other revenue 1 - 61,355 61,355 61,565
Gains   - - - -
Interest   - - - -

Total Income

  - 94,702 92,802 96,053

Expenses

         
Personnel   - 43,665 47,675 49,510
Operating 2 - 48,540 42,630 38,790
Depreciation and amortisation   - 2,989 2,989 4,864
Capital charge   - 3 3 196
Finance costs   - - - -
Other   - - - -

Total Expenses

  - 95,197 93,297 93,360

Net Surplus / (Deficit)

  - (495) (495) 2,693

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2009#

Statement of Forecast Changes in Taxpayers' Funds for the year ending 302009 - Food Safety
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Balance at 1 July

         
General funds   - - - 42
Revaluation reserve   - - - -
Other reserves   - - - -

Taxpayers' Funds Opening Balance

  - - - 42

Changes in Taxpayers' Funds

         

Income and Expense for the Period

         
Net surplus / (deficit) for the year   - (495) (495) 2,693
Total gains / (losses) taken to equity   - - - -

Total Income and Expense for the Period

  - (495) (495) 2,693

Other Changes

         
Repayment of surplus   - - - (2,693)
Capital contribution   - 5,275 5,275 5,125
Capital withdrawal   - (4,738) (4,738) -
Other   - - - -

Total Changes in Taxpayers' Funds

  - 42 42 5,125

Balance at 30 June

         
General funds   - 42 42 5,167
Revaluation reserve   - - - -
Other reserves   - - - -

Taxpayers' Funds Closing Balance

  - 42 42 5,167

Forecast Statement of Financial Position as at 30 June 2009#

Forecast Statement of Financial Position as at 30 June 2009 - Food Safety
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Assets

         

Current Assets

         
Cash and cash equivalents   - 6,850 7,450 14,707
Debtors and other receivables   - 4,600 3,700 3,700
Prepayments   - 70 70 70
Inventories   - 130 130 130
Other current assets   - - - -

Total Current Assets

  - 11,650 11,350 18,607

Non-current Assets

         
Property, plant and equipment   - 2,137 2,137 2,224
Intangible assets 3 - 6,155 6,155 7,129
Other non-current assets   - - - -

Total Non- current Assets

  - 8,292 8,292 9,353

Total Assets

  - 19,942 19,642 27,960

Liabilities

         

Current Liabilities

         
Creditors and other payables   - 5,400 5,400 5,400
Repayment of surplus   - - - 2,693
Employee entitlements   - 4,200 4,200 4,500
Other current liabilities   - 6,300 6,000 6,000

Total Current Liabilities

  - 15,900 15,600 18,593

Non-current Liabilities

         
Provisions   - 300 300 300
Employee entitlements   - 3,700 3,700 3,900
Other non-current liabilities   - - -- -

Total Non-current Liabilities

  - 4,000 4,000 4,200

Total Liabilities

  - 19,900 19,600 22,793

Taxpayers' Funds

         
General funds   - 42 42 5,167
Revaluation reserve   - - - -
Other reserves   - - - -

Total Taxpayers' Funds

  - 42 42 5,167

Total Liabilities and Taxpayers' Funds

  - 19,942 19,642 27,960

Statement of Forecast Cash Flows for the year ending 30 June 2009#

Forestry Statement of Forecast Cash Flows for the year ending 30 June 2009 - Food Safety
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Cash Flows from Operating Activities

         

Receipts from:

         
Crown   - 35,596 33,696 33,469
Department(s)   - 1,123 1,123 1,019
Other   - 60,733 61,333 61,565
Interest   - - - -

Payments to:

         
Suppliers   - (51,253) (45,343) (38,790)
Employees   - (42,135) (46,145) (49,010)
Capital charge   - (3) (3) (196)
Goods and services tax (net)   - 500 500 -
Other operating activities   - - - -

Net Cash from Operating Activities

4 - 4,561 5,161 8,057

Cash Flow from Investing Activities

         

Receipts from:

         
Sale of property, plant and equipment   - 24 24 -
Sale of intangible assets   - - - -
Sale of other non-current assets   - - - -

Purchase of:

         
Property, plant and equipment   - (830) (830) (1,225)
Intangible assets   - (2,180) (2,180) (4,700)
Other non-current assets   - - - -

Net Cash from Investing Activities

  - (2,986) (2,986) (5,925)

Cash Flow from Financing Activities

         
Capital contribution   - 5,275 5,275 5,125
Other financing cash inflows   - - - -
Repayment of surplus   - - - -
Capital withdrawal   - - - -
Other financing cash outflows   - - - -

Net Cash from Financing Activities

  - 5,275 5,275 5,125

Net Increase / (Decrease) in Cash

  - 6,850 7,450 7,257
Cash at the beginning of the year   - - - 7,450
Cash at the end of the year   - 6,850 7,450 14,707

Statement of Significant Assumptions#

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
  • personnel costs are based on 490 full time equivalents
  • operating costs are based on historical experience and the general historical pattern is expected to continue
  • revenue is measured at the fair value of the consideration received
  • revenue from levies is recognised as revenue when the obligation to pay the levy is incurred
  • revenue from application fees is recognised to the extent that the application has been processed by the Authority
  • estimated year end information for 2007/08 is used as the opening position for the 2008/09 forecasts.

These assumptions are adopted as at 16 April 2008.

Factors that could lead to material differences between the forecast financial statements and the 2008/09 actual financial statements include:

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

Department-Specific Accounting Policies#

The New Zealand Food Safety Authority 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 the New Zealand Food Safety Authority, prepared in accordance with section 38 of the Public Finance Act 1989.

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

Statement of Entity-Specific Accounting Policies

Property, plant and equipment

The capitalisation threshold for property plant and equipment is $5,000.

Intangible assets

The capitalisation threshold for intangible assets is $5,000.

Depreciation

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

  • Leasehold improvements - 2 to 9 years.
  • Plant and equipment - 3 to 10 years.
  • Motor vehicles - 4 to 8 years.
Amortisation

Intangible assets are amortised over their useful life on a straight line basis.

Cost allocation

The Authority has determined the cost of outputs using the allocation system outlined below:

  • Direct costs are those costs directly attributed to an output. Indirect costs are those costs that cannot be identified in an economically feasible manner with a specific output.
  • Direct costs are charged directly to outputs. Indirect costs are assigned to business groups based on various cost drivers including assessed charges and useage, personnel numbers and estimated allocation of time.

Notes to the Financial Statements#

Note 1 - Other Revenue
Note 1 - Other Revenue - Food Safety
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
NZFSA Regulatory Standards - 22,488 22,488 13,715
Verification Services to the Animal Products Industries - 38,867 38,867 47,850

Total

- 61,355 61,355 61,565

Note 2 - Operating Expenses#

Note 2 - Operating Expenses - Food Safety
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Operating expenses include:        
Consultant's fees - 480 750 750
Overseas travel - 1,400 1,400 1,400
Domestic travel - 2,500 2,500 2,500
Other - 44,160 37,980 34,140

Total

- 48,540 42,630 38,790

Note 3 - Intangible Assets#

Note 3 - Intangible Assets - Food Safety
  Acquired software
$000
Internally
generated software
$000
Other
$000
Total
$000

Cost

       
Balance as at 1 July 2008 - 8,314 - 8,314
Additions by purchase - - - -
Additions internally developed - 4,700 - 4,700
Disposals -   - -

Balance as at 30 June 2009

- 13,014 - 13,014

Accumulated amortisation and impairment losses

       
Balance as at 1 July 2008 - 2,159 - 2,159
Amortisation expense - 3,726 - 3,726
Disposals - - - -
Impairment losses - - - -

Balance as at 30 June 2009

- 5,885 - 5,885

Carrying amount as at 30 June 2009

- 7,129 - 7,129

Note 4 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ended 30 June 2009#

Note 4 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ended 30 June 2009 - Food Safety
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Net surplus / (deficit)

- (495) (495) 2,693

Add / (Less) non-cash items

       
Depreciation and amortisation expense - 2,989 2,989 4,864
Other - (13,033) (13,033) -
Total non-cash items - (10,044) (10,044) 4,864

Add / (Less) movements in working capital items

       
(Inc)/ Dec in debtors and other receivables - (4,600) (3,700)  
(Inc)/ Dec in prepayments - (70) (70) -
(Inc) / Dec in inventories - (130) (130) -
Inc/ (Dec) in creditors and other payables - 5,400 5,400 -
Inc/ (Dec) in employee entitlements - 4,200 4,200 300
Inc/ (Dec) other current liabilities - 6,300 6,000 -
Net movements in working capital items - 11,100 11,700 300

Add / (Less) movements in non-current liabilities

       
Inc/ (Dec) in non-current provisions - 300 300 -
Inc/ (Dec) in employee entitlements - 3,700 3,700 200

Net cash from operating activities

- 4,561 5,161 8,057

Forecast Financial Statements Land Information New Zealand#

Statement of Forecast Financial Performance for the year ending 30 June 2009#

Statement of Forecast Financial Performance for the year ending 30 June 2009 - Lands
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Income

         
Crown   42,819 58,426 50,591 57,308
Department(s)   1,745 950 350 939
Other revenue   51,264 52,866 52,866 52,489
Gains   - - - -
Interest   - - - -

Total Income

  95,828 112,242 103,807 110,736

Expenses

         
Personnel   42,288 45,799 45,799 44,118
Operating   55,029 68,885 57,450 66,014
Depreciation and amortisation   9,453 10,503 10,503 8,268
Capital charge   3,607 2,956 2,956 2,956
Finance costs   - - - -
Other   (9) - - -

Total Expenses

2 110,368 128,143 116,708 121,356

Net Surplus / (Deficit)

  (14,540) (15,901) (12,901) (10,620)

Statement of Forecast Changes in Taxpayers' Funds for the year ending 30 June 2009#

Statement of Forecast Changes in Taxpayers' Funds for the year ending 302009 - Lands
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Balance at 1 July

         
General funds   47,590 38,904 38,904 38,904
Revaluation reserve   - - - -
Other reserves   - - - -

Taxpayers' Funds Opening Balance

  47,590 38,904 38,904 38,904

Changes in Taxpayers' Funds

         

Income and Expense for the Period

         
Net surplus / (deficit) for the year   (14,540) (15,901) (12,901) (10,620)
Total gains / (losses) taken to equity   - - - -

Total Income and Expense for the Period

  (14,540) (15,901) (12,901) (10,620)

Other Changes

         
Repayment of surplus   - - - -
Capital contribution   5,854 15,901 12,901 10,620
Capital withdrawal   - - - -
Other   - - - -

Total Changes in Taxpayers' Funds

  (8,686) - - -

Balance at 30 June

         
General funds   38,904 38,904 38,904 38,904
Revaluation reserve   - - - -
Other reserves   - - - -

Taxpayers' Funds Closing Balance

  38,904 38,904 38,904 38,904

Forecast Statement of Financial Position as at 30 June 2009#

Forecast Statement of Financial Position as at 30 June 2009 - Lands
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Assets

         

Current Assets

         
Cash and cash equivalents   5,946 3,537 3,537 1,075
Debtors and other receivables   1,172 4,235 4,235 4,665
Prepayments   967 1,245 1,245 1,245
Inventories   - - - -
Other current assets   - - - -

Total Current Assets

  8,085 9,017 9,017 6,985

Non-current Assets

         
Property, plant and equipment   5,898 6,591 6,591 5,882
Intangible assets   49,955 51,954 51,954 50,154
Other non-current assets   - - - -

Total Non- current Assets

  55,853 58,545 58,545 56,036

Total Assets

  63,938 67,562 67,562 63,021

Liabilities

         

Current Liabilities

         
Creditors and other payables   14,257 17,058 17,058 13,817
Repayment of surplus   - - - -
Employee entitlements   4,982 4,000 4,000 4,000
Other current liabilities   1,127 1,000 1,000 1,000

Total Current Liabilities

  20,366 22,058 22,058 18,817

Non-current Liabilities

         
Provisions   - - - -
Employee entitlements   4,668 6,600 6,600 5,300
Other non-current liabilities   - - -- -

Total Non-current Liabilities

  4,668 6,600 6,600 5,300

Total Liabilities

  25,034 28,658 28,658 24,117

Taxpayers' Funds

         
General funds   38,904 38,904 38,904 38,904
Revaluation reserve   - - - -
Other reserves   - - - -

Total Taxpayers' Funds

  38,904 38,904 38,904 38,904

Total Liabilities and Taxpayers' Funds

  63,938 67,562 67,562 63,021

Statement of Forecast Cash Flows for the year ending 30 June 2009#

Forestry Statement of Forecast Cash Flows for the year ending 30 June 2009 - Lands
  Note 2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000

Cash Flows from Operating Activities

         

Receipts from:

         
Crown   47,303 63,127 63,127 49,786
Department(s)   1,372 1,300 1,300 939
Other   50,922 51,169 51,169 49,865
Interest   - - - -

Payments to:

         
Suppliers   (44,841) (110,282) (117,973) (103,383)
Employees   (48,404) - - -
Capital charge   (3,004) (3,559) (3,559) (2,956)
Goods and services tax (net)   - (65) - -
Other operating activities   - - - -

Net Cash from Operating Activities

1 3,348 1,690 (5,936) (5,749)

Cash Flow from Investing Activities

         

Receipts from:

         
Sale of property, plant and equipment   40 - - -
Sale of intangible assets   - - - -
Sale of other non-current assets   - - - -

Purchase of:

         
Property, plant and equipment   (6,154) (20,000) (9,374) (7,333)
Intangible assets   - - - -
Other non-current assets   - - - -

Net Cash from Investing Activities

  (6,114) (20,000) (9,374) (7,333)

Cash Flow from Financing Activities

         
Capital contribution   5,854 15,901 12,901 10,620
Other financing cash inflows   - - - -
Repayment of surplus   - - - -
Capital withdrawal   - - - -
Other financing cash outflows   - - - -

Net Cash from Financing Activities

  5,854 15,901 12,901 10,620

Net Increase / (Decrease) in Cash

  3,088 (2,409) (2,409) (2,462)
Cash at the beginning of the year   2,858 5,946 5,946 3,537
Cash at the end of the year   5,946 3,537 3,537 1,075

Statement of Significant Assumptions#

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

The main assumptions are:

  • The department's activities will remain substantially the same as for the previous year.
  • Personnel and operating costs are based on historical experience.
  • Estimated year end information for 2007/08 is used as the opening position for the 2008/09 forecasts.

Factors that could lead to material differences between the forecast financial statements and the 2008/09 actual financial statements include:

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

Department-Specific Accounting Policies#

The Land Information 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 Land Information New Zealand, prepared in accordance with section 38 of the Public Finance Act 1989.

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

Notes to the Financial Statements#

Note 1 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ending 30 June 2009
Note 1 - Reconciliation of Net Surplus to Net Cash Flows from Operating Activities for the Year Ending 30 June 2009 - Lands
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Net surplus / (deficit) (14,540) (15,901) (12,901) (10,620)
Add / (less) non-cash items        
Depreciation and amortisation expense 9,444 10,503 10,503 8,268
Total non-cash items 9,444 10,503 10,503 8,268
Working capital movement        
(Increase)/Decrease in receivables 4,472 3,450 4,540 5,000
Increase/(Decrease) in payables 3,972 3,638 3,254 3,101
Net working capital movement 8,444 7,088 7,794 8,101
Net cash from operating activities 3,348 1,690 (5,396) (5,749)

Note 2 - Operating Expenses#

Note 2 - Operating Expenses - Lands
  2006/07
Actual
$000
2007/08
Budgeted
$000
2007/08
Estimated
Actual
$000
2008/09
Budgeted
$000
Operating expenses include:        
Consultants' fees 1,278 1,311 1,311 1,311
Overseas travel 97 169 169 169
Domestic travel 1,853 1,330 1,330 1,330
Other 51,801 66,075 54,640 63,204

Total

55,029 68,885 57,450 66,014

Part 1.2 - High-Level Objectives of the Vote#

Vote Fisheries provides the Government with advice and services that ensure sustainable use of New Zealand's fisheries. The Government goal that Vote Fisheries contributes most directly to is that of Economic Transformation.

Government Priorities and Outcomes - Links to Appropriations - Fisheries
Government Priorities - Themes / Sub-themes Government Outcomes Appropriations
Economic Transformation: Sustainable use and management of natural resources Environmentally sustainable fishing Fisheries Information
Fisheries Operations
Fisheries Compliance
Fisheries Policy
Improved international market access for New Zealand seafood Fisheries Policy
Sustainable aquaculture Fisheries Operations

Summary of Financial Activity#

Summary of Financial Activity - Fisheries
  2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Budgeted
$000
Estimated
Actual
$000
Departmental
Transactions
Budget
$000
Non-
Departmental
Transactions
Budget
$000
Total
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000

Appropriations

                       
Output Expenses 66,159 75,653 84,716 90,704 96,527 94,094 96,428 - 96,428 96,013 95,688 95,511
Benefits and Other Unrequited Expenses - - - - - - N/A - - - - -
Borrowing Expenses - - - - - - - - - - - -
Other Expenses 2,943 3,362 5,397 3,652 74,921 74,921 - 995 995 995 995 995
Capital Expenditure - - - - 2,900 - 2,900 - 2,900 2,900 2,900 2,900
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -

Total Appropriations

69,102 79,015 90,113 94,356 174,348 169,015 99,328 995 100,323 99,908 99,583 99,406

Crown Revenue and Receipts

                       
Tax Revenue - - - - - - N/A N/A - - - -
Non-Tax Revenue 29,991 46,004 56,825 47,661 44,928 44,928 N/A N/A 36,878 36,878 36,878 36,878
Capital Receipts - 2,307 11,593 3,605 100 100 N/A N/A 100 100 100 100

Total Crown Revenue and Receipts

29,991 48,311 68,418 51,266 45,028 45,028 N/A N/A 36,978 36,978 36,978 36,978

Budget Policy Initiatives#

Budget Policy initiatives - Fisheries
Policy Initiative Appropriation 2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Certification of New Zealand seafood products as environmentally sustainable to assist the fishing industry to access premium international markets Fisheries Operations 1,150 1,150 1,150 1,150 1,150
Increase in the baseline to fund Ministry litigation expenses Fisheries Operations 500 500 500 500 500
Science for the International Polar Year (IPY) Census of Antarctic Marine Life Fisheries Information 1,000 1,000 1,000 - -
Inshore Trawl Form Fisheries Operations 232 232 232 232 232
Increased Observer coverage Fisheries Information - 1,000 2,000 3,000 3,000

The department and non-department appropriations in Vote Fisheries, which are detailed in the Summary of Financial Activity table above, show the significant changes discussed briefly below.

The increases in the output expenses appropriations are explained within the Budget policy initiatives table.

The increase in the other expenses (non-department appropriations) for 2007/08 reflects the terms of the Maori Commercial Aquaculture Claims Settlement Act 2004, which provides for a full and final settlement of Māori claims to commercial aquaculture since 21 September 1992.  The Act creates a financial liability for the Crown, because if the settlement cannot be achieved through a transfer of 'space', then it must be resolved through a financial transfer to iwi.

Part 2 - Details and Expected Performance for Output Expenses#

Part 2.1 - Departmental Output Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 2.1 Departmental Output Expenses - Fisheries
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Outcome - Environmentally sustainable fishing
Impact - Maximising the value New Zealanders obtain through the sustainable use of fisheries resources and protection of the aquatic environment
Fisheries Policy
Fisheries Information
Fisheries Operations
Fisheries Compliance
Outcome - Improved international market access for New Zealand seafood Fisheries Policy
Outcome - Sustainable aquaculture
Impact - Maximising the long term value of aquaculture to New Zealand
Fisheries Operations
Aquaculture Settlement
Outcome - Improved fisheries management in the South Pacific high seas South Pacific Regional Fisheries Management Organisation

Aquaculture Settlement (M32)

Scope of Appropriation

Services to implement the Maori Commercial Aquaculture Claims Settlement Act 2004, which provides for a settlement of Maori interests in commercial aquaculture, including the provision of 20% of new space in aquaculture management areas and the provision of 20% equivalent of existing space allocated since September 1992.

Expenses and Revenue

Expenses and Revenue - Aquaculture Settlement (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,667 1,667 1,543
Revenue from the Crown 1,664 1,664 1,540
Revenue from Others 3 3 3

Output Performance Measures and Standards

Output Performance Measures and Standards - Aquaculture Settlement (M32) - Fisheries
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
The register is maintained in an accurate and up to date manner As confirmed by external audit Audit confirmation of register accuracy As confirmed by external audit
All statutory obligations are being met, including:      
  • section 22: the Crown's obligations
All legislative obligations are met Processes are in place to meet the Crown's obligations if required All legislative obligations are met
  • section 23: development of the implementation plan
The Minister will have commenced preparing the plan by 1 January 2008 The Minister has commenced preparing the plan Plan completed
The Trustee is delivering on all its obligations both in terms of funding and performance of the statutory role The mandating of iwi organisations and regional agreements is progressing. The reporting and auditing requirements of the funding agreement are operational Te Ohu Kai Moana Trustee Ltd has published its annual report (year ended 30 September 2007) for the Takuti Trust and associated audit reports prior to 31 December 2007 As determined by quarterly and annual reports

Current and Past Policy Initiatives

Current and Past Policy Initiatives - Aquaculture Settlement (M32) - Fisheries
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Implementation of the provisions of the Maori Commercial Aquaculture Settlement Claims Act 2004 2005-06 1,156 1,156 1,156 1,156 1,156

Fisheries Compliance (M32)#

Scope of Appropriation#

Services to promote high levels of voluntary compliance with fisheries laws and create effective deterrence against illegal fisheries activity.

Expenses and Revenue#

Expenses and Revenue - Fisheries Compliance (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 30,059 30,059 30,121
Revenue from the Crown 29,646 29,646 29,728
Revenue from Others 413 413 393

Output Performance Measures and Standards#

Output Performance Measures and Standards - Fisheries Compliance (M32) - Fisheries
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard

Improving Levels of Voluntary Compliance

     
Breaches found in commercial vessel inspections   130 in 1,350 inspections  
Breaches found in Licensed Fish Receiver inspections   25 in 250 inspections  
Breaches found in non-commercial inspections   1,000 in 15,000 inspections  
Act or regulation breaches followed up in inspection 100% 100% 100%

Creating an Effective Deterrent

     
Commercial investigations commenced 10 15 11
Number of investigations finalised (where a decision to prosecute or otherwise has made) N/A N/A 10
Number of poaching and black market patrols to be undertaken 400-500 450 400-500
Investigations undertaken categorised as high and medium risk against the Ministry's 'Risk Based Compliance Strategy' 75% 100% 75%
Number of Kaitaiki trained and/or further developed 100 100 100

Prosecutions

     
Percentage of successful prosecutions under the Fisheries Act 1996 >90% 95% >90%
Percentage of successful prosecutions under Fisheries regulations >75% 90% >75%

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Fisheries Compliance (M32) - Fisheries
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Health and safety of fishery officers 2003/04 2,251 2,251 2,251 2,251 2,251
Health and safety of fishery officers 2004/05 916 916 916 916 916
Implementation of Fisheries Deed of Settlement 2004/05 400 400 400 400 400
Increase in capacity in the Serious Offences Unit 2004/05 388 388 388 388 388
Corporate infrastructure 2004/05 148 148 148 148 148
Poaching and black market deterrence 2005/06 2,889 2,889 2,889 2,889 2,889
Illegal, unregulated, unreported fishing 2006/07 100 100 - - -

Fisheries Information (M32)#

Scope of Appropriation#

Services to provide for scientific research (primarily stock assessment and environmental assessment) about New Zealand's fisheries resources, and observer activities on commercial fishing vessels.

Expenses and Revenue#

Expenses and Revenue - Fisheries Information (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 32,225 31,186 31,011
Revenue from the Crown 30,953 29,914 29,072
Revenue from Others 1,272 1,272 1,939

Output Performance Measures and Standards#

Output Performance Measures and Standards - Fisheries Information (M32) - Fisheries
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard

Fisheries Research

     
Planned and requested reviews of stock status completed and incorporated into the mid-year and main Fishery Assessment Plenary in accordance with the specified quality standards 100% 100% 100%
Research programme funding managed      
  • percentage of programme completed during the year (including prior year carry forward funding)
>90% >90% >98%
  • carry forward for future commitments
     
Tier 1 research projects tendered, evaluated and contracts awarded 100% 100% 100%
Completed research projects for which objectives were fully achieved >95% >95% >95%
Final research reports submitted by research providers for which review and assurance is provided in a timely fashion >90% >90% >90%

Observer Services

     
Weighted average cost for Observer coverage $525+/-10% $570 $598+/- 10%
Total number of Observer coverage days delivered 7,460 +/-10% 7,100 8,085 +/- 10%

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Fisheries Information (M32) - Fisheries
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Increased funding for fisheries research projects 2002/03 5,000 5,000 5,000 5,000 5,000
International conservation and management of highly migratory species 2003/04 267 267 267 267 267
Increased science capability 2003/04 278 278 278 278 278
Building capacity for monitoring of registry based services 2003/04 52 52 52 52 52
Implementation of Fisheries Deed of Settlement 2004/05 25 25 25 25 25
Improved information on recreational fishing 2004/05 889 889 889 889 889
Corporate infrastructure 2004/05 149 149 149 149 149
Increased observer funding 2005/06 2,489 2,667 2,667 2,667 2,667
Improved information on effects of bottom trawling 2006/07 200 90 90 - -
International polar year - census of Antarctic marine life 2007/08 1,000 1,000 1,000 - -

Fisheries Operations (M32)#

Scope of Appropriation#

Services to provide advice to the Minister on appropriate standards defining acceptable impacts of fishing, appropriate allocation of rights to utilise fisheries and services to assist tangata whenua to better contribute to the sustainable management of New Zealand's fisheries.

Expenses and Revenue#

Expenses and Revenue - Fisheries Operations (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 24,849 23,765 25,948
Revenue from the Crown 24,086 23,002 25,504
Revenue from Others 763 763 444

Output Performance Measures and Standards#

Output Performance Measures and Standards - Fisheries Operations (M32) - Fisheries
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard

Sustainability Advice And Management Controls

     
Fish plans development:      
  • Number with agreed objectives and management strategies
Not stated Determined in consultation with stakeholders 5
  • Initiate development of further inshore fisheries plans
Not stated Six inshore plans being progressed 5
Plans reviewed for consistency with fisheries standards N/A N/A All plans reviewed
Fisheries standards: - Standards approved (harvest strategy, benthic impacts, seabirds, Hectors/Maui dolphins, and sealions) Not stated Standards being developed across a range of fisheries management issues 5

Settlements

     
Increased input and participation of tangata whenua into fisheries management processes by engaging with hapu and iwi through the creation and operation of Regional Iwi Forums 11 11 Increase number of forums from 11 to 13.

Monitoring Of Contracted And Devolved Services

     
Services delivered are materially error free and delivered in a timely manner Services are monitored against Ministry standards and specifications Services are monitored against Ministry standards and specifications Services are monitored against Ministry standards and specifications
All significant errors are corrected 100% 100% 100%

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Fisheries Operations (M32) - Fisheries
Reference Conditions
Policy advice The same criteria as are used for the Fisheries Policy Advice expense output

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Fisheries Operations (M32) - Fisheries
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Aquaculture reforms 2002/03 400 400 400 400 400
International conservation and management of highly migratory species 2003/04 250 250 250 250 250
Resourcing for the future management of cost recovery 2003/04 500 500 500 500 500
Increased fisheries management capability 2003/04 648 648 648 648 648
Building capacity for monitoring of registry based services 2003/04 150 150 150 150 150
Implementation of Fisheries Deed of Settlement 2004/05 4,020 4,020 4,020 4,020 4,020
Corporate infrastructure 2004/05 121 121 121 121 121
Growth and innovation framework 2005/06 22 43 43 43 43
Fiordland marine management 2005/06 369 382 382 382 382
Participation by recreational fishers in fisheries management 2005/06 222 222 222 222 222
Development of objectives-based fisheries management 2006/07 1,500 1,500 1,500 1,500 1,500
Implement Government's Marine Protected Area Strategy 2006/07 500 500 500 500 500
Environmental certification of New Zealand fisheries 2007/08 1,150 1,150 1,150 1,150 1,150
Increase Ministry baseline for litigation expenses 2007/08 500 500 500 500 500
Inshore trawl catch effort form 2007/08 232 232 232 232 232

Fisheries Policy Advice (M32)#

Scope of Appropriation#

Advice on the development of policies relating the sustainable and efficient utilisation of New Zealand's fisheries, promotion of New Zealand's interests in an international context and provision of Ministerial servicing.

Expenses and Revenue#

Expenses and Revenue - Fisheries Policy Advice (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 7,093 7,093 7,399
Revenue from the Crown 7,093 7,093 7,399
Revenue from Others - - -

Reasons for Change in Appropriation#

The change from 2007/08 to 2008/09 is mainly due to a transfer of expenditure of $575,000 to fund the secondment of a Ministry of Fisheries senior official to the World Bank's Global Program on Fisheries (PROFISH).

Output Performance Measures and Standards#

Output Performance Measures and Standards - Fisheries Policy Advice (M32) - Fisheries
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard

New Zealand Fisheries

     
Work programme is agreed between the Minister of Fisheries and the Chief Executive of the Ministry and amended during the year as required As agreed with the Minister As agreed with the Minister As agreed with the Minister
Minister's expression of satisfaction with the quality of the reports and achievement of deadlines - a six-monthly satisfaction rating of at least 90% 90% 90%
Develop a long-term fisheries management strategy      
  • proposed strategy released for consultation
N/A N/A December 2008
  • final strategy reflected in the Ministry SOI
N/A N/A 2009/10
Establish a framework and indicators to monitor performance of fisheries by N/A N/A 30 June 2009
Review the Fisheries Act      
  • Review completed by
N/A N/A 31 March 2009
  • Advice on reforms provided to the Minister by
N/A N/A 30 June 2009

International Fisheries

     
Work programme is agreed between the Minister of Fisheries and the Chief Executive of the Ministry and amended during the year as required As agreed with the Minister As agreed with the Minister As agreed with the Minister
Minister's expression of satisfaction with the quality of the reports and achievement of deadlines - a satisfaction rating of at least 90% 90% 90%
Advice papers for international meetings provided to the Minister in advance of the meeting by at least 2 weeks 2 weeks 2 weeks
Feedback on the Ministry's capacity building initiatives with Pacific Island countries will be sought, both from the countries themselves and from NZAID, on the extent to which the Ministry's capacity building work is achieving positive results and contributing to desired outcomes - with a satisfaction rating of at least N/A N/A 90%

Ministerial Correspondence

     
Drafts provided to the Minister that are:      
Error free 95% 85% 100%
Within 15 working days of receipt unless urgent 95% 99% 95%
Urgent replies completed error free and within 5 days 100% 100% 100%

Parliamentary Questions

     
Draft responses provided for the Minister's signature:      
Error free 100% 86% 100%
Delivered on time 100% 100% 100%

Select And Cabinet Committees

     
Advice delivered to Select and Cabinet Committees:      
Within prescribed requirements 100% 100% 100%
Error free 100% 100% 100%
On time 100% 100% 100%

Conditions on Use of Appropriation#

Conditions on Use of Appropriation - Fisheries Policy Advice (M32) - Fisheries
Reference Conditions
Quality standards for policy advice  
Purpose The aim or purpose is clearly stated and it answers the questions set
Logic The assumptions behind the advice are explicit, and the argument logical and supported by facts
Accuracy The facts are accurate and all material facts are included
Options An adequate range of options has been presented and the benefits, costs and consequences of each option are clearly outlined
Consultation There is evidence of adequate consultation with interested parties and possible objections to proposals/content are identified
Practicality The problems of implementation, technical feasibility, timing or consistency with other policies/reports have been considered
Presentation The format meets the stipulated requirements; the material is effectively, concisely and clearly presented, has short sentences in plain English and is free of grammatical or spelling errors
Quality management The product quality will be supported by a process that provides for:
  • circulation of drafts for critiquing by Government agencies and affected stakeholders
  • internal peer review and checking procedures
  • adherence to the Ministry's policy framework
  • consistency with relevant legislative obligations
  • specific requirements set by the Minister

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Fisheries Policy Advice (M32) - Fisheries
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
International conservation and management of highly migratory species 2003/04 319 319 319 319 319
Increased policy capability 2003/04 485 485 485 485 485
Corporate infrastructure 2004/05 26 26 26 26 26
Increase in international policy capability 2005/06 667 667 667 667 667
Settlement negotiations capacity 2006/07 150 150 150 150 150

Interim Secretariat South Pacific Regional Fisheries Management Organisation (M32)#

Scope of Appropriation#

Administrative support for the interim secretariat of the South Pacific Regional Fisheries Management Organisation.

Expenses and Revenue#

Expenses and Revenue - Interim Secretariat South Pacific Regional Fisheries Management Organisation (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 634 324 406
Revenue from the Crown 634 324 406
Revenue from Others - - -

Reasons for Change in Appropriation#

The change reflects the agreed appropriation levels for this output expense.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Interim Secretariat South Pacific Regional Fisheries Management Organisation (M32) - Fisheries
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Collection and management of data received from member states 100% 100% 100%

Part 5 - Details and Expected Results for Other Expenses#

Part 5.2 - Non-Departmental Other Expenses#

Bad Debt Write-Off (M32)

Scope of Appropriation

This expenditure relates to the write off of unrecoverable Crown debts.

Expenses

Expenses - Bad Debt WriteOff (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 50 50 -

Expected Results

Expected Results - Bad Debt WriteOff (M32) - Fisheries
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Unrecoverable Crown debts written off 100% 100% 100%

Contributions to International Organisations (M32)#

Scope of Appropriation#

Contributions to such organisations as the Commission for the Conservation of Southern Bluefin Tuna (CCSBT) and the Convention on the Conservation and Management of Highly Migratory Fish Stocks in the Western and Central Pacific.

Expenses#

Expenses - Contributions to International Organisations (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 260 260 260

Expected Results#

Expected Results - Contributions to International Organisations (M32) - Fisheries
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Payment of New Zealand contribution to meet the Crown's obligations to international fisheries organisations 100% 100% 100%

Deemed Value Debt Adjustment (M32)#

Scope of Appropriation#

Adjustment of deemed value debts incurred by fishers.

Expenses#

Expenses - Deemed Value Debt Adjustment (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 561 561 -

Reasons for Change in Appropriation#

Amount is not determined until Supplementary Estimates time.

Provision for Write Downs (M32)#

Scope of Appropriation#

Provision for non-departmental debt write-offs

Expenses#

Expenses - Provision for Write Downs (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,361 2,361 711

Quota Shares/ACE Administration Costs (M32)#

Scope of Appropriation#

Administration costs associated with the sale of Crown Quota Shares and ACE (Annual Catch Entitlement).

Expenses#

Expenses - Quota Shares/ACE Administration Costs (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 24 24 24

Settlements (M32)#

Scope of Appropriation#

This expenditure relates to the recognition of negotiated settlements.

Expenses#

Expenses - Settlements (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 71,525 71,525 -

Reasons for Change in Appropriation#

This appropriation is updated at Supplementary Estimates time when Cabinet approvals for negotiated settlements are finalised.

Expected Results#

Expected Results - Settlements (M32) - Fisheries
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Prompt payment of the settlement costs to the claimant 100% 100% 100%

Transfer of Quota Shares and ACE (M32)#

Scope of Appropriation#

Transfer of quota shares and ACE from current Crown holdings.

Expenses#

Expenses - Transfer of Quota Shares and ACE (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 140 140 -

Part 6 - Details and Expected Results for Capital Expenditure#

Part 6.1 - Departmental Capital Expenditure#

Ministry of Fisheries - Capital Expenditure PLA (M32)

Scope of Appropriation

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

Capital Expenditure

Capital Expenditure - Ministry of Fisheries Capital Expenditure PLA (M32) - Fisheries
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 1,400 - 1,400
Intangibles 1,500 - 1,500
Other - - -
Total Appropriation 2,900 - 2,900
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 1,400 - 1,400
Intangibles 1,500 - 1,500
Other - - -
Total Appropriation 2,900 - 2,900

Performance Information for Appropriations Vote Food Safety#

MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister for Food Safety (M33)

ADMINISTERING DEPARTMENT: New Zealand Food Safety Authority

MINISTER RESPONSIBLE FOR NEW ZEALAND FOOD SAFETY AUTHORITY: Minister for Food Safety

Part 1 - Summary of the Vote#

Part 1.1 - Overview of the Vote

The Minister for Food Safety is responsible for appropriations in Vote Food Safety for the 2008/09 financial year covering the following:

  • a total of just over $6 million for the provision of policy advice regarding New Zealand's regulatory framework and legislative base
  • a total of just over $31 million for the setting of standards, including access to scientific evidence in support of those standards to ensure that consumers are protected
  • a total of just over $360,000 for maintaining preparedness in the event of a food safety emergency
  • a total of nearly $5 million for auditing and investigating possible cases of non-compliance with standards and where necessary conducting prosecutions
  • a total of just over $4 million for providing consumers with authoritative information about food safety issues and providing the opportunity for consumers to participate in the regulatory process
  • a total of just over $46 million for the delivery of monitoring and assurance services provided throughout New Zealand
  • a total of nearly $2 million to support New Zealand's participation in joint food standard setting with Australia
  • a total of nearly $6 million on the purchase or development of assets by and for the use of the Authority.

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

Part 1.2 - High-Level Objectives of the Vote#

Government Priorities and Outcomes - Links to Appropriations - Food Safety
Government Priorities - Themes / Sub-themes Government Outcomes Appropriations

Economic Transformation

   
Sub-theme: Growing Globally Competitive Firms Improved safety and suitability of food Policy Advice on Food Safety and Suitability, Standards Setting, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty
  Improved business opportunities through safe and suitable food. Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty
Sub-theme: World Class Infrastructure Improved safety and suitability of food Policy Advice on Food Safety and Suitability, Standards Setting, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty
  Improved business opportunities through safe and suitable food. Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty
Sub-theme: Innovative and productive workplaces Improved safety and suitability of food Policy Advice on Food Safety and Suitability, Standards Setting, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty
  Improved business opportunities through safe and suitable food. Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty

Families Young and Old

   
Sub-theme: Healthy confident kids Improved safety and suitability of food Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Food Safety Information and Participation, New Zealand Australia Joint Food Standards Setting Treaty
  Consumer food practices and choices that support better health Policy Advice on Food Safety and Suitability, Standards Setting, Food Safety Information and Participation, New Zealand Australia Joint Food Standards Setting Treaty
Sub-theme: Better health for all Improved safety and suitability of food Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Food Safety Information and Participation, New Zealand Australia Joint Food Standards Setting Treaty
  Consumer food practices and choices that support better health Policy Advice on Food Safety and Suitability, Standards Setting, Food Safety Information and Participation, New Zealand Australia Joint Food Standards Setting Treaty
Sub-theme: Positive ageing Improved safety and suitability of food Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Food Safety Information and Participation, New Zealand Australia Joint Food Standards Setting Treaty
  Consumer food practices and choices that support better health Policy Advice on Food Safety and Suitability, Standards Setting, Food Safety Information and Participation, New Zealand Australia Joint Food Standards Setting Treaty

National Identity

   
Sub-theme: How we are seen by the world Improved safety and suitability of food Policy Advice on Food Safety and Suitability, Standards Setting, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty
  Improved business opportunities through safe and suitable food Policy Advice on Food Safety and Suitability, Standards Setting, Systems Audit and Enforcement, Monitoring and Assurance, New Zealand Australia Joint Food Standards Setting Treaty

Objectives of the Vote#

Vote Food Safety provides the regulatory infrastructure needed to protect consumers and enhance New Zealand's position as a trusted supplier of food. The maintenance of an effective regulatory programme for food and related products works to support Government priorities. Vote Food Safety contributes to the Economic Transformation, Families Young and Old and National Identity.

Summary of Financial Activity#

Summary of Financial Activity - Food Safety
  2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Budgeted
$000
Estimated
Actual
$000
Departmental
Transactions
Budget
$000
Non-
Departmental
Transactions
Budget
$000
Total
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000

Appropriations

                       
Output Expenses 65,873 73,763 76,580 81,079 95,197 93,297 93,360 - 93,360 91,235 91,118 91,118
Benefits and Other Unrequited Expenses - - - - - - N/A - - - - -
Borrowing Expenses - - - - - - - - - - - -
Other Expenses - - - - 1,790 1,790 - 1,577 1,577 1,577 1,577 1,577
Capital Expenditure - - - - 3,010 3,010 5,925 - 5,925 2,565 2,565 2,540
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -

Total Appropriations

65,873 73,763 76,580 81,079 99,997 98,097 99,285 1,577 100,862 95,377 95,260 95,235

Crown Revenue and Receipts

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

Total Crown Revenue and Receipts

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

Budget Policy Initiatives#

Budget Policy Initiatives - Food Safety
Policy Initiative Appropriation 2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
GIF: Interagency Resource Needs for Trade Agreements

Standards Setting (M33)

Departmental Output Expenses
- 500 - - -
NZFSA Contractual and Treaty Obligations

Standards Setting (M33)

Departmental Output Expenses
- 141 141 141 141
NZFSA Contractual and Treaty Obligations

Monitoring and Assurance (M33)

Departmental Output Expenses
- 126 126 126 126
NZFSA Contractual and Treaty Obligations

New Zealand Australia Joint Food Standards Setting Treaty (M33)

Non Departmental Other Expenses
- 77 77 77 77
Random Testing of Imported Foods

Standards Setting (M33)

Departmental Output Expenses
- 825 725 425 425

Total Vote: All Appropriations

The departmental and non-departmental appropriations in Vote Food Safety, which are detailed in the Summary of Financial Activity table above, show the significant changes discussed briefly below.

The major changes in the vote arose in financial years 2004/05 and 2007/08.

The main reason for the increase in the vote in 2004/05 was additional Crown funding provided following the establishment of the Vote on 1 July 2002 for:

  • report backs and addressing identified gaps following the establishment of the NZFSA
  • implementation of a document and records management system
  • employment negotiations
  • new MAF Head Office accommodation
  • improving MAF's corporate capability.

In 2007/08 additional Crown funding was provided for:

  • staff remuneration
  • establishment costs for the new department
  • implementation of food reviews
  • the funding of participation in the New Zealand and Australia Joint Food Standards Setting Treaty (which was transferred from departmental to non-departmental appropriation).

Departmental Output Expenses

Since 2003/04 the Food Safety Information and Participation appropriation has increased from $1.309 million to $4.083 million primarily due to the following:

  • centralisation of information management and communications functions
  • movement of some functions previously outsourced to in-house
  • funding for specific information management projects
  • funding of the 0800 Infoline.

Since 2003/04 the Monitoring and Assurance appropriation has increased from $31.952 million to $46.189 million in 2008/09. The main reasons for the increase over the years relates to escalating staff remuneration and recruitment costs arising from the tight veterinary labour market in New Zealand.

Part 1.4 - Reconciliation of Changes in Appropriation Structure#

Reconciliation of Changes in Appropriation Structure - Food Safety
2007/08Structure -
Appropriations that have been
Changed
2007/08
(Current)
$000
Appropriations to which
Expenses (or Capital
Expenditure) have been
Transferred
Amount
Moved
$000
2008/09Structure -
Appropriations affected by the
Changes in Appropriation
Structure
2007/08
(Restated)
$000
2008/09
$000

Departmental Output Expenses

           
Consultation and Food Safety Information 4,092 Change in Title of Appropriation 3,712 Food Safety Information and Participation 3,712 4,083
    Transferred to Policy Advice on Food Safety and Suitability 380      
Food Safety Policy Advice 3,958 Change in Title of Appropriation 3,958 Policy Advice on Food Safety and Suitability 3,958 6,208
        Transferred from Standards Setting 1,778  
        Transferred from Food Safety Information and Participation 380  
Regulatory Programmes 41,469 Change in Title of Appropriation 41,469 Monitoring and Assurance 41,469 46,527
        Transferred from Standards Setting 8,304  
Regulatory Standards 38,209 Change in Title of Appropriation 28,127 Standards Setting 28,127 30,395
    Transferred to Monitoring and Assurance 8,304      
    Transferred to Policy Advice on Food Safety and Suitability 1,778      
Response to Food Safety Emergencies 355 Change in Title of Appropriation 355 Response to Food Related Emergencies and Events 355 361
Total Changes in Appropriations 88,083   88,083   88,083 87,574

Explanations of the reasons for changing the appropriation structure are noted in the details of each appropriation in Parts 2-6.

Part 2 - Details and Expected Performance for Output Expenses#

Part 2.1 - Departmental Output Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 2.1 Departmental Output Expenses - Food Safety
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Outcome - improved safety and suitability of food
Impact - reducing food-borne illness
Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Food Safety Information and Participation, Monitoring and Assurance
Outcome - improved business opportunities through safe and suitable food
Impact - providing cost effective regulation and export opportunities
Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Food Safety Information and Participation, Monitoring and Assurance
Outcome - consumer food practices and choices that support better health
Impact - increased consumer knowledge and access to authoritative information about managing risks
Policy Advice on Food Safety and Suitability, Standards Setting, Food Safety Information and Participation

Food Safety Information and Participation (M33)

Scope of Appropriation

This appropriation is limited to activities to engage and inform stakeholders about food safety and suitability and to encourage participation in NZFSA's regulatory programme. The appropriation encompasses the provision of information (and information gathering) through a range of channels including consumer help-lines, publications, web based tools, consumer education and events.

Expenses and Revenue

Expenses and Revenue - Food Safety Information and Participation (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 4,392 4,092 4,083
Revenue from the Crown 3,709 3,409 3,400
Revenue from Others 683 683 683

Output Performance Measures and Standards

Output Performance Measures and Standards - Food Safety Information and Participation (M33) - Food Safety
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Number of calls responded to on the 0800 Consumer helpline Estimated 14,000 to 16,000 Estimated 14,000 to 16,000 Estimated 14,000 to 16,000
Publications produced and distributed to designated target audiences Estimated 15,000 "Food Focus[Invalid character here]" publications issued per quarter Estimated 15,000 "Food Focus" publications issued per quarter Estimated 15,000 "Food Focus[Invalid character here]" publications issued per quarter
Evaluation of Food Safe Partnership campaign confirms project objectives met Campaign evaluation confirms all campaign objectives met Campaign evaluation confirms all campaign objectives met Campaign evaluation confirms all campaign objectives met

Current and Past Policy Initiatives

Current and Past Policy Initiatives - Food Safety Information and Participation (M33) - Food Safety
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Implementation of Food Reviews 2007/08 500 500 - - -
Staff Remuneration 2007/08 100 163 224 276 276
MAF Corporate Services Capability 2004/05 17 17 17 17 17
MAF Head Office Accommodation 2004/05 52 52 52 52 52
Establishment of NZFSA: Report Backs and Addressing Identified Gaps 2004/05 105 105 105 105 105
Implementation of a Document and Records Management System 2004/05 33 33 33 33 33
MAF and PSA Employment Negotiations 2003/04 31 31 31 31 31

Monitoring and Assurance (M33)#

Scope of Appropriation#

This appropriation is limited to delivering assurances to consumers, the public and overseas authorities that food, food-related products and inputs into the production of food are managed and delivered in accordance with New Zealand legislation and importing countries' market access requirements.

Expenses and Revenue#

Expenses and Revenue - Monitoring and Assurance (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 41,469 41,469 46,189
Revenue from the Crown 2,165 2,165 2,328
Revenue from Others 38,809 38,809 47,093

Reasons for Change in Appropriation#

The overall increase in appropriation for 2008/09 when compared to 2007/08 is primarily as a result of the transfer of some activities from the Standards Setting appropriation.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Monitoring and Assurance (M33) - Food Safety
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Number of export certificates issued 200,000 200,000 200,000
Verification services delivered by the New Zealand Food Safety Authority Verification Agency (NZFSA VA) meet pre-set effectiveness standards as determined by independent assessment. 100% of all audits of NZFSA VA's delivery programmes are deemed appropriate by internal and external audits. 100% of all audits of NZFSA VA's delivery programmes are deemed appropriate by internal and external audits 100% of all audits of NZFSA VA's delivery programmes are deemed appropriate by internal and external audits
Electronic Certification System online availability. 99.5% 99.5% 99.5%
District Health Boards' (DHB) compliance with relevant standards and food legislation. 95% of all DHB's are deemed to be compliant by NZFSA targeted assessment 95% of all DHB's are deemed to be compliant by NZFSA targeted assessment 95% of all DHB's are deemed to be compliant by NZFSA targeted assessment
Internal New Zealand Food Safety Authority (NZFSA) audits and additional external audits completed by importing country competent authorities. 95% of all audited delivery programmes are deemed appropriate by internal and external audits 95% of all audited delivery programmes are deemed appropriate by internal and external audits 95% of all audited delivery programmes are deemed appropriate by internal and external audits

Memorandum Account#

Memorandum Account - Monitoring and Assurance (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000

Verification of the Food Regulatory Programme

     
Opening Balance at 1 July (5,151) (5,151) (6,556)
Revenue 38,342 38,342 40,843
Expenses (39,747) (39,747) (37,611)
Transfers and Adjustments - - -
Closing Balance at 30 June (6,556) (6,556) (3,324)

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Monitoring and Assurance (M33) - Food Safety
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
NZFSA Contractual and Treaty Obligations 2008/09 - 126 126 126 126
Population Based Funding Arrangements for PHU and ESR Contracts 2006/07 105 105 105 105 105
Alignment of NZFSA Public Health Unit and ESR Ltd Contracts 2005/06 148 148 148 148 148
MAF Head Office Accommodation 2004/05 - - - - -
Establishment of NZFSA: Report Backs and Addressing Identified Gaps 2004/05 38 38 38 38 38

Policy Advice on Food Safety and Suitability (M33)#

Scope of Appropriation#

This appropriation is limited to analysis, policy and legal advice and decision-making support relating to food safety, food suitability, inputs related to food production and ministerial services.

Expenses and Revenue#

Expenses and Revenue - Policy Advice on Food Safety and Suitability (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 3,958 3,958 6,208
Revenue from the Crown 3,937 3,937 6,187
Revenue from Others 21 21 21

Reasons for Change in Appropriation#

The increase in appropriation is caused by the transfer of some activities from the Standards Setting and Food Safety Information and Participation appropriations whose costs are more correctly recorded under this appropriation.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Policy Advice on Food Safety and Suitability (M33) - Food Safety
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Percentage of Ministerial letters accepted on first draft (for content). Over 95% Over 95% Over 95%
Percentage of Ministerial letters submitted to Minister's office within 15 days after receipt. Over 95% Over 95% Over 95%
Ministerial letters submitted to Minister's office within 20 days after receipt. 100% 100% 100%
Percent of Cabinet papers submitted to Cabinet Committee by due date. 99% 99% 99%

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Policy Advice on Food Safety and Suitability (M33) - Food Safety
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Implementation of Food Reviews 2007/08 500 500 - - -
Staff Remuneration 2007/08 152 244 341 417 417
MAF Corporate Services Capability 2004/05 49 49 49 49 49
MAF Head Office Accommodation 2004/05 106 106 106 106 106
Establishment of NZFSA: Report Backs and Addressing Identified Gaps 2004/05 650 650 650 650 650
Implementation of a Document and Records Management System 2004/05 37 37 37 37 37
MAF and PSA Employment Negotiations 2003/04 66 66 66 66 66

Scope of Appropriation#

This appropriation is limited to managing preparedness and operational response to food related events and food safety emergencies.

Expenses and Revenue#

Expenses and Revenue - Response to Food Related Emergencies and Events (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 355 355 361
Revenue from the Crown 355 355 361
Revenue from Others - - -

Output Performance Measures and Standards#

Output Performance Measures and Standards - Response to Food Related Emergencies and Events (M33) - Food Safety
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Systems and measures to limit the impact of events that pose a threat to human health or to the integrity of the New Zealand food safety programmes are maintained in accordance with standards. As determined by post-event evaluation on a case by case basis No emergency response initiated As determined by post-event evaluation on a case by case basis
Emergency responses are managed in an effective manner (limiting adverse impacts on health and the integrity of New Zealand food safety programmes) as measured by internal review. As determined by post-event evaluation on a case by case basis No emergency response initiated As determined by post-event evaluation on a case by case basis

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Response to Food Related Emergencies and Events (M33) - Food Safety
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Staff Remuneration 2007/08 19 25 35 42 42
MAF Head Office Accommodation 2004/05 11 11 11 11 11
Establishment of NZFSA: Report Backs and Addressing Identified Gaps 2004/05 134 134 134 134 134

Standards Setting (M33)#

Scope of Appropriation#

This appropriation is limited to the development, implementation, monitoring and review of food related standards and inputs into food production for both the domestic and export market. The appropriation encompasses inputs into joint standard setting arrangements with Australia and influencing standards for trade set by international organisations.

Expenses and Revenue#

Expenses and Revenue - Standards Setting (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 40,273 38,673 31,684
Revenue from the Crown 18,180 16,580 17,858
Revenue from Others 22,093 22,093 13,287

Reasons for Change in Appropriation#

The overall decrease in the appropriation in 2008/09 when compared to 2007/08 is primarily due to the transfer of some activities to the Monitoring and Assurance appropriation.

Output Performance Measures and Standards#

Output Performance Measures and Standards - Standards Setting (M33) - Food Safety
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Develop 94 standards according to the NZFSA documented processes. - - 95% of standards meet the specified NZFSA timeframes
Implement 103 standards according to the NZFSA documented processes. - - 95% of standards meet the specified NZFSA timeframes
Review 36 standards according to the NZFSA documented processes. - - 95% of standards subject to internal and external audits or surveys are deemed appropriate

Memorandum Account#

Memorandum Account - Standards Setting (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Standards Setting for the Food Industry      
Opening Balance at 1 July 3,056 3,056 3,235
Revenue 15,452 15,452 16,039
Expenses (15,273) (15,273) (16,103)
Transfers and Adjustments - - -
Closing Balance at 30 June 3,235 3,235 3,171

 

Memorandum Account - Standards Setting (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Approvals, Accreditations and Registrations      
Opening Balance at 1 July (184) (184) 131
Revenue 3,900 3,900 3,541
Expenses (3,585) (3,585) (4,016)
Transfers and Adjustments - - -
Closing Balance at 30 June 131 131 (344)

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Standards Setting (M33) - Food Safety
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Random Testing of Imported Foods 2008/09 - 825 725 425 425
NZFSA Contractual and Treaty Obligations 2008/09 - 141 141 141 141
GIF: Interagency Resource Needs for Trade Agreements 2008/09 - 500 - - -
Implementation of Food Reviews 2007/08 1,500 1,500 - - -
Staff Remuneration 2007/08 713 1,154 1,611 1,965 1,965
Wine Export Certification and Testing 2006/07 1,520 1,985 1,985 1,985 1,985
Population Based Funding Arrangements for PHU and ESR Contracts 2006/07 120 120 120 120 120
Wine Export Certification and Testing 2004/05 - - - - -
MAF Corporate Services Capability 2004/05 142 142 142 142 142
MAF Head Office Accommodation 2004/05 303 303 303 303 303
Establishment of NZFSA: Report Backs and Addressing Identified Gaps 2004/05 2,303 2,303 2,303 2,303 2,303
Implementation of a Document and Records Management System 2004/05 296 296 296 296 296
MAF and PSA Employment Negotiations 2003/04 506 506 506 506 506

Systems Audit and Enforcement (M33)#

Scope of Appropriation#

This appropriation is limited to the audit and enforcement programme administered by NZFSA, as well as investigations of and response to problems, complaints and suspected breaches of legislation.

Expenses and Revenue#

Expenses and Revenue - Systems Audit and Enforcement (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 4,750 4,750 4,835
Revenue from the Crown 3,250 3,250 3,335
Revenue from Others 1,500 1,500 1,500

Output Performance Measures and Standards#

Output Performance Measures and Standards - Systems Audit and Enforcement (M33) - Food Safety
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Scheduled quantity:      
  • Large/complex audits (more than 25 days)
2 - 3 2 - 3 2 - 3
  • Moderately complex audits (between 10 and 25 days)
45 - 55 45 - 55 45 - 55
  • Single site audits/assessments (less than 10 days).
180 - 200 180 - 200 180 - 200
Extrinsic reviewer analysis of audit outcomes substantiates the systems providing NZFSA food safety and market access assurances. 100% 100% 100%
Investigation files presented for public interest assessment proceed to prosecution. 95% 95% 95%
Prosecution cases lodged with the court that incur adverse judicial comment. fewer than 5% of cases fewer than 5% of cases fewer than 5% of cases

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - Systems Audit and Enforcement (M33) - Food Safety
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Staff Remuneration 2007/08 140 225 315 384 384
MAF Corporate Services Capability 2004/05 29 29 29 29 29
MAF Head Office Accommodation 2004/05 66 66 66 66 66
Establishment of NZFSA: Report Backs and Addressing Identified Gaps 2004/05 57 57 57 57 57
Implementation of a Document and Records Management System 2004/05 49 49 49 49 49
MAF and PSA Employment Negotiations 2003/04 111 111 111 111 111

Part 5 - Details and Expected Results for Other Expenses#

Part 5.2 - Non-Departmental Other Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 5.2 NonDepartmental Other Expenses - Food Safety
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Outcome - Consumer food practices and choices that support better health New Zealand and Australian Joint Food Standards Setting Treaty

New Zealand Australia Joint Food Standards Setting Treaty (M33)

Scope of Appropriation

This appropriation is limited to the development of joint food standards and codes of practice for Australia and New Zealand by Food Standards Australia New Zealand in accordance with the Joint Food Standards Setting Treaty.

Expenses

Expenses - New Zealand Australia Joint Food Standards Setting Treaty (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,790 1,790 1,577

Expected Results

Expected Results - New Zealand Australia Joint Food Standards Setting Treaty (M33) - Food Safety
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Completion of Annual FSANZ Work Programme 100% 100% 100%

Current and Past Policy Initiatives

Current and Past Policy Initiatives - New Zealand Australia Joint Food Standards Setting Treaty (M33) - Food Safety
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
NZFSA Contractual and Treaty Obligations 2008/09 - 77 77 77 77
Joint Australia and New Zealand Food Standard Setting Treaty 2007/08 790 500 500 500 500

Reporting Mechanisms#

Reporting Mechanisms - Reporting Mechanisms - Food Safety
Appropriation Reporting Mechanism
New Zealand and Australian Joint Food Standards Setting Treaty Section 32A report prepared by the Minister for Food Safety

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#

Part 6.1 - Departmental Capital Expenditure#

New Zealand Food Safety Authority - Capital Expenditure PLA (M33)

Scope of Appropriation

This appropriation is limited to the purchase or development of assets by and for the use of the New Zealand Food Safety Authority, as authorised by section 24(1) of the Public Finance Act 1989

Capital Expenditure

Capital Expenditure - New Zealand Food Safety Authority Capital Expenditure PLA (M33) - Food Safety
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment - - -
Intangibles 2,180 2,180 4,700
Other 830 830 1,225
Total Appropriation 3,010 3,010 5,925
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment - - -
Intangibles 2,180 2,180 4,700
Other 830 830 1,225
Total Appropriation 3,010 3,010 5,925

Expected Results

Expected Results - New Zealand Food Safety Authority Capital Expenditure PLA (M33) - Food Safety
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Ecert systems 2,180 2,180 4,700
Motor Vehicles 40 40 1,160
Furniture and Fittings 790 790 65

Intended Impacts

Intended Impacts, Outcomes and Objectives - New Zealand Food Safety Authority Capital Expenditure PLA (M33) - Food Safety
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Capability to enable medium term outcomes:
  • Improved Safety and suitability of food
  • Improved business opportunities through safe and suitable food
  • Consumer food practices and choices that support better health
Policy Advice on Food Safety and Suitability, Standards Setting, Response to Food Related Emergencies and Events, Systems Audit and Enforcement, Food Safety Information and Participation, Monitoring and Assurance

Performance Information for Appropriations Vote Lands#

MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister for Land Information (M44)

ADMINISTERING DEPARTMENT: Land Information New Zealand

MINISTER RESPONSIBLE FOR LAND INFORMATION NEW ZEALAND: Minister for Land Information

Part 1 - Summary of the Vote#

Part 1.1 - Overview of the Vote

The Minister for Land Information is responsible for appropriations in the Vote for the 2008/09 financial year covering the following:

  • a total of just over $2.500 million for policy advice about land information
  • a total of over $10 million for standards and quality assurance for the regulation of (i) Crown property management, acquisition and disposal; (ii) property valuation for rating purposes; (iii) the collection, authorisation, management and dissemination of information associated with the lands rights register; geodetic and cadastral survey reference systems, and topographic and hydrographic information systems; and (iv) the provision of advice and decisions regarding overseas investment in New Zealand
  • a total of just over $78 million for services associated with the collection, authorisation, management and dissemination of land information
  • a total of just over $23 million for the delivery of Crown property management, acquisition and disposal services
  • a total of $500,000 for remedial work on Crown and private land and property
  • a total of just over $20 million on other expenses to be incurred by the Crown, including: (i) a total of $17 million to pay Transit New Zealand the equivalent of what the Crown has received from the sales of Transit properties; (ii) a total of just over $1 million for the payment of rates on Crown-owned land; (iii) a total of almost $1 million for the investigation and resolution of land related liabilities administered by the department; and (iv) other expenses including the loss on disposal of properties arising from Crown obligations, management of Crown forest properties, bad and doubtful debts, depreciation of buildings on Crown land, write-down of maps and chart stock and the payment of leasehold liabilities on residual surplus government accommodation administered by the Department
  • a total of over $11 million for capital expenditure on the acquisition of lessees' interest in pastoral leases (through a multi-year appropriation) as well as the acquisition of properties arising from Crown obligations.

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

Part 1.2 - High-Level Objectives of the Vote#

Contribution of Appropriations to Government Priorities and Outcomes#

Contribution of Appropriations to Government Priorities and Outcomes - Part 1.2 HighLevel Objectives of the Vote - Lands
Appropriations Government Priorities - Themes / Sub-themes Government Outcomes
Crown Property Management and Disposal Services Economic Transformation Crown assets are put to their best use.
Land and Seabed Data Capture and Processing Economic Transformation Certainty of New Zealand property rights and interests to underpin economic activity in New Zealand.
Availability of land information.
Land and Seabed Information Access and Dissemination Economic Transformation Certainty of New Zealand property rights and interests to underpin economic activity in New Zealand.
Availability of land information.
Land and Seabed Information Storage and Management Economic Transformation Certainty of New Zealand property rights and interests to underpin economic activity in New Zealand.
Availability of land information.
Ocean Survey 20/20 Programme National Identity
Economic Transformation
Recreation, conservation and the environment - protecting the ongoing interest and stewardship of New Zealand's marine jurisdiction.
Environmental sustainability.
Policy Advice Economic Transformation Certainty of New Zealand's property rights and interest to underpin economic activity in New Zealand.
Standards and Quality Assurance Economic Transformation
National Identity
Overseas investment that encourages economic growth.Protection of New Zealand's unique assets and resources.

Summary of Financial Activity#

Summary of Financial Activity - Lands
  2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Budgeted
$000
Estimated
Actual
$000
Departmental
Transactions
Budget
$000
Non-
Departmental
Transactions
Budget
$000
Total
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000

Appropriations

                       
Output Expenses 103,703 93,210 104,960 109,642 128,841 117,406 121,356 500 121,856 110,175 109,535 103,886
Benefits and Other Unrequited Expenses - - - - - - N/A - - - - -
Borrowing Expenses 474 392 - - - - - - - - - -
Other Expenses 25,724 15,078 13,821 17,392 101,688 16,688 - 20,354 20,354 20,354 20,556 20,556
Capital Expenditure 12,640 14,341 8,009 16,039 42,596 37,596 4,698 17,327 22,025 10,987 13,497 14,094
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -

Total Appropriations

142,541 123,021 126,790 143,073 273,125 171,690 126,054 38,181 164,235 141,516 143,588 138,536

Crown Revenue and Receipts

                       
Tax Revenue - - - - - - N/A N/A - - - -
Non-Tax Revenue 29,112 12,784 18,583 20,991 18,778 18,778 N/A N/A 23,745 23,745 22,381 22,381
Capital Receipts 8,496 34,257 7,535 7,014 7,000 7,000 N/A N/A 9,556 9,556 9,556 9,556

Total Crown Revenue and Receipts

37,608 47,041 26,118 28,005 25,778 25,778 N/A N/A 33,301 33,301 31,937 31,937

Budget Policy Initiatives#

Budget Policy initiatives - Lands
Policy Initiative Appropriation 2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Funding for award against Commissioner of Crown lands Non-departmental Other Expenses: Land Liabilities 697 - - - -
Access to Bonisch Rd, Kaingaroa Forest Purchase or Development of Crown Capital Assets: Access to Crown Forest Land 5,000 - - - -
Ocean Survey 20/20 (OS 20/20): Bay of Islands survey Oceans Survey 20/20 Programme - 2,790 2,790 - -
Crown Managed Pests on its Land to Support Regional Pest Management. Crown Property Management and Disposal Services - 444 444 444 444
NZ Geographic Board - New Legislative Responsibilities Standards and Quality Assurance 50 455 455 270 270

Part 2 - Details and Expected Performance for Output Expenses#

Part 2.1 - Departmental Output Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 2.1 Departmental Output Expenses - Lands
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Outcome:  Certainty of property rights
  • holders of rights, restrictions and responsibilities in land confidently know the boundaries to which they apply so that they can efficiently identify, trade and use their rights
  • registered land owners or right holders have confidence that their rights are secure, well-understood and easily tradeable
  • rate payer confidence that the district valuation roll provides a fair basis for determining rates.
Policy Advice
Land and Seabed Data Capture and Processing
Standards and Quality Assurance
Outcome:  Availability of land information
  • Land Information New Zealand's (LINZ) primary customers that have an emergency response requirement have authorative information on the location and shape of New Zealand's physical features so they can undertake their business, and other parties can rely on this information for other Government mandated outcomes
  • LINZ primary customers have authorative information for safe and secure navigation in waters under New Zealand's jurisdiction
  • to have a core set of information on the shape of the seabed and features on it for purposes directed by Government.
Land and Seabed Information Access and Dissemination
Land and Seabed Information Storage and Management
Oceans Survey 20/20 Programme
Outcome:  Best use of Crown assets
  • the Crown buys and sells property in a way that advances the public interests and protects private rights
  • Crown land is put to its best use (as defined by Government policies and related legislation) for economic, environmental and social purposes
  • economic growth transformation encouraged, and New Zealand's unique assets and resources protected.
Crown Property Management and Disposal Services
Standards and Quality Assurance
Outcome: Trusted geospatial information that is available, accessible and able to be used and shared to support:
  • the safety and security of New Zealand
  • the growth of an inclusive, innovative economy
  • the preservation and enhancement of our society and culture.
Policy Advice

Crown Property Management and Disposal Services (M44)

Scope of Appropriation

The management and disposal of the Crown's interest in land and property (outside of the conservation estate) and acquisition, management and disposal of land and property administered by the department on behalf of the Crown.

Expenses and Revenue

Expenses and Revenue - Crown Property Management and Disposal Services (M44) - Lands
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 20,489 15,989 23,429
Revenue from the Crown 19,565 15,065 18,623
Revenue from Others 924 924 4,806

Reasons for Change in Appropriation

The increase in appropriation in 2008/09 reflects the current forecast of expenditure for the Land Tenure Reform programme.

Output Performance Measures and Standards

Output Performance Measures and Standards - Crown Property Management and Disposal Services (M44) - Lands
  2007/08 2008/09
Performance Measures Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Crown land and land-related liabilities are efficiently managed in accordance with statutory requirements, property and Crown management contracts and LINZ operating frameworks to the standard agreed to with the Minister. Standard achieved as per Output Plan measures Standard achieved as per Output Plan measures Standard achieved as per Output Plan measures
The revenue sales target for the year from properties available for disposal. $6m (± 10%) $6m $6m (± 10%)
Tenure Review substantive proposals are assessed according to the LINZ Crown Pastoral Land Standards and are compliant with the Crown Pastoral Land Act. Standards met Standards met Standards met
The number of Tenure Review substantive proposals put to the leaseholder. 6(range 4-10) 10 (range 4-10)
Work with Regional Authorities to contribute to Regional Pest Management Strategy. Quarterly stakeholder meetings held and positive feedback received Quarterly stakeholder meetings held and positive feedback received Quarterly stakeholder meetings held and positive feedback received
Property Reports for Crown Property Clearances cleared and a statutory decision made. 3,000
(range 2,500 - 3,500)
3,000 3,000
(range 2,500 - 3,500)
Statutory reports and recommendations relating to Crown Property Clearances are cleared or responded to within five working days. 95% 85% 95%
The number of Statutory decisions relating to Crown Property Clearances made within 15 working days. Not reported 2007/08 Not reported 2007/08 98%

Current and Past Policy Initiatives

Current and Past Policy Initiatives - Crown Property Management and Disposal Services (M44) - Lands
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
South Island High Country Objectives 2003/04 1,496 1,496 1,496 1,496 1,496
Eradication of weeds on Crown land 2004/05 267 267 267 267 267
Crown property disposal programme 2007/08 400 400 400 400 400
Crown Managed Pests on its Land to Support Regional Pest Management. 2008/09 - 444 444 444 444

New Zealand Fast Forward Fund (M2)#

Scope of Appropriation#

This appropriation is limited to equity in a Crown entity that will be used over time to fund pastoral and food innovation initiatives and the Crown's share of associated administrative costs.

Capital Expenditure#

Capital Expenditure - New Zealand Fast Forward Fund (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation - - 700,000

Reasons for Change in Appropriation#

This is a new appropriation for 2008/09.

Expected Results#

Expected Results - New Zealand Fast Forward Fund (M2) - Agriculture and Forestry
  2007/08 2008/09
  Budgeted
Standard
Estimated Actual
Standard
Budget
Standard
Governance arrangements for the New Zealand Fast Forward Fund are currently being developed - - -

Current and Past Policy Initiatives#

Current and Past Policy Initiatives - New Zealand Fast Forward Fund (M2) - Agriculture and Forestry
Policy Initiative Year of
First
Impact
2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Pastoral and food innovation 2008/09 - 700,000 - - -

Summary of Reporting Mechanisms#

Reporting Mechanisms - Summary of Reporting Mechanisms - Agriculture and Forestry
Appropriation Reporting Mechanism
Crown Forestry Assets Not required
New Zealand Fast Forward Fund Annual Report

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

Performance Information for Appropriations Vote Biosecurity#

MINISTER(S) RESPONSIBLE FOR APPROPRIATIONS: Minister for Biosecurity (M7)

ADMINISTERING DEPARTMENT: Ministry of Agriculture and Forestry

MINISTER RESPONSIBLE FOR MINISTRY OF AGRICULTURE AND FORESTRY: Minister of Agriculture

Part 1 - Summary of the Vote#

Part 1.1 - Overview of the Vote

The Minister for Biosecurity is responsible for appropriations in the Vote for the 2008/09 financial year covering the following:

  • a total of over $46 million for surveillance of new organisms in the terrestrial and aquatic environments, maintenance of the capability to investigate and respond to new organisms and if necessary the delivery of services for their eradication or management
  • a total of over $67 million for the management of biosecurity risks at the border
  • a total of nearly $25 million for monitoring of border pathways, undertaking risk analysis to support standard development and setting biosecurity standards
  • a total of over $2 million on the administration of biosecurity standards and export certification
  • a total of over $12 million for policy advice with regard to biosecurity issues and ministerial servicing
  • a total of nearly $4 million for investigation and (where appropriate) prosecution of breaches of biosecurity legislation
  • a total of over $30 million for the Crown's contribution to implementation of the Bovine Tuberculosis National Pest Management Strategy
  • a total of $130,000 on subscriptions to international organisations.

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

Part 1.2 - High-Level Objectives of the Vote#

Government Priorities and Outcomes - Links to Appropriations - Biosecurity
Government Priorities - Themes / Sub-themes Government Outcomes Appropriations
Economic Transformation: Transforming New Zealand's economy into a high income, knowledge-based market economy, which is both innovative and creative and provides a unique quality of life for all New Zealanders. End outcome - Sustainable economic growth and prosperity for New Zealanders through the effective and efficient implementation of the New Zealand Biosecurity Strategy.
End outcome - Healthy New Zealanders through the effective and efficient implementation of the New Zealand Biosecurity Strategy.
End outcome - Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment through the effective and efficient implementation of the New Zealand Biosecurity Strategy.
(The New Zealand Biosecurity Strategy, MAF's Outcomes Performance Monitoring Framework).
Biosecurity Policy Advice
Biosecurity Approvals and Assurance
Biosecurity Enforcement
Biosecurity Standards
Biosecurity Surveillance and Incursion Response
Border Clearance Services
Note: Although this Vote consists of a number of appropriations, the outcomes associated with this vote are the result of the effective and efficient functioning of the biosecurity system as a whole. The outcomes identified here therefore cover those associated with the entire vote and not necessarily (individual) appropriations.

Summary of Financial Activity#

Summary of Financial Activity - Biosecurity
  2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Budgeted
$000
Estimated
Actual
$000
Departmental
Transactions
Budget
$000
Non-
Departmental
Transactions
Budget
$000
Total
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000

Appropriations

                       
Output Expenses 158,424 151,103 174,364 175,448 188,195 179,547 157,052 30,591 187,643 185,139 184,841 182,557
Benefits and Other Unrequited Expenses - - - - - - N/A - - - - -
Borrowing Expenses - - - - - - - - - - - -
Other Expenses 178 91 80 117 130 130 - 130 130 130 130 130
Capital Expenditure - - - - - - - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -

Total Appropriations

158,602 151,194 174,444 175,565 188,325 179,677 157,052 30,721 187,773 185,269 184,971 182,687

Crown Revenue and Receipts

                       
Tax Revenue - - - - - - N/A N/A - - - -
Non-Tax Revenue 1,528 1,574 1,236 866 850 850 N/A N/A 850 850 850 850
Capital Receipts - - - - - - N/A N/A - - - -

Total Crown Revenue and Receipts

1,528 1,574 1,236 866 850 850 N/A N/A 850 850 850 850

Budget Policy Initiatives#

Budget Policy initiatives - Biosecurity
Policy Initiative Appropriation 2007/08
Budgeted
$000
2008/09
Budget
$000
2009/10
Estimated
$000
2010/11
Estimated
$000
2011/12
Estimated
$000
Long term management programme for didymo(See also Vote Conservation in the Environmental Sector). Biosecurity Surveillance and Incursion Response (M7)
Departmental Output Expense
3,633 1,918 1,136 1,136 1,136
Southern saltmarsh mosquito eradication programme Biosecurity Surveillance and Incursion Response (M7)
Departmental Output Expense
9,912 4,465 2,840 - -
National animal identification and traceability/New Zealand FarmsOnline Biosecurity Surveillance and Incursion Response (M7)
Departmental Output Expense
- 2,110 2,920 3,720 4,490
Inter-agency resource needs for trade agreements Biosecurity Policy Advice (M7)
Departmental Output Expense
- 300 - - -
Total Initiatives   13,545 8,793 6,896 4,856 5,626

Total Vote: All Appropriations

Output expense appropriations in Vote Biosecurity, which are detailed in the Summary of Financial Activity table above, are largely influenced by the levels of funding appropriated for responses to disease and pest incursions.

Responses funded between 2003/04 and 2007/08 include southern saltmarsh mosquito, painted apple moth, varroa bee mite, red fire ant, asian gypsy moth, fall webworm, mycoplasma mycoides subspecies mycoides, didymosphenia and styela clava.

Part 1.4 - Reconciliation of Changes in Appropriation Structure#

Reconciliation of Changes in Appropriation Structure - Biosecurity
2007/08Structure -
Appropriations that have been
Changed
2007/08
(Current)
$000
Appropriations to which
Expenses (or Capital
Expenditure) have been
Transferred
Amount
Moved
$000
2008/09Structure -
Appropriations affected by the
Changes in Appropriation
Structure
2007/08
(Restated)
$000
2008/09
$000
Departmental Output Expenses            
Quarantine Services 66,169 Transferred to:Border Clearance Services (change of title only) 66,169 Border Clearance Services 66,169 67,335
Total Changes in Appropriations 66,169   66,169   66,169 67,335

Explanations of the reasons for changing the appropriation structure are noted in the details of each appropriation in Parts 2-6.

Part 2 - Details and Expected Performance for Output Expenses#

Part 2.1 - Departmental Output Expenses#

Intended Impacts, Outcomes and Objectives

Intended Impacts, Outcomes and Objectives - Part 2.1 Departmental Output Expenses - Biosecurity
Intended Impacts, Outcomes or Objectives of Appropriations Appropriations
Immediate outcome or impact
Policy advice and initiatives that support the ongoing development and implementation of New Zealand's biosecurity system as articulated in the New Zealand Biosecurity Strategy.
Intermediate outcomes
A business environment for the agriculture, food, forestry and related sectors that supports innovation, enterprise and high performance.
New Zealanders are informed and involved participants in MAF's regulatory systems.
Biosecurity Policy
Intermediate outcomes
Market access for New Zealand's animal and plant products is maintained through the administration of biosecurity standards, and the provision of export certification. It involves auditing against biosecurity regulatory standards and providing assurance to trading partners that New Zealand exporters are complying with the relevant regulations.
New Zealand's reputation for consistent and principled application of international trade, sanitary and phytosanitary rules is maintained and/or enhanced through the provision of approvals and assurance to trading partners that New Zealand exporters are complying with the relevant regulations.
End outcome
Market access for New Zealand's animal and plant products is maintained and/or enhanced.
Biosecurity Approvals and Assurance
Intermediate Outcomes
New Zealand's reputation for consistent and principled application of international trade, sanitary and phytosanitary rules is maintained and/or enhanced through the investigation and (where appropriate) prosecution of individuals and organisations who breach biosecurity legislation.
New Zealanders are informed and involved participants in MAF's regulatory systems.
Biosecurity Enforcement
Immediate outcome or impact
The development (and subsequent implementation) of the New Zealand Biosecurity System is based on scientific evidence and current research. This is reflected in the development of system-wide standards (and subsequent implementation) that are integrated, adaptive, and timely in protecting New Zealand's natural advantage. This process relies on MAF BNZ undertaking risk analysis to support standard development, administration of biosecurity standards and export certification, and monitoring of border pathways.
End outcome
Market access for New Zealand's animal and plant products is maintained.New Zealand's reputation for consistent and principled application of international trade, sanitary and phytosanitary rules, regulations and/or standards is maintained and/or enhanced.
Biosecurity Standards
Immediate outcome or impact
Potentially harmful pests and diseases are detected (and/or eradicated) through the implementation of surveillance activity in the terrestrial and aquatic environments and, if necessary, pests are eradicated or managed.
Intermediate outcomes
Prevention and reduction of harm to:
  • economic activity
  • human health and wellbeing
  • the natural environment, and
  • resources of economic and cultural value to Maori
from pests and diseases.
End outcomes
Sustainable economic growth and prosperity for New Zealanders.
Healthy New Zealanders.
Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment.
Biosecurity Surveillance and Incursion Response
Immediate outcome or impact
Potentially harmful pests and diseases are intercepted at main (border) entry points through the identification and management of all biosecurity risk goods, and goods that may be contaminated with biosecurity risk organisms. It includes the inspection and clearance of aircraft, vessels, cargo, containers, mail and passengers, and the audit and approval of transitional facilities, in accordance with biosecurity legislation and standards.
Intermediate outcomes
Prevention and reduction of harm to:
  • economic activity
  • human health and wellbeing
  • the natural environment, and
  • resources of economic and cultural value to Maori
from pests and diseases.
End outcomes
Sustainable economic growth and prosperity for New Zealanders.
Healthy New Zealanders.
Maintained and enhanced economic, social and cultural benefits for New Zealanders from the environment.
Border Clearance Services

 

Biosecurity Approvals and Assurance (M7)

Scope of Appropriation

Administration of biosecurity standards and export certification. Involves auditing against biosecurity regulatory standards and providing assurance to trading partners that New Zealand exporters are complying with the relevant regulations.

Expenses and Revenue

Expenses and Revenue - Biosecurity Approvals and Assurance (M7) - Biosecurity
  2007/08 2008/09
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,343 2,103 2,367
Revenue from the Crown 1,203 1,203 1,227
Revenue from Others 1,140 730 1,140

Output Performance Measures and Standards

Output Performance Measures and Standards - Biosecurity Approvals and Assurance (M7) - Biosecurity