Vote Corrections - Supplementary Estimates 2014/15

Details of Appropriations and Capital Injections#

Annual and Permanent Appropriations#

Capital Injection Authorisations#

Supporting Information#

Part 1 - Vote as a Whole#

1.2 - Trends in the Vote

Summary of Financial Activity

Part 2 - Details of Departmental Appropriations#

2.1 - Departmental Output Expenses

Contract Management of Services provided by Third Parties (M18)

Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

This appropriation increased by $501,000 to $2.256 million for 2014/15 due to a one-off expense transfer, from 2013/14 to 2014/15, for project related costs associated with the Auckland South Corrections Facility Project.

Information and Administrative Services to the Judiciary and New Zealand Parole Board (M18)

Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

This appropriation decreased by $1.579 million to $51.698 million for 2014/15 due to a reduction in the level of demand for services provided by the Department. The total level of activity and funding for this appropriation is similar to 2013/14 and represents the expected cost of providing these services in the future. The reduction in spending has been reprioritised to the Prison-based Custodial Services appropriation.

Prison-based Custodial Services (M18)

Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

This appropriation increased by $63.607 million to $791.243 million for 2014/15 mainly due to:

• an increase in capital charge of $17.712 million arising from the asset revaluation of land and buildings as at 30 June 2014
• the reprioritisation of funding of $27.846 million from other appropriations, and
• one-off funding of $6.764 million received from the Justice Sector Fund to offset cost pressures mostly arising from the impact of the asset revaluation as at 30 June 2014 (depreciation) and costs associated with the Auckland South Corrections Facility.

The Department is also expecting to receive $5.500 million of insurance income in 2014/15, for claims in relation to the Christchurch Earthquakes and the Spring Hill riot costs which were incurred in previous years.

Rehabilitation and Reintegration (M18)

Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

This appropriation decreased by $9.148 million to $169.594 million for 2014/15 due to delays in contracting programmes.

Sentences and Orders Served in the Community (M18)

Scope of Appropriation

Expenses and Revenue

Reasons for Change in Appropriation

This appropriation decreased by $3.282 million to $215.188 million for 2014/15 due to reprioritising funding to the Prison-based Custodial Services appropriation.

The appropriation is $4.881 million higher than 2013/14 actual expenditure, reflecting one-off project costs to transfer all electronic monitoring services to one supplier, which will produce long term savings.

2.3 - Departmental Capital Expenditure and Capital Injections

Department of Corrections - Capital Expenditure PLA (M18)

Scope of Appropriation

Capital Expenditure

Reasons for Change in Appropriation

The decrease in appropriation reflects the updated capital profile to be delivered in 2014/15.

Capital Injections and Movements in Departmental Net Assets

Department of Corrections

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

Multi-Category Expenses and Capital Expenditure

Policy Advice and Ministerial Services (M18)

Overarching Purpose Statement

Scope of Appropriation

Expenses, Revenue and Capital Expenditure

Reasons for Change in Appropriation

This appropriation decreased by $797,000 to $4.812 million for 2014/15 due to $1.447 million of funds being reprioritised to the Prison-based Custodial Services appropriation and partially offset by one-off Proceeds of Crime Funding of $650,000 in 2014/15 to undertake a study on co-morbid disorders of prisoners.