Supplementary estimates of appropriations

Vote Lands - Supplementary Estimates and supporting information 2010/11

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

Details of Appropriations#

Details of Annual and Permanent Appropriations

Details of Annual and Permanent Appropriations - Lands
  2010/11
Titles and Scopes of Appropriations by Appropriation Type Estimates
Budget
$000
Supplementary
Estimates
Budget
$000
Total
Budget
$000

Departmental Output Expenses

     

Administration of the New Zealand Geographic Board (Nga Pou Taunaha o Aotearoa) Act 2008 (M44)

This appropriation is limited to the expenses incurred under the New Zealand Geographic (Nga Pou Taunaha o Aotearoa) Act 2008, including: Board/Committee meetings, secretariat personnel, consultation, public advertising and publicity, national and international liaison and representation, and Board publications.
786 689 1,475

Administration of the Overseas Investment Act 2005 (M44)

This appropriation is limited to the assessing of applications, for consent to the acquisition of investments in New Zealand land, significant business assets and fishing quota; monitoring and enforcement.
2,582 244 2,826

Crown Property Management and Disposal Services (M44)

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.
18,218 3,256 21,474

Land and Seabed Data Capture and Processing (M44)

The collection and authorisation of land data and information in accordance with the regulatory frameworks.
39,083 7,997 47,080

Land and Seabed Information Access and Dissemination (M44)

The provision of access to, and dissemination of, information held by LINZ.
5,125 (925) 4,200

Land and Seabed Information Storage and Management (M44)

Ensuring that the security and management of LINZ's databases and systems for land information are managed effectively and efficiently.
24,250 (4,194) 20,056

Oceans Survey 20/20 Programme (M44)

This appropriation is limited to the undertaking of initiatives within the Oceans Survey 20/20 Programme.
3,726 71 3,797

Policy Advice (M44)

Policy advice to the Government and Minister, relating to land and property information and providing support to the Minister.
2,847 (301) 2,546

Standards and Quality Assurance (M44)

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.
8,305 (1,459) 6,846

Total Departmental Output Expenses

104,922 5,378 110,300

Non-Departmental Output Expenses

     

Contaminated Sites (M44)

Analysis, investigation and, where necessary, appropriate remedial action on contaminated sites for which the Crown has accepted responsibility.
500 5 505

Total Non-Departmental Output Expenses

500 5 505

Non-Departmental Other Expenses

     

Bad and Doubtful Debts (M44)

This appropriation is limited to the provision for writing off bad and doubtful debts.
25 - 25

Crown Forest Management (M44)

Management of Crown forest properties and licences, including settling reviews, interest liability and GST on refunded fees.
780 71 851

Crown Obligations - Loss on Disposal (M44)

Loss on disposal of properties arising from Crown obligations including the return of gifted land to the donor at nil value.
267 (16) 251

Crown Rates (M44)

Payment of rates on Crown land and surplus government properties administered by the department on behalf of the Crown.
1,107 - 1,107

Depreciation (M44)

This appropriation is limited to depreciation of buildings on surplus Crown land.
359 34 393

Land Liabilities (M44)

Investigation and resolution, including legal costs and settlement, of land-related liabilities administered by the department.
843 1,254 2,097

Ngati Apa (North Island) settlement - adjustment to land value (M44)

This appropriation is limited to the difference between the current value of the land to be transferred under the Ngati Apa (North Island) settlement and the transfer value of that land transferred as part of that settlement.
- 300 300

Proceeds from Sale of Transit NZ Properties (M44)

To pay Transit NZ the equivalent of what the Crown has received from the sales of Transit properties.
39,000 - 39,000

Residual Crown Leasehold Rents (M44)

Leasehold liabilities paid on residual surplus government accommodation administered by the department on behalf of the Crown.
263 - 263

Transfer to iwi of Southern Arikikapakapa Reserve (M44)

This appropriation is limited to the transfer of the Southern Arikikapakapa Reserve and associated fixtures to a representative entity of Tuhourangi Ngati Wahiao and Ngati Whakaue.
- 15,024 15,024

Total Non-Departmental Other Expenses

42,644 16,667 59,311

Departmental Capital Expenditure

     

Land Information New Zealand - Capital Expenditure PLA (M44)

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.
6,933 (4,401) 2,532

Total Departmental Capital Expenditure

6,933 (4,401) 2,532

Non-Departmental Capital Expenditure

     

Crown Acquisitions - Huntly East (M44)

Acquisition of properties falling within Cabinet's approved policy area for Huntly East subsidence zone.
500 1,500 2,000

Crown Obligatory Acquisitions (M44)

Acquisition of properties arising from Crown obligations including gifted land.
267 (267) -

Loans for Crown Pastoral Lease Holders (M44)

This appropriation is limited to loans made to Crown pastoral lessees who suffer significant financial hardship due to back-rent payable under the Crown Pastoral Land Act 1998.
- 3,000 3,000

Total Non-Departmental Capital Expenditure

767 4,233 5,000

Total Annual and Permanent Appropriations

155,766 21,882 177,648

Details of Multi-Year Appropriations#

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

Non-Departmental Capital Expenditure

   

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 2009/10 3,185
Adjustments to 2010/11 (2,244)
Adjusted Appropriation 32,942
Actual to 2009/10 Year End 11,670
Estimated Actual for 2010/11 13,450
Estimated Actual for 2011/12 -
Estimated Appropriation Remaining 7,822

Details of Projected Movements in Departmental Net Assets#

Land Information New Zealand

Land Information New Zealand - Details of Projected Movements in Departmental Net Assets - Lands
Details of Net Asset Schedule 2010/11
Main Estimates Projections
$000
2010/11
Supplementary Estimates Projections
$000
Explanation of Projected Movements in 2010/11
Opening Balance 41,418 38,350 Supplementary Estimates opening balance reflects the audited results as at 30 June 2010.
Capital Injections - 12,000 $12.0m capital contribution was approved to offset forecast deficit in 2010/11 resulting from reduced revenues due to the property market downturn.
Capital Withdrawals - -  
Surplus to be Retained (Deficit Incurred) - (15,028)  
Other Movements - 15,028  

Closing Balance

41,418 50,350  

Information Supporting the Supplementary Estimates 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 1.3 - Trends in the Vote

Summary of Financial Activity

Summary of Financial Activity - Lands
  2010/11
    Supplementary Estimates  
  Estimates
$000
Departmental
Transactions
$000
Non-Departmental
Transactions
$000
Total
Transactions
$000
Total
$000

Appropriations

         
Output Expenses 105,422 5,378 5 5,383 110,805
Benefits and Other Unrequited Expenses - N/A - - -
Borrowing Expenses - - - - -
Other Expenses 42,644 - 16,667 16,667 59,311
Capital Expenditure 30,972 (4,401) 2,233 (2,168) 28,804
Intelligence and Security Department Expenses and Capital Expenditure - - N/A - -

Total Appropriations

179,038 977 18,905 19,882 198,920

Crown Revenue and Capital Receipts

         
Tax Revenue - N/A - - -
Non-Tax Revenue 43,187 N/A 3,733 3,733 46,920
Capital Receipts 6,966 N/A - - 6,966

Total Crown Revenue and Capital Receipts

50,153 N/A 3,733 3,733 53,886

Part 2 - Details and Expected Performance for Output Expenses#

Part 2.1 - Departmental Output Expenses#

Administration of the New Zealand Geographic Board (Nga Pou Taunaha o Aotearoa) Act 2008 (M44)

Scope of Appropriation

This appropriation is limited to the expenses incurred under the New Zealand Geographic (Nga Pou Taunaha o Aotearoa) Act 2008, including: Board/Committee meetings, secretariat personnel, consultation, public advertising and publicity, national and international liaison and representation, and Board publications.

Expenses and Revenue

Expenses and Revenue - Administration of the New Zealand Geographic Board (Nga Pou Taunaha o Aotearoa) Act 2008 (M44) - Lands
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 786 689 1,475
Revenue from Crown 786 659 1,445
Revenue from Other - 30 30

Reasons for Change in Appropriation

This appropriation increased by $689,000 to $1.475 million for 2010/11 as a result of a reallocation of costs between output classes.

Administration of the Overseas Investment Act 2005 (M44)#

Scope of Appropriation#

This appropriation is limited to the assessing of applications, for consent to the acquisition of investments in New Zealand land, significant business assets and fishing quota; monitoring and enforcement.

Expenses and Revenue#

Expenses and Revenue - Administration of the Overseas Investment Act 2005 (M44) - Lands
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 2,582 244 2,826
Revenue from Crown - - -
Revenue from Other 2,404 - 2,404

Reasons for Change in Appropriation#

This appropriation increased by $244,000 to $2.826 million for 2010/11 as a result of a reallocation of costs between output classes.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 18,218 3,256 21,474
Revenue from Crown 17,660 2,469 20,129
Revenue from Other 1,413 - 1,413

Reasons for Change in Appropriation#

This appropriation increased by $3.256 million to $21.474 million for 2010/11 as a result of a reallocation of costs between output classes, a carry forward of funding for land tenure programme, and a transfer of funding from other agencies for management of Crown land at Wairakei.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 39,083 7,997 47,080
Revenue from Crown 16,855 5,214 22,069
Revenue from Other 39,332 (15,337) 23,995

Reasons for Change in Appropriation#

This appropriation increased by $7.994 million to $47.080 million for 2010/11 owing to a reallocation of costs between output classes, a carry forward of funding for hydrographic surveys, and funding for Canterbury earthquake remedial work.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 5,125 (925) 4,200
Revenue from Crown 168 968 1,136
Revenue from Other 13,235 180 13,415

Reasons for Change in Appropriation#

This appropriation decreased by $925,000 to $4.200 million for 2010/11 as a result of a reallocation of costs between output classes.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 24,250 (4,194) 20,056
Revenue from Crown 3,189 (2,939) 250
Revenue from Other 29 - 29

Reasons for Change in Appropriation#

This appropriation decreased by $4.194 million to $20.056 as a result of a reallocation of costs between output classes and a carry forward of funding for the IT supplier review.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 3,726 71 3,797
Revenue from Crown 3,726 71 3,797
Revenue from Other - - -

Reasons for Change in Appropriation#

This appropriation increased by $71,000 to $3.797 million for 2010/11 as a result of a reallocation of costs between output classes.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 2,847 (301) 2,546
Revenue from Crown 2,822 (301) 2,521
Revenue from Other 43 - 43

Reasons for Change in Appropriation#

This appropriation increased by $301,000 to $2.546 million for 2010/11 as a result of a reallocation of costs between output classes.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 8,305 (1,459) 6,846
Revenue from Crown 1,909 (943) 966
Revenue from Other 1,630 - 1,630

Reasons for Change in Appropriation#

This appropriation increased by $1.459 million to $6.846 million for 2010/11 as a result of a reallocation of costs between output classes.

Part 2.2 - Non-Departmental Output Expenses#

Contaminated Sites (M44)#

Scope of Appropriation

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

Reasons for Change in Appropriation

This appropriation increased by $5,000 to $505,000 for 2010/11 as a result of funding carried forward, partially offset by a transfer of funds to the Land Liabilities appropriation.

Part 5 - Details and Expected Results for Other Expenses#

Part 5.2 - Non-Departmental Other Expenses#

Crown Forest Management (M44)

Scope of Appropriation

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

Reasons for Change in Appropriation

The appropriation increased by $71,000 to $851,000 for 2010/11 as a result of the transfer to Land Information New Zealand (LINZ) of forested properties held by other Government departments.

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.

Reasons for Change in Appropriation#

The appropriation decreased by $16,000 to $251,000 for 2010/11 as a result a new policy on the disposal of surplus property to be gifted back to the original donor whereby the cost will be borne by the vendor agency.

Depreciation (M44)#

Scope of Appropriation#

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

Reasons for Change in Appropriation#

The appropriation increased by $34,000 to $393,000 for 2010/11 reflects depreciation expenses relating to additional properties transferred from the Ministry of Agriculture and Forestry and the Ministry of Economic Development.

Land Liabilities (M44)#

Scope of Appropriation#

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

Reasons for Change in Appropriation#

The appropriation increased by $1.254 million to $2.097 million for 2010/11 as a result of additional funding for settlement of a claim against the Crown.

Ngati Apa (North Island) settlement - adjustment to land value (M44)#

Scope of Appropriation#

This appropriation is limited to the difference between the current value of the land to be transferred under the Ngati Apa (North Island) settlement and the transfer value of that land transferred as part of that settlement.

Expenses#

Expenses - Ngati Apa (North Island) settlement adjustment to land value (M44) - Lands
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation - 300 300

Reasons for Change in Appropriation#

The increase in appropriation of $300,000 from $0 in 2010/11 occurred due to funding carried forward from 2009/10 reflecting a delay in the settlement process.

Transfer to iwi of Southern Arikikapakapa Reserve (M44)#

Scope of Appropriation#

This appropriation is limited to the transfer of the Southern Arikikapakapa Reserve and associated fixtures to a representative entity of Tuhourangi Ngati Wahiao and Ngati Whakaue.

Expenses#

Expenses - Transfer to iwi of Southern Arikikapakapa Reserve (M44) - Lands
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation - 15,024 15,024

Reasons for Change in Appropriation#

The appropriation of $15.024 million was established during the 2010/11 year as a result of the write-down in property value on transfer to Iwi.

Part 6 - Details and Expected Results for Capital Expenditure#

Part 6.2 - Non-Departmental Capital Expenditure#

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 500 1,500 2,000

Reasons for Change in Appropriation

This appropriation increased by $1.500 million to $2 million as a result of additional properties planned for purchase as a result of the property market slowdown.

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
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation 267 (267) -

Reasons for Change in Appropriation#

This appropriation decreased by $267,000 to $0 for 2010/11 as a result of a new policy on disposal of surplus property to be gifted back to the original donor whereby the cost will be borne by the vendor agency.

Loans for Crown Pastoral Lease Holders (M44)#

Scope of Appropriation#

This appropriation is limited to loans made to Crown pastoral lessees who suffer significant financial hardship due to back-rent payable under the Crown Pastoral Land Act 1998.

Capital Expenditure#

Capital Expenditure - Loans for Crown Pastoral Lease Holders (M44) - Lands
  2010/11
  Estimates
$000
Supplementary
Estimates
$000
Total
$000
Total Appropriation - 3,000 3,000

Reasons for Change in Appropriation#

This appropriation of $3 million for 2010/11 was established during the year as a result of additional funding to reflect Government policy on the time payment of leaseholders back-rent.