APPROPRIATION MINISTER(S): Minister for Children (M93)

APPROPRIATION ADMINISTRATOR: Ministry for Vulnerable Children, Oranga Tamariki

RESPONSIBLE MINISTER FOR MINISTRY FOR VULNERABLE CHILDREN, ORANGA TAMARIKI: Minister for Children

Overview of the Vote

Vote Vulnerable Children, Oranga Tamariki was established with effect from 1 April 2017, coinciding with the establishment of the new Ministry for Vulnerable Children, Oranga Tamariki.

The Minister for Children is responsible for the appropriations in this Vote for the 2017/18 financial year covering the following:

  • a total of nearly $803 million for investing in children and young people including early and intensive intervention ($251 million), statutory intervention and transition ($503 million), supporting and developing providers and services ($36 million) and prevention ($13 million)
  • a total of nearly $22 million for a transformation programme to co-design and implement system-wide reform to the services provided to vulnerable children, young people and their families
  • a total of over $9 million for capital expenditure by the new Ministry
  • a total of over $8 million for policy advice, ministerial services and data, analytics and evidence services
  • a total of over $7 million on adoption services
  • a total of over $5 million on reducing youth reoffending Social Bond Pilot
  • a total of nearly $3 million for an independent connection and advocacy service.

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

Details of Appropriations and Capital Injections

Annual and Permanent Appropriations

  2016/17 2017/18
Titles and Scopes of Appropriations by Appropriation Type Final
Budgeted
$000
Estimated
Actual
$000
Budget
$000

Departmental Output Expenses

     

Adoption Services (M93)

This appropriation is limited to the management of services, incorporating education, assessment, reporting, counselling, and mediation, to all people who are party to adoption-related matters, past or present.
1,795 1,795 7,247

Data, Analytics and Evidence Services (M93)

This appropriation is limited to providing data, analytics and evidence services to better inform government decision-making on vulnerable children and young people.
660 660 2,915

Ministerial Services (M93)

This appropriation is limited to providing services to Ministers to enable them to discharge their portfolio responsibilities (other than policy decision-making) relating to vulnerable children and young people.
490 490 1,156

Policy Advice (M93)

This appropriation is limited to providing advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government policy matters relating to vulnerable children and young people.
955 955 4,184

Total Departmental Output Expenses

3,900 3,900 15,502

Departmental Other Expenses

     

Transformation Programme: Investing in New Zealand Children and their Families (M93)

This appropriation is limited to the co-design and implementation of system-wide reform of services provided to New Zealand's vulnerable children, young people and their families.
11,600 11,600 21,624

Total Departmental Other Expenses

11,600 11,600 21,624

Departmental Capital Expenditure

     

Ministry for Vulnerable Children, Oranga Tamariki - Capital Expenditure PLA (M93)

This appropriation is limited to the purchase or development of assets by and for the use of the Ministry for Vulnerable Children, Oranga Tamariki; as authorised by section 24(1) of the Public Finance Act 1989.
4,001 4,001 9,150

Total Departmental Capital Expenditure

4,001 4,001 9,150

Non-Departmental Output Expenses

     

Connection and Advocacy Service (M93)

This appropriation is limited to supporting an independent connection and advocacy service for children and young people in statutory care.
- - 2,900

Total Non-Departmental Output Expenses

- - 2,900

Multi-Category Expenses and Capital Expenditure

     

Investing in Children and Young People MCA (M93)

The overarching purpose of this appropriation is to ensure New Zealand's vulnerable children and young people have positive outcomes.
148,600 148,600 802,998
Departmental Output Expenses
     
Early and Intensive Intervention
This category is limited to intake assessments and early and intensive intervention services for children and young people exhibiting needs which place them at risk of poor life outcomes and/or requiring a statutory intervention.
24,587 24,587 251,076
Prevention
This category is limited to providing prevention and awareness programmes and services to identify and support children, young people and their families at risk of poor life outcomes.
- - 13,372
Statutory Intervention and Transition
This category is limited to providing statutory care and youth justice services, and services to transition children and young people from statutory intervention.
110,789 110,789 503,087
Supporting and Developing Providers and Services
This category is limited to service development; and approving, monitoring, contracting and managing the relationship with, and developing the capacity and capability of, service providers.
13,224 13,224 35,463

Total Multi-Category Expenses and Capital Expenditure

148,600 148,600 802,998

Total Annual and Permanent Appropriations

168,101 168,101 852,174

Multi-Year Appropriations

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Departmental Output Expenses

   

Evaluation and Auditing Expenses for the Reducing Youth Reoffending Social Bond Pilot (M93)

This appropriation is limited to the costs of evaluating and auditing the Reducing Youth Reoffending Social Bond Pilot.

Commences: 01 July 2017

Expires: 30 June 2022
Original Appropriation 300
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 300
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 -
Estimated Actual for 2017/18 75
Estimated Appropriation Remaining 225

Non-Departmental Output Expenses

   

Reducing Youth Reoffending Social Bond Pilot (M93)

This appropriation is limited to the outcome payments incurred under the Reducing Youth Reoffending Social Bond Pilot.

Commences: 01 July 2017

Expires: 30 June 2022
Original Appropriation 24,000
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 24,000
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 -
Estimated Actual for 2017/18 5,398
Estimated Appropriation Remaining 18,602

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts

  2016/17 2017/18
  Final
Budgeted
$000
Estimated
Actual
$000
Budget
$000
Total Annual and Permanent Appropriations 168,101 168,101 852,174
Total MYA Departmental Output Expenses Forecasts - - 75
Total MYA Non-Departmental Output Expenses Forecasts - - 5,398

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts

168,101 168,101 857,647

Capital Injection Authorisations

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Ministry for Vulnerable Children, Oranga Tamariki - Capital Injection (M93) 158,164 158,164 5,000

Supporting Information

Part 1 - Vote as a Whole

1.1 - New Policy Initiatives

Policy Initiative Appropriation 2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Youth Justice - Additional Residential Beds

Investing in Children and Young People MCA (M93)

         
 
  • Statutory Intervention and Transition
916 2,296 2,218 - -
 
Departmental Output Expenses
         
Vulnerable Children - Meeting Costs for the New Ministry Adoption Services (M93) - 111 196 196 196
  Data, Analytics and Evidence Services (M93) - 67 119 119 119
  Policy Advice (M93) - 94 168 168 168
  Ministerial Services (M93) - 28 49 49 49
 
Departmental Output Expenses
         
 

Investing in Children and Young People MCA (M93)

         
 
  • Early and Intensive Intervention
- 6,672 7,782 7,782 7,782
 
  • Statutory Intervention and Transition
- 12,373 15,244 15,244 15,244
 
  • Supporting and Developing Providers and Services
- 693 1,226 1,226 1,226
 
Departmental Output Expenses
         
Caregiver Support Package

Investing in Children and Young People MCA (M93)

         
 
  • Statutory Intervention and Transition
- 7,545 15,480 1,895 1,440
 
Departmental Output Expenses
         
Child Centred Feedback, Insights and Complaints Mechanism

Investing in Children and Young People MCA (M93)

         
 
  • Statutory Intervention and Transition
150 1,600 1,250 1,250 1,250
 
Departmental Output Expenses
         
Community-Based Remand Placements And Increased Legal Representation For Young People

Investing in Children and Young People MCA (M93)

         
 
  • Statutory Intervention and Transition
- 3,600 8,050 - -
 
Departmental Output Expenses
         
Digital Workplace Programme

Investing in Children and Young People MCA (M93)

         
 
  • Early and Intensive Intervention
387 2,480 2,706 2,706 2,706
 
  • Statutory Intervention and Transition
756 4,853 5,294 5,294 5,294
 
  • Supporting and Developing Providers and Services
57 367 400 400 400
 
Departmental Output Expenses
         
 

Ministry for Vulnerable Children, Oranga Tamariki - Capital Injection (M93)

2,500 5,000 - - -
Family Start - Expansion to National Coverage

Investing in Children and Young People MCA (M93)

         
 
  • Early and Intensive Intervention
- 5,760 6,755 7,568 8,032
 
Departmental Output Expenses
         
Funding Additional Meetings of the Youth Advisory Panel Ministerial Services (M93)
Departmental Output Expenses
20 20 - - -
First Technology Enhancements And Future Technology Design

Investing in Children and Young People MCA (M93)

         
 
  • Early and Intensive Intervention
- 3,447 - - -
 
  • Statutory Intervention and Transition
- 6,743 - - -
 
  • Supporting and Developing Providers and Services
- 510 - - -
 
Departmental Output Expenses
         
Children's Teams - Ongoing Operations

Investing in Children and Young People MCA (M93)

         
 
  • Early and Intensive Intervention
- 1,818 7,888 - -
 
Departmental Output Expenses
         
Privacy And Official Information Services

Investing in Children and Young People MCA (M93)

         
 
  • Statutory Intervention and Transition
- 2,750 2,750 - -
 
Departmental Output Expenses
         
Raising the Age of Care and Protection to 18

Investing in Children and Young People MCA (M93)

         
 
  • Early and Intensive Intervention
- 703 907 1,058 1,058
 
  • Statutory Intervention and Transition
- 12,696 16,383 19,115 19,115
 
Departmental Output Expenses 
         
The Second New Zealand Social Bond: Reducing Youth Reoffending in South Auckland  Evaluation and Auditing Expenses for the Reducing Youth Reoffending Social Bond Pilot (M93)   -  75  75  75 75 
 
Departmental Output Expenses
         
  Reducing Youth Reoffending Social Bond Pilot (M93)   -  5,398  8,039  9,886  677
 
Non-Departmental Output Expenses
         
Total Initiatives   4,786 87,699 102,979 74,031 64,831

1.2 - Trends in the Vote

Summary of Financial Activity

  2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Final 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 14,335 14,058 14,805 15,187 16,445 16,445 15,577 8,298 23,875 27,775 29,622 20,413
Benefits or Related Expenses - - - - - - N/A - - - - -
Borrowing Expenses - - - - - - - - - - - -
Other Expenses - - - - 32,728 32,728 21,624 - 21,624 - - -
Capital Expenditure - - - - 4,001 4,001 9,150 - 9,150 9,150 9,150 8,150
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -
Multi-Category Expenses and Capital Expenditure (MCA)                        
Output Expenses 651,270 666,138 695,822 703,845 742,904 742,904 802,998 - 802,998 813,097 782,630 784,639
Other Expenses - - - - - - - - - - - -
Capital Expenditure - - - - - - N/A - - - - -

Total Appropriations

665,605 680,196 710,627 719,032 796,078 796,078 849,349 8,298 857,647 850,022 821,402 813,202

Crown Revenue and Capital Receipts

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

Total Crown Revenue and Capital Receipts

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

Note - where restructuring of the vote has occurred then, to the extent practicable, prior years information has been restated as if the restructuring had occurred before the beginning of the period covered. In this instance Total Appropriations for the Budgeted and Estimated Actual year may not equal Total Appropriations in the Details of Appropriations and Capital Injections.

Adjustments to the Summary of Financial Activity Table Due to Vote Restructuring

Establishment of the Ministry for Vulnerable Children, Oranga Tamariki from 1 April 2017.

  2012/13
Adjustments
$000
2013/14
Adjustments
$000
2014/15
Adjustments
$000
2015/16
Adjustments
$000
2016/17
Final Budgeted
Adjustments
$000
2016/17
Estimated
Actual
Adjustments
$000

Appropriations

           
Output Expenses 14,335 14,058 14,805 15,187 12,545 12,545
Benefits or Related Expenses - - - - - -
Borrowing Expenses - - - - - -
Other Expenses - - - - 21,128 21,128
Capital Expenditure - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - -
Multi-Category Expenses and Capital Expenditure (MCA)            
   Output Expenses 651,270 666,138 695,822 703,845 594,304 594,304
   Other Expenses - - - - - -
   Capital Expenditure - - - - - -

Total Appropriations

665,605 680,196 710,627 719,032 627,977 627,977

Crown Revenue and Capital Receipts

           
Tax Revenue - - - - - -
Non-Tax Revenue - - - - - -
Capital Receipts - - - - - -

Total Crown Revenue and Capital Receipts

- - - - - -

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

1.3 - Analysis of Significant Trends

Output Expenses

The increasing trend for output expenses is mainly due to the introduction of the non-departmental output expense, Connection and Advocacy Service from 1 July 2017 with $2.900 million of funding, increasing to $4 million in 2018/19 and outyears. There is also the introduction of the Reducing Youth Reoffending Social Bond Pilot from 1 July 2017 for a four-year period. The funding in 2017/18 is $5.473 million. 

Other Expenses

The decreasing trend for other expenses relates to the transformation programme to co-design and implement system wide reform to services provided to vulnerable children, young people and their families. This is time limited funding that finishes in 2017/18. The other expenses funding is higher in 2016/17 as the transformation programme of work intensified during the establishment period of the new Ministry.

Capital

The increasing trend for capital expenditure is due to the new Ministry for Vulnerable Children, Oranga Tamariki operating for a full financial year in 2017/18, compared to the three months in 2016/17.

Multi-Category Expenses and Capital Expenditure

The increasing trend for the Multi-Category Expenses and Capital Expenditure is mainly due to:

  • one-off increases in funding in 2014/15 for a Care Strategy, Vulnerable Children's Bill implementation and a reprioritisation of funds due to changes in cost drivers: $20 million
  • one-off increases in funding in 2015/16 for client demand pressures, modernisation and implementing the Children, Young Persons, and Their Families Act 1989: $17 million
  • ongoing funding from 2016/17 for increased support to address inflationary pressures with personnel costs and client demand pressures from more children and young people in care: $35 million
  • ongoing funding from 2016/17 to address the implementation of amendments to the Children, Young Persons and Their Families Act 1989 in conjunction with other modernising reforms: $7 million
  • ongoing funding from 2017/18 for increasing costs associated with services due to increasing client demand and other inflationary pressures: $20 million
  • ongoing funding from 2017/18 for raising the age of care and protection to 18: $13 million
  • a new Caregiver Support package with funding of $8 million in 2017/18, $15 million in 2018/19 then decreasing to nearly $2 million in outyears
  • ongoing funding from 2017/18 for Family Start expansion to national coverage: $6 million
  • one-off funding in 2017/18 for investment in First Technology enhancements and Future Technology Design: $11 million.

Part 2 - Details of Departmental Appropriations

2.1 - Departmental Output Expenses

Adoption Services (M93)

Scope of Appropriation

This appropriation is limited to the management of services, incorporating education, assessment, reporting, counselling, and mediation, to all people who are party to adoption-related matters, past or present.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,795 1,795 7,247
Revenue from the Crown 1,795 1,795 7,247
Revenue from Others - - -

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote: Social Development: Adoption Services 5,358 5,358 -
Vote: Vulnerable Children, Oranga Tamariki: Adoption Services 1,795 1,795 -
Total 7,153 7,153 7,247

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the legal adoption of children by approved parents and to provide access to information on adoptions.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The number of requests (see Note 1) from adults seeking identifying information on birth parents will be between (see Note 2)

44 - 50 44 - 50 150 - 200

Note 1 - Under section 9(4)(c) of the Adult Adoption Information Act 1985. Statistics on adoptions within New Zealand are provided on request by the Ministry of Justice. The Department of Internal Affairs can provide information on inter-country adoptions finalised overseas and recognised by New Zealand.

Note 2 - There is an increase in the Budget Standard from 2016/17 to 2017/18 as the Ministry was established on 1 April 2017 so the 2016/17 standard reflects the first 3 months the Ministry was operational.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Vulnerable Children - Meeting Costs for the New Ministry 2017/18 - 111 196 196 196

Reasons for Change in Appropriation

This appropriation has increased by $5.452 million to $7.247 million in 2017/18. This is due to:

  • full year funding transferring from Vote Social Development in 2017/18 compared to three months funding in 2016/17: $5.358 million
  • new funding for Vulnerable Children - Meeting Costs for the New Ministry in 2017/18: $111,000.

The above is offset by:

  • the change in capital charge rate from 8% to 6%: $17,000.

 

Data, Analytics and Evidence Services (M93)

Scope of Appropriation

This appropriation is limited to providing data, analytics and evidence services to better inform government decision-making on vulnerable children and young people.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 660 660 2,915
Revenue from the Crown 660 660 2,915
Revenue from Others - - -

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote Social Development: Data, Analytics and Evidence Services 2,195 2,195 -
Vote Vulnerable Children, Oranga Tamariki: Data, Analytics and Evidence Services 660 660 -
Total 2,855 2,855 2,915

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an increase in evidence-based decision making to improve outcomes for vulnerable children and young people.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Develop a tool to capture the Voice of the Child by 30 June 2018

New measure 2017/18 New measure 2017/18 Achieved

Where appropriate (see Note 1) new data assets will align to Ministry for Vulnerable Children, Oranga Tamariki strategic objectives by 30 June 2018

New measure 2017/18 New measure 2017/18 Achieved

All new analytical models and tools to support operational decision making meet or exceed independent quality review standards by 30 June 2018

Achieved Achieved Achieved

Where appropriate, and in the public interest, evaluations of the Ministry for Vulnerable Children, Oranga Tamariki programmes and services are pro-actively released to the public by 30 June 2018

Achieved Achieved Achieved

Where appropriate (see Note 2) new initiatives to include a plan for evaluation to promote better understanding of what works and for whom by 30 June 2018

Achieved Achieved Achieved

Note 1 - Not all datasets will align with strategic objectives, there will also be a need to develop and design datasets to meet operational needs.

Note 2 - Not all initiatives are amenable to evaluation.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Vulnerable Children - Meeting Costs for the New Ministry 2017/18 - 67 119 119 119

Reasons for Change in Appropriation

This appropriation has increased by $2.255 million to $2.915 million in 2017/18. This is due to:

  • full year funding transferring from Vote Social Development in 2017/18 compared to three months funding in 2016/17: $2.195 million
  • new funding for Vulnerable Children - Meeting Costs for the New Ministry in 2017/18: $67,000.

The above is offset by:

  • the change in capital charge rate from 8% to 6%: $7,000.

Evaluation and Auditing Expenses for the Reducing Youth Reoffending Social Bond Pilot (M93)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Evaluation and Auditing Expenses for the Reducing Youth Reoffending Social Bond Pilot (M93)

This appropriation is limited to the costs of evaluating and auditing the Reducing Youth Reoffending Social Bond Pilot.

Commences: 01 July 2017

Expires: 30 June 2022
Original Appropriation 300
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 300
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 -
Estimated Actual for 2017/18 75
Estimated Appropriation Remaining 225

Revenue

  Budget
$000
Revenue from the Crown to end of 2017/18 75
Revenue from Others to end of 2017/18 -
Total Revenue 75

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve effective and efficient evaluations and audits of the Reducing Youth Reoffending Social Bond Pilot.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Establish a social bond to address youth reoffending.

New measure for 2017/18 New measure for 2017/18 Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
The Second New Zealand Social Bond: Reducing Youth Reoffending in South Auckland  2017/18   -  75  75  75  75

Reasons for Change in Appropriation

This is a newly established appropriation from 1 July 2017.

 

Ministerial Services (M93)

Scope of Appropriation

This appropriation is limited to providing services to Ministers to enable them to discharge their portfolio responsibilities (other than policy decision-making) relating to vulnerable children and young people.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 490 490 1,156
Revenue from the Crown 490 490 1,156
Revenue from Others - - -

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote: Social Development: Planning, Correspondence and Monitoring 621 621 -
Vote Vulnerable Children, Oranga Tamariki: Ministerial Services 490 490 -
Total 1,111 1,111 1,156

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve efficient and effective ministerial services to support Ministers to discharge their portfolio responsibilities.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of ministerial correspondence replies completed within 20 working days of receipt by the Ministry for Vulnerable Children, Oranga Tamariki, unless otherwise agreed, will be between

95-100% 95-100% 95-100%

The percentage of Parliamentary question responses provided to the Minister's Office so that the answers can meet the timeframe set in Parliamentary Standing Orders will be between

95-100% 95-100% 95-100%

The percentage of ministerial Official Information Act request replies completed five days prior to the statutory time limit (unless otherwise agreed) will be between

95-100% 95-100% 95-100%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Vulnerable Children - Meeting Costs for the New Ministry 2017/18 - 28 49 49 49
Funding additional meetings of the Youth Advisory Panel 2016/17 20 20 - - -

Reasons for Change in Appropriation

This appropriation has increased by $666,000 in 2017/18 to $1.156 million. This is due to:

  • full year funding transferring from Vote Social Development in 2017/18 compared to three months funding in 2016/17: $641,000
  • new funding for Vulnerable Children - Meeting Costs for the New Ministry in 2017/18: $28,000.

The above is offset by:

  • the change in capital charge rate from 8% to 6%: $3,000.

Policy Advice (M93)

Scope of Appropriation

This appropriation is limited to providing advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government policy matters relating to vulnerable children and young people.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 955 955 4,184
Revenue from the Crown 955 955 4,184
Revenue from Others - - -

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote Social Development: Policy Advice 3,145 3,145 -
Vote Vulnerable Children, Oranga Tamariki: Policy Advice 955 955 -
Total 4,100 4,100 4,184

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve high quality policy decisions in relation to vulnerable children and young people.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The technical quality of policy advice papers assessed by a survey with a methodological robustness of 85% (see Note 1) will be no less than

73% 73% 73%

The satisfaction rating (see Note 2) given by Ministers for the quality and timeliness of policy advice, as per the Common Satisfaction Survey will be no less than

8.0 8.0 8.0

The total cost (see Note 3) per hour per person of producing outputs will be between

Establishing baseline Establishing baseline Establishing baseline

Note 1 - This measure is a compulsory policy advice measure for all public sector agencies.

Note 2 - The Common Satisfaction Survey rating measures Ministers' satisfaction with the quality, timeliness and value for money of policy advice on a scale from 1-10, where 1 means unsatisfied and 10 means extremely satisfied.

Note 3 - The total cost of an hour of professional staff time devoted to both policy advice and other policy unit outputs. Total cost includes the cost of labour, overheads, support staff, direct costs and outsourced work to support output production.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Vulnerable Children - Meeting Costs for the New Ministry 2017/18 - 94 168 168 168

Reasons for Change in Appropriation

This appropriation has increased by $3.229 million to $4.184 million in 2017/18. This is due to:

  • full year funding transferring from Vote Social Development in 2017/18 compared to three months funding in 2016/17: $3.145 million
  • new funding for Vulnerable Children - Meeting Costs for the New Ministry in 2017/18: $94,000.

The above is offset by:

  • the change in capital charge rate from 8% to 6%: $10,000.

2.2 - Departmental Other Expenses

Transformation Programme: Investing in New Zealand Children and their Families (M93)

Scope of Appropriation

This appropriation is limited to the co-design and implementation of system-wide reform of services provided to New Zealand's vulnerable children, young people and their families.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 11,600 11,600 21,624

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote: Social Development: Transformation Programme: Investing in New Zealand Children and their Families 5,400 5,400 -
Vote: Vulnerable Children, Oranga Tamariki: Transformation Programme: Investing in New Zealand Children and their Families 11,600 11,600 -
Total 17,000 17,000 21,624

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the delivery of a new operating model to support the system-wide reform of services provided to New Zealand's vulnerable children, young people and their families.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Report back on the recruitment of caregivers communications programme will be provided by 31 July 2017

New measure for 2017/18 New measure for 2017/18 Achieved

Baseline actuarial valuation for children and young people completed by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

National services (see Note 1) in place for Voice of the Young and Care Experienced (VOYCE) - Whakarongo Mai by 30 September 2017

New measure for 2017/18 New measure for 2017/18 Achieved

Report back on learnings from the early enhancements and recommendations as to next steps will be provided by 31 August 2017

New measure for 2017/18 New measure for 2017/18 Achieved

Note 1 - Services include: access to VOYCE - Whakarongo Mai via 0800 number and online services for VOYCE - Whakarongo Mai operational.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Reasons for Change in Appropriation

This appropriation has increased by $10.024 million to $21.624 million in 2017/18. This is mainly due to:

  • full year funding transferring from Vote Social Development in 2017/18 compared to three months funding in 2016/17: $12.924 million.

The above is offset by:

  • funding transferring to the Connection and Advocacy Service appropriation: $2.900 million.

2.3 - Departmental Capital Expenditure and Capital Injections

Ministry for Vulnerable Children, Oranga Tamariki - Capital Expenditure PLA (M93)

Scope of Appropriation

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

Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 2,717 2,717 6,150
Intangibles 1,284 1,284 3,000
Other - - -

Total Appropriation

4,001 4,001 9,150

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the replacement or upgrade of assets in support of the delivery of the Ministry's services.

How Performance will be Assessed and End of Year Reporting Requirements

The Ministry for Vulnerable Children, Oranga Tamariki will be preparing a Long Term Investment Plan in November 2017 and this will include details on its future capital expenditure plans. In the interim, the Ministry intends to complete:

  • capital projects currently underway that were transferred to the Ministry upon its establishment on 1 April 2017
  • the Digital Workplace Programme approved in Budget 2017, and
  • ensure existing assets are maintained and renewed as scheduled within its current asset management plans.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Reasons for Change in Appropriation

This appropriation has increased by $5.149 million in 2017/18 to $9.150 million. This is due to full year funding transferring from Vote Social Development in 2017/18 compared to three months funding in 2016/17.

Capital Injections and Movements in Departmental Net Assets

Ministry for Vulnerable Children, Oranga Tamariki

Details of Net Asset Schedule 2016/17
Estimated Actual
$000
2017/18
Projected
$000
Explanation of Projected Movements in 2017/18
Opening Balance - 158,164  
Capital Injections 123,164 5,000 Digital Workplace Programme $5 million.
Capital Withdrawals - -  
Surplus to be Retained (Deficit Incurred) - -  
Other Movements 35,000 -  

Closing Balance

158,164 163,164  

Part 3 - Details of Non-Departmental Appropriations

3.1 - Non-Departmental Output Expenses

Connection and Advocacy Service (M93)

Scope of Appropriation

This appropriation is limited to supporting an independent connection and advocacy service for children and young people in statutory care.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation - - 2,900

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote: Vulnerable Children, Oranga Tamariki: Transformation Programme: Investing in New Zealand Children and their Families 2,900 2,900 -
Total 2,900 2,900 2,900

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve reduced isolation for children and young people in care by connecting them with each other, promoting their individual and collective voice and building their leadership.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of children and young people in statutory care who receive an initial contact from the connection and advocacy service will be no less than

New measure 2017/18 New measure 2017/18 95%

A nationally delivered online and phone advice and support service to be established and accessible to children and young people in care by 30 June 2018

New measure 2017/18 New measure 2017/18 Achieved

A minimum of one event to begin to connect local children and young people in care with each other will have been held in each Ministry for Vulnerable Children, Oranga Tamariki region by 30 June 2018

New measure 2017/18 New measure 2017/18 Achieved

All children and young people in care (including those who were in care prior to 1 April 2017 and those who come into care from then) will be given a welcome pack which includes information about the connection and advocacy service and their rights in care by 30 June 2018

New measure 2017/18 New measure 2017/18 Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Minister for Children in the Vote Vulnerable Children, Oranga Tamariki Non-Departmental Appropriations Report.

Service Providers

Contracts for 2017/18 are under negotiation.

Reasons for Change in Appropriation

This is a newly established appropriation in 2017/18. The funding is from a fiscally neutral transfer from the Departmental Other Expense appropriation, Transformation Programme: Investing in New Zealand Children and their Families, for Connection and Advocacy Services.

Reducing Youth Reoffending Social Bond Pilot (M93)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Reducing Youth Reoffending Social Bond Pilot (M93)

This appropriation is limited to the outcome payments incurred under the Reducing Youth Reoffending Social Bond Pilot.

Commences: 01 July 2017

Expires: 30 June 2022
Original Appropriation 24,000
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 24,000
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 -
Estimated Actual for 2017/18 5,398
Estimated Appropriation Remaining 18,602

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve a reduction in reoffending by children and young people.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Establish a social bond to address youth reoffending.

New measure for 2017/18 New measure for 2017/18 Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Minister for Children in the Vote Vulnerable Children, Oranga Tamariki Non-Departmental Appropriations Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
The Second New Zealand Social Bond: Reducing Youth Reoffending in South Auckland  2017/18   -  5,398  8,039  9,886  677

Reasons for Change in Appropriation

This is a newly established appropriation from 1 July 2017.

 

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

Multi-Category Expenses and Capital Expenditure

Investing in Children and Young People (M93)

Overarching Purpose Statement

The overarching purpose of this appropriation is to ensure New Zealand's vulnerable children and young people have positive outcomes.

Scope of Appropriation

Departmental Output Expenses
Early and Intensive Intervention
This category is limited to intake assessments and early and intensive intervention services for children and young people exhibiting needs which place them at risk of poor life outcomes and/or requiring a statutory intervention.
Prevention
This category is limited to providing prevention and awareness programmes and services to identify and support children, young people and their families at risk of poor life outcomes.
Statutory Intervention and Transition
This category is limited to providing statutory care and youth justice services, and services to transition children and young people from statutory intervention.
Supporting and Developing Providers and Services
This category is limited to service development; and approving, monitoring, contracting and managing the relationship with, and developing the capacity and capability of, service providers.

Expenses, Revenue and Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Total Appropriation

148,600 148,600 802,998

Departmental Output Expenses

     
Early and Intensive Intervention 24,587 24,587 251,076
Prevention - - 13,372
Statutory Intervention and Transition 110,789 110,789 503,087
Supporting and Developing Providers and Services 13,224 13,224 35,463

Funding for Departmental Output Expenses

     

Revenue from the Crown

145,500 145,500 792,145
Early and Intensive Intervention 24,587 24,587 251,076
Prevention - - 13,372
Statutory Intervention and Transition 110,439 110,439 501,275
Supporting and Developing Providers and Services 10,474 10,474 26,422

Revenue from Others

3,100 3,100 10,853
Statutory Intervention and Transition 350 350 1,812
Supporting and Developing Providers and Services 2,750 2,750 9,041

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote: Social Development: Departmental Output Expense: Care and Protection Services 293,459 293,459 -
Vote: Social Development: Departmental Output Expense: Children's Action Plan 8,190 8,190 -
Vote: Social Development: Departmental Output Expense: Investing in Communities 22,502 22,502 -
Vote: Social Development: Departmental Output Expense: Youth Justice Services 98,810 98,810 -
Vote: Social Development: Non-Departmental Output Expense: Education and Prevention Services 7,055 7,055 -
Vote Social Development: Non-Departmental Output Expense: Counselling and Rehabilitation Services 13,334 13,334 -
Vote: Social Development: Non-Departmental Output Expense: Family Wellbeing Services 73,715 73,715 -
Vote: Social Development: Non-Departmental Output Expense: Strong Families and Connected Communities 53,250 53,250 -
Vote: Vulnerable Children, Oranga Tamariki: Investing in Children and Young People MCA 148,600 148,600 -
Total 718,915 718,915 802,998

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an improvement in the expected lifetime wellbeing of vulnerable children and young people.

How Performance will be Assessed for this Appropriation

  • The percentage of children and young people re-notified to the Ministry for Vulnerable Children, Oranga Tamariki will be no more than 69%.
  • Report on the percentage of children (who were notified to the Ministry for Vulnerable Children, Oranga Tamariki) who have experienced a successful transition to independence.

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

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Departmental Output Expenses

     

Early and Intensive Intervention

     

This category is intended to achieve an improvement in the expected lifetime wellbeing for children and young people exhibiting needs which place them at risk of poor life outcomes and a reduction in the recurrence and escalation of need.

     

The percentage of children and young people who have notifications assessed as 'no further action' who are re-notified to the Ministry for Vulnerable Children, Oranga Tamariki will be no more than

43% 43% 43%

Establish an effective measure for the percentage of cases with appropriate assessment completed by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

Establish an effective measure for the percentage of assessments that meet quality standards by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of critical (within 24 hours) notifications of immediate concern which are assessed within operational standards appropriate to the needs of the child or young person will be between

95 - 100% 97% 95 - 100%

The percentage of very urgent (within 48 hours) notifications of immediate concern which are assessed within operational standards appropriate to the needs of the child or young person will be between

95 - 100% 97% 95 - 100%

Establish an effective measure for the percentage of children and young people with a notification of abuse and or neglect who have a repeat notification by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of children and young people (0-17 year olds) who were present at, or reside in a house where Police attended more than one family violence callout will be no more than

4% 4% 4%

The rate in 1,000 of children and young people (0-17 year olds) admitted to hospital as a result of a preventable illness or injury more than once will be no more than

New measure for 2017/18 New measure for 2017/18 5.0

The percentage of children who have had a substantiated notification of abuse to the Ministry for Vulnerable Children, Oranga Tamariki within 12 months after leaving the Family Start programme or receiving support from Social Services in Schools providers will be no less than

Establishing baseline Establishing baseline Establishing baseline

Prevention

     

This category is intended to achieve an improvement in the expected lifetime wellbeing for children and young people showing early indicators of need, and a reduction in the recurrence and escalation of need.

     

The percentage of children and young people notified to the Ministry for Vulnerable Children, Oranga Tamariki will be no more than

6% 6% 6%

Establish an effective measure for the proportion of services with evidence of effectiveness by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of children and young people (0-17 year olds) who were present at, or reside in a house where Police attended a family violence callout will be no more than

6% 6% 6%

The rate in 1,000 of children and young people (0-17 year olds) admitted to hospital as a result of a preventable illness or injury will be no more than

New measure for 2017/18 New measure for 2017/18 36.0

Establish an effective measure for the percentage of communities funded by prevention programmes that show evidence of reducing risk factors for vulnerable families by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

Statutory Intervention and Transition

     

This category is intended to achieve an improvement in the expected lifetime wellbeing for children and young people receiving, or transitioning from, statutory intervention, and a reduction in the recurrence and escalation of need.

     

Establish an effective measure for percentage of children and young people abused in care by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of children and young people referred to a youth justice family group conference who are re-referred within 12 months will be no more than

40% 40% 40%

The percentage of children and young people in care who have completed an appropriate needs assessment will be no less than

70% 70% 70%

Establish an effective measure for percentage of assessments that meet quality standards by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of children and young people placed with siblings if in care will be no less than

75% 75% 75%

The percentage of children and young people who have been in care for 12 months or less with more than one caregiver will be no more than

58% 58% 58%

The percentage of children and young people who have been in care for more than 12 months with more than one caregiver will be no more than

41% 41% 41%

The percentage of exits from care which are sustainable for children and young people will be no less than

83% 83% 83%

Report on the percentage of children and young people (15-17 year olds) with youth justice history not in education, training or employment following intervention

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of victims engaging in family group conferences will be no less than

50% 50% 50%

The percentage of children and young people subject to a notification and/or investigation for an incident while in care will be no more than

20% 20% 20%

Report on the percentage of children and young people enrolled in an appropriate education service while in statutory care

New measure for 2017/18 New measure for 2017/18 Achieved

Report on the percentage of children and young people enrolled in an appropriate education service after having left statutory care

New measure for 2017/18 New measure for 2017/18 Achieved

Report on the percentage of children and young people that have achieved NCEA level 2 or an equivalent qualification while in statutory care

New measure for 2017/18 New measure for 2017/18 Achieved

Report on the percentage of children and young people that have achieved NCEA level 2 or an equivalent qualification after leaving statutory care

New measure for 2017/18 New measure for 2017/18 Achieved

Report on the truancy rates for children and young people while in statutory care

New measure for 2017/18 New measure for 2017/18 Achieved

Report on the truancy rates for children and young people after having left care

New measure for 2017/18 New measure for 2017/18 Achieved

Report on the proportion of children and young people not in education, employment or training (NEET) after having left care

New measure for 2017/18 New measure for 2017/18 Achieved

Supporting and Developing Providers and Services

     

This category is intended to achieve an increase in provider capacity and capability, and effective monitoring and management of contracted services.

     

The percentage of providers contractually required to supply client level data to the Ministry for Vulnerable Children, Oranga Tamariki who comply with this requirement will be no less than

New measure for 2017/18 New measure for 2017/18 100%

The percentage of funding for contracted services that will have appropriate result measures by 30 June 2018 will be no less than

New measure for 2017/18 New measure for 2017/18 50%

The percentage of providers that meet their contractual reporting requirements will be no less than

New measure for 2017/18 New measure for 2017/18 100%

The percentage of contracted services which achieved or exceeded the target for their primary contracted measure will be no less than

New measure for 2017/18 New measure for 2017/18 75%

Implement the commissioning framework to provide the tools, systems and resources to help shift the Ministry for Vulnerable Children, Oranga Tamariki from the purchaser of services to the commissioner of services, and to support the adoption of different delivery models that better meet the needs of vulnerable children by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

Establish relationships with at least three strategic partners by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of Level 1 and Level 2 Ministry for Vulnerable Children, Oranga Tamariki contracted providers who will be assessed at least once every 2 years against the Ministry of Social Development approval standards will be no less than

100% 100% 100%

The percentage of Level 3 Ministry for Vulnerable Children, Oranga Tamariki contracted providers who will be assessed within the review frequency against the Ministry of Social Development approval standards will be no less than

90% 95% 90%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry for Vulnerable Children, Oranga Tamariki in the Ministry for Vulnerable Children, Oranga Tamariki Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000

Departmental Output Expenses

           
Early and Intensive Intervention
           
Vulnerable Children - Meeting Costs for the New Ministry 2017/18 - 6,672 7,782 7,782 7,782
Family Start - Expansion to National Coverage 2017/18 - 5,760 6,755 7,568 8,032
First Technology Enhancements and Future Technology Design 2017/18 - 3,447 - - -
Children's Teams - Ongoing Operations 2017/18 - 1,818 7,888 - -
Raising the Age of Care and Protection to 18 2017/18 - 703 907 1,058 1,058
Digital Workplace Programme 2016/17 387 2,480 2,706 2,706 2,706
Statutory Intervention and Transition
           
Vulnerable Children - Meeting Costs for the New Ministry 2017/18 - 12,373 15,244 15,244 15,244
Caregiver Support Package 2017/18 - 7,545 15,480 1,895 1,440
First Technology Enhancements and Future Technology Design 2017/18 - 6,743 - - -
Privacy and Official Information Services 2017/18 - 2,750 2,750 - -
Raising the Age of Care and Protection to 18 2017/18 - 12,696 16,383 19,115 19,115
Supporting Legislative Amendments to the Youth Justice System 2017/18 - 3,600 8,050 - -
Youth Justice - Additional Residential Beds 2016/17 916 2,296 2,218 - -
Child Centred Feedback, Insights and Complaints Mechanism 2016/17 150 1,600 1,250 1,250 1,250
Digital Workplace Programme 2016/17 756 4,853 5,294 5,294 5,294
Supporting and Developing Providers and Services
           
Vulnerable Children - Meeting Costs for the New Ministry 2017/18 - 693 1,226 1,226 1,226
First Technology Enhancements and Future Technology Design 2017/18 - 510 - - -
Digital Workplace Programme 2016/17 57 367 400 400 400

Reasons for Change in Appropriation

This appropriation has increased by $654.398 million to $802.998 million in 2017/18. This is due to:

  • transfer of full year funding from Vote Social Development in 2017/18 comparing to three months funding in 2016/17: $585.286 million
  • new funding for Vulnerable Children - Meeting Costs for the New Ministry in 2017/18: $19.738 million
  • new funding for Raising the Age of Care and Protection to 18 in 2017/18: $13.399 million
  • new funding for First Technology Enhancements and Future Technology Design in 2017/18: $10.700 million
  • new funding for Caregiver Support Package in 2017/18: $7.545 million
  • increased funding for Digital Workplace Programme in 2017/18: $6.500 million
  • new funding for Family Start- Expansion to National Coverage in 2017/18: $5.760 million
  • new funding for Supporting Legislative Amendments to the Youth Justice System in 2017/18: $3.600 million
  • new funding for Privacy and Official Information Services in 2017/18: $2.750 million
  • new funding for Children's Teams - Ongoing Operations in 2017/18: $1.818 million
  • increased funding for Child Centred Feedback, Insights and Complaints Mechanism in 2017/18: $1.450 million
  • increased funding for Youth Justice - Additional Residential Beds in 2017/18: $1.380 million
  • new funding for Regional Integration Pilot initiative: $980,000
  • new funding for Board and Clothing allowances CPI adjustment: $773,000.

The above is offset by:

  • transfer of Whanau Ora Information System in 2016/17: $5.147 million
  • reduction due to change in capital charge rate from 8% to 6%: $1.692 million
  • reduced funding for Re-categorisation of Sexual Violence Support Services: $442,000.

Published 25 May 2017
Page updated 11 Oct 2017

The Estimates contain requests from Vote Ministers for appropriations.

The Estimates outlines for the financial year about to start (the Budget year) expenses and capital expenditure the Government plans to incur on specified areas within each Vote, and capital injections it plans to make to individual departments.  The Estimates is organised into 10 sector volumes, with each Vote allocated to one sector.  Supporting information in the Estimates summarises the new policy initiatives and trend information for each Vote and provides information on what is intended to be achieved with each appropriation in a Vote and how performance against each appropriation will be assessed and reported on after the end of the Budget year.

See Budget Data for Excel workbooks containing the data published in the Estimates of Appropriations 2017/18.

See also the Summary Tables for the Estimates of Appropriations 2017/18.

 

Chapters of the Social Development and Housing Sector volume of the Estimates of Appropriations 2017/18 are available in PDF and HTML format.

Using PDF Files

Contents

Introduction

Purpose of the Estimates of Appropriations

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

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

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

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

How the Estimates of Appropriations are Organised

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

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

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

The number of Votes has increased from 44 in the 2016/17 Estimates of Appropriations to 46 for 2017/18 as:

  • Vote Vulnerable Children, Oranga Tamariki was created on 1 April 2017 (and included in the 2016/17 Supplementary Estimates) consequent on the establishment of the Ministry for Vulnerable Children, Oranga Tamariki
  • Vote Social Housing has been created by transferring relevant appropriations from Vote Social Development and Vote Building and Housing.

The table below shows the Votes in each sector and which department (or Office of Parliament) administers each Vote.

Votes in Each Sector

Votes by Sector Department Administering Vote(s)
Economic Development and Infrastructure Sector - B.5 Vol.1  
Vote Business, Science and Innovation Ministry of Business, Innovation and Employment
Vote Labour Market  
Vote Transport Ministry of Transport
Education Sector - B.5 Vol.2  
Vote Education Ministry of Education
Vote Tertiary Education  
Vote Education Review Office Education Review Office
Environment Sector - B.5 Vol.3  
Vote Environment Ministry for the Environment
Vote Conservation Department of Conservation
Vote Parliamentary Commissioner for the Environment Parliamentary Commissioner for the Environment
External Sector - B.5 Vol.4  
Vote Foreign Affairs and Trade Ministry of Foreign Affairs and Trade
Vote Official Development Assistance  
Vote Defence Ministry of Defence
Vote Defence Force New Zealand Defence Force
Vote Customs New Zealand Customs Service
Finance and Government Administration Sector - B.5 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 The Treasury
Vote Revenue Inland Revenue Department
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 Ombudsman
Health Sector - B.5 Vol.6  
Vote Health Ministry of Health
Justice Sector - B.5 Vol.7  
Vote Justice Ministry of Justice
Vote Courts  
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
Māori, Other Populations and Cultural Sector - B.5 Vol.8  
Vote Māori Development Te Puni Kōkiri
Vote Treaty Negotiations Ministry of Justice
Vote Pacific Peoples Ministry for Pacific Peoples
Vote Women Ministry for Women
Vote Statistics Statistics New Zealand
Vote Internal Affairs Department of Internal Affairs
Vote Arts, Culture and Heritage Ministry for Culture and Heritage
Vote Sport and Recreation  
Primary Sector - B.5 Vol.9  
Vote Primary Industries and Food Safety Ministry for Primary Industries
Vote Lands Land Information New Zealand
Social Development and Housing Sector - B.5 Vol.10  
Vote Social Development Ministry of Social Development
Vote Social Housing  
Vote Vulnerable Children, Oranga Tamariki Ministry for Vulnerable Children, Oranga Tamariki
Vote Building and Housing Ministry of Business, Innovation and Employment

Appropriations

Purpose and Nature of Appropriations

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

Neither the Crown nor an Office of Parliament can legally incur any expense or capital expenditure - as those terms are defined in the 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 seven types of appropriation.

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

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

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

Responsibility for Appropriations

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

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

Types of Appropriation

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

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 or Related 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 Jobseeker Support and Emergency 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 and limitations on how Offices of Parliament can be funded mean that this type of appropriation is unlikely to be used.

  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 related expenses, or borrowing expenses.

Other expenses is the residual 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.
Multi-Category Appropriations Departmental or
Non-Departmental
Allows separate categories of departmental output expenses, non-departmental output expenses, departmental other expenses, non-departmental other expenses, or non-departmental capital expenditure to be grouped together in one appropriation provided all the categories contribute to a single overarching purpose.

Types of Output Expense Appropriations

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

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

Standard Output Expense Appropriations

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

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

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

Single category of output expenses only:  The scope is limited to a single category of outputs (a grouping of similar or related 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 a multi-category appropriation is not required.

Revenue-Dependent Appropriations (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 category 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 category 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 category of output expenses only:  The scope of an RDA is limited to a single category of outputs (a grouping of similar or related outputs).

Amount limited by amount of revenue earned:  The amount of an RDA is limited tothe 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 category of outputs, where the full cost of the outputs is met by external parties and not the Crown.

Appropriation Period

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

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

Types of Crown Revenue and Capital Receipts

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

Crown Revenue Type Transaction Status Description
Tax Revenue Non-Departmental Tax payable to the Crown, such as Income Tax, GST and Fringe Benefit Tax.
Non-Tax Revenue Non-Departmental Revenue earned by the Crown from its investing and other operating activities.  Examples include interest income, capital charges and dividends from State-owned enterprises.
Capital Receipts Non-Departmental

Capital received by the Crown:

  • when loans are raised (which appear in Vote Finance) or repayments of principal are made on debts owed to the Crown (for example, in Vote Social Development), or
  • when capital assets are sold.

Capital Injections and Movements in Net Assets

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

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

Movement Type Description
Capital injections Investment by the Crown in a department, which increases the department's closing net asset balance.
Capital withdrawals Returns of capital by a department to the Crown, which reduce the department's closing net asset balance.
Surplus to be retained/(deficit incurred) The net surplus forecast to be retained by a department from its operations for a financial year in accordance with section 22(1) of the PFA, or the forecast deficit for the department.  A surplus or deficit will, respectively, increase or decrease the department's closing net asset balance.
Other movements This section is for any other movements that will affect the department's net asset balance. For example movements in asset revaluation reserves.

Guide to Reading the Estimates of Appropriations

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

Title page The title page specifies the appropriation Minister(s) responsible for existing and proposed appropriations in the Vote, the appropriation administrator, and the responsible Minister for the department.
Overview A plain-language overview of the focus of the appropriations in the Vote.
Details of each appropriation and capital injection

One or more tables containing information on each appropriation in a Vote:

Annual and Permanent Appropriations - The title, scope, and amount of each annual and permanent appropriation, the title and single overarching purpose of each multi-category appropriation and the title, scope and forecast amount of each category within a multi-category appropriation.

  • The 2016/17 Final Budgeted column shows the amount in the 2016/17 Estimates varied by any change in the 2016/17 Supplementary Estimates.
  • The 2016/17 Estimated Actual column shows the estimated amount that will have been spent against each appropriation (or category within a multi-category appropriation) by the end of the 2016/17 financial year.
  • In the 2017/18 Budget column, the annual amounts for which parliamentary authority is sought in the Appropriation (2017/18 Estimates) Bill appear in bold type. As permanent appropriations have already been approved by Parliament, their amounts are forecasts, not a limit, so are not shown in bold type.

Multi-Year Appropriations - The type, title, scope and amount of each MYA , including any adjustments since originally appropriated, amounts incurred or estimated for particular years, and the estimated remaining balance.

Total Annual, Permanent and Multi-Year Appropriations - The Total Annual and Permanent Appropriations and MYA forecasts by appropriation type. This table summarises total appropriations, or forecasts for MYAs for the Vote.

Capital Injection Authorisations - The name of the department seeking the additional capital.

  • The 2016/17 Final Budgeted column shows the amount in the 2016/17 Estimates varied by any change in the 2016/17 Supplementary Estimates
  • The 2016/17 Estimated Actual amount is the estimated amount of capital injection that will have been made to the department/Office by the end of the 2016/17 financial year.
  • The 2017/18 Budget amount is the amount for which parliamentary authority is sought in the Appropriation (2017/18 Estimates) Bill and appears in bold type.

Supporting information

 
Part 1 - Vote as a Whole

Part 1.1 New Policy initiatives - A table showing how new initiatives (if any) and the associated expenses or capital expenditure are allocated to appropriations in the Vote. References are included where appropriations in other Votes are affected by the same initiative.

Part 1.2 Trends in the Vote- A presentation of the actual and estimated trends in the Vote.

Summary of Financial Activity - A table showing financial information for the Vote over the preceding five years (actual, budgeted or estimated actual), the current year (Budget) and the following three years (estimated) for each type of appropriation and Crown revenue and capital receipts.  Where Votes have been combined or separated, appropriations have been moved into/out of a Vote, or where categories of expenses or capital expenditure have been moved into/out of a multi-category appropriation, to the extent practicable the information in the table is restated as if these adjustments had occurred before the beginning of the period covered by the table.

Adjustments to the Summary of Financial Activity - A table showing any restated adjustments made to the preceding five years of the Summary of Financial Activity table. Where no restatement has occurred, a statement to this effect is inserted under this sub-heading.

Part 1.3 Analysis of Significant Trends - High-level analysis of appropriations and Crown revenue and capital receipts by type over the nine financial years covered by the Summary of Financial Activity table, explanations of significant changes and may also contain graphical presentations.

Part 1.4 Reconciliation of Changes in Appropriation Structure - A table providing a reconciliation and explanation of any changes in the structure or classification of appropriations (and categories within MCAs) made in the Budget year to facilitate traceability of expenditure between financial years.

Part 1.5 Relationship between individual Appropriations and the Work Programme - An optional table to be used when the relationship between individual Appropriations and the Work Programmeis not readily apparent from the information provided elsewhere in the supporting information.

Guide to Reading the Estimates of Appropriations (continued)

Parts 2-4 Information Provided for each Appropriation or Capital Injection
(where applicable)
Part 2- Departmental Appropriations Part 3 - Non-Departmental Appropriations
 
Part 4 - MCAs
  Part 2.1
Output Expenses
Part 2.2
Other Expenses*
Part 2.3
Capital Expenditure and Capital Injections**
Part 3.1
Output Expenses
Part 3.2
Benefits or Related Expenses
Part 3.3
Borrowing Expenses
Part 3.4
Other Expenses
Part 3.5
Capital Expenditure
Part 4
Expenses and Capital Expenditure
Title of the appropriation.
The scope of the appropriation. N/A
The single overarching purpose statement for an MCA. N/A N/A N/A N/A N/A N/A N/A N/A
The scope of each category in a multi-category appropriation. N/A N/A N/A N/A N/A N/A N/A N/A
A table showing the budgeted amount and estimated actual expenditure for the previous financial year, and the budgeted amount for the appropriation for the current financial year. ✓ and revenue sources ✓ for capital expenditure
 


 
Components of the appropriation or category (where applicable). This information, while not required by the PFA, allows for more meaningful information to be provided where the expense is more than $50 million. N/A N/A
 


 
Comparators for restructured appropriations or categories (where applicable). N/A
What is intended to be achieved with each appropriation.
How performance will be assessed for each appropriation (or a statement of why the appropriation has been exempted from this requirement).
 
N/A
What is intended to be achieved with each category of an MCA, and (if not exempted from reporting) how performance will be assessed. N/A N/A N/A N/A
 
N/A N/A N/A N/A
Which appropriation Minister or agency will report at the end-of-year on the performance of the appropriation (if not exempted from reporting) and the name of the document in which the information will be presented to the House.

 
N/A
Service providers table (or text if there is only one service provider), which identifies the main service providers for each non-departmental output expense and non-departmental other expense appropriations. N/A N/A N/A

 


 
N/A N/A N/A
Current and past policy initiatives (if any). The current and past policy initiatives tables provides a five-year history of announced initiatives that impact on the Budget year, the preceding year, and the following three years. N/A

 


 
Reasons for change, which explain significant changes of amounts of an appropriation between years (if any).
 
Conditions on use of appropriation, which can include administrative criteria and processes contained in legislation, regulation and Government decisions. N/A N/A
 

 
N/A
Memorandum accounts (if any), which record accumulated surpluses and deficits incurred in the provision of outputs on a basis of full cost-recovery from third parties (including other departments). N/A N/A
 
N/A

 
N/A N/A N/A N/A
Multi-year appropriations (if any). The information provided is similar to other information above, with the exception of memorandum accounts. N/A N/A
 

 
N/A N/A N/A
Capital injections and movements in departmental net assets table. This table shows how capital injections to be authorised relate to movements in departmental net assets and what any capital injection is for. N/A N/A
 
N/A

 
N/A N/A N/A N/A N/A

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

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

Useful Links

  • The suite of documents presented to the House on Budget day can be accessed in the Budgets section of the website: www.treasury.govt.nz/budget/2017
  • Summary Tables, which are available online, provide a high-level perspective and comparative “ready reference” for all appropriations (annual, permanent and MYAs). They cover:
    • the trends for all Votes - showing actual or estimated actual totals for the five years to 2016/17, Budget totals proposed for 2017/18 and estimated totals for the three financial years to 2020/21 with respect to each type of appropriation and of Crown revenue and capital receipts
    • each appropriation type and total appropriations - showing budgeted and estimated actual totals for 2016/17 and totals proposed for 2017/18 for each Vote
    • multi category expenses and capital expenditure (MCAs)
    • current-year revenue-dependent appropriations for each Vote
    • multi-year appropriations by Vote, appropriation type and period
    • capital injection authorisations for 2017/18, and
    • types of Crown revenue and Crown capital receipts for 2016/17 and 2017/18 associated with each Vote.

For inclusion in the Summary Tables, MYAs are converted into actual or forecast amounts for each financial year. The summary tables can be accessed here: www.treasury.govt.nz/budget/2017/summarytables/estimates/

An electronic archive of Budgets of the Government of New Zealand from 1997 to 2016 can be accessed here: www.treasury.govt.nz/budget/archive

How the Estimates Relate to Other Performance Information Presented to the House

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

Strategic Intentions

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

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

Annual Performance Expectations

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

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

End of Year Performance Information

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

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

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

Terms and Definitions

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

 
Term Definition
Appropriation An appropriation is a parliamentary authorisation for the Crown or an Office of Parliament to incur expenses or capital expenditure.
Appropriation Minister The Minister responsible for specific appropriations being sought within a Vote.  As several Ministers may now hold appropriations within a single Vote, each appropriation will have a tag (M1, M2 etc) identifying the Minister responsible for that line item.
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.
Capital injection Investment by the Crown in a department, which increases the department's net asset balance.
Capital withdrawals Returns of capital by a department to the Crown, which reduce the department's closing net asset balance.
Category A grouping of similar or related expenses or a grouping of similar or related capital expenditure.
Crown revenue Revenue earned on behalf of the Crown.  These flows are accounted for as revenue to the Crown rather than as departmental revenue.
Department Generally references to Departments also include an Office of Parliament as provided in section 26E(5) of the Public Finance Act 1989.
Estimated actual

For an amount, the estimated actual incorporates the actual amount that has been spent and an estimate of the amount to be spent for the rest of the year. 

For anything else, the estimated actual incorporates actual performance that has been achieved and an estimate of performance for the rest of the year. 

Expenses Amounts consumed or losses of service potential or future economic benefits, other than those relating to capital withdrawals, in a financial year.  [An accrual concept measured in accordance with generally accepted accounting practice.]
GST Goods and services tax.  Appropriations are stated GST exclusive.
MCA Multi-category appropriation.
MYA Multi-year appropriation.
N/A Not applicable.
Office of Parliament There are three Offices of Parliament - the Controller and Auditor General, the Office of the Ombudsmen, and the Parliamentary Commissioner for the Environment. Each is headed by an Officer of Parliament.
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 - the traditional term for an appropriation authorised for an indefinite period by legislation other than an Appropriation Act (also known as a permanent appropriation).
RDA Revenue-dependent appropriations, which are 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 or Office of Parliament.

Vol 10 Social Sector Overview

Social Sector Overview Statement

All Votes in this volume, Vote Building and Housing, Vote Social Development and the new Votes Vote Social Housing and Vote Vulnerable Children, Oranga Tamariki, are part of the Social Sector, which also includes Vote Education (in volume 2), Vote Health (in volume 6), Vote Corrections, Vote Courts, Vote Justice and Vote Police (all in volume 7) and Vote Māori Development and Vote Pacific Peoples (both in volume 8). In addition, appropriations to be used by the Social Investment Agency are in Vote State Services (in volume 5).

Government Priorities for the Social Sector

Agencies within the social sector deal with some of the most complex issues facing New Zealand today. For very vulnerable New Zealanders the solutions do not sit within the ambit of a single agency and so agencies have to take person and family/whānau-centred ways of working to improve outcomes. The sector collaborates and undertakes joint activity at local, regional and national levels, when necessary to achieve Government Priorities such as through the focus on investing in vulnerable children through the establishment of a new government agency, and the Better Public Services Results Programme. Some example areas requiring cross-agency collaboration include Welfare Dependence, Health Outcomes for Children, Educational Attainment and Social Housing.

The Government's intent to implement social investment approaches across the social sector provides an opportunity for agencies to sharpen their focus on lifting outcomes for all New Zealanders, but particularly for the most vulnerable. Social investment promotes a client-centred approach so the social sector can help improve the lives of vulnerable New Zealanders and increase the effectiveness of government spending.

Social investment at its most simple is about investing earlier, and more effectively, in the lives of those who may otherwise be on track to experience poor outcomes so they achieve better in the longer-term and at a lower total cost. This will be achieved through better use of data and evidence, more rigorous programme evaluation and both a whole-of-life and whole-of-system understanding of impact, centred around people, not agencies, and whole of life service decision-making and delivery systems.

The Government has established a new portfolio with a Minister Responsible for Social Investment to further advance social investment. As well as better understanding and addressing need within portfolios, social investment approaches will increase understanding of the whole-of-social-system response required to achieve desired outcomes for particular groups of people over their lifetime.

To support the Minister and the sector, a Social Investment Board and Social Investment Agency are being established on 1 July 2017.

How we will Deliver on Government Priorities

Social Sector agencies will continue to develop social investment approaches in their sectors. Agencies are furthering their understanding of the application of investment approaches. There are now investment approaches to welfare, social housing and justice. The Ministry for Vulnerable Children, Oranga Tamariki, launched on 1 April 2017, is taking an investment approach to vulnerable children and is the first agency established from day one using a social investment approach.

The Social Investment Board will drive action to improve outcomes for vulnerable population. It will:

  • advise on the strategic direction, priorities and joint results for the social sector in areas where better results cannot be achieved without a collective approach
  • advise on best investments for achieving joint results, including advice on optimal resource allocations and any reprioritisation across time, and how investments are performing
  • oversee the implementation of any investment plans agreed by the government, working with social sector agencies to deliver demonstrable results.

Social sector agencies are continuing to trial new ways of working. A number of frontline initiatives are adopting social investment principles, for example Whānau Ora, the Family Violence Integrated Safety Response and Place-Based Initiatives. Whānau Ora supports whānau to achieve their aspirations by placing whānau at the centre of planning and decision-making and tailoring solutions relevant to their unique circumstances. The Integrated Safety Response tests an improved multi-agency approach to risk assessment and safety planning for families following a Police family violence incident or high risk prison release. The Place-Based Initiatives aim to improve outcomes for at-risk young people and their families by giving local social sector leaders the data, flexibility and support to collectively tailor responses to what works in their specific communities.

Agencies will be assisted by the social investment architecture developed by the Social Investment Agency. This will include tools, templates, methodologies and analysis to drive effective practice across the social sector. The Social Investment Agency will also provide whole of life and whole of system advice to Ministers, monitor capability across the sector and monitor the impact of some investments and the social investment approach.

How we will Measure Performance

Measurement is inherent in social investment approaches. It includes:

  • Measurement and evaluation to ensure service effectiveness
  • Feedback loops to inform decision makers
  • Commissioning of services to achieve desired outcomes
  • Social licence to gain New Zealanders' support for the sharing and use of data
  • Governance across the social investment system so we can better understand the impact we are having.

There is an expectation that social sector agencies will use social investment approaches to enhance their business as usual operations. Greater use of data and evidence and a focus on tracking outcomes will continue to improve agencies' understanding of their customers and service effectiveness, and enable them to identify opportunities across the system to reduce future demand pressures.

The Social Investment Board will formalise the collective accountability of chief executives for social investment advice and the delivery of results. The Board will have a role in monitoring the performance of investments.

Vote Building and Housing

APPROPRIATION MINISTER(S): Minister for Building and Construction (M9), Minister for Social Housing (M37), Minister Responsible for HNZC (M90)

APPROPRIATION ADMINISTRATOR: Ministry of Business, Innovation and Employment

RESPONSIBLE MINISTER FOR MINISTRY OF BUSINESS, INNOVATION AND EMPLOYMENT: Minister for Economic Development

Overview of the Vote

Some social housing-related appropriations that in previous years were in Vote Building and Housing are in 2017/18 in the new Vote Social Housing, established with effect from 1 July 2017.

Three Ministers are responsible for appropriations in Vote Building and Housing.

The Minister for Building and Construction is responsible for appropriations of:

  • just over $81 million for providing services relating to performance and monitoring, residential tenancies and unit titles, professional engineering advice and assessment, delivering regulatory and control services for the building industry under the Building Act 2004 and related consumer information, maintaining registration and licensing regimes for building practitioners and electrical workers, administration of the Weathertight Financial Assistance Package and providing information to increase health and safety in residential rental properties
  • just under $1 million for provision of services to residents of Christchurch affected by the Christchurch earthquakes
  • just over $13 million for the purchase of housing related services from Housing New Zealand Corporation (HNZC)
  • a total of just over $102 million to enable the provision of HomeStart for people who meet the required eligibility criteria
  • just under $2 million for payment to banks under the Weathertight Services Financial Assistance Package, and
  • just over $15 million for policy advice and other support to Ministers relating to building and housing including social housing.

The Minister for Social Housing is responsible for appropriations of:

  • just over $167 million for contributing to the development of housing on Crown land in selected locations
  • $2.500 million for the facilitation of Crown Land development
  • just under $1 million for the administration of the Community Housing Regulatory Authority.

The Minister Responsible for HNZC is responsible for one appropriation that totals just over $1 million, for the administration and management of properties held under the Housing Act 1955.

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

Details of Appropriations and Capital Injections

Annual and Permanent Appropriations

  2016/17 2017/18
Titles and Scopes of Appropriations by Appropriation Type Final
Budgeted
$000
Estimated
Actual
$000
Budget
$000

Departmental Output Expenses

     

Building Regulation and Control (M9)

This appropriation is limited to activities associated with the setting of performance standards for buildings and the design and delivery of regulatory schemes and other initiatives to help ensure those standards are met.
28,574 27,000 28,954

Community Housing Regulatory Authority (M37)

This appropriation is limited to the administration of the Community Housing Regulatory Authority.
700 700 700

Greater Christchurch Recovery (M9)

This appropriation is limited to the provision of services to residents of the greater Christchurch area affected by the Canterbury earthquakes to support the residential rebuild.
2,774 2,774 920

Occupational Licensing (M9)

This appropriation is limited to the development, implementation and maintenance of the registration and licensing regimes for building practitioners and electrical workers.
9,546 9,546 9,546

Professional Engineering Input Toward the Resolution of Canterbury Residential Rebuild Design Uncertainty (M9)

This appropriation is limited to the provision of professional engineering advice and support for either third parties or the general public to support the Canterbury residential rebuild.
700 700 560

Redevelopment of Surplus Crown Land (M37)

This appropriation is limited to activities associated with the facilitation of Crown land redevelopment.
2,003 2,003 2,503

Residential Tenancy and Unit Title Services (M9)

This appropriation is limited to the provision of residential tenancy and unit title dispute resolution services, information, education, advice and compliance and enforcement activities; administration and investment of residential tenancy bond monies; provision of administrative support to the State Housing Appeals Authority.
27,396 27,396 28,051

Weathertight Services (M9)

This appropriation is limited to assessing the eligibility of weathertight homes claims; independent technical assessment of claims, including reports on actual and probable damage with estimated costs of repair; administration of the financial assistance package; claim management until repair or claim lodged with the Weathertight Tribunal; provision of mediation services; and advice, information and education to support more informed consumer decisions.
8,907 5,982 12,278

Administering the Legacy Social Housing Fund (M37)

This appropriation is limited to the administration costs of the Legacy Social Housing Fund.
600 600 -

Canterbury Recovery: Building and Housing Assistance (M9)

This appropriation is limited to accommodation matching and placement services to people displaced during the Canterbury recovery.
1,249 1,146 -

Hurunui/Kaikoura Recovery: Accommodation Services (M9)

This appropriation is limited to accommodation matching and placement services to people displaced, response workers and seasonal workers requiring accommodation as a result of the Hurunui/Kaikoura earthquakes.
500 500 -

Special Housing Areas (M9)

This appropriation is limited to the costs of providing resource consenting processes in Special Housing Areas where a Special Housing Area is declared outside of a Housing Accord.
1,500 - -

Total Departmental Output Expenses

84,449 78,347 83,512

Non-Departmental Output Expenses

     

HNZC Housing Support Services (M9)

This appropriation is limited to the purchase of housing related services from Housing New Zealand Corporation including home ownership initiatives, the Housing Innovation Fund and Healthy Housing.
11,544 9,000 11,698

Management of Crown Properties Held Under the Housing Act 1955 (M90)

This appropriation is limited to the administration and management of Crown owned properties held under the Housing Act 1955.
1,395 1,395 1,395

Canterbury Earthquakes: Emergency and Temporary Accommodation (M9)

This appropriation is limited to operating expenses incurred on emergency and temporary accommodation for people displaced by the Canterbury earthquakes.
1,150 1,150 -

Total Non-Departmental Output Expenses

14,089 11,545 13,093

Benefits or Related Expenses

     

KiwiSaver HomeStart grant (M9)

This appropriation is limited to enabling the provision of the KiwiSaver HomeStart grant for people who meet the required eligibility criteria.
85,863 75,000 102,451

Total Benefits or Related Expenses

85,863 75,000 102,451

Non-Departmental Other Expenses

     

Housing Assistance (M9)

This appropriation is limited to payments made to Housing New Zealand Corporation and other mortgage providers to compensate for the difference between the cost of funds and the rate at which funds are lent, and provide write-offs for loans.
1,507 1,507 1,507

Impairment of Crown Assets (M9)

This appropriation is limited to expenses arising from the recognition of impaired value of Crown assets, including write down and write offs.
20 - 20

Payments in Respect of the Weathertight Services Loan Guarantees PLA (M9)

This appropriation is limited to the payments to banks under the Weathertight Services Financial Assistance Package: Loan Guarantee scheme as authorised under section 65ZG of the Public Finance Act 1989.
1,900 1,900 1,800

Unwind of Discount Rate Used in the Present Value Calculation of Direct Payments Under the Weathertight Homes Financial Assistance Package (M9)

This appropriation is limited to the expense incurred in unwinding the discount rate used in the present value calculation of the Weathertight Homes Financial Assistance Package liability as the liability nears settlement.
1,659 1,659 1,659

Christchurch City Council Home Ownership Initiative (M37)

This appropriation is limited to supporting the Christchurch City Council to provide home ownership services to people in Christchurch.
3,071 3,071 -

Christchurch City Council Housing Initiatives (M9)

This appropriation is limited to supporting the Christchurch City Council to provide housing and related services, including expenses incurred in transferring relevant assets to the Council at less than market value.
1,929 1,929 -

Remediation of Facades and Parapets of Unreinforced Masonry Buildings in at risk areas (M9)

This appropriation is limited to the partial remediation of street-facing facades and parapets of unreinforced masonry buildings in at risk areas.
3,000 3,000 -

Social Housing Provider Development (M37)

This appropriation is limited to providing support to third party providers of social and/or affordable housing services.
791 791 -

Weathertight Services: Guarantee Fee Subsidy (M9)

This appropriation is limited to the expense reflecting the guarantee fee subsidy under the Weathertight Services Financial Assistance Package Loan Guarantee Scheme
1,046 1,046 -

Total Non-Departmental Other Expenses

14,923 14,903 4,986

Multi-Category Expenses and Capital Expenditure

     

Policy Advice and Related Outputs MCA (M9)

The overarching purpose of this appropriation is to provide policy advice and other support to Ministers in discharging their policy decision-making and other portfolio responsibilities.
14,843 14,401 15,230
Departmental Output Expenses
     
Policy Advice - Building and Housing
This category is limited to the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision making by Ministers on government policy matters relating to building and housing including social housing.
13,883 14,119 14,970
Related Services to Ministers - Building and Housing
This category is limited to the provision of support, information and services to Ministers to enable them to discharge their portfolio (other than policy decision-making) responsibilities on matters relating to building and housing including social housing.
960 282 260

Community Group Housing MCA (M37)

The overarching purpose of this appropriation is to purchase housing services from Housing New Zealand Corporation and Community Group Housing providers to maintain the supply of tenanted Community Group Housing properties.
119,668 119,668 -
Non-Departmental Output Expenses
     
Community Group Housing Market Rent Top-Up
This category is limited to the provision of funding to Housing New Zealand Corporation to pay the difference between the contracted rent with the Community Group Housing provider and market rent for the leased properties.
9,764 9,764 -
Non-Departmental Other Expenses
     
Community Housing Rent Relief
This category is limited to the provision of a rent relief fund to Community Group Housing providers for the sole purpose of helping them meet their contracted rent payments.
4,104 4,104 -
Non-Departmental Capital Expenditure
     
Acquisition and Improvement of Community Group Housing Properties
This category is limited to debt or equity in Housing New Zealand Corporation to acquire, modernise or reconfigure properties leased by Community Housing Providers.
5,800 5,800 -
Acquisition, Development and Construction of Emergency Housing Properties
This category is limited to funding Housing New Zealand Corporation to acquire, construct and develop, land or properties for the purpose of providing emergency housing.
100,000 100,000 -

Edgecumbe Temporary Accommodation Services MCA (M9)

The single overarching purpose of this appropriation is to ensure that temporary accommodation is coordinated and provided to people displaced in Edgecumbe.
4,850 4,850 -
Departmental Output Expenses
     
Edgecumbe Temporary Accommodation Readiness, Response and Recovery
This category is limited to operating expenses incurred on temporary accommodation services coordinated and provided for people displaced by flooding and other civil emergencies in Edgecumbe in 2016/17.
350 350 -
Non-Departmental Output Expenses
     
Edgecumbe Temporary Accommodation Housing Initiatives - Operations
This category is limited to operating expenses incurred on coordination and provision of temporary accommodation housing initiatives for people displaced in Edgecumbe in 2016/17.
2,000 2,000 -
Non-Departmental Capital Expenditure
     
Edgecumbe Temporary Accommodation Housing Initiatives - Capital
This category is limited to capital expenses incurred procuring temporary accommodation housing initiatives for people displaced in Edgecumbe in 2016/17.
2,500 2,500 -

Total Multi-Category Expenses and Capital Expenditure

139,361 138,919 15,230

Total Annual and Permanent Appropriations

338,685 318,714 219,272

Multi-Year Appropriations

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Departmental Output Expenses

   

Tenant Health and Safety Information (M9)

This appropriation is limited to providing information to increase tenant health and safety in residential rental properties.

Commences: 01 July 2015

Expires: 30 June 2020
Original Appropriation 2,740
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 2,740
Actual to 2015/16 Year End 344
Estimated Actual for 2016/17 1,149
Estimated Actual for 2017/18 400
Estimated Appropriation Remaining 847

Non-Departmental Other Expenses

   

Social Housing Fund (M37)

This appropriation is limited to the purchasing of services (other than part purchase of social housing tenancies) from, or providing support to, third party providers of social and/or affordable housing services.

Commences: 01 July 2015

Expires: 30 June 2017
Original Appropriation 29,142
Adjustments to 2015/16 8,708
Adjustments for 2016/17 (3,000)
Adjusted Appropriation 34,850
Actual to 2015/16 Year End 17,956
Estimated Actual for 2016/17 16,894
Estimated Actual for 2017/18 -
Estimated Appropriation Remaining -

Non-Departmental Capital Expenditure

   

Auckland Vacant or Underutilised Crown Land Programme (M9)

This appropriation is limited to the Crown's contribution to the development of housing in Auckland.

Commences: 01 July 2016

Expires: 30 June 2017
Original Appropriation 100,000
Adjustments to 2015/16 -
Adjustments for 2016/17 (45,000)
Adjusted Appropriation 55,000
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 55,000
Estimated Actual for 2017/18 -
Estimated Appropriation Remaining -

Vacant or Underutilised Crown Land Programme (M37)

This appropriation is limited to the Crown's contribution to the development of housing in selected locations.

Commences: 01 July 2017

Expires: 30 June 2022
Original Appropriation 167,104
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 167,104
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 -
Estimated Actual for 2017/18 167,104
Estimated Appropriation Remaining -

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts

  2016/17 2017/18
  Final
Budgeted
$000
Estimated
Actual
$000
Budget
$000
Total Annual and Permanent Appropriations 338,685 318,714 219,272
Total MYA Departmental Output Expenses Forecasts 1,149 1,149 400
Total MYA Non-Departmental Other Expenses Forecasts 16,894 16,894 -
Total MYA Non-Departmental Capital Expenditure Forecasts 55,000 55,000 167,104

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts

411,728 391,757 386,776

Supporting Information

Part 1 - Vote as a Whole

1.1 - New Policy Initiatives

Policy Initiative Appropriation 2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Regulatory Modifications and Funding to Improve the Seismic Performance of Unreinforced Masonry Buildings following the Kaikoura Earthquakes

Remediation of Facades and parapets of Unreinforced Masonry Buildings in at risk areas

Non-Departmental Output Expense
3,000 - - - -
Housing Infrastructure Fund: Establishment of Independent Assessment Panel and Housing Infrastructure Fund Unit

Weathertight Services

Departmental Output Expense
(700) - - - -
 

Policy Advice and Related Outputs MCA Related Services to Ministers - Building and Housing

Multi-Category Expenses and Capital Expenditure
700 - - - -
Kaikoura Earthquakes Recovery: Funding of temporary Accommodation Services:

Canterbury Earthquakes: Emergency and Temporary Accommodation

Non-Departmental Output Expense
(500) - - - -
 

Hurunui/Kaikoura Recovery: Accommodation Services

Departmental Output Expense
500 - - - -
Vacant or Underutilised Crown Land Programme - Land Acquisition

Redevelopment of Surplus Crown Land

Departmental Output Expense
- 500 500 500 500
 

Vacant or Underutilised Crown Land Programme (MYA)

Non-Departmental Capital Expenditure
- 100,000 - - -
Housing Infrastructure Fund

Policy Advice and Related Outputs MCA Policy Advice - Building and Housing

Multi-Category Expenses and Capital Expenditure
Departmental Output Expense
- 1,500 1,000 500 500
National Policy Statement on Urban Development Capacity - Implementation

Policy Advice and Related Outputs MCA Policy Advice - Building and Housing

Multi-Category Expenses and Capital Expenditure Departmental Output Expense
- 568 356 239 90
Edgecumbe Temporary Accommodation Service

Edgecumbe Temporary Accommodation Services MCA Edgecumbe Temporary Accommodation Readiness, Response and Recovery

Multi-Category Expenses and Capital Expenditure Departmental Output Expense
350 - - - -
 

Edgecumbe Temporary Accommodation Services MCA Edgecumbe Temporary Accommodation Housing Initiatives - Operations

Multi-category Expenses and Capital Expenditure Non-Departmental Output Expense
2,000 - - - -
 

Egecumbe Temporary Accommodation Services MCA Edgecumbe Temporary Accommodation Housing Initiatives - Capital

Multi-Category Expenses and Capital Expenditure Non-Departmental Capital Expenditure
2,500 - - - -
 

Weathertight Services

Departmental Output Expense
(2,350) - - - -
Total Initiatives   5,500 102,568 1,856 1,239 1,090

1.2 - Trends in the Vote

Summary of Financial Activity

  2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Final 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 84,753 88,484 71,943 82,159 99,087 90,441 83,912 13,093 97,005 95,667 94,304 93,587
Benefits or Related Expenses 17,394 23,281 31,904 65,949 85,863 75,000 N/A 102,451 102,451 106,120 106,120 106,120
Borrowing Expenses - - - - - - - - - - - -
Other Expenses 41,171 32,937 73,774 48,697 31,026 31,006 - 4,986 4,986 4,866 4,866 4,766
Capital Expenditure 16,823 47,998 13,880 30,096 55,000 55,000 - 167,104 167,104 - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -
Multi-Category Expenses and Capital Expenditure (MCA)                        
Output Expenses 12,730 14,498 10,112 11,896 17,193 16,751 15,230 - 15,230 14,576 13,159 13,010
Other Expenses - - - - - - - - - - - -
Capital Expenditure - - - - 102,500 102,500 N/A - - - - -

Total Appropriations

172,871 207,198 201,613 238,797 390,669 370,698 99,142 287,634 386,776 221,229 218,449 217,483

Crown Revenue and Capital Receipts

                       
Tax Revenue - - - - - - N/A - - - - -
Non-Tax Revenue 77,994 91,523 111,042 64,036 54,000 54,000 N/A - - - - -
Capital Receipts 1,053 25,081 59,886 2,262 8,595 8,595 N/A 23,285 23,285 30,595 - -

Total Crown Revenue and Capital Receipts

79,047 116,604 170,928 66,298 62,595 62,595 N/A 23,285 23,285 30,595 - -

Note - where restructuring of the vote has occurred then, to the extent practicable, prior years information has been restated as if the restructuring had occurred before the beginning of the period covered. In this instance Total Appropriations for the Budgeted and Estimated Actual year may not equal Total Appropriations in the Details of Appropriations and Capital Injections.

Adjustments to the Summary of Financial Activity Table Due to Vote Restructuring

  2012/13
Adjustments
$000
2013/14
Adjustments
$000
2014/15
Adjustments
$000
2015/16
Adjustments
$000
2016/17
Final Budgeted
Adjustments
$000
2016/17
Estimated
Actual
Adjustments
$000

Appropriations

           
Output Expenses (2,270) (2,608) (2,363) (437) (600) (600)
Benefits or Related Expenses - - - - - -
Borrowing Expenses - - - - - -
Other Expenses - - - (760) (791) (791)
Capital Expenditure - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - -
Multi-Category Expenses and Capital Expenditure (MCA)            
   Output Expenses - - - (9,434) (9,764) (9,764)
   Other Expenses (3,725) (3,900) (3,919) (3,973) (4,104) (4,104)
   Capital Expenditure (3,275) (2,651) (7,206) (5,800) (5,800) (5,800)

Total Appropriations

(9,270) (9,159) (13,488) (20,404) (21,059) (21,059)

Crown Revenue and Capital Receipts

           
Tax Revenue - - - - - -
Non-Tax Revenue - - - - - -
Capital Receipts - - - - - -

Total Crown Revenue and Capital Receipts

- - - - - -

 The reduction in the Vote reflects the transfer of the appropriations: Administering the Legacy Social Housing Fund, Social Housing Provider Development, and Community Group Housing MCA from Vote Building and Housing to Vote Social Housing from 1 July 2017.

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

1.3 - Analysis of Significant Trends

Output Expenses

The fluctuating trend for the Output Expense is due to the impact of the Canterbury earthquake costs. The declining trend in Output Expenses from 2016/17 onwards is principally due to expected reduced costs for recovery from the Canterbury earthquakes and the transfer of Tamaki Regeneration to Vote Finance in 2016/17.

Benefits or Related Expenses

The increasing trend for Benefit or Related Expenses is due to:

  • the uptake of the KiwiSaver First Home Deposit Subsidy scheme, and
  • from 2014/15 funding was increased to take effect of the KiwiSaver HomeStart grant policy proposals.

Other Expenses

The decreasing trend for Other Expenses is due to:

  • the introduction of the Weathertight Direct Payment Unwind Discount Rate in 2011/12 at $27 million decreasing to around $2 million in outyears
  • the funding profile for the Wellington City Council Housing Package from 2008/09 to 2015/16
  • the transfer of unspent funds in the Social Housing Fund multi-year appropriation in 2013/14 and 2014/15, and
  • the new Social Housing Fund multi-year appropriation expires in 2016/17.

Capital

The fluctuating trend for Capital Expenditure is due to:

  • the purchase of New Zealand Defence Force land by the Hobsonville Land Company in 2013/14, and
  • funding to facilitate housing development in Christchurch and Auckland from 2014/15.

Multi-Category Output Expenses

The fluctuating trend for the Multi-Category Output Expenses is due to:

  • funding being reprioritised in 2015/16 from Weathertight Services to provide primary and secondary advice in the fields of building and housing policy.

1.4 - Reconciliation of Changes in Appropriation Structure

    Old Structure New Structure
2016/17 Appropriations
in the 2016/17 Structure
2016/17
(Current)
$000
Appropriations to which
Expenses (or Capital
Expenditure) have been Moved from or to
Amount
Moved
$000
2016/17 Appropriations
in the 2017/18 Structure
2016/17
(Restated)
$000
2017/18
$000

Departmental Output Expenses

  Transferred to Vote Social Housing        
Administering the Social Housing Legacy Fund 600 Administering the Social Housing Fund 600 See Vote Social Housing
 
   

Non-Departmental Other Expense

  Transferred to Vote Social Housing        
Social Housing Provider Development 791 Social Housing Provider Development 791 See Vote Social Housing    
    Transferred to Vote Social Housing        

Multi-Category Expenses and Capital Expenditure

  Multi-Category Expenses and Capital Expenditure   See Vote Social Housing    

Community Group Housing MCA

  Community Group Housing MCA        

Non-Departmental Output Expense

           
Community Group Housing Market Rent Top-Up 9,764 Community Group Housing Market Rent Top-Up 9,764      
Non-Departmental Other Expense            
Community Housing Rent Relief 4,104 Community Housing Rent Relief 4,104      
Non-Departmental Capital Expenditure            
Acquisition and Improvement of Community Group Housing Properties 5,800 Acquisition and Improvement of Community Group Housing Properties 5,800      
             

Total

21,059

 

21,059

     

Explanations of the reasons for changing the appropriation structure are noted in the details of each appropriation in Parts 2-4.

Part 2 - Details of Departmental Appropriations

2.1 - Departmental Output Expenses

Building Regulation and Control (M9)

Scope of Appropriation

This appropriation is limited to activities associated with the setting of performance standards for buildings and the design and delivery of regulatory schemes and other initiatives to help ensure those standards are met.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 28,574 27,000 28,954
Revenue from the Crown 620 620 150
Revenue from Others 32,304 33,589 33,154

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve a regulatory system that ensures safe and healthy building practice in the construction sector.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Percentage of users satisfied that information provided on matters relating to Building Control has met their needs

At least 72% of users surveyed At least 72% of users surveyed At least 72% of users surveyed

Percentage of determinations successfully appealed

Less than 2% Less than 2% Less than 2%

Percentage of determinations subject to clarification due to inadequate coverage of issues

Less than 3% Less than 3% Less than 3%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Efficiency Savings from the Formation of Ministry of Business, Innovation and Employment 2014/15 (334) (334) (334) (334) (334)

Memorandum Account

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Building Controls

     
Opening Balance at 1 July 25,288 25,288 32,220
Revenue 31,082 33,502 33,066
Expenses (26,817) (26,570) (28,716)
Transfers and Adjustments - - -

Closing Balance at 30 June

29,553 32,220 36,570

National Multi Use Approvals

     
Opening Balance at 1 July (1,288) (1,288) (1,289)
Revenue 95 87 88
Expenses (160) (88) (88)
Transfers and Adjustments - - -

Closing Balance at 30 June

(1,353) (1,289) (1,289)

Community Housing Regulatory Authority (M37)

Scope of Appropriation

This appropriation is limited to the administration of the Community Housing Regulatory Authority.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 700 700 700
Revenue from the Crown 700 700 700
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve efficient registration and regulation of Community Housing providers in order to ensure that their tenants are appropriately housed, and support the growth of a fair, efficient, and transparent community housing sector.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Applications for registration of Community Housing providers are processed within 60 working days

90% 90% 90%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Social Housing Reform Programme 2015/16 700 700 700 700 700

Greater Christchurch Recovery (M9)

Scope of Appropriation

This appropriation is limited to the provision of services to residents of the greater Christchurch area affected by the Canterbury earthquakes to support the residential rebuild.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,774 2,774 920
Revenue from the Crown 2,474 2,474 920
Revenue from Others 300 300 -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve information and advice that supports the recovery of greater Christchurch to progress in a timely and efficient way.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Ministers and DPMC are satisfied with the advice and quarterly reports showing progress in residential rebuild, repair and insurance issues

Satisfied or very satisfied Satisfied or very satisfied Satisfied or very satisfied

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Reasons for Change in Appropriation

The decrease in this appropriation for 2017/18 is mainly due to the expected decrease in demand for these services.

Occupational Licensing (M9)

Scope of Appropriation

This appropriation is limited to the development, implementation and maintenance of the registration and licensing regimes for building practitioners and electrical workers.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 9,546 9,546 9,546
Revenue from the Crown 691 691 691
Revenue from Others 8,433 8,466 8,433

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve certainty and confidence for the industry and consumers about the quality of licensed practitioners and workers in the building and electrical sectors.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of licensing applications completed within the following timeframes upon receipt of a correctly completed application:

     
  • 5 working days for building practitioners relicensing, issuing of practicing licences and renewals of electrical workers registration
95% 95% 95%
  • 35 working days for building practitioner new licenses and electrical worker new registrations
95% 95% 95%

The percentage of complaints against the following that will be investigated and a report provided to the Registrar/Operations Manager within 16 weeks of receipt, as applicable:

     
  • non-registered and registered electrical workers
85% 85% 85%
  • licensed building practitioners that meet the requirements of Regulation 5
85% 85% 85%
  • non-licensed builders
- - 85%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Efficiency Savings from the Formation of Ministry of Business, Innovation and Employment 2014/15 (114) (114) (114) (114) (114)

Memorandum Account

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Occupational Licensing - Building Practitioners

     
Opening Balance at 1 July (8,337) (8,337) (7,922)
Revenue 5,130 5,069 5,130
Expenses (4,523) (4,654) (4,523)
Transfers and Adjustments - - -

Closing Balance at 30 June

(7,730) (7,922) (7,315)

Occupational Licensing - Electrical Workers

     
Opening Balance at 1 July 3,450 3,450 2,527
Revenue 3,303 3,397 3,303
Expenses (4,332) (4,320) (4,332)
Transfers and Adjustments - - -

Closing Balance at 30 June

2,421 2,527 1,498

Professional Engineering Input Toward the Resolution of Canterbury Residential Rebuild Design Uncertainty (M9)

Scope of Appropriation

This appropriation is limited to the provision of professional engineering advice and support for either third parties or the general public to support the Canterbury residential rebuild.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 700 700 560
Revenue from the Crown 700 700 560
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve access to independent technical advice from engineering experts to help progress the Canterbury residential rebuild.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

User satisfaction with the residential advisory service (includes independent technical advice)

75% satisfied or very satisfied 75% satisfied or very satisfied 75% satisfied or very satisfied

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Resolution through Assessment of Multi-Units in Dispute Canterbury 2014/15 700 - - - -

Reasons for Change in Appropriation

The decrease in this appropriation for 2017/18 is mainly due to expenditure transfers from previous years due to increased complexity and slower than anticipated insurance claim settlements. The transfers will maintain technical capability for the anticipated completion of the programme.

Redevelopment of Surplus Crown Land (M37)

Scope of Appropriation

This appropriation is limited to activities associated with the facilitation of Crown land redevelopment.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,003 2,003 2,503
Revenue from the Crown 2,003 2,003 2,503
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve safe, healthy and affordable homes by the effective and efficient redevelopment of surplus Crown land.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Compliance with relevant legislation, Government policy and Treaty settlement provisions in relation to acquisition, development and disposal of land

100% 100% 100%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Vacant or Underutilised Crown Land Programme - Land Acquisition 2017/18 - 500 500 500 500
Redevelopment of Surplus Crown Land 2015/16 2,003 2,003 2,003 2,003 2,003

.

Reasons for Change in Appropriation

The increase in this appropriation for 2017/18 is mainly due to an initiative for the vacant or underutilised Crown Land Programme.

Residential Tenancy and Unit Title Services (M9)

Scope of Appropriation

This appropriation is limited to the provision of residential tenancy and unit title dispute resolution services, information, education, advice and compliance and enforcement activities; administration and investment of residential tenancy bond monies; provision of administrative support to the State Housing Appeals Authority.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 27,396 27,396 28,051
Revenue from the Crown 3,035 3,035 3,742
Revenue from Others 20,654 21,277 20,602

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an environment in which residential tenancy and unit title consumers and businesses are well informed, understand their rights, and meet their regulatory obligations through the provision of information, education, advice, compliance, bond processing and mediation services.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Percentage of customers who are satisfied or very satisfied with overall quality and timeliness of mediation services

80% 80% 80%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Implementation Funding for Changes to the Residential Tenancies Act 2016/17 460 460 420 380 -
Funding profile for compliance and enforcement functions 2016/17 2,575 3,282 3,282 3,282 3,282
Efficiency Savings from the Formation of Ministry of Business, Innovation and Employment 2014/15 (559) (559) (559) (559) (559)

Memorandum Account

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Unit Titles Act

     
Opening Balance at 1 July 72 72 190
Revenue 180 178 180
Expenses (180) (60) (180)
Transfers and Adjustments - - -

Closing Balance at 30 June

72 190 190

Tenant Health and Safety Information (M9)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Tenant Health and Safety Information (M9)

This appropriation is limited to providing information to increase tenant health and safety in residential rental properties.

Commences: 01 July 2015

Expires: 30 June 2020
Original Appropriation 2,740
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 2,740
Actual to 2015/16 Year End 344
Estimated Actual for 2016/17 1,149
Estimated Actual for 2017/18 400
Estimated Appropriation Remaining 847

Revenue

  Budget
$000
Revenue from the Crown to end of 2017/18 1,949
Revenue from Others to end of 2017/18 -
Total Revenue 1,949

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an environment in which tenants and landlords are aware of their rights and regulatory obligations to ensure residential rental homes are warm, dry and safe through the provision of information, education, advice, and compliance.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Deliver information campaigns to promote warm, dry and safe residential rental homes

By 30 June 2017 By 30 June 2017 By 30 June 2018

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Implementation funding for changes to the Residential Tenancies Act 2016/17 530 200 310 200 -
Insulation Smoke Alarms and Other Residency Tenancy Approvals 2015/16 300 200 200 400 -

Weathertight Services (M9)

Scope of Appropriation

This appropriation is limited to assessing the eligibility of weathertight homes claims; independent technical assessment of claims, including reports on actual and probable damage with estimated costs of repair; administration of the financial assistance package; claim management until repair or claim lodged with the Weathertight Tribunal; provision of mediation services; and advice, information and education to support more informed consumer decisions.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 8,907 5,982 12,278
Revenue from the Crown 8,907 8,907 12,278
Revenue from Others 113 113 113

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve a reduction in the number of weathertight issues in New Zealand.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The number of homeowners who have repaired or have started repairing with the Financial Assistance Package since the beginning of the scheme

At least 1,500 At least 1,500 At least 1,500

The number of short assessments (Eligibility) completed within 60 working days of being allocated to an assessor

80% 80% 80%

The number of long assessments (full, follow-up full, addendum, concise, cost update and supplemental) completed within 120 working days of being allocated to an assessor

80% 80% 80%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Edgecumbe Temporary Accommodation Service 2016/17 (2,350) - - - -
Housing Infrastructure Fund: Establishment of Independent Assessment Panel and Housing Infrastructure Fund Unit 2016/17 (700) - - - -
Building and Housing Priorities 2015/16 (2,654) (2,337) (2,270) (2,270) (2,270)
Increase for Resourcing to Support the new HomeStart Policy Programme 2015/16 (966) (916) (916) (916) (916)
KiwiSaver Administration Increased Costs 2014/15 - (466) (466) (466) (466)
Efficiency Savings from the Formation of Ministry of Business, Innovation and Employment 2014/15 (154) (154) (154) (154) (154)
Extension of Income-Related Subsidy to Approved Community Housing Providers 2013/14 (6,500) - - - -

Part 3 - Details of Non-Departmental Appropriations

3.1 - Non-Departmental Output Expenses

HNZC Housing Support Services (M9)

Scope of Appropriation

This appropriation is limited to the purchase of housing related services from Housing New Zealand Corporation including home ownership initiatives, the Housing Innovation Fund and Healthy Housing.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 11,544 9,000 11,698

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve improved access to home ownership.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Maximum number of new loans underwritten through the Welcome Home Loan programme

2,500 2,500 2,500

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Housing New Zealand Corporation in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Establish a multi-category appropriation for Community Group Housing 2015/16 (2,400) (2,400) (2,400) (2,400) (2,400)
Increase for Resourcing to Support the new HomeStart Policy Programme 2015/16 966 916 916 916 916
KiwiSaver Administration Increased Costs 2014/15 462 466 466 466 466
Kainga Whenua Infrastructure Grant 2013/14 3,000 3,000 3,000 3,000 3,000
Refining KiwiSaver HomeStart grant and Expanding Welcome Home Loan to assist First Home Buyers 2013/14 4,700 4,900 4,900 4,900 4,900

Conditions on Use of Appropriation

Reference Conditions
Cabinet decision updated by briefing notes to the Minister Welcome Home Loans are only available to applicants that meet income and credit criteria set by participating lenders and Housing New Zealand Corporation.

Management of Crown Properties Held Under the Housing Act 1955 (M90)

Scope of Appropriation

This appropriation is limited to the administration and management of Crown owned properties held under the Housing Act 1955.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,395 1,395 1,395

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the effective and efficient administration and management of properties held under the Housing Act 1955.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Development projects managed in accordance with the Annual Housing Agency Account work programme

Milestones achieved Milestones achieved Milestones achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Housing New Zealand Corporation in its annual report.

Conditions on Use of Appropriation

Reference Conditions
Housing Act 1955 (section 32) Any money required to carry out works authorised under Part 1 of the Housing Act 1955 may be paid out of money appropriated by Parliament for the purpose.

3.2 - Non-Departmental Benefits or Related Expenses

KiwiSaver HomeStart grant (M9)

Scope of Appropriation

This appropriation is limited to enabling the provision of the KiwiSaver HomeStart grant for people who meet the required eligibility criteria.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 85,863 75,000 102,451

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve improved access to home ownership.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s15D(2)(b)(ii) of the Public Finance Act, as additional performance information is unlikely to be informative because this appropriation is solely for payments of the KiwiSaver HomeStart grant under the KiwiSaver Act 2006. Performance information relating to the administration of the payment is provided under the HNZC Housing Support Services appropriation.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
HomeStart Greater Assistance for First Home Buyers 2014/15 50,662 56,662 60,200 60,200 60,200
Refining KiwiSaver HomeStart grant and Expanding Welcome Home Loan to Assist First Home Buyers 2013/14 15,600 17,200 17,200 17,200 17,200

Reasons for Change in Appropriation

The increase in this appropriation for 2017/18 is mainly due to:

  • a $9.119 million increase to reflect increasing demand for uptake in this scheme, and
  • a $7.469 million increase for greater assistance for first home buyers

Conditions on Use of Appropriation

Reference Conditions
KiwiSaver Act 2006 First home withdrawal is provided for in the KiwiSaver Act 2006. It is administered by KiwiSaver scheme providers and allows KiwiSaver members to withdraw part or all of their savings (excluding the Government's contribution of tax credits) to put towards the purchase of a first home.
Cabinet decisions In April 2015, Cabinet agreed that home ownership assistance for first home buyers participating in KiwiSaver would include a deposit subsidy and first home withdrawal where savers can withdraw part or all of their savings and accumulated interest.
Cabinet decisions The Deposit subsidy is not provided for in legislation. Cabinet approved the deposit subsidy and high level design details outside the KiwiSaver Act 2006, because the Corporation is already authorised to administer suspensory loans under the Housing Corporation Act 1974.
Cabinet also delegated authority to the Corporation to apply Schedule 1 (Part 8) of the KiwiSaver Act 2006, where possible, to the deposit subsidy design. Schedule 1 provides, for example, a definition of what constitutes a first home buyer and the type of home that can be purchased.
The deposit subsidy design details were agreed by the Minister of Finance and Minister for Building and Housing through three reports submitted in June 2008, December 2008 and June 2009.

3.4 - Non-Departmental Other Expenses

Housing Assistance (M9)

Scope of Appropriation

This appropriation is limited to payments made to Housing New Zealand Corporation and other mortgage providers to compensate for the difference between the cost of funds and the rate at which funds are lent, and provide write-offs for loans.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,507 1,507 1,507

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve safe, healthy and affordable homes by providing financial assistance to Housing New Zealand Corporation and other mortgage providers.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s15D(2)(b)(iii) of the Public Finance Act as the amount of this annual appropriation for a non-departmental other expense is less than $5 million.

Impairment of Crown Assets (M9)

Scope of Appropriation

This appropriation is limited to expenses arising from the recognition of impaired value of Crown assets, including write down and write offs.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 20 - 20

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the recognition of impairment costs of assets owned by the Crown.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s15D(2)(b)(iii) of the Public Finance Act as the amount of the annual appropriation for a non-departmental other expense is less than $5 million.

Payments in Respect of the Weathertight Services Loan Guarantees PLA (M9)

Scope of Appropriation

This appropriation is limited to the payments to banks under the Weathertight Services Financial Assistance Package: Loan Guarantee scheme as authorised under section 65ZG of the Public Finance Act 1989.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,900 1,900 1,800

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve certainty and confidence for banks; through the provision of a loss share contribution if a loan claimant defaults on a mortgage associated with the repair of a home under the Weathertight Financial Assistance Package.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s15D(2)(b)(iii) of the Public Finance Act as the amount of this annual appropriation for a non-departmental other expense is less than $5 million.

Unwind of Discount Rate Used in the Present Value Calculation of Direct Payments Under the Weathertight Homes Financial Assistance Package (M9)

Scope of Appropriation

This appropriation is limited to the expense incurred in unwinding the discount rate used in the present value calculation of the Weathertight Homes Financial Assistance Package liability as the liability nears settlement.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,659 1,659 1,659

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the unwinding of the discount rate used in the present value calculation of the Weathertight Homes Financial Assistance Package liability.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s15D(2)(b)(ii) of the Public Finance Act, as additional performance information is unlikely to be informative because this appropriation is solely for the unwinding of the discount rate used in the present value calculation of direct payments under the Weathertight Homes Financial Assistance Package.

3.5 - Non-Departmental Capital Expenditure

Vacant or Underutilised Crown Land Programme (M37)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Vacant or Underutilised Crown Land Programme (M37)

This appropriation is limited to the Crown's contribution to the development of housing in selected locations.

Commences: 01 July 2017

Expires: 30 June 2022
Original Appropriation 167,104
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 167,104
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 -
Estimated Actual for 2017/18 167,104
Estimated Appropriation Remaining -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an increase in the supply of land available for housing.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Number of purchase agreements signed by 30 June 2018

- - 8 sites

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Minister for Social Housing in the Vote Building and Housing Non-Departmental Appropriation Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Vacant or Underutilised Crown Land Programme - Land Acquisition 2017/18 - 100,000 - - -

Reasons for Change in Appropriation

This multi-year appropriation was established in 2017/18 through a transfer from the Auckland Vacant or Underutilised Crown Land Programme MYA which expires on 30 June 2017 and additional funding for the Vacant or Underutilised Crown Land Programme.

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

Multi-Category Expenses and Capital Expenditure

Policy Advice and Related Outputs (M9)

Overarching Purpose Statement

The overarching purpose of this appropriation is to provide policy advice and other support to Ministers in discharging their policy decision-making and other portfolio responsibilities.

Scope of Appropriation

Departmental Output Expenses
Policy Advice - Building and Housing
This category is limited to the provision of advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision making by Ministers on government policy matters relating to building and housing including social housing.
Related Services to Ministers - Building and Housing
This category is limited to the provision of support, information and services to Ministers to enable them to discharge their portfolio (other than policy decision-making) responsibilities on matters relating to building and housing including social housing.

Expenses, Revenue and Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Total Appropriation

14,843 14,401 15,230

Departmental Output Expenses

     
Policy Advice - Building and Housing 13,883 14,119 14,970
Related Services to Ministers - Building and Housing 960 282 260

Funding for Departmental Output Expenses

     

Revenue from the Crown

14,843 14,843 15,230
Policy Advice - Building and Housing 13,883 13,883 14,970
Related Services to Ministers - Building and Housing 960 960 260

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve effective policy advice and support to Ministers.

How Performance will be Assessed for this Appropriation

  • Satisfaction of the Minister for Building and Construction with the policy advice service, reaching, or exceeding, 70 per cent annually
  • Total cost of producing policy outputs of no more than $155 per hour

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

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Departmental Output Expenses

     

Policy Advice - Building and Housing

     

This category is intended to achieve the provision of high quality policy advice to support Ministerial decision-making on government policy matters relating to building and housing

     

Technical quality of policy advice papers assessed by a survey with a methodological robustness of 80%

At least an average of 73% At least an average of 73% At least an average of 73%

Related Services to Ministers - Building and Housing

     

This category is intended to achieve the provision of effective and efficient ministerial services to enable Ministers to discharge their building and housing portfolio responsibilities

     

Percentage of requests completed within either specified or statutory timeframes:

     
  • Parliamentary Questions
95% or above 95% or above 95% or above
  • Ministerial correspondence
95% or above 95% or above 95% or above
  • Ministerial Official Information Act 1982
95% or above 95% or above 95% or above

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in its annual report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000

Policy Advice - Building and Housing

           
Housing Infrastructure Fund 2017/18 - 1,500 1,000 500 500
National Statement on Urban Development Capacity - Implementation 2017/18 - 568 356 239 90
Housing Infrastructure Fund: Establishment of Independent Assessment Panel and Housing Infrastructure Fund Unit 2016/17 700 - - - -
Building and Housing Priorities 2015/16 2,654 2,337 2,270 2,270 2,270
Social Housing Reform Programme 2015/16 1,099 1,121 1,143 1,143 1,143
Redevelopment of Surplus Crown Land 2015/16 2,003 2,003 2,003 2,003 2,003

Building and Construction Ministerial Services

           
Efficiency Savings from the Formation of Ministry of Business, Innovation and Employment 2014/15 (10) (10) (10) (10) (10)

Building and Construction Policy

           
Efficiency Savings from the Formation of Ministry of Business, Innovation and Employment 2014/15 (91) (91) (91) (91) (91)

Housing Policy Advice

           
Efficiency Savings from the Formation of Ministry of Business, Innovation and Employment 2014/15 (305) (342) (342) (342) (342)


 

Vote Social Development

APPROPRIATION MINISTER(S): Minister for Disability Issues (M23), Minister for Social Housing (M37), Minister of Revenue (M57), Minister for Seniors (M61), Minister for Social Development (M63), Minister of Veterans' Affairs (M75), Minister for Youth (M77), Minister Responsible for Social Investment (M94)

APPROPRIATION ADMINISTRATOR: Ministry of Social Development

RESPONSIBLE MINISTER FOR MINISTRY OF SOCIAL DEVELOPMENT: Minister for Social Development

Overview of the Vote

Some amounts that were in previous years appropriated in Vote Social Development are now to be appropriated in Vote Vulnerable Children, Oranga Tamariki (a new Vote with effect from 1 April 2017) and Vote Social Housing (a new Vote with effect from 1 July 2017).

The Minister for Social Development is responsible for the appropriations in Vote Social Development for the 2017/18 financial year covering the following:

  • a total of nearly $13,671 million on payments of New Zealand Superannuation
  • a total of nearly $4,311 million on payments for the working age benefits - Jobseeker Support, Sole Parent Support and Supported Living Payment
  • a total of nearly $727 million on payments for assistance with expenses related to disability, hardship and entering or remaining in the workforce
  • a total of over $662 million on improved employment and social outcomes support
  • a total of nearly $583 million on payments to assist people to obtain a qualification, or for youth to continue education/training or obtain work, or to support young parents
  • a total of over $370 million on other forms of financial assistance such as childcare, care of unsupported children and special circumstances
  • a total of over $203 million on advances of benefits and other recoverable payments to assist with hardship
  • a total of over $122 million on purchasing services from non-governmental organisation service providers and crown entities
  • a total of nearly $106 million on Corporate Support Services providing services to the Ministry for Vulnerable Children, Oranga Tamariki under a shared services agreement
  • a total of nearly $97 million on debt write-downs
  • a total of nearly $93 million on community support services
  • a total of over $69 million for departmental capital expenditure
  • a total of over $60 million on specialised services, including services for students, seniors and management of service cards
  • a total of nearly $50 million on services for investigation of overpayments, fraudulent payments and collection of overpayments
  • a total of over $24 million on social policy advice, and data, analytics and evidence services
  • a total of nearly $8 million on historic claims resolution
  • a total of over $4 million on planning, correspondence and monitoring
  • a total of $673,000 on the mental health and employment social bond pilot, and
  • a total of $225,000 on place-based initiatives - Tairawhiti local leadership.

The Minister for Youth is responsible for an appropriation in the Vote for the 2017/18 financial year covering the following:

  • a total of nearly $11 million on partnering for youth development, including increasing youth development opportunities.

The Minister of Revenue is responsible for appropriations in the Vote for the 2017/18 financial year covering the following:

  • a total of nearly $1,632 million on payments for student loans, and
  • a total of over $15 million for management of student loans.

The Minister for Disability Issues is responsible for an appropriation in the Vote for the 2017/18 financial year covering the following:

  • a total of nearly $4 million on promoting positive outcomes for disabled people.

The Minister of Veterans' Affairs is responsible for appropriations in the Vote for the 2017/18 financial year covering the following:

  • a total of over $162 million on payment of Veterans' Pension, and
  • a total of $443,000 for processing of Veterans' Pensions.

The Minister for Seniors is responsible for an appropriation in the Vote for the 2017/18 financial year covering the following:

  • a total of over $1 million on services from the Office for Seniors.

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

Details of Appropriations and Capital Injections

Annual and Permanent Appropriations

  2016/17 2017/18
Titles and Scopes of Appropriations by Appropriation Type Final
Budgeted
$000
Estimated
Actual
$000
Budget
$000

Departmental Output Expenses

     

Corporate Support Services (M63)

This appropriation is limited to the provision of corporate support services to other agencies.
25,000 25,000 105,500

Data, Analytics and Evidence Services (M63)

This appropriation is limited to providing data, analytics and evidence services to better inform government decision-making.
12,510 12,510 9,940

Income Support and Assistance to Seniors (M63)

This appropriation is limited to paying New Zealand Superannuation and social security entitlements to older persons, providing advice to them, administering international social security agreements relating to non-superannuitants, and assessing financial entitlement to Residential Care Subsidies.
43,781 43,781 37,150

Investigation of Overpayments and Fraudulent Payments and Collection of Overpayments (M63)

This appropriation is limited to services to minimise errors, fraud and abuse of the benefit system and Income Related Rent, and services to manage the collection of overpayments, recoverable assistance loans and other balances owed by former clients.
49,209 49,209 49,808

Management of Service Cards (M63)

This appropriation is limited to assessing entitlement, issuing cards, and promoting and distributing information about the Community Services, SuperGold and Veteran SuperGold cards, including enlisting business partners to provide discounts to SuperGold cardholders.
4,879 4,879 6,705

Management of Student Loans (M57)

This appropriation is limited to assessing, paying and reviewing entitlements for student loans and providing guidance to students making financial and study decisions.
15,545 15,545 15,218

Management of Student Support (M63)

This appropriation is limited to managing non-recoverable financial support to students, involving assessing and paying Student Allowances and other income support to eligible secondary and tertiary students.
17,356 17,356 16,459

Place-based Initiatives - Tairawhiti Local Leadership (M63)

This appropriation is limited to the provision of operational support for the place-based approach being led by the Tairawhiti Social Impact Collective.
205 205 225

Planning, Correspondence and Monitoring (M63)

This appropriation is limited to providing planning, reporting, monitoring and statutory appointment advice (other than policy decision-making advice) on Crown entities, and correspondence services to support Ministers to discharge their portfolio responsibilities.
6,344 6,344 4,494

Policy Advice (M63)

This appropriation is limited to providing advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government social policy and related matters, including social sector issues.
20,167 20,167 14,393

Processing of Veterans' Pensions (M75)

This appropriation is limited to the processing and administrative aspects of payment of Veterans' Pensions and related allowances .
588 588 443

Promoting Positive Outcomes for Disabled People (M23)

This appropriation is limited to providing services to promote and monitor the implementation of the New Zealand Disability Strategy, to monitor and implement the United Nations Convention on the Rights of Persons with Disabilities, and to provide information to Ministers on disability matters.
4,045 4,045 3,716

Promoting Positive Outcomes for Seniors (M61)

This appropriation is limited to providing information and facilitation to protect the rights and interests of older people, to promote local community involvement in senior issues, and ministerial services.
1,010 1,010 1,022

Adoption Services (M63)

This appropriation is limited to the management of services, incorporating education, assessment, reporting, counselling, and mediation, to all people who are party to adoption-related matters, past or present.
3,998 3,998 -

Care and Protection Services (M63)

This appropriation is limited to the provision of social work and support services, both statutory and informal, to promote the wellbeing of children, young people and their families who are or have been in contact with the care system, including care and protection services; services for the development of the potential of such children and young people; and the provision of education and advice to help prevent child abuse and neglect.
316,957 316,957 -

Children's Action Plan (M63)

This appropriation is limited to activities necessary to implement the Children's Action Plan.
8,780 8,780 -

Designing and Implementing Social Investment (M94)

This appropriation is limited to expenses incurred in designing and implementing a cross agency social investment system.
9,018 9,018 -

Investing in Communities (M63)

This appropriation is limited to approving community based social services; managing the relationship with service providers, including funding and monitoring; and the co-ordination of social support services to strengthen families and whanau.
39,163 39,163 -

Place-based initiatives - national support (M63)

This appropriation is limited to providing support and evaluation across place-based initiatives.
610 610 -

Youth Justice Services (M63)

This appropriation is limited to social work and other services to manage and resolve offending behaviour by children and young people, by providing assessment, support, programmes, containment and care of young offenders.
95,528 95,528 -

Total Departmental Output Expenses

674,693 674,693 265,073

Departmental Other Expenses

     

Transformation Programme: Investing in New Zealand Children and their Families (M63)

This appropriation is limited to the co-design and implementation of system-wide reform of services provided to New Zealand's vulnerable children, young people and their families.
21,128 21,128 -

Total Departmental Other Expenses

21,128 21,128 -

Departmental Capital Expenditure

     

Ministry of Social Development - Capital Expenditure PLA (M63)

This appropriation is limited to the purchase or development of assets by and for the use of the Ministry of Social Development, as authorised by section 24(1) of the Public Finance Act 1989.
103,798 103,798 69,225

Total Departmental Capital Expenditure

103,798 103,798 69,225

Non-Departmental Output Expenses

     

Children's Commissioner (M63)

This appropriation is limited to the provision of services from the Children's Commissioner including the discharge of the Commissioner's duties under the Children's Commissioner Act 2003, monitoring and reporting on services delivered under the Children, Young Persons, and Their Families Act, 1989, and the identification of aspects of law, policy and practice that might adversely affect children and the development and proposal of remedies.
2,157 2,157 2,657

Community Participation Services (M63)

This appropriation is limited to the provision of services, resources, assistance and support to people so they can participate in and contribute to the wider community.
82,631 82,631 81,160

Families Commission (M63)

This appropriation is limited to the provision of services from the Families Commission to promote the wellbeing of a full range of New Zealand families and whanau through undertaking research and evidence gathering to build a transfer of knowledge to policymakers and purchasers and providers of services.
14,092 14,092 12,639

Student Placement Services (M63)

This appropriation is limited to placement services for students for holiday and term employment.
3,512 3,512 3,512

Counselling and Rehabilitation Services (M63)

This appropriation is limited to the purchase of services, including family counselling and other post-crisis interventions that restore the wellbeing of children, young people and families who have suffered harm and abuse or other forms of family breakdown or youth justice issues.
16,879 16,879 -

Education and Prevention Services (M63)

This appropriation is limited to the purchase of education and prevention programmes and initiatives that aim to provide skills to children, young people and families who are at risk of harm or abuse, which will help them reduce the risk of that abuse or harm.
9,279 9,279 -

Emergency Housing Response (M37)

This appropriation is limited to activities relating to the provision of emergency housing support for eligible families and individuals in high need areas.
10,445 10,445 -

Family Wellbeing Services (M63)

This appropriation is limited to the purchase of services that aim to improve the life outcomes for children, young people and families through support and development programmes, and programmes that will prevent any future harm or abuse.
84,913 84,913 -

Strong Families and Connected Communities (M63)

This appropriation is limited to initiatives and services, with a focus on prevention and early intervention, that support and strengthen community functioning and improve outcomes for families.
109,144 109,144 -

Total Non-Departmental Output Expenses

333,052 333,052 99,968

Benefits or Related Expenses

     

Childcare Assistance (M63)

This appropriation is limited to assistance for the costs of childcare that meets specific quality guidelines, where parents meet activity and income criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
205,345 197,345 197,320

Disability Assistance (M63)

This appropriation is limited to the Disability Allowance for people with disability costs and the Child Disability Allowance to the caregivers of children with a serious disability, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
380,022 377,022 379,491

Family Start/NGO Awards (M63)

This appropriation is limited to the payment of course fees for Family Start family/whanau and NGO workers pursuing social work qualifications, in accordance with Cabinet decisions.
705 705 705

Hardship Assistance (M63)

This appropriation is limited to Civil Defence payments, Funeral Grants, Live Organ Donors Assistance, Special Benefit, Special Needs Grants, Temporary Accommodation Assistance and Temporary Additional Support to provide means-tested temporary financial assistance to persons with emergency or essential costs, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
356,979 341,979 343,761

Jobseeker Support and Emergency Benefit (M63)

This appropriation is limited to means-tested income support for people who are eligible for Jobseeker Support or an Emergency Benefit, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
1,712,139 1,694,839 1,662,932

New Zealand Superannuation (M63)

This appropriation is limited to an income for people who have reached the qualifying age of 65 years and fulfil the residency requirements, as provided for in the New Zealand Superannuation and Retirement Income Act 2001.
13,069,729 13,043,729 13,670,779

Orphan's/Unsupported Child's Benefit (M63)

This appropriation is limited to the Orphan's/Unsupported Child's Benefit to provide income support for people charged with the responsibility for a child whose parents are dead or cannot be located, suffer a serious long-term disablement, or where there has been a breakdown in the child's family, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
154,067 152,267 161,730

Sole Parent Support (M63)

This appropriation is limited to means-tested income support for people who are eligible for Sole Parent Support, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
1,176,096 1,163,696 1,116,799

Special Circumstance Assistance (M63)

This appropriation is limited to financial assistance to people in special circumstances and comprises the Clothing Allowance, and providing assistance for community costs, domestic violence and witness protection relocation, home help, social rehabilitation assistance, telephone costs paid in accordance with criteria set out in the Social Security Act 1964, and delegated legislation made under that Act; and Civilian Amputees Assistance, paid in accordance with criteria set out in the Disabled Persons Community Welfare Act 1975.
11,644 11,044 11,269

Student Allowances (M63)

This appropriation is limited to means-tested allowances for students on an approved study programme, paid in accordance with criteria set out in the Student Allowance Regulations 1998; and payment of Student Allowance Transfer Grants to students with dependants, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
495,091 476,791 504,646

Study Scholarships and Awards (M63)

This appropriation is limited to scholarships and awards to tertiary students awarded in accordance with Cabinet decisions; and Teach NZ Scholarships awarded in accordance with the Education Act 1989.
19,167 19,167 19,167

Supported Living Payment (M63)

This appropriation is limited to means-tested income support for people who are eligible for the Supported Living Payment, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
1,537,220 1,529,520 1,530,887

Transitional Assistance (M63)

This appropriation is limited to supplementary financial assistance to people who are adversely affected by changes in policy or legislation, so they will not be financially worse off at the point of change, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
65 65 1,313

Veterans' Pension (M75)

This appropriation is limited to the provision of the Veterans' Pension, and lump sum payments upon the death of a qualifying veteran or a veteran's qualifying spouse or partner, to eligible veterans and their spouses, partners and dependent children, as set out in the Veterans' Support Act 2014 and delegated legislation made under that Act.
176,353 174,853 162,002

Work Assistance (M63)

This appropriation is limited to payments to beneficiaries, low income earners, students and ex beneficiaries to assist them to obtain and maintain employment, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
2,923 2,323 2,423

Youth Payment and Young Parent Payment (M63)

This appropriation is limited to income support and incentive payments for people who are eligible for the Youth Payment or Young Parent Payment, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
47,595 46,195 58,360

Accommodation Assistance (M37)

This appropriation is limited to the Accommodation Supplement, Special Transfer Allowance, and Away From Home Allowance to cover accommodation costs, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
1,146,156 1,128,656 -

Total Benefits or Related Expenses

20,491,296 20,360,196 19,823,584

Non-Departmental Other Expenses

     

Debt Write-downs (M63)

This appropriation is limited to the provision for write-downs of Crown debt administered by the Ministry of Social Development due to debt write offs or debt provisions resulting from the need to value debt in accordance with generally accepted accounting practice.
97,891 97,891 96,933

Extraordinary Care Fund (M63)

This appropriation is limited to providing financial assistance to carers receiving the Orphan's Benefit or Unsupported Child's Benefit to assist with costs for children in their care who are either experiencing difficulties that significantly impact on their development, or who are showing promise.
2,308 2,308 2,308

Out of School Care and Recreation Programmes (M63)

This appropriation is limited to the provision of assistance to Out of School Care and Recreation programmes approved under the Children, Young Persons, and Their Families Act 1989, to assist with the establishment and/or operating costs of OSCAR programmes.
19,410 19,410 19,473

Hurunui/Kaikoura Earthquake Employment Support (M63)

This appropriation is limited to the provision of assistance to employers for employees who were in paid work immediately prior to the series of Hurunui/Kaikoura earthquakes on 14 November 2016, and whose paid work has been adversely affected by the earthquakes.
17,540 17,540 -

Total Non-Departmental Other Expenses

137,149 137,149 118,714

Non-Departmental Capital Expenditure

     

Recoverable Assistance (M63)

This appropriation is limited to recoverable assistance payments, as a facility for low-income earners and beneficiaries to access means-tested assistance to help them to meet essential and immediate needs, or costs in specific circumstances, and to meet costs of pre-employment drug tests, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
196,191 184,191 203,449

Student Loans (M57)

This appropriation is limited to loans to tertiary students undertaking studies at approved tertiary institutions in accordance with Cabinet decisions.
1,634,026 1,589,026 1,631,735

Total Non-Departmental Capital Expenditure

1,830,217 1,773,217 1,835,184

Multi-Category Expenses and Capital Expenditure

     

Community Support Services MCA (M63)

The overarching purpose of this appropriation is to prevent and reduce vulnerability and harm for individuals, families and communities.
- - 92,802
Departmental Output Expenses
     
Developing and Managing Community Services
This category is limited to approving, monitoring, contracting and managing the relationships with community-based service providers; engaging with communities and developing services.
- - 19,083
Non-Departmental Output Expenses
     
Community Support and Advice
This category is limited to services that build financial capability, develop community and provider capability and provide targeted advice and support for vulnerable individuals and families.
- - 26,156
Participation and Support Services for Seniors
This category is limited to services that address isolation, abuse and neglect of older people, and support participation in communities.
- - 2,990
Supporting Victims and Perpetrators of Family and Sexual Violence
This category is limited to services that support victims of family and sexual violence and address perpetrator behaviour.
- - 44,573

Improved Employment and Social Outcomes Support MCA (M63)

The single overarching purpose of this appropriation is to operate the benefit system and associated interventions in such a way as to improve client outcomes (employment and social) by moving them closer to independence, with a focus on those at risk of long term benefit receipt.
673,653 673,653 662,372
Departmental Output Expenses
     
Administering Income Support
This category is limited to assessing, paying, reviewing entitlements and collecting balances owed by clients for income support, supplementary assistance, grants and allowances.
289,438 289,438 266,514
Improving Employment Outcomes
This category is limited to providing specified assistance, including services provided in accordance with criteria set out in delegated legislation made under the Social Security Act 1964, to support people who are receiving or likely to receive working age benefits or youth support payments and are work ready to move into sustainable employment.
299,246 299,246 309,519
Improving Work Readiness Outcomes
This category is limited to providing services, including services provided in accordance with criteria set out in delegated legislation made under the Social Security Act 1964, to address barriers to employment (such as literacy, numeracy, health, skills, drug or alcohol use, confidence and motivation) for people who are receiving or likely to receive working age benefits or youth support payments so that they become work ready.
84,969 84,969 86,339

Independent Advice on Government Priority Areas MCA (M63)

The overarching purpose of this appropriation is to provide independent advice to the Minister for Social Development for discharging decision-making responsibilities.
518 518 518
Non-Departmental Output Expenses
     
Other Advice
This category is limited to the procurement of other advice (including advice on operational matters; advice from expert parties that provide review services not available in-house; advice on matters where a review is necessary but cannot be undertaken due to a conflict of interest; and advice on procurement to ensure value for money) on government priority areas.
364 364 269
Policy Advice
This category is limited to the provision of independent advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government priority areas.
154 154 249

Partnering for Youth Development MCA (M77)

The single overarching purpose of this appropriation is to improve outcomes for young people through youth development opportunities.
10,515 10,515 10,592
Departmental Output Expenses
     
Administering Youth Development
This category is limited to generating, funding and promoting youth development opportunities.
2,682 2,682 2,339
Non-Departmental Output Expenses
     
Increasing Youth Development Opportunities
This category is limited to purchasing youth development opportunities.
7,833 7,833 8,253

Emergency Housing MCA (M37)

The single overarching purpose of this appropriation is to fund the delivery of emergency housing places in New Zealand.
23,652 23,652 -
Non-Departmental Output Expenses
     
Emergency Housing Services
This category is limited to payments to emergency housing providers on a per household basis to cover tenancy and property management; and services to support tenants in emergency housing to move into sustainable housing.
14,624 14,624 -
Provision of Emergency Housing Places
This category is limited to supporting emergency housing providers to provide emergency housing places.
9,028 9,028 -

Social Housing Outcomes Support MCA (M37)

The single overarching purpose of this appropriation is to operate the social housing register and associated interventions in such a way as to support more people with the greatest housing need into housing, and to move those who are capable of housing independence closer towards that.
54,380 54,380 -
Departmental Output Expenses
     
Services to Support People to Access Accommodation
This category is limited to assessing and reviewing eligibility for social housing and income related rent, social housing register management and the accurate and timely payment of income related rent subsidies to the social housing provider.
44,830 44,830 -
Non-Departmental Output Expenses
     
Services Related to Supporting Outcomes for those in need of or at risk of needing Social Housing
This category is limited to the provision of support services to those in need of social housing or those at risk of entering social housing.
5,000 5,000 -
Non-Departmental Other Expenses
     
Housing Support Package
This category is limited to the provision of incentives, products and services to help households with lower housing need who are in, or seeking social housing, to access or retain alternative housing solutions.
4,550 4,550 -

Social Housing Purchasing MCA (M37)

The single overarching purpose of this appropriation is to secure and purchase social housing tenancies for those who are eligible.
899,924 899,924 -
Non-Departmental Output Expenses
     
Part Payment of Rent to Social Housing Providers
This category is limited to the part purchase of tenancies from social housing providers.
847,994 847,994 -
Services Related to the Provision of Social Housing
This category is limited to the provision of services related to the provision of social housing by a social housing provider.
400 400 -
Non-Departmental Other Expenses
     
Support for the Provision of Social Housing Supply
This category is limited to providing support to secure access to properties for social housing providers to use for social housing tenancies.
51,530 51,530 -

Social Sector Trials MCA (M63)

The single overarching purpose of this appropriation is to trial new ways of delivering social and community assistance based on particular community needs
2,111 2,111 -
Departmental Output Expenses
     
National Leadership and Administration of Social Sector Trials programme, and Individual-led Social Sector Trials
This category is limited to the administration of the Social Sector Trials by a national programme office, and by government-employed Social Sector Trial Leads in specified locations, leading a cross-agency approach to improve outcomes for target groups.
700 700 -
Non-Departmental Output Expenses
     
Non-Governmental Organisation led Social Sector Teams and Contracted Programmes and Services
This category is limited to the administration of the Social Sector Trials by non-governmental organisations in specified locations, leading a cross-agency approach to improve outcomes for target groups, and the social services purchased by the Social Sector Trials to improve social service delivery and improve outcomes.
1,411 1,411 -

Total Multi-Category Expenses and Capital Expenditure

1,664,753 1,664,753 766,284

Total Annual and Permanent Appropriations

25,256,086 25,067,986 22,978,032

Multi-Year Appropriations

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Departmental Output Expenses

   

Administering Support for the Mental Health and Employment Social Bond Pilot (M63)

This appropriation is limited to the costs of administering and providing business support to the Mental Health and Employment Social Bond Pilot.

Commences: 01 February 2017

Expires: 30 June 2021
Original Appropriation 340
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 340
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 40
Estimated Actual for 2017/18 40
Estimated Appropriation Remaining 260

Claims Resolution (M63)

This appropriation is limited to resolving claims of abuse and neglect for people who were under the supervision or in the care, custody or guardianship of the state or who had come to the notice of the state prior to 2008.

Commences: 01 April 2017

Expires: 30 June 2021
Original Appropriation 25,049
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 25,049
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 2,000
Estimated Actual for 2017/18 7,683
Estimated Appropriation Remaining 15,366

Non-Departmental Output Expenses

   

Mental Health and Employment Social Bond Pilot (M63)

This appropriation is limited to the outcome payments incurred under the Mental Health and Employment Social Bond Pilot.

Commences: 01 February 2017

Expires: 30 June 2021
Original Appropriation 3,800
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 3,800
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 241
Estimated Actual for 2017/18 633
Estimated Appropriation Remaining 2,926

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts

  2016/17 2017/18
  Final
Budgeted
$000
Estimated
Actual
$000
Budget
$000
Total Annual and Permanent Appropriations 25,256,086 25,067,986 22,978,032
Total MYA Departmental Output Expenses Forecasts 2,040 2,040 7,723
Total MYA Non-Departmental Output Expenses Forecasts 241 241 633

Total Annual and Permanent Appropriations and Multi-Year Appropriation Forecasts

25,258,367 25,070,267 22,986,388

Capital Injection Authorisations

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Ministry of Social Development - Capital Injection (M63) 9,483 9,483 7,101

Supporting Information

Part 1 - Vote as a Whole

1.1 - New Policy Initiatives

Policy Initiative Appropriation 2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Extending Earthquake Support for the Kaikoura Region Hurunui/Kaikoura Earthquake Employment Support (M63) 5,000 - - - -
 
Non-Departmental Other Expenses
         
Kaikoura Earthquake: Extension of Support Subsidy: Decisions by Ministers with Power to Act Hurunui/Kaikoura Earthquake Employment Support (M63) 5,000 - - - -
 
Non-Departmental Other Expenses
         
BPS Seed Fund: SIU Commissioning Platform Designing and Implementing Social Investment (M94) 878 - - - -
 
Departmental Output Expenses
         
Ministry of Social Development - Maintaining Services Management of Student Support (M63) - 187 169 169 168
  Promoting Positive Outcomes for Disabled People (M23) - 31 28 28 28
  Promoting Positive Outcomes for Seniors (M61) - 12 10 11 10
  Income Support and Assistance to Seniors (M63) - 420 376 377 374
  Management of Student Loans (M57) - 173 156 157 155
  Planning, Correspondence and Monitoring (M63) - 51 46 46 46
  Processing of Veterans' Pensions (M75) - 5 5 5 5
  Data, Analytics and Evidence Services (M63) - 98 89 89 88
  Policy Advice (M63) - 184 164 164 162
  Investigation of Overpayments and Fraudulent Payments and Collection of Overpayments (M63) - 563 504 507 502
  Management of Service Cards (M63) - 76 69 69 68
 
Departmental Output Expenses
         
 

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Administering Income Support
- 3,014 2,672 2,585 2,646
 
  • Improving Employment Outcomes
- 3,414 3,059 3,166 3,133
 
  • Improving Work Readiness Outcomes
- 975 880 853 844
 
Departmental Output Expenses

Partnering for Youth Development MCA (M77)

         
 
  • Administering Youth Development
- 27 24 24 24
 
Departmental Output Expenses

Community Support Services MCA (M63)

         
 
  • Developing and Managing Community Services
- 220 199 200 197
 
Departmental Output Expenses
         
Business Support Package after the 14 November 2016 Earthquake: Decisions by Ministers with Power to Act Hurunui/Kaikoura Earthquake Employment Support (M63) 7,540 - - - -
 
Non-Departmental Other Expenses
         
Changes to Levy funding allocations and processes for migrant settlement services from 2017/18

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Administering Income Support
- (782) (782) (782) (782)
 
Departmental Output Expenses
         
Children's Commissioner - Statutory Advice and Increased Monitoring Coverage Children's Commissioner (M63) - 500 - - -
 
Non-Departmental Output Expenses
         
Data and Analytics Contingency: Tranche One Investment Proposals Designing and Implementing Social Investment (M94) 1,140 420 - - -
 
Departmental Output Expenses
         
 

Ministry of Social Development - Capital Injection (M63)

638 126 - - -
Data and Analytics Contingency: Tranche Two Investment Proposals Data, Analytics and Evidence Services (M63) 326 951 1,477 1,405 -
 
Departmental Output Expenses
         
 

Ministry of Social Development - Capital Injection (M63)

595 - - - -
Developing an Integrated Social Investment and Purchasing Model for Social Housing Policy Advice (M63) 527 1,240 999 940 910
 
Departmental Output Expenses
         
Draw down of remaining Social Investment Unit funding Designing and Implementing Social Investment (M94) 2,982 - - - -
 
Departmental Output Expenses
         
E Tu Whanau Programme of Action

Community Support Services MCA (M63)

         
 
  • Developing and Managing Community Services
- 500 500 - -
 
Departmental Output Expenses
         
 
  • Supporting Victims and Perpetrators of Family and Sexual Violence
- 1,500 1,500 - -
 
Non-Departmental Output Expenses
         
Employee Safety and Security Income Support and Assistance to Seniors (M63) - 212 - - -
  Investigation of Overpayments and Fraudulent Payments and Collection of Overpayments (M63) - 284 - - -
 
Departmental Output Expenses
         
 

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Administering Income Support
- 1,521 - - -
 
  • Improving Employment Outcomes
- 1,722 - - -
 
  • Improving Work Readiness Outcomes
- 492 - - -
 
Departmental Output Expenses
         
Family Incomes Package Jobseeker Support and Emergency Benefit (M63) - (824) (3,340) (3,397) (3,397)
  Supported Living Payment (M63) - (3,531) (14,537) (16,163) (16,163)
  Sole Parent Support (M63) - (6,421) (25,908) (27,335) (27,335)
  Youth Payment and Young Parent Payment (M63) - (101) (417) (440) (440)
  New Zealand Superannuation (M63) - 788 (319) (16,801) (40,135)
  Veteran's Pension (M75) - (79) (338) (420) (515)
  Hardship Assistance (M63) - (24,245) (102,451) (108,352) (115,061)
  Transitional Assistance (M63) - 1,063 500 400 250
  Student Allowances (M63) - 6,300 19,500 19,500 19,800
 
Benefits or Related Expenses
         
Funding Additional Meetings of the Youth Advisory Panel

Independent Advice on Government Priority Areas MCA (M63)

  • Policy Advice
Non-Departmental Output Expense
(20) (20) - - -
Funding for Specialist Sexual Violence Services contingency drawdown

Community Support Services MCA (M63)

         
 
  • Developing and Managing Community Services
- 72 - - -
 
Departmental Output Expenses
         
 
  • Supporting Victims and Perpetrators of Family and Sexual Violence
- 1,824 6,397 6,159 6,159
 
Non-Departmental Output Expenses
         
Further Extension of Rural Assistance Payments (Drought) and the Water Storage and Irrigation Investment Proposals Hardship Assistance (M63) 232 - - - -
 
Benefits or Related Expenses
         
Gang Action Plan Community-Based Pilots

Community Support Services MCA (M63)

         
 
  • Developing and Managing Community Services
- 150 - - -
 
Departmental Output Expenses
         
 
  • Supporting Victims and Perpetrators of Family and Sexual Violence
- 1,600 - - -
 
Non-Departmental Output Expenses
         
Individual Placement Support for Clients with Mental Health Conditions

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Improving Employment Outcomes
- 103 1,339 1,332 1,332
 
Departmental Output Expenses
         
Intensive Client Support - Extension

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Improving Employment Outcomes
- 7,200 6,100 6,200 -
 
Departmental Output Expenses
         
Investing in Children: Contingency Drawdown Transformation Programme: Investing in New Zealand Children and their Families (M63) 6,629 7,564 4,000 4,000 4,000
 
Departmental Other Expenses
         
Measures to Support More People in Emergency Housing

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Administering Income Support
2,000 2,600 - - -
 
Departmental Output Expenses
         
North Canterbury Earthquake: Proposal for a Special Primary Sector Assistance Package: Decisions by Ministers with Power to Act; and Emergency Fisheries Measures Hardship Assistance (M63) 200 - - - -
 
Benefits or Related Expenses
         
Place-based Approaches Overview and Proposal for National Support Functions Place-based Initiatives - national support (M63) 610 1,020 - - -
 
Departmental Output Expenses
         
Place-based Social Investment in Tairawhiti - Next Steps Place-based Initiatives - Local Leadership Support for Tairawhiti (M63) 205 225 - - -
 
Departmental Output Expenses
         
Historic and Contemporary Claims Resolution Claims Resolution (MYA) (M63) - 3,683 3,683 3,683 -
 
Departmental Output Expenses
         
Revised contract for the Growing Up in New Zealand study Families Commission (M63) (1,526) (481) (3,813) (5,109) (5,109)
 
Non-Departmental Output Expenses
         
Rural Assistance Payments for Northland farmers affected by drought in 2017 Hardship Assistance (M63) 130 31 - - -
 
Benefits or Related Expenses
         
Severe weather event (Cyclones Debbie and Cook) April 2017 Hardship Assistance (M63) 30 170 - - -
 
Benefits or Related Expenses
         
Social Bond: Mental Health and Employment Administering Support for the Mental Health and Employment Social Bond Pilot (M63) 40 40 40 140 80
 
Departmental Output Expenses
         
  Mental Health and Employment Social Bond Pilot (M63) 241 633 633 633 1,660
 
Non-Departmental Output Expenses
         
Benefits for Recent Migrants - Tightening Access Youth Payment and Young Parent Payment (M63) - - (25) (51) (52)
  Jobseeker Support and Emergency Benefit (M63) - - (3,583) (7,314) (10,339)
  Sole Parent Support (M63) - - (84) (172) (175)
  Supported Living Payment (M63) - - (512) (1,046) (1,321)
 
Benefits or Related Expenses
         
 

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Administering Income Support
- 406 - - -
  Departmental Output Expenses          
Temporary Accommodation Assistance Extension Hardship Assistance (M63) - 233 138 69 -
 
Benefits or Related Expenses
         
 

Improved Employment and Social Outcomes Support MCA (M63)

         
 
  • Administering Income Support
- 100 194 100 -
 
Departmental Output Expenses
         
Youth Enterprise Initiatives Expansion

Partnering for Youth Development MCA (M77)

         
 
  • Increasing Youth Development Opportunities
- 1,500 1,500 1,500 1,500
 
Non-Departmental Output Expenses
         
Total Initiatives   33,397 19,739 (99,159) (132,871) (176,683)

1.2 - Trends in the Vote

Summary of Financial Activity

  2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Final 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 300,827 269,602 242,986 272,652 300,513 300,513 272,796 100,601 373,397 369,077 367,836 359,671
Benefits or Related Expenses 16,784,578 17,170,905 17,718,336 18,384,492 19,345,140 19,231,540 N/A 19,823,584 19,823,584 20,377,373 21,163,948 21,959,594
Borrowing Expenses - - - - - - - - - - - -
Other Expenses 105,751 103,562 78,857 19,005 137,149 137,149 - 118,714 118,714 98,780 98,778 98,773
Capital Expenditure 1,753,506 1,812,057 1,848,880 1,874,904 1,934,015 1,877,015 69,225 1,835,184 1,904,409 1,917,828 1,925,951 1,960,764
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -
Multi-Category Expenses and Capital Expenditure (MCA)                        
Output Expenses 720,464 739,742 765,568 755,731 769,998 769,998 683,794 82,490 766,284 757,325 750,546 753,736
Other Expenses - - - - - - - - - - - -
Capital Expenditure - - - - - - N/A - - - - -

Total Appropriations

19,665,126 20,095,868 20,654,627 21,306,784 22,486,815 22,316,215 1,025,815 21,960,573 22,986,388 23,520,383 24,307,059 25,132,538

Crown Revenue and Capital Receipts

                       
Tax Revenue - - - - - - N/A - - - - -
Non-Tax Revenue 11,722 12,653 13,496 11,665 10,558 10,558 N/A 10,797 10,797 10,694 10,593 10,581
Capital Receipts 581,230 610,562 651,486 702,841 671,203 671,203 N/A 701,253 701,253 720,436 741,066 764,028

Total Crown Revenue and Capital Receipts

592,952 623,215 664,982 714,506 681,761 681,761 N/A 712,050 712,050 731,130 751,659 774,609

Note - where restructuring of the vote has occurred then, to the extent practicable, prior years information has been restated as if the restructuring had occurred before the beginning of the period covered. In this instance Total Appropriations for the Budgeted and Estimated Actual year may not equal Total Appropriations in the Details of Appropriations and Capital Injections.

Adjustments to the Summary of Financial Activity Table Due to Vote Restructuring

Establishment of the Ministry for Vulnerable Children, Oranga Tamariki from 1 April 2017.

  2012/13
Adjustments
$000
2013/14
Adjustments
$000
2014/15
Adjustments
$000
2015/16
Adjustments
$000
2016/17
Final Budgeted
Adjustments
$000
2016/17
Estimated
Actual
Adjustments
$000

Appropriations

           
Output Expenses (756,391) (771,320) (799,526) (806,682) (690,050) (690,050)
Benefits or Related Expenses - - - - - -
Borrowing Expenses - - - - - -
Other Expenses - - - - (21,128) (21,128)
Capital Expenditure - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - -
Multi-Category Expenses and Capital Expenditure (MCA)            
Output Expenses 90,786 91,123 88,899 87,651 83,201 83,201
Other Expenses - - - - - -
Capital Expenditure - - - - - -

Total Appropriations

(665,605)

(680,197)

(710,627)

(719,031)

(627,977)

(627,977)

Crown Revenue and Capital Receipts

           
Tax Revenue - - - - - -
Non-Tax Revenue - - - - - -
Capital Receipts - - - - - -

Total Crown Revenue and Capital Receipts

- - - - - -

Establishment of Vote Social Housing from 1 July 2017.

  2012/13
Adjustments
$000
2013/14
Adjustments
$000
2014/15
Adjustments
$000
2015/16
Adjustments
$000
2016/17
Final Budgeted
Adjustments
$000
2016/17
Estimated
Actual
Adjustments
$000

Appropriations

           
Output Expenses - - - (2,693) (10,445) (10,445)
Benefits or Related Expenses (1,177,315) (1,145,875) (1,128,850) (1,163,674) (1,146,156) (1,128,656)
Borrowing Expenses - - - - - -
Other Expenses - - - (664) - -
Capital Expenditure - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - -
Multi-Category Expenses and Capital Expenditure (MCA)            
Output Expenses (610,846) (660,012) (723,591) (783,257) (921,876) (921,876)
Other Expenses - - - (1,280) (56,080) (56,080)
Capital Expenditure - - - - - -

Total Appropriations

(1,788,161)

(1,805,887)

(1,852,441)

(1,951,568)

(2,134,557)

(2,117,057)

Crown Revenue and Capital Receipts

           
Tax Revenue - - - - - -
Non-Tax Revenue - - - - - -
Capital Receipts - - - - - -

Total Crown Revenue and Capital Receipts

- - - - - -

Transfer of the Departmental Output Expense, Designing and Implementing Social Investment from Vote Social Development to Vote State Services from 1 July 2017.

  2012/13
Adjustments
$000
2013/14
Adjustments
$000
2014/15
Adjustments
$000
2015/16
Adjustments
$000
2016/17
Final Budgeted
Adjustments
$000
2016/17
Estimated
Actual
Adjustments
$000

Appropriations

           
Output Expenses - - - (1,518) (9,018) (9,018)
Benefits or Related Expenses - - - - - -
Borrowing Expenses - - - - - -
Other Expenses - - - - - -
Capital Expenditure - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - -
Multi-Category Expenses and Capital Expenditure (MCA)            
Output Expenses - - - - - -
Other Expenses - - - - - -
Capital Expenditure - - - - - -

Total Appropriations

-

-

-

(1,518)

(9,018)

(9,018)

Crown Revenue and Capital Receipts

           
Tax Revenue - - - - - -
Non-Tax Revenue - - - - - -
Capital Receipts - - - - - -

Total Crown Revenue and Capital Receipts

- - - - - -

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

1.3 - Analysis of Significant Trends

Total Departmental and Non-Departmental Expenses

Total Departmental and Non-Departmental Expenses
 2018 2019 23512.027 million, 2019 2020 24298.603 million, 2020 2021 25130.798 million.
Source: Ministry of Social Development

The movements in Departmental and Non-departmental appropriations in Vote Social Development, which are detailed above, are largely driven by increases in Benefits or Related Expenses, in particular, New Zealand Superannuation.

Departmental Output Expenses

Departmental Output Expenses
 2012 2013  Actual 806.402 million, 2013 2014  Actual 805.212 million, 2014 2015  Actual 832.844 million, 2015 2016  Actual 846.819 million, 2016 2017  Est. Actual 891.186 million, 2017 2018  Budget 948.867 million, 2018 2019  Estimated 935.584 million, 2019 2020  Estimated 930.935 million, 2020 2021  Estimated 931.676 million.
Source: Ministry of Social Development

Departmental output expenses increases steadily from 2012/13 before reaching a peak in 2017/18. The following are the key impacts on the trend:

  • on-going funding from 2014/15 for a package of core employment services to achieve outcomes for high-liability clients to improve employment outcomes $25 million.
  • on-going funding in 2015/16 for children living in material hardship $8 million
  • on-going funding in 2016/17 for Achieving Better Public Service Result Area 1 $15 million, extending the Youth Service to 18 and 19 year-olds $10 million and Ensuring the safety of our employees $7 million
  • on-going funding in 2017/18 for increased remuneration costs and increasing costs of current services $9 million and intensive client support extension $7 million. One-off funding for ensuring the safety and security of employees $4 million.

The impact of efficiency savings and the realisation of simplification benefits sees the overall trend decreasing from 2018/19 onwards.

Non-Departmental Output Expenses

Non-Departmental Output Expenses
 2012 2013  Actual 186.918 million, 2013 2014  Actual 191.336 million, 2014 2015  Actual 175.710 million, 2015 2016  Actual 176.729 million, 2016 2017  Est. Actual 177.044 million, 2017 2018  Budget 182.458 million, 2018 2019  Estimated 182.462 million, 2019 2020  Estimated 178.991 million, 2020 2021  Estimated 179.991 million.
Source: Ministry of Social Development

Non-departmental output expenses has had a steady trend in funding from 2012/13 onwards.

Non-Departmental Other Expenses

Non-Departmental Other Expenses
 2012 2013  Actual 99.571 million, 2013 2014  Actual 84.523 million, 2014 2015  Actual 78.857 million, 2015 2016  Actual 19.005 million, 2016 2017  Est. Actual 193.229 million, 2017 2018  Budget 118.714 million, 2018 2019  Estimated 98.780 million, 2019 2020  Estimated 98.778 million, 2020 2021  Estimated 98.773 million.
Source: Ministry of Social Development

The fluctuating trend for Non-departmental Other Expenses is due to changing levels of debt write-downs from 2012/13 to 2016/17. Debt write-downs is impacted by both changing levels of outstanding social benefit debt and the interest rates used to calculate the debt write-down provision. The trend stabilises from 2018/19 onwards.

Non-Departmental Capital Expenditure

Non-Departmental Capital Expenditure
 2012 2013  Actual 1709.993 million, 2013 2014  Actual 1745.998 million, 2014 2015  Actual 1757.945 million, 2015 2016  Actual 1762.590 million, 2016 2017  Est. Actual 1773.217 million, 2017 2018  Budget 1835.184 million, 2018 2019  Estimated 1846.166 million, 2019 2020  Estimated 1860.526 million, 2020 2021  Estimated 1885.940 million.
Source: Ministry of Social Development

The majority (about 90%) of Non-departmental capital expenditure is for Student Loans. Most expenditure (about 63%) occurs in the first four months of each calendar year when course fees are paid. Expenditure reduced in 2012/13 as economic conditions improved, thereafter expenditure increased until 2014/15 before easing over the following two years. Expenditure is expected to increase over the next four years; driven by a higher loan amount per borrower as course fees and living costs increase.

The Recoverable Assistance item makes up the remainder of Non-departmental capital expenditure. Recoverable Assistance expenditure reduced between 2012/13 and 2014/15 before rising in the latter part of 2015/16 in line with increased demand of assistance. This trend continued into 2017 and expenditure is expected to grow from $184 million in 2016/17 to $203 million in 2017/18 and then remain near that level until 2020/21.

Non-Departmental Benefits or Related Expenses

Non-Departmental Benefits or Related Expenses
 2012 2013  Actual 16808.141 million, 2013 2014  Actual 17215.400 million, 2014 2015  Actual 17718.336 million, 2015 2016  Actual 18384.492 million, 2016 2017  Est. Actual 19231.540 million, 2017 2018  Budget 19823.584 million, 2018 2019  Estimated 20377.373 million, 2019 2020  Estimated 21163.948 million, 2020 2021  Estimated 21959.594 million.
Source: Ministry of Social Development

Expenditure on Vote Social Development Benefits or Related Expenses (BoRE) increased by $2,447 million; from $16,785 million in 2012/13 to an estimated $19,232 million in 2016/17. This increase in expenditure was largely caused by rising expenditure on New Zealand Superannuation, which increased by $2,809 million over the period. New Zealand Superannuation accounts for over 60% of total BoRE expenditure, and this proportion has risen from 61% in 2012/13 to 68% in 2016/17. Spending on New Zealand Superannuation as a proportion of total BoRE spending is expected to rise to 73% by 2020/21.

Between 2012/13 and 2016/17 combined expenditure on main benefits (Jobseeker Support and Emergency Benefit, Sole Parent Support and Supported Living Payment) declined as economic conditions improved.

Over the period 2016/17 to 2020/21, spending is expected to increase by $2,881 million for New Zealand Superannuation and to decrease by $172 million for total BoRE excluding New Zealand Superannuation. The main drivers of expected growth in total BoRE spending between 2016/17 and 2020/21 are indexation (cumulative inflation adjustments and adjustments for growth in average wages made each April), the number of recipients and secondary impacts from the Family Incomes Package. Note that the number of recipients impact is dominated by growth in the number of New Zealand Superannuation recipients.

New Zealand Superannuation

New Zealand Superannuation
 2012 2013  Actual 10234.977 million, 2013 2014  Actual 10913.103 million, 2014 2015  Actual 11591.026 million, 2015 2016  Actual 12266.832 million, 2016 2017  Est. Actual 13043.729 million, 2017 2018  Budget 13670.779 million, 2018 2019  Estimated 14356.816 million, 2019 2020  Estimated 15163.578 million, 2020 2021  Estimated 15924.464 million.
Source: Ministry of Social Development

Annual expenditure increased by $2,032 million from $10,235 million in 2012/13 to $12,267 million in 2015/16 and it is expected to be $13,044 million in 2016/17. Expenditure will continue rising to reach $15,924 million in 2020/21. Annual inflation adjustments and adjustments for growth in average wages typically account for between 40% and 50% of total annual changes in spending on New Zealand Superannuation, with the remainder being growth in the number of recipients.

The number of New Zealand Superannuation recipients grew by 13% (or about 78,300 recipients) between 2012/13 and 2015/16. Annual growth in eligible recipients accelerated in line with the post-World War II increase in births and peaked in 2012/13. The number of recipients is expected to continue to grow, with the rate of growth increasing until 2018/19, then slowing in 2019/20 and 2020/21, reaching 823,700 in 2020/21.

Over the full nine year period, annual expenditure is expected to increase by nearly $5,689 million (or 56%); this reflects both the number of recipients being expected to increase by 211,300 (or 35%), as well as accumulated inflation and wage adjustments.

Jobseeker Support and Emergency Benefit

Jobseeker Support and Emergency Benefit
 2013 2014  Actual 1691.007 million, 2014 2015  Actual 1683.877 million, 2015 2016  Actual 1671.316 million, 2016 2017  Est. Actual 1694.839 million, 2017 2018  Budget 1662.932 million, 2018 2019  Estimated 1598.756 million, 2019 2020  Estimated 1528.939 million, 2020 2021  Estimated 1520.046 million.
Source: Ministry of Social Development

Expenditure for this appropriation tends to follow economic conditions, and has been trending down in line with unemployment for the past several years, during which time the number of recipients fell from 138,000 in 2013/14 to 130,200 in 2015/16.

Expenditure for this appropriation is expected to fall from $1,695 million in 2016/17 to $1,520 million in 2020/21, mainly reflecting an expected decline in the number of recipients, from an average of 130,500 in 2016/17 to an average of 110,000 by 2020/21 as economic conditions improve.

Sole Parent Support

Sole Parent Support
 2013 2014  Actual 1221.895 million, 2014 2015  Actual 1186.493 million, 2015 2016  Actual 1152.990 million, 2016 2017  Est. Actual 1163.696 million, 2017 2018  Budget 1116.799 million, 2018 2019  Estimated 1097.918 million, 2019 2020  Estimated 1110.892 million, 2020 2021  Estimated 1119.623 million.
Source: Ministry of Social Development

Sole Parent Support recipient numbers fell by over 10,500 people between 2013/14 and 2015/16 to an average of 67,500. This reduction was not fully reflected in expenditure as sole parent rates increased according to cost of living adjustments each April and by a further $25 per week in April 2016 under the Children Living in Material Hardship Package.

Expenditure for this appropriation is expected to fall from $1,164 million in 2016/17 to $1,120 million in 2020/21, mainly reflecting a decline in the number of recipients from 63,900 in 2016/17 to 59,300 in 2020/21. The two principal causes of the decline in recipient numbers are expected improvements in the labour market, and a decrease in the teenage birth rate. Lower expenditure from the decrease in the number of recipients is partly offset by inflation adjustments.

Supported Living Payment

Supported Living Payment
 2013 2014  Actual 1421.910 million, 2014 2015  Actual 1514.559 million, 2015 2016  Actual 1523.016 million, 2016 2017  Est. Actual 1529.520 million, 2017 2018  Budget 1530.887 million, 2018 2019  Estimated 1538.191 million, 2019 2020  Estimated 1558.308 million, 2020 2021  Estimated 1571.350 million.
Source: Ministry of Social Development

Supported Living Payment expenditure has increased in line with the number of recipients and cost of living adjustments. Between 2013/14 and 2015/16 the number of recipients increased by nearly 1,200 to 97,600.

Expenditure for this appropriation is expected to increase from $1,530 million in 2016/17 to $1,571 million in 2020/21, mainly reflecting inflation adjustments. This is partly offset by an expected decrease in the number of recipients from 97,200 in 2016/17 to 96,000 in 2020/21, mainly reflecting increased transfers from Supported Living Payment to New Zealand Superannuation.

1.4 - Reconciliation of Changes in Appropriation Structure

Establishment of the Community Support Services MCA from 1 July 2017 to fund community-based services and programmes that remain with the Ministry of Social Development following the establishment of the Ministry for Vulnerable Children, Oranga Tamariki. Most of the amounts of the existing 2016/17 appropriations were transferred to Vote Vulnerable Children, Oranga Tamariki on 1 April 2017.

 

    Old Structure New Structure
2016/17 Appropriations
in the 2016/17 Structure
2016/17
(Current)
$000
Appropriations to which
Expenses (or Capital
Expenditure) have been Moved from or to
Amount
Moved
$000
2016/17 Appropriations
in the 2017/18 Structure
2016/17
(Restated)
$000
2017/18
$000

Vote Social Development

           

Departmental Output Expenses

           
Investing in Communities 39,163 Transferred to Community Support Services MCA (15,466)   23,697 -

Non-Departmental Output Expenses

           
Counselling and Rehabilitation Services 16,879 Transferred to Community Support Services MCA (3,588)   13,291 -
Education and Prevention Services 9,279 Transferred to Community Support Services MCA (1,707)   7,572 -
Family Wellbeing Services 84,913 Transferred to Community Support Services MCA (11,248)   73,665 -
Strong Families and Connected Communities 109,144 Transferred to Community Support Services MCA (49,461)   59,683 -
       

Multi-category Expenses and Capital Expenditure

   
       

Community Support Services MCA

   
       

Departmental Output Expenses

   
    Transferred from Investing in Communities 15,466 Developing and Managing Community Services 15,466 19,083
       

Non-Departmental Output Expenses

   
    Transferred from Counselling and Rehabilitation Services 105 Community Support and Advice 24,720 26,156
    Transferred from Family Wellbeing Services 1,469      
    Transferred from Strong Families and Connected Communities 23,146      
    Transferred from Strong Families and Connected Communities 2,990 Participation and Support Services for Seniors 2,990 2,990
    Transferred from Counselling and Rehabilitation Services 3,483 Supporting Victims and Perpetrators of Family and Sexual Violence 38,294 44,573
    Transferred from Education and Prevention Services 1,707      
    Transferred from Family Wellbeing Services 9,779      
    Transferred from Strong Families and Connected Communities 23,325      
Total changes in appropriations 259,378   -   259,378 92,802

Explanations of the reasons for changing the appropriation structure are noted in the details of each appropriation in Parts 2-4.

Part 2 - Details of Departmental Appropriations

2.1 - Departmental Output Expenses

Administering Support for the Mental Health and Employment Social Bond Pilot (M63)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Administering Support for the Mental Health and Employment Social Bond Pilot (M63)

This appropriation is limited to the costs of administering and providing business support to the Mental Health and Employment Social Bond Pilot.

Commences: 01 February 2017

Expires: 30 June 2021
Original Appropriation 340
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 340
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 40
Estimated Actual for 2017/18 40
Estimated Appropriation Remaining 260

Revenue

  Budget
$000
Revenue from the Crown to end of 2017/18 80
Revenue from Others to end of 2017/18 -
Total Revenue 80

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve efficient and effective administrative support to the Mental Health and Employment Social Bond pilot.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

All payments are administered according to social bond standards/agreements.

Achieved Achieved Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Social Bond: Mental Health and Employment 2016/17 40 40 40 140 80

Reasons for Change in Appropriation

This is a new multi-year appropriation established in 2016/17.

Claims Resolution (M63)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Claims Resolution (M63)

This appropriation is limited to resolving claims of abuse and neglect for people who were under the supervision or in the care, custody or guardianship of the state or who had come to the notice of the state prior to 2008.

Commences: 01 April 2017

Expires: 30 June 2021
Original Appropriation 25,049
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 25,049
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 2,000
Estimated Actual for 2017/18 7,683
Estimated Appropriation Remaining 15,366

Revenue

  Budget
$000
Revenue from the Crown to end of 2017/18 9,683
Revenue from Others to end of 2017/18 -
Total Revenue 9,683

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Departmental Output Expense: Care and Protection Services 2,000 2,000 -
Departmental Output Expense: Claims Resolution 2,000 2,000 -
Total 4,000 4,000 7,683

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve resolution for victims of abuse and neglect who were in the care, custody or guardianship of the State.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The number of claims assessed by 30 June 2020 will be no less than

1,000 1,000 1,000

The percentage of claims assessed by 30 June 2020 that will have an offer made by 30 June 2021 will be

100% 100% 100%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Historic and Contemporary Claims Resolution 2017/18 - 3,683 3,683 3,683 -
Vote Vulnerable Children, Oranga Tamariki appropriation structure and changes to Vote Social Development 2016/17 2,000 4,000 4,000 4,000 -

Reasons for Change in Appropriation

This multi-year appropriation has increased compared to the restructured appropriation due to new funding in 2017/18 for Historic and Contemporary Claims Resolution: $3.683 million.

Corporate Support Services (M63)

Scope of Appropriation

This appropriation is limited to the provision of corporate support services to other agencies.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 25,000 25,000 105,500
Revenue from the Crown - - -
Revenue from Others 25,000 25,000 105,500

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve quality and efficient corporate support services.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Services meet the standards and timeframes agreed between the Ministry of Social Development and the Ministry for Vulnerable Children, Oranga Tamariki.

Achieved Achieved Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Vote Vulnerable Children, Oranga Tamariki appropriation structure and changes to Vote Social Development 2016/17 30,500 105,500 105,500 105,500 105,500

Reasons for Change in Appropriation

This is a newly established appropriation in 2016/17 with effect from 1 April 2017.

Data, Analytics and Evidence Services (M63)

Scope of Appropriation

This appropriation is limited to providing data, analytics and evidence services to better inform government decision-making.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 12,510 12,510 9,940
Revenue from the Crown 12,510 12,510 9,940
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an increase in the use and value of the data and information assets of the Ministry and other government agencies to better target services for New Zealanders.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of data infrastructure and tools, developed and delivered against an agreed work programme in accordance with organisational priorities will be no less than

New measure for 2017/18 New measure for 2017/18 90%

Data analytics strategy and plan developed to increase the use and value of data and information assets of the Ministry to better target services for New Zealanders.

New measure for 2017/18 New measure for 2017/18 Achieved

The percentage of products and services delivered to clients within the agreed timeframes will be no less than

New measure for 2017/18 New measure for 2017/18 90%

iMSD (see Note 1) products and services inform departmental decision making on services to be provided by the Ministry of Social Development as measured by the proportion of internal clients surveyed who rated the products and data information services 'good' or better will be no less than

New measure for 2017/18 New measure for 2017/18 90%

The percentage of products and services produced that consistently reflect the Quality Framework principles (see Note 2) will be no less than

80% 80% 80%

The percentage of publications released on the Ministry of Social Development external website in accordance with the agreed release timetable, updated quarterly, will be

New measure for 2017/18 New measure for 2017/18 100%

Total Aggregate Social Development BORE spend accuracy on current year mid-point estimates will be within the range of

+/-2% +/-2% +/-2%

Note 1 - Insights MSD or iMSD is a business group within the Ministry of Social Development that provides data, analytics, evidence and research services. Its purpose is to maximise the value of the Ministry's investment in data and analytics capability thereby improving decision making from policy to operations which will drive better outcomes for our clients.

Note 2 - The Quality Framework principles are: well commissioned, methodologically sound, client focused, build knowledge and capability, and ethical.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 98 89 89 88
Vote Vulnerable Children, Oranga Tamariki appropriation structure and changes to Vote Social Development 2016/17 (660) (2,855) (2,855) (2,855) (2,855)
Data and Analytics Contingency - Tranche Two Investment Proposals 2016/17 326 951 1,477 1,405 -
Establish Data, Analytics and Evidence Services & Policy Advice 2015/16 11,420 11,420 11,420 11,420 11,420

Reasons for Change in Appropriation

This appropriation has decreased by $2.570 million to $9.940 million in 2017/18. This is mainly due to:

  • a fiscally neutral transfer in from other appropriations in 2016/17 in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $1.750 million
  • additional funding transfer to Vote Vulnerable Children, Oranga Tamariki in 2017/18: $2.195 million.

The above is offset by:

  • new funding for Analytics to the front line in 2017/18: $326,000
  • drawn down of Data and Analytics Contingency - Tranche Two Investment Proposals in 2017/18: $951,000
  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $98,000.

Income Support and Assistance to Seniors (M63)

Scope of Appropriation

This appropriation is limited to paying New Zealand Superannuation and social security entitlements to older persons, providing advice to them, administering international social security agreements relating to non-superannuitants, and assessing financial entitlement to Residential Care Subsidies.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 43,781 43,781 37,150
Revenue from the Crown 43,781 43,781 37,150
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the accurate and timely assessment and payment of entitlements to older people.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of entitlement assessments for payment of entitlements to older people completed accurately will be no less than

90% 94.7% 90%

The percentage of entitlement assessments for payment of entitlements to older people finalised within standard timeframes (see Note 1) will be no less than

90% 90% 90%

Note 1 - This combines timeliness measures for all activities in this output expense. Standard timeframes for each component are as follows:

  • Six working days for New Zealand Superannuation and Emergency Benefit (for people over 65 years of age) entitlement assessments completed for payment in New Zealand.
  • 20 working days for New Zealand Superannuation entitlement assessments completed for payments overseas and other New Zealand entitlements paid overseas.
  • 20 working days for Residential Subsidy entitlement assessments.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 420 376 377 374
Employee Safety and Security 2017/18 - 212 - - -
Ensuring the Safety of Our Employees 2016/17 564 387 70 70 70
Allocation of Baseline Contributions Across Agencies for the Budget 2015 System Package 2015/16 (120) (120) (120) (85) (85)
Portability of New Zealand Superannuation to Niue, Tokelau and the Cook Islands 2014/15 66 66 66 66 66

Reasons for Change in Appropriation

This appropriation has decreased by $6.631 million to $37.150 million in 2017/18. This is mainly due to:

  • an increased one-off fiscally neutral transfer in 2016/17 from other appropriations in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $7.050 million
  • change in capital charge rate from 8% to 6%: $36,000.

The above is offset by:

  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $420,000
  • additional funding for Employee Safety and Security in 2017/18: $35,000.

Investigation of Overpayments and Fraudulent Payments and Collection of Overpayments (M63)

Scope of Appropriation

This appropriation is limited to services to minimise errors, fraud and abuse of the benefit system and Income Related Rent, and services to manage the collection of overpayments, recoverable assistance loans and other balances owed by former clients.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 49,209 49,209 49,808
Revenue from the Crown 49,209 49,209 49,808
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve a welfare system that operates with fairness and integrity by ensuring that the right people receive the right entitlements and assistance, and identifies and resolves overpayments.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of investigations that result in an entitlement change (see Note 1) or identification of an overpayment will be no less than

50% 59.5% 50%

The percentage of successful prosecutions concluded will be no less than

95% 96.1% 95%

The percentage of non-current debt paid in full, or under arrangement to pay, within four months will be no less than

70% 71.2% 70%

Note 1 - This includes the increase, reduction or cessation of entitlement to benefit as a direct result of the investigation.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 563 504 507 502
Employee Safety and Security 2017/18 - 284 - - -
Ensuring the Safety of Our Employees 2016/17 637 437 79 79 79
Allocation of Baseline Contributions Across Agencies for the Budget 2015 System Package 2015/16 (160) (160) (160) (113) (113)

Reasons for Change in Appropriation

This appropriation has increased by $599,000 to $49.808 million in 2017/18. This is mainly due to new funding for Ministry of Social Development - Maintaining Services.

Management of Service Cards (M63)

Scope of Appropriation

This appropriation is limited to assessing entitlement, issuing cards, and promoting and distributing information about the Community Services, SuperGold and Veteran SuperGold cards, including enlisting business partners to provide discounts to SuperGold cardholders.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 4,879 4,879 6,705
Revenue from the Crown 4,879 4,879 6,705
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve financial assistance to low income New Zealanders and older people by the accurate and timely assessment and issuing of discount service cards.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of card entitlement assessments completed accurately will be no less than

90% 96.7% 95%

The percentage of card entitlement assessments completed within five working days will be no less than

90% 93% 90%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 76 69 69 68

Reasons for Change in Appropriation

This appropriation has increased by $1.826 million to $6.705 million in 2017/18. This is mainly due to:

  • a fiscally neutral transfer to other appropriations in 2016/17 in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $1.750 million
  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $76,000.

Management of Student Loans (M57)

Scope of Appropriation

This appropriation is limited to assessing, paying and reviewing entitlements for student loans and providing guidance to students making financial and study decisions.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 15,545 15,545 15,218
Revenue from the Crown 15,545 15,545 15,218
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve reduced financial barriers to tertiary study by providing accurate and timely assessment and payment of student loans.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of entitlement assessments for a Student Loan completed accurately will be no less than

90% 98.8% 90%

The percentage of initial entitlement assessments for a Student Loan completed within five working days will be no less than

90% 99.7% 95%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 173 156 157 155
International Connections For New Zealanders 2016/17 500 - - - -

Reasons for Change in Appropriation

This appropriation has decreased by $327,000 to $15.218 million in 2017/18. This is due to:

  • one-off funding for International Connections for New Zealanders in 2016/17: $500,000.

The above is offset by:

  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $173,000.

Management of Student Support (M63)

Scope of Appropriation

This appropriation is limited to managing non-recoverable financial support to students, involving assessing and paying Student Allowances and other income support to eligible secondary and tertiary students.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 17,356 17,356 16,459
Revenue from the Crown 17,356 17,356 16,459
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve reduced financial barriers to tertiary study by providing accurate and timely assessment and payment of non-recoverable financial support for students.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of entitlement assessments for a Student Allowance completed accurately will be no less than

90% 95.5% 90%

The percentage of initial entitlement assessments for a Student Allowance completed within five working days will be no less than

90% 100% 95%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 187 169 169 168
Next Steps to Implement the Sole Parent Tertiary - Welfare Interface Package 2014/15 621 837 826 826 826

Reasons for Change in Appropriation

This appropriation has decreased by $897,000 to $16.459 million in 2017/18. This is mainly due to a fiscally neutral transfer in from other appropriations in 2016/17 in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $1.300 million.

The above is offset by:

  • increased funding for Next Steps to Implement the Sole Parent Tertiary - Welfare Interface Package: $216,000
  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $187,000.

Place-based Initiatives - Tairawhiti Local Leadership (M63)

Scope of Appropriation

This appropriation is limited to the provision of operational support for the place-based approach being led by the Tairawhiti Social Impact Collective.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 205 205 225
Revenue from the Crown 205 205 225
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve a new way of working together in Tairawhiti in order to achieve an improvement in the outcomes of at-risk children, young people and their families.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Provide on-going local support arrangements by 30 June 2018

New measure for 2017/18 New measure for 2017/18 Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Place-based Social Investment in Tairawhiti - Next Steps 2016/17 205 225 - - -

Reasons for Change in Appropriation

This appropriation has increased by $20,000 to $225,000 in 2017/18 due to extra funding for inflation.

Planning, Correspondence and Monitoring (M63)

Scope of Appropriation

This appropriation is limited to providing planning, reporting, monitoring and statutory appointment advice (other than policy decision-making advice) on Crown entities, and correspondence services to support Ministers to discharge their portfolio responsibilities.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 6,344 6,344 4,494
Revenue from the Crown 6,344 6,344 4,494
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve effective and efficient ministerial, advisory and administrative services to support Ministers to discharge their portfolio responsibilities.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Crown Entity Monitoring

     

The percentage of occasions on which advice is given to the Ministers on Crown entity and Statutory Tribunal appointments within agreed timeframes will be between

95-100% 100% 95-100%

The percentage of all reports (see Note 1) provided to the Minister that are factually accurate, meet all legislative requirements, and contain no avoidable errors will be between

95-100% 100% 95-100%

The percentage of occasions on which advice to Ministers on draft accountability documents for Crown entities for the next financial year is provided within agreed timeframes will be no less than

100% 100% 100%

Ministerial and Executive Services

     

The percentage of ministerial correspondence replies completed within 20 working days of receipt by the Ministry, unless otherwise agreed, will be between

95-100% 95% 95-100%

The percentage of written Parliamentary question replies provided to the Minister's Office so that answers can meet the timeframe set in Parliamentary Standing Orders, will be between

95-100% 99% 95-100%

The percentage of ministerial Official Information Act request replies completed within the statutory timeframe (or unless otherwise agreed), will be between

95-100% 100% 95-100%

Note 1 - Reports include policy advice, aide memoires, briefings and updates to support the Minister's decision-making responsibilities.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 51 46 46 46
Vote Vulnerable Children, Oranga Tamariki appropriation structure and changes to Vote Social Development 2016/17 (470) (1,111) (1,111) (1,111) (1,111)

Reasons for Change in Appropriation

This appropriation has decreased by $1.850 million to $4.494 million in 2017/18. This is due to:

  • a fiscally neutral transfer in from other appropriations in 2016/17 in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $1.260 million
  • funding transfer to Vote Vulnerable Children, Oranga Tamariki: $1.111 million.

The above is offset by:

  • a reprioritisation of baselines to meet changes in cost drivers in 2017/18: $470,000
  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $51,000.

Policy Advice (M63)

Scope of Appropriation

This appropriation is limited to providing advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government social policy and related matters, including social sector issues.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 20,167 20,167 14,393
Revenue from the Crown 20,167 20,167 14,393
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve high quality policy advice to support decision-making.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The satisfaction rating (see Note 1) given by Ministers (see Note 2) for the quality and timeliness of policy advice, as per the Common Satisfaction Survey will be at least

8.0 8.0 8.0

The technical quality of policy advice papers assessed by a survey with a methodological robustness of 85% (see Note 3) will be no less than

75% 75% 75%

The total cost (see Note 4) per hour per person of producing outputs will be between

$130-$140 $130-$140 $130-$140

Note 1 - The Common Satisfaction Survey rating measures Ministers' satisfaction with the quality, timeliness and value for money of policy advice on a scale from 1-10, where 1 means unsatisfied and 10 means extremely satisfied.

Note 2 - The Ministers who receive services are the Minister for Social Development, the Minister for Social Housing, the Minister for Youth, the Minister for Seniors, the Minister for Disability Issues and the Associate Minister for Social Housing.

Note 3 - This measure is a compulsory policy advice measure for all public sector agencies.

Note 4 - The total cost of an hour of professional staff time devoted to both policy advice and other policy unit outputs. Total cost includes the cost of labour, overheads, support staff, direct costs and outsourced work to support output production.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 184 164 164 162
Social Sector Leadership: Delivering Better Results 2017/18 - (1,808) (1,808) (1,808) (1,808)
Developing an Integrated Social Investment and Purchasing Model for Social Housing 2016/17 527 1,240 999 940 910
Vote Vulnerable Children, Oranga Tamariki appropriation structure and changes to Vote Social Development 2016/17 (955) (4,100) (4,100) (4,100) (4,100)
Social Housing Reform Programme 2015/16 1,387 869 869 869 869

Reasons for Change in Appropriation

This appropriation has decreased by $5.774 million to $14.393 million in 2017/18. This is mainly due to:

  • increased funding transferred to Vote Vulnerable Children, Oranga Tamariki in 2017/18: $3.145 million
  • a fiscally neutral transfer in from other appropriations in 2016/17 in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $1.200 million
  • the Social Sector Strategy team transferring to the State Services Commission: $1.808 million
  • decreased funding for Social Housing Reform Programme in 2017/18: $518,000.

The above is offset by:

  • increased funding for Developing an Integrated Social Investment and Purchasing Model for Social Housing in 2017/18: $713,000
  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $184,000.

Processing of Veterans' Pensions (M75)

Scope of Appropriation

This appropriation is limited to the processing and administrative aspects of payment of Veterans' Pensions and related allowances .

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 588 588 443
Revenue from the Crown 588 588 443
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the accurate and timely assessment and payment of Veterans' Pensions and related allowances.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of Veterans' Pension entitlement assessments completed accurately will be no less than

90% 95.1% 90%

The percentage of Veterans' Pension entitlement assessments completed within timeframes (see Note 1) will be no less than

90% 93.7% 90%

Note 1 - Six working days for Veterans' Pension entitlement assessments for payment in New Zealand, and 20 working days for Veterans' Pension entitlement assessments for payment overseas.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 5 5 5 5

Reasons for Change in Appropriation

This appropriation has decreased by $145,000 to $443,000 in 2017/18. This is due to a fiscally neutral transfer in from other appropriations in 2016/17 in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $150,000.

The above is offset by:

  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $5,000.

Promoting Positive Outcomes for Disabled People (M23)

Scope of Appropriation

This appropriation is limited to providing services to promote and monitor the implementation of the New Zealand Disability Strategy, to monitor and implement the United Nations Convention on the Rights of Persons with Disabilities, and to provide information to Ministers on disability matters.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 4,045 4,045 3,716
Revenue from the Crown 4,045 4,045 3,716
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the increased participation and contribution of disabled people by providing advice and support to the Minister for Disability Issues and by co-ordinating and monitoring against the Convention on the Rights of Persons with Disabilities, the New Zealand Disability Strategy and the Disability Acton Plan.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The quality rating given to a monitoring report by disabled people on their rights under the United Nations Convention on the Rights of Persons with Disabilities (see Note 1) is of high quality will be no less than

7.0 7.0 7.0

The satisfaction rating (see Note 2) given by the Minister for Disability Issues for the quality of the annual report is no less than

7.0 7.0 7.0

The percentage of stakeholders who report being 'satisfied' or 'very satisfied' with the level of engagement of the Office for Disability Issues

75% 75% 75%

Note 1 - Based on a rating system developed by the Office for Disability Issues that assess the elements of a good quality report, such as sound methodology and being easy to understand. This is measured on a scale from 1-10, where 1 means unsatisfied and 10 means extremely satisfied.

Note 2 - The Satisfaction Survey rating measures the Minister for Disability Issues' satisfaction with the quality of the annual report providing an accurate picture of progress against agreed priorities, where 1 means unsatisfied and 10 means extremely satisfied.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 31 28 28 28
Promotion and Maintenance of New Zealand Sign Language 2014/15 1,500 1,500 1,500 1,500 1,500
Monitoring by Disabled People of Their Rights 2013/14 275 275 275 275 275

Reasons for Change in Appropriation

This appropriation has decreased by $329,000 to $3.716 million in 2017/18. This is due to:

  • time limited funding transferred from the Ministry of Health ending in 2016/17: $1.360 million.

The above is offset by:

  • new funding for the Be Accessible (Delivering Accessible Tourism) programme of work: $1 million
  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $31,000.

Promoting Positive Outcomes for Seniors (M61)

Scope of Appropriation

This appropriation is limited to providing information and facilitation to protect the rights and interests of older people, to promote local community involvement in senior issues, and ministerial services.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 1,010 1,010 1,022
Revenue from the Crown 1,010 1,010 1,022
Revenue from Others - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve positive outcomes for seniors through supporting their inclusion in a society where older people can age positively, are highly valued and recognised as an integral part of families and communities, and by supporting greater advocacy of their issues by Ministers.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The number of page views on SuperSeniors webpages carrying information on Elder Abuse Response services will be no less than

New measure for 2017/18 New measure for 2017/18 100,000

The number of unique email addresses that are subscribed to the SuperSeniors Newsletter will be no less than

New measure for 2017/18 New measure for 2017/18 300,000

The percentage of stakeholders (see Note 1) who report being 'satisfied' or 'very satisfied' with the level of engagement of the Office for Seniors will be no less than

75% 75% 90%

Note 1 - Stakeholders are selected from the following groups: seniors, sector organisations and central and local government.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Ministry of Social Development - Maintaining Services 2017/18 - 12 10 11 10

Reasons for Change in Appropriation

This appropriation has increased by $12,000 to $1.022 million in 2017/18. This is due to new funding for Ministry of Social Development - Maintaining Services.

2.3 - Departmental Capital Expenditure and Capital Injections

Ministry of Social Development - Capital Expenditure PLA (M63)

Scope of Appropriation

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

Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Forests/Agricultural - - -
Land - - -
Property, Plant and Equipment 37,252 37,252 37,351
Intangibles 66,546 66,546 31,874
Other - - -

Total Appropriation

103,798 103,798 69,225

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve the replacement or upgrade of assets in support of the delivery of the Ministry's services.

How Performance will be Assessed and End of Year Reporting Requirements

Expenditure is in accordance with the Ministry's long-term investment plan.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Reasons for Change in Appropriation

This appropriation has decreased by $34.573 million to $69.225 million in 2017/18. This reflects the Ministry's revised capital programme of work due to the establishment of the Ministry for Vulnerable Children, Oranga Tamariki from 1 April 2017.

Capital Injections and Movements in Departmental Net Assets

Ministry of Social Development

Details of Net Asset Schedule 2016/17
Estimated Actual
$000
2017/18
Projected
$000
Explanation of Projected Movements in 2017/18
Opening Balance 327,242 177,056  
Capital Injections 9,483 7,101 Additional investment in MSD's capital base including critical core IT upgrades $6 million, Delivering Information to the Front Line from Data Analytics contingency $975,000, Social Sector Data Exchange initiative $126,000.
Capital Withdrawals (124,669) (126) Social Sector Data Exchange initiative to the State Services Commission $126,000.
Surplus to be Retained (Deficit Incurred) - -  
Other Movements (35,000) -  

Closing Balance

177,056 184,031  

Part 3 - Details of Non-Departmental Appropriations

3.1 - Non-Departmental Output Expenses

Children's Commissioner (M63)

Scope of Appropriation

This appropriation is limited to the provision of services from the Children's Commissioner including the discharge of the Commissioner's duties under the Children's Commissioner Act 2003, monitoring and reporting on services delivered under the Children, Young Persons, and Their Families Act, 1989, and the identification of aspects of law, policy and practice that might adversely affect children and the development and proposal of remedies.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,157 2,157 2,657

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an improvement in the wellbeing of children through the provision of independent advocacy for the interests of children, and independent monitoring and advice to Ministers about the services delivered to children under the Children, Young Persons, and Their Families Act 1989.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of key deliverables agreed with the Minister for Social Development in the Children's Commissioner's Statement of Performance Expectations completed to agreed standards (see Note 1) will be no less than

85% 100% 85%

The percentage of specified stakeholders (see Note 2) that agree that the Office's advocacy activities (see Note 3) contribute to improving the wellbeing of children will be no less than

80% 90% 80%

The percentage of monitoring report recommendations accepted by the Ministry for Vulnerable Children, Oranga Tamariki (see Note 4) as evidenced and in line with Ministry for Vulnerable Children, Oranga Tamariki policies and practices will be no less than (see Note 5)

90% 100% 90%

Note 1 - Agreed Standards are achievement of performance measures as set out in the Statement of Performance Expectations and the Memorandum of Understanding.

Note 2 - Stakeholders will be listed in the Memorandum of Understanding between the Office and the Minister for Social Development for the new financial year.

Note 3 - As evidenced by the results from an annual stakeholder survey of specified stakeholders who will be outlined in the Memorandum of Understanding with the Minister.

Note 4 - This performance measure is the same as that contained in the 2016/17 Estimates. It has been amended to reflect the Ministry for Vulnerable Children, Oranga Tamariki replacing Child, Youth and Family from 1 April 2017.

Note 5 - As evidenced in the minutes of meetings held between the Office of the Children's Commissioner and the Ministry for Vulnerable Children, Oranga Tamariki to confirm which monitoring recommendations are to be accepted.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Office of the Children's Commissioner in its Annual Report.

Service Providers

The Office of the Children's Commissioner receives this funding with performance information reported in its Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Children's Commissioner - Statutory Advice and Increased Monitoring Coverage 2017/18 - 500 - - -

Reasons for Change in Appropriation

This appropriation has increased by $500,000 to $2.657 million in 2017/18. This is due to new funding for statutory advice and increased monitoring coverage.

Community Participation Services (M63)

Scope of Appropriation

This appropriation is limited to the provision of services, resources, assistance and support to people so they can participate in and contribute to the wider community.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 82,631 82,631 81,160

Components of the Appropriation

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Enabling Good Lives 4,312 4,312 -
Participation of People with Disabilities in Communities 62,521 61,829 64,481
Vocational Services for Very High Needs School Leavers 15,798 16,490 16,679
Total 82,631 82,631 81,160

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an increase in opportunities for people to fully participate in their communities by enhancing the skills, knowledge and services available to them.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The number of disabled people supported to participate in their communities will be no fewer than

16,500 16,500 16,500

The number of disabled people placed or supported to remain in open paid employment will be no fewer than

5,800 5,800 5,800

Advocacy services provided in the Work and Income regions will be no fewer than

11 12 12

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Minister for Social Development in the Vote Social Development Non-Departmental Appropriations Report.

Service Providers

Provider 2016/17
Final Budgeted
$000
2016/17
Estimated Actual
$000
2017/18
Budget
$000
Expiry of
Resourcing
Commitment
Idea Services Limited 24,161 24,161 24,089 30/06/2019
CCS Disability Action Inc 2,545 2,545 2,300 30/06/2019
Hohepa Services Limited 1,311 1,311 1,247 30/06/2019
SPAN Charitable Trust 917 917 917 30/06/2019
Spectrum Care Trust Board 842 842 796 30/06/2019
Other providers (approximately 104 providers with funds from $2,000 to $672,000) 52,855 52,855 51,811  
Total 82,631 82,631 81,160  

The table above presents the top five service providers with funding arrangements with Ministry of Social Development under the output as at 15 March 2017.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Enabling Good Lives - Funding transfer from Vote Health 2015/16 4,500 - - - -
Participation and Inclusion for Disabled People 2015/16 3,676 5,428 5,428 5,428 5,428

Reasons for Change in Appropriation

This appropriation has decreased by $1.471 million to $81.160 million in 2017/18. This is due to:

  • time limited funding for Enabling Good Lives ceasing in 2016/17: $3.223 million.

The above is offset by:

  • increased funding for Participation and Inclusion for Disabled People in 2017/18: $1.752 million.

Families Commission (M63)

Scope of Appropriation

This appropriation is limited to the provision of services from the Families Commission to promote the wellbeing of a full range of New Zealand families and whanau through undertaking research and evidence gathering to build a transfer of knowledge to policymakers and purchasers and providers of services.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 14,092 14,092 12,639

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an improvement in the lives of New Zealand families and whanau as a result of the provision of research, evidence and capability enhancement to inform the development and implementation of social policies, programmes and services by government and community organisations.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of key deliverables agreed with the Minister for Social Development in the Families Commission's Statement of Performance Expectations completed to agreed standards (see Note 1) will be no less than

85% 85% 85%

The percentage of key stakeholders who agree that research and evidence provided by the Families Commission has informed their development and implementation of social policies, programmes and services will be no less than

70% 70% 70%

Note 1 - Agreed Standards are achievement of performance measures as set out in the Statement of Performance Expectations and the Memorandum of Understanding.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Families Commission in its Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Draw Down for the Growing Up in New Zealand study contract and related activities 2015/16 7,314 4,816 5,959 5,959 5,959
Revised contract for the Growing Up in New Zealand study 2016/17 (1,526) (481) (3,813) (5,109) (5,109)
Transfer of the responsibility for monitoring, research and evaluation including funding for the Growing Up in New Zealand Longitudinal Studies from Vote Social Development 2013/14 180 180 180 180 180

Reasons for Change in Appropriation

This appropriation has decreased by $1.453 million to $12.639 million in 2017/18. This is due to:

  • a lower draw down from the contingency fund for managing the Growing Up in New Zealand study contract: $2.498 million.

The above is offset by:

  • an increase of $1.045 million in 2017/18 relating to the revised scope of the contract for the Growing Up in New Zealand study.

Mental Health and Employment Social Bond Pilot (M63)

Scope of Appropriation and Expenses

Type, Title, Scope and Period of Appropriations Appropriations, Adjustments and Use $000

Mental Health and Employment Social Bond Pilot (M63)

This appropriation is limited to the outcome payments incurred under the Mental Health and Employment Social Bond Pilot.

Commences: 01 February 2017

Expires: 30 June 2021
Original Appropriation 3,800
Adjustments to 2015/16 -
Adjustments for 2016/17 -
Adjusted Appropriation 3,800
Actual to 2015/16 Year End -
Estimated Actual for 2016/17 241
Estimated Actual for 2017/18 633
Estimated Appropriation Remaining 2,926

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve reduced welfare dependence and improved mental health outcomes.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The number of clients who receive services under the social bond pilot will be no less than (see Note 1)

100 100 1,700

Note 1 - The budget standard of 1,700 is the total number of participants for the five year period, being 340 for each fiscal year.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Minister for Social Development in the Vote Social Development Non-Departmental Appropriations Report.

Service Providers

The funding is to be paid to APM Workcare Ltd to supply a range of employment services to people with mental health conditions.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Social Bond: Mental Health and Employment 2016/17 241 633 633 633 1,660

Reasons for Change in Appropriation

This is a newly established multi-year appropriation in 2016/17.

Student Placement Services (M63)

Scope of Appropriation

This appropriation is limited to placement services for students for holiday and term employment.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 3,512 3,512 3,512

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve reduced financial barriers to tertiary study through the effective operation of the Student Job Search placement service so that more students are earning income through paid employment.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(iii) of the PFA as the amount of this annual appropriation for a Non-departmental output expense is less than $5 million.

Service Providers

The funding is paid to Student Job Search for operation of the Student Job Search placement service.

3.2 - Non-Departmental Benefits or Related Expenses

Childcare Assistance (M63)

Scope of Appropriation

This appropriation is limited to assistance for the costs of childcare that meets specific quality guidelines, where parents meet activity and income criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 205,345 197,345 197,320 200,260 204,378 206,882

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing financial support to assist caregivers and parents with childcare costs.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Childcare Assistance under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Children Living in Material Hardship 2015/16 31,484 32,088 32,822 32,822 32,822
Enhanced use of Authoritative Data 2015/16 2,793 4,656 4,656 4,656 4,656

Reasons for Change in Appropriation

Expenditure on Childcare Assistance is expected to rise between 2016/17 and 2020/21 due to inflation adjustments to the payment rates and an expected increase in the number of recipients. Partly offsetting this is an expected decrease in the average payment rate per person (before inflation adjustments).

Conditions on Use of Appropriation

Reference Conditions
Childcare Assistance includes the Childcare Subsidy and the Out of School Care and Recreation Subsidy (OSCAR subsidy). These are paid under section 61GA of the Social Security Act 1964 and the Social Security (Childcare Assistance) Regulations 2004 pursuant to section 132AC of the Social Security Act 1964 The Childcare Subsidy assists with pre-school costs for caregivers. The Subsidy covers children aged 0 to 4 years old, or 0 to 5 if a Child Disability Allowance is also payable. Childcare Subsidy is payable for up to 50 hours per week of attendance at an approved early childhood programme where a caregiver is engaged in an approved activity such as employment or training, has serious illness or disability or whose dependent child or children have a serious illness or disability, or up to 9 hours per week in most other cases. The Childcare Subsidy may be used in combination with Free Early Childhood Education for 3 and 4 year olds where hours exceed six per day or 20 per week. The Subsidy is a non-taxable income tested payment. The OSCAR subsidy assists with out-of-school care costs for caregivers to take up or remain in paid employment. OSCAR covers 5 to 13 year olds, and 5 to 17 if a Child Disability Allowance is also payable. OSCAR subsidy is available for approved before and after school care for up to 20 hours per week and up to 50 hours per week in approved school holiday programmes. The caregiver must be participating in an approved activity such as employment or training. The OSCAR subsidy is a non-taxable income-tested payment. There are three standard levels of Childcare and OSCAR subsidy, with the level depending on household income.
Early Learning Programme Assistance is paid under the Family Start and Early Start (Childcare Assistance) Programme pursuant to section 124(1)(d) of the Social Security Act 1964 Early Learning Programme Assistance is provided to families who are enrolled in selected Family Start or Early Start programmes. The rate provided is 20 hours per week for an eligible child under 30 months of age or 15 hours per week for an eligible child between 30 and 36 months of age. The Assistance is a non-taxable payment.
Guaranteed Childcare Assistance Payment is paid under the Guaranteed Childcare Assistance Payment Programme pursuant to section 124(1)(d) of the Social Security Act 1964 The Guaranteed Childcare Assistance Payment provides financial assistance towards the costs of early childhood education to help young parents who are receiving young parent payments, or who are spouses or partners of specified beneficiaries, to comply with their youth activity obligations, and young parents who are not beneficiaries to return to, or remain in, courses of secondary instruction.

Disability Assistance (M63)

Scope of Appropriation

This appropriation is limited to the Disability Allowance for people with disability costs and the Child Disability Allowance to the caregivers of children with a serious disability, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 380,022 377,022 379,491 380,510 382,466 383,624

Components of the Appropriation

  2016/17 2017/18 2018/19 2019/20 2020/21
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Child Disability Allowance 88,260 88,260 90,805 93,496 96,516 99,359
Disability Allowance 288,762 288,762 288,686 287,014 285,950 284,265
Supplementary Estimates Add-on 3,000 - - - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve social outcomes by providing financial support to help people meet disability-related living costs.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Disability Assistance under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Annual General Adjustment: Removing the Need for Additional Annual Decision Making 2015/16 661 605 606 606 606
Impact of the 2015 Annual General Adjustment on the Income Thresholds for Disability Allowance and the Community Services Card 2014/15 906 906 906 906 906
Impact of the Annual General Adjustment on the 2014 Income Thresholds for the Disability Allowance and the Community Services Card 2013/14 96 96 96 96 96

Reasons for Change in Appropriation

Expenditure on Disability Assistance is expected to rise between 2016/17 and 2020/21 because of inflation adjustments to the payment rates and an expected increase in the number of recipients of Child Disability Allowance. Partly offsetting this is an expected decrease in the number of recipients of Disability Allowance.

Conditions on Use of Appropriation

Reference Conditions
Child Disability Allowance is paid under sections 39A to 39E of the Social Security Act 1964 Child Disability Allowance is a non-taxable allowance that is available to the principal caregiver of a dependent child who has a serious disability. The child must have a physical or mental disability, need constant care and attention because of that disability and be likely to need that care for more than 12 months.
Disability Allowance is paid under section 69C of the Social Security Act 1964 and the Ministerial Direction - Disability Allowance pursuant to section 5 of the Social Security Act 1964 This Allowance reimburses additional costs arising from a disability that is likely to continue for a minimum of six months. Disability Allowance only covers additional costs that are not funded or provided by other agencies. Disability Allowance may be paid to persons receiving main benefits and, on an income-tested basis, to New Zealand Superannuation and Veterans' Pension recipients and to low-income earners.

Family Start/NGO Awards (M63)

Scope of Appropriation

This appropriation is limited to the payment of course fees for Family Start family/whanau and NGO workers pursuing social work qualifications, in accordance with Cabinet decisions.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 705 705 705 705 705 705

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an increase in the number of NGO staff who have formal social work qualifications by assisting with course fees.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payment of course fees for Family Start family/whanau and NGO workers pursuing social work qualifications.

Conditions on Use of Appropriation

Reference Conditions
Family Start family/whanau Awards are paid under Cabinet decisions The Family Start Awards pay for course fees that enable Family Start employees to study for diploma or degree level qualifications in social work, early childhood education or health. This item has not been offered to new students since 2011. Existing students continue to receive these payments until their study ends.

Hardship Assistance (M63)

Scope of Appropriation

This appropriation is limited to Civil Defence payments, Funeral Grants, Live Organ Donors Assistance, Special Benefit, Special Needs Grants, Temporary Accommodation Assistance and Temporary Additional Support to provide means-tested temporary financial assistance to persons with emergency or essential costs, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 356,979 341,979 343,761 272,010 277,746 286,746

Components of the Appropriation

  2016/17 2017/18 2018/19 2019/20 2020/21
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Special Needs Grant 100,230 100,230 100,510 88,692 81,433 77,579
Temporary Accommodation Assistance 2,340 2,340 770 138 69 -
Temporary Additional Support 223,030 223,030 227,707 171,965 185,893 199,677
Special Benefit 16,379 16,379 14,774 11,215 10,351 9,490
Supplementary Estimates Add-on 15,000 - - - - -

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve social outcomes by providing financial support to meet essential or emergency costs for people living in financial hardship.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Hardship Assistance under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Severe weather event (Cyclones Debbie and Cook) April 2017 2017/18 - 170 - - -
Family Incomes Package 2017/18 - (24,245) (102,451) (108,352) (115,061)
Temporary Accommodation Assistance Extension 2017/18 - 233 138 69 -
Further Extension of Rural Assistance Payments (Drought) and the Water Storage and Irrigation 2016/17 232 - - - -
North Canterbury Earthquake: Proposal for a Special Primary Sector Assistance Package: Decisions by Ministers with Power to Act; and Emergency Fisheries Measures 2016/17 200 - - - -
Rural Assistance Payments for Northland farmers affected by drought in 2017 2016/17 130 31 - - -
Severe weather event (Cyclones Debbie and Cook) April 2017 2016/17 30 170 - - -
Social Housing - Emergency Housing 2016/17 2,000 2,000 2,000 2,000 2,000
Children Living in Material Hardship 2015/16 (1,923) (1,769) (1,508) (1,508) (1,508)
Enhanced Use of Authoritative Data 2015/16 912 1,520 1,520 1,520 1,520
Extension of Temporary Accommodation Assistance 2015/16 2,767 527 - - -
Response to the Syrian Refugee Crisis: Implementation 2015/16 117 117 - - -

Reasons for Change in Appropriation

Expenditure on Hardship Assistance is expected to continue to increase until April 2018, thereafter the impact of the Family Incomes Package reduces expenditure. The Family Incomes Package has the most impact on Temporary Additional Support. Special Needs Grants is expected to trend downwards as demand for emergency grants declines.

Conditions on Use of Appropriation

Reference Conditions
Funeral Grants are paid under sections 61D to 61DE of the Social Security Act 1964 Funeral Grants are discretionary payments designed to help people with actual and reasonable funeral costs up to a set maximum. The Grant depends on the accessible estate of the deceased person, and on the assets and income of the surviving spouse or partner (if any) or, if the deceased is a child, on the assets and income of the parents and other persons liable in law to maintain the child. The Grant is a non-taxable payment.
Special Benefit is paid under section 23 of the Social Security (working for Families) Amendment Act 20014 and the Direction in Relation to Special Benefit pursuant to section 5 of the Social Security Act 1964 Special Benefit provides assistance to clients whose particular financial circumstances and commitments are causing them financial hardship. Special Benefit is available to beneficiaries and low-income earners who were receiving it immediately before 1 April 2006 and for whom Special Benefit has not been cancelled (except temporarily). Special Benefit is not intended as a long-term solution to a client's financial shortfall. It is instead paid to help clients meet essential costs while they make efforts to reduce their commitments and live within their usual income. This Benefit is a non-taxable payment.
Special Needs Grants are paid under the Special Needs Grants Programme pursuant to section 124(1)(d) of the Social Security Act 1964 The Special Needs Grant Programme assists people who have an immediate and essential or emergency need and have no other means of paying for it. Grants include the Rural Sector Assistance Programme, which assists farmers who are unable to meet living expenses because of adverse events (such as flooding). Special Need Grants are income and cash asset-tested. The Grants are generally one-off recoverable or non-recoverable, non-taxable financial assistance, although grants can be made on a continuing basis for living expenses to some persons (for example, under the rural assistance provisions).
Live Organ Donor Assistance is paid under the 'Assistance to Live Organ Donors Programme and Ministerial Direction' pursuant to sections 5 and 124(1)(d) of the Social Security Act 1964 Live Organ Donor Assistance is financial assistance for people who donate a kidney or liver tissue for transplant purposes. It is not subject to income or asset tests. The Grant is a non-taxable payment.
Temporary Additional Support is paid under section 61G of the Social Security Act 1964 and the Social Security (Temporary Additional Support) Regulations 2005 made pursuant to section 132AB of the Social Security Act 1964 Temporary Additional Support provides financial assistance as a last resort to alleviate financial hardship for people whose essential costs cannot be met from their chargeable income and other resources. This support became available from 1 April 2006. This non-taxable payment is made to help meet essential living costs while clients reduce their commitments and live within their usual income. The standard period for this financial assistance is 13 weeks.
Civil Defence payments are made under the Civil Defence Programme pursuant to section 124(1)(d) of the Social Security Act 1964 The payments are made to evacuees in areas where a Civil Defence emergency has been declared who do not have insurance to cover their costs or have access to other available aid (eg, public donations or other government or charitable relief funds). These payments are non-taxable.
Temporary Accommodation Assistance is paid under the Temporary Accommodation Assistance (Canterbury Earthquake) Programme pursuant to section 124 (1)(d) and Section 5 of the Social Security Act 1964 Temporary Accommodation Assistance is a subsidy to assist homeowners (including beneficiaries of a trust that owns the house in certain situations) affected by the Canterbury earthquake with temporary accommodation costs. This can be paid to homeowners who have had to leave their home as a result of the Canterbury 4 September 2010 Earthquake and resulting aftershocks and have no available temporary accommodation insurance cover.

Jobseeker Support and Emergency Benefit (M63)

Scope of Appropriation

This appropriation is limited to means-tested income support for people who are eligible for Jobseeker Support or an Emergency Benefit, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 1,712,139 1,694,839 1,662,932 1,598,756 1,528,939 1,520,046

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing means-tested income support to people not in employment but seeking it, temporarily unable to work, or who are in hardship and not eligible for another main benefit.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Jobseeker Support and Emergency Benefit under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Investing to Increase the Number of Engineering Graduates 2018/19 - - 5 5 5
Benefits for Recent Migrants - Tightening Access 2018/19 - - (3,583) (7,314) (10,339)
Family Incomes Package 2017/18 - (824) (3,340) (3,397) (3,397)
Social Security Act 1964 Rewrite 2017/18 (1,692) (1,733) (1,770) (1,798) (1,798)
Children Living in Material Hardship 2015/16 31,544 31,432 32,002 32,002 32,002
Response to the Syrian Refugee Crisis: Implementation 2015/16 1,717 2,662 2,020 1,530 1,530
Maintain the Student Allowance Parental Income Threshold 2015/16 (67) (383) (383) (383) (383)
Next Steps to Implement the Sole Parent Tertiary-Welfare Interface Package 2015/16 (3,435) (4,997) (4,997) (4,997) (4,997)
Enhanced Use of Authoritative Data 2015/16 (15,676) (39,273) (39,273) (39,273) (39,273)
Additional Medical Places 2014/15 24 33 33 33 33
Extending the Student Support Stand-Down Period for Permanent Residents 2014/15 598 598 598 598 598
Additional Flexibility for Highly Performing Private Training Establishments 2013/14 116 116 116 116 116
Continue 99-105% Tolerance Bands 2013/14 71 71 71 71 71
Reducing Student Allowances Eligibility for Students Aged 40 and Over 2013/14 608 608 608 608 608
Removing Student Allowances Eligibility for those Aged 65 and Over 2013/14 134 134 134 134 134
Supporting Better Public Services and the Business Growth Agenda within Vote Tertiary Education 2013/14 47 46 46 46 46
Transfer and Return of 2012/13 Underspends in Vote Tertiary Education 2013/14 53 53 53 53 53
20 Additional Medical Places 2013/14 8 8 8 8 8
Welfare Reform Phase Two - 28 Day Rule 2013/14 223 223 223 223 223
Welfare Reform Phase Two - Abatement Rules 2013/14 567 567 567 567 567
Welfare Reform Phase Two - Widows/ Woman Alone Rate Change 2013/14 (2,876) (2,876) (2,876) (2,876) (2,876)

Reasons for Change in Appropriation

Expenditure on Jobseeker Support and Emergency Benefit is expected to fall between 2016/17 and 2020/21 because of an expected decline in the number of recipients. Partly offsetting this are inflation adjustments to the payment rates.

Conditions on Use of Appropriation

Reference Conditions
Sections 88B to 88M of the Social Security Act 1964. Jobseeker Support is paid under sections 88B to 88M of the Social Security Act 1964, and on grounds of hardship, as set out in the Emergency Benefit and Benefits on Ground of Hardship Ministerial Direction pursuant to section 5 of the Social Security Act 1964. Jobseeker Support is available for people who are not in full-time employment but are either:
  • looking for and available for work
  • would be looking for and available for work but for circumstances that would qualify the person for an exemption under section 105, or
  • willing to undertake work but limited in their capacity to work due to sickness, injury or disability.
It is also payable to people who are in employment but losing earnings because, through sickness, injury, or disability, they are not working at all or working only at a reduced level. It is also available from the 27th week of pregnancy (or earlier if there are complications). It is a work-tested benefit, though some are expected to prepare for work if they have a temporary deferral from work obligations. Net weekly rates depend on age and family status. The sole parent rate is the same as for Sole Parent Support. This Benefit is taxable and is after deductions for debt establishments and overseas pension recoveries.
Jobseeker Support on the grounds of hardship may be paid to an applicant who meets the job seeking or sickness criteria for Jobseeker Support, but not the residency requirements and is in hardship, or to full-time students between the end of one academic year and the start of the next.
Emergency Benefit is paid under sections 61, 61AA and 61A of the Social Security Act 1964 and the Emergency Benefit and Benefits on Ground of Hardship Ministerial Direction pursuant to section 5 of the Social Security Act 1964. Emergency Benefit is payable on the grounds of hardship to people who are unable to earn a sufficient livelihood and are not eligible to receive any other main benefit. Emergency Benefit can also be paid instead of, or in substitution for, specified main benefits under the Act the person is otherwise eligible to receive. Rates of payment can vary but cannot exceed the rate of the analogous benefit that would be otherwise payable. This appropriation is inclusive of tax and is after deductions for debt establishments and overseas pension recoveries.

New Zealand Superannuation (M63)

Scope of Appropriation

This appropriation is limited to an income for people who have reached the qualifying age of 65 years and fulfil the residency requirements, as provided for in the New Zealand Superannuation and Retirement Income Act 2001.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 13,069,729 13,043,729 13,670,779 14,356,816 15,163,578 15,924,464

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve social participation and independence for superannuitants by providing financial support.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of New Zealand Superannuation under the New Zealand Superannuation and Retirement Income Act 2001. Performance information relating to the administration of the payment is provided under the Income Support and Assistance to Seniors appropriation.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Family Incomes Package 2017/18 - 788 (319) (16,801) (40,135)
Review of Surviving Spouse or Partner Weekly Compensation for Superannuitants Provision 2017/18 - 750 770 790 790
Portability of New Zealand Superannuation to Niue, Tokelau and the Cook Islands 2015/16 4,906 4,906 4,906 4,906 4,906

Reasons for Change in Appropriation

Expenditure on New Zealand Superannuation is expected to rise between 2016/17 and 2020/21 because of an expected increase in the number of recipients. Also contributing to the rise are inflation and wage growth adjustments to the payment rates.

Conditions on Use of Appropriation

Reference Conditions
New Zealand Superannuation is paid under the New Zealand Superannuation and Retirement Income Act 2001. New Zealand Superannuation provides income for people who have reached the qualifying age of 65 and fulfilled the residency requirements.
It includes different rates for a person who lives alone, shares accommodation or is married or in a civil union or de facto relationship. New Zealand Superannuation at a higher, income-tested rate is also paid on the election of a person with a spouse or partner who does not qualify for New Zealand Superannuation.
With the exception of the higher rate where a non-qualified partner is included, New Zealand Superannuation is not income-tested.
This appropriation is inclusive of tax and is after deductions for debt establishments and overseas pension recoveries.

Orphan's/Unsupported Child's Benefit (M63)

Scope of Appropriation

This appropriation is limited to the Orphan's/Unsupported Child's Benefit to provide income support for people charged with the responsibility for a child whose parents are dead or cannot be located, suffer a serious long-term disablement, or where there has been a breakdown in the child's family, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 154,067 152,267 161,730 172,357 183,726 195,020

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve social outcomes by providing income support to the principal caregivers of orphans and unsupported children.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Orphan's/Unsupported Child's Benefit under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Additional Financial Assistance for Carers Receiving Orphan's Benefit or Unsupported Child's Benefit 2013/14 7,376 7,466 7,466 7,466 7,466

Reasons for Change in Appropriation

Expenditure on Orphan's/Unsupported Child's Benefit is expected to rise between 2016/17 and 2020/21 because of an expected increase in the number of recipients and inflation adjustments to the payment rates.

Conditions on Use of Appropriation

Reference Conditions
The Orphan's and Unsupported Child's Benefits are paid under sections 28, 29, 29A and 31 of the Social Security Act 1964 and under the Orphan's and Unsupported Child's Benefit (Additional Assistance Programme) Orphan's Benefit and Unsupported Child's Benefit, and associated grants, are paid to a caregiver of a dependent child whose parent(s) cannot support them or care for them because the parents are dead, cannot be located, suffer a serious long-term disablement or there has been a breakdown in the child's family. The applicant must be likely to be the principal caregiver for at least one year from the date of application for the benefit. Both Benefits are not income-tested on the caregiver's income or assets but are on the child's income excluding the personal earnings of the child. Both Benefits are non-taxable payments.

Sole Parent Support (M63)

Scope of Appropriation

This appropriation is limited to means-tested income support for people who are eligible for Sole Parent Support, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 1,176,096 1,163,696 1,116,799 1,097,918 1,110,892 1,119,623

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing means-tested income support to sole parents while they are caring for dependent children.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Sole Parent Support under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Benefits for Recent Migrants - Tightening Access 2018/19 - - (84) (172) (175)
Family Incomes Package 2017/18 - (6,421) (25,908) (27,335) (27,335)
Children Living in Material Hardship 2015/16 107,253 106,540 106,761 106,761 106,761
Enhanced Use of Authoritative Data 2015/16 (11,138) (27,843) (27,843) (27,843) (27,843)
Next Steps to Implement the Sole Parent Tertiary-Welfare Interface Package 2015/16 (23,201) (33,753) (33,753) (33,753) (33,753)
Response to the Syrian Refugee Crisis: Implementation 2015/16 173 270 215 168 168

Reasons for Change in Appropriation

Expenditure on Sole Parent Support is expected to fall between 2016/17 and 2020/21 because of an expected decline in the number of recipients, the impact of the Family Incomes Package, and an expected decline in the average payment rate per person (before inflation adjustments). Partly offsetting these impacts, and producing a rise in expenditure in the final two years, are inflation adjustments to the payment rates.

Conditions on Use of Appropriation

Reference Conditions
Sections 20A to 20H of the Social Security Act 1964 Sole Parent Support provides income support for sole parents with a dependent child younger than 14 years of age. Work preparation obligations usually apply to Sole Parent Support recipients with a child younger than five years of age. Part-time work obligations usually apply to Sole Parent Support recipients whose youngest child is aged five or older.
The weekly amounts quoted are before Family Tax Credit payments. The benefit is income-tested. The appropriation is inclusive of tax and is after deductions for debt establishments and overseas pension recoveries.

Special Circumstance Assistance (M63)

Scope of Appropriation

This appropriation is limited to financial assistance to people in special circumstances and comprises the Clothing Allowance, and providing assistance for community costs, domestic violence and witness protection relocation, home help, social rehabilitation assistance, telephone costs paid in accordance with criteria set out in the Social Security Act 1964, and delegated legislation made under that Act; and Civilian Amputees Assistance, paid in accordance with criteria set out in the Disabled Persons Community Welfare Act 1975.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 11,644 11,044 11,269 11,497 11,636 11,788

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve social outcomes by providing financial support to people to meet costs arising from special circumstances.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Special Circumstance Assistance under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Reasons for Change in Appropriation

Expenditure on Special Circumstance Assistance is expected to rise between 2016/17 and 2020/21 because of inflation adjustments to the payment rates and an expected increase in the average payment rate per person (before inflation adjustments).

Conditions on Use of Appropriation

Reference Conditions
Civilian Amputee Assistance is paid under a Ministerial arrangement under section 30 of the Disabled Persons Community Welfare Act 1975 The Civilian Amputees Assistance payment is made to assist people with travel, accommodation and other costs incurred when attending a limb centre.
Clothing Allowance is paid under section 154, and the Social Security (Long-Term Residential Care) Regulations 2005 pursuant to section 155 of the Social Security Act 1964 The Clothing Allowance is available to all recipients of a Residential Care Subsidy or Residential Care Loan. It is payable annually. This assistance is non-taxable.
Community Costs payments are paid under the Community Costs Programme pursuant to section 124(1)(d) of the Social Security Act 1964 The Community Costs payment assists people in certain short-term residential treatment programmes to help them to re-integrate into the community at the end of their treatment programme. This assistance helps clients to meet essential costs in the community that they are not able to meet from their personal allowances or other resources. This assistance is non-taxable and income and cash asset-tested.
Relocation Assistance is paid under the Domestic Violence and Witness Protection (Relocation) Programme 2001 pursuant to section 124(1)(d) of the Social Security Act 1964 Relocation Assistance may be paid as income support to victims of domestic violence and witness protection cases relocated overseas on the recommendation of the New Zealand Police. This assistance covers travel, set-up costs and living expenses and is non-taxable
Home Help is paid under the Home Help Programme pursuant to section 124(1)(d) of the Social Security Act 1964 Home Help is available to families who require temporary part-time domestic help (such as housework, laundry and food preparation) because of a domestic emergency, multiple births or other reason (other than for age, ill health or disability-related reasons). This assistance is subject to a means test except in multiple birth cases. This assistance is non-taxable.
Social Rehabilitation Assistance is paid under the Social Rehabilitation Assistance Programme pursuant to section 124(1)(d) of the Social Security Act 1964 Social Rehabilitation Assistance provides financial assistance to help people in approved residential social rehabilitation programmes to pay the cost of their treatment or care in those programmes. Payment is made direct to the social rehabilitation provider. To be eligible a resident must receive an income-tested benefit, New Zealand Superannuation or Veterans' Pension and cannot receive Accommodation Supplement, Disability Allowance, Special Benefit or Temporary Additional Support at the same time. This assistance is non-taxable
Telephone Costs Payment is paid under the Telephone Costs Payment programme pursuant to section 124(1)(d) of the Social Security Act 1964 The Telephone Costs Payment provides assistance with telephone rental costs to those people that received a Disability Allowance for telephone rental costs as at 31 March 1999. The rate of payment is adjusted so the Telephone Costs Payment plus any Disability Allowance payable does not exceed the maximum payment rate for Disability Allowance.
These payments are non-taxable.

Student Allowances (M63)

Scope of Appropriation

This appropriation is limited to means-tested allowances for students on an approved study programme, paid in accordance with criteria set out in the Student Allowance Regulations 1998; and payment of Student Allowance Transfer Grants to students with dependants, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 495,091 476,791 504,646 516,530 518,726 525,751

Components of the Appropriation

  2016/17 2017/18 2018/19 2019/20 2020/21
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Student Allowances 475,912 475,912 503,793 515,662 517,861 524,876
Student Allowance Transfer Grant 879 879 853 868 865 875
Supplementary Estimates Add-on 18,300          

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing financial support to eligible students to undertake tertiary study.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Student Allowances under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Management of Student Support appropriation.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Investing to Increase the Number of Engineering Graduates 2018/19 - - 63 63 63
Family Incomes Package 2017/18 - 6,300 19,500 19,500 19,800
Response to the Syrian Refugee Crisis: Implementation 2016/17 626 913 457 228 228
Children Living in Material Hardship 2015/16 6,759 6,927 6,958 6,958 6,958
Maintain the Student Allowance Parental Income Threshold 2015/16 (1,345) (4,915) (7,632) (7,632) (7,632)
Next Steps to Implement the Sole Parent Tertiary-Welfare Interface Package 2015/16 39,199 55,043 55,043 55,043 55,043
Additional Medical Places 2014/15 198 282 282 282 282
Extending the Student Support Stand-Down Period for Permanent Residents 2014/15 (7,690) (7,690) (7,690) (7,690) (7,690)
Additional Flexibility for Highly Performing Private Training Establishments 2013/14 2,209 2,209 2,209 2,209 2,209
Continue 99-105% Tolerance Bands 2013/14 1,492 1,492 1,492 1,492 1,492
Reducing Student Allowances Eligibility for Students Aged 40 and Over 2013/14 (5,246) (5,246) (5,246) (5,246) (5,246)
Removing Student Allowances Eligibility for those Aged 65 and Over 2013/14 (2,956) (2,956) (2,956) (2,956) (2,956)
Supporting Better Public Services and the Business Growth Agenda within Vote Tertiary Education 2013/14 281 476 476 476 476
Transfer and Return of 2012/13 Underspends in Vote Tertiary Education 2013/14 702 354 354 354 354
20 Additional Medical Places 2013/14 177 177 177 177 177

Reasons for Change in Appropriation

Expenditure on Student Allowances is expected to increase in 2017/18 in line with higher uptake of allowances. The impact of the Family Incomes Package causes a rise in expenditure from 2017/18. Expenditure is also rising as inflation adjustments to the payment rates offsets expected reductions in the number of recipients from 2018/19.

Conditions on Use of Appropriation

Reference Conditions
Student Allowances are paid under the Student Allowances Regulations 1998 Student Allowances are paid to assist eligible students with their living expenses while they undertake full-time study. This appropriation also includes accommodation benefit payable to Student Allowance recipients meeting certain criteria. A student is eligible for a Student Allowance if he or she is:
  • a New Zealand citizen or permanent resident of New Zealand for at least two years
  • enrolled in a full time course/programme recognised for Student Allowance purposes by the Tertiary Education Commission, and
  • aged 18 or over if undertaking secondary or tertiary study (under certain circumstances 16-17 year old students may be eligible), and meets certain income tests.
The range of Student Allowance rates that students are paid vary according to living circumstances: eligibility for allowances payable to students aged under 24 years (previously 25 years) without supported children are dependent on the taxable income of both parents and include an "at home" or "away from home" rate depending on the student's living circumstances, Allowances payable to single students aged 24 years or over are not targeted on parental income and do include an "at home" or "away from home" rate depending on the student's living circumstances, and rates to sole parents with children are the same as for the Domestic Purposes Benefit. This Allowance is inclusive of taxation and is after deductions for debt establishments.
Student Allowance Transfer Grant is paid under the Student Allowance Transfer Grant Programme pursuant to section 124(1)(d) of the Social Security Act 1964 The Student Allowance Transfer Grant Programme pays a non-taxable amount to students with a dependant (spouse or child) who would otherwise suffer hardship during the stand-down period while transferring from a student allowance to a working-age benefit. The amount payable is equal to one week of the net benefit amount (after abatement) and after deducting any other payment made.

Study Scholarships and Awards (M63)

Scope of Appropriation

This appropriation is limited to scholarships and awards to tertiary students awarded in accordance with Cabinet decisions; and Teach NZ Scholarships awarded in accordance with the Education Act 1989.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 19,167 19,167 19,167 19,167 19,167 19,167

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing financial support to eligible students to undertake tertiary study.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Study Scholarships and Awards under the Education Act 1989. Performance information relating to the administration of the payment is provided under the Management of Student Support appropriation.

Reasons for Change in Appropriation

TeachNZ Scholarships, and Scholarships and NQF/NCEA Awards are capped items. There is no expected change in expenditure due to no adjustment to the caps.

Conditions on Use of Appropriation

Reference Conditions
Scholarship and NQF/NCEA Awards are paid under Cabinet decisions Scholarship and National Qualifications Framework (NQF)/National Certificate of Educational Achievement (NCEA) Awards provide non-taxable monetary recognition to high performing students for excellence in the New Zealand Scholarship examinations and NQF/NCEA results. To be eligible for the award a student must be enrolled in a course of tertiary study. The value and tenure of the awards depends on the type of award.
TeachNZ Scholarships are awarded under section 139E of the Education Act 1989 TeachNZ Scholarships assist with study to become an early childhood education teacher, a Maori medium teacher or a teacher of specific secondary school subjects. Scholarship recipients have fees paid, and full-time students receive an additional non-taxable allowance for costs. Scholarship recipients are bonded to teach in New Zealand for a period equivalent to the period of assistance, and may have all or part of their scholarship payments recovered as a Student Loan under section 307AC of the Education Act 1989 if the bond is breached.

Supported Living Payment (M63)

Scope of Appropriation

This appropriation is limited to means-tested income support for people who are eligible for the Supported Living Payment, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 1,537,220 1,529,520 1,530,887 1,538,191 1,558,308 1,571,350

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing income support to people who are permanently and severely restricted in their capacity to work, or who are giving full-time care at home to a person who would otherwise require hospital or similar care.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Supported Living Payment under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Benefits for Recent Migrants - Tightening Access 2018/19 - - (512) (1,046) (1,321)
Family Incomes Package 2017/18 - (3,531) (14,537) (16,163) (16,163)
Children Living in Material Hardship 2015/16 16,182 16,499 16,749 16,749 16,749
Enhanced Use of Authoritative Data 2015/16 (12,814) (32,033) (32,033) (32,033) (32,033)
Response to the Syrian Refugee Crisis: Implementation 2015/16 266 415 330 258 258

Reasons for Change in Appropriation

Expenditure on Supported Living Payment is expected to rise between 2016/17 and 2020/21 because of inflation adjustments to the payment rates. Largely offsetting this is an expected decrease in the average payment rate per person (before inflation adjustments), an expected decrease in the number of recipients, and the impact of the Family Incomes Package.

Conditions on Use of Appropriation

Reference Conditions
Sections 40B to 40K of the Social Security Act 1964, Section 77 (1) (b) of the Social Security Act 1964 and section 19 of the Social Welfare (Reciprocity Agreements, and New Zealand Artificial Limb Service) Act 1990 Supported Living Payment is paid to people on medical or caring grounds.
Supported Living Payment is paid on medical grounds to people aged 16 years or older who are medically assessed as having a permanent and severe sickness, injury or disability arising from accident or existing from birth (ie, one that will last for not less than two years, or is expected to be terminal within that period) that prevents them from regularly working 15 hours or more a week in open employment. They also qualify if they are totally blind.
Includes payment of an additional allowance to recipients of Supported Living Payment in respect of their total blindness if they are employed in any occupation provided the person's total income from all sources does not exceed a specified amount.
Supported Living Payment is paid on caring grounds to people who are caring full-time for someone other than their partner who would need hospital or similar care if not in this care. This is paid to people 19 years or older, or 18 if the applicant does not have a dependent child.
The benefit is income-tested and subject to income abatement but all personal earnings of a totally blind person are excluded. Net weekly rates depend on age and family status. The weekly amounts quoted are before Family Tax Credit payments. This appropriation is inclusive of tax and is after deductions for debt establishments and overseas pension recoveries.
This agreement allows New Zealand to make direct payments to recipients of Supported Living Payment for applications made after 1 July 2002. These payments are a function of the amount of time the recipient has lived in New Zealand and Australia.

Transitional Assistance (M63)

Scope of Appropriation

This appropriation is limited to supplementary financial assistance to people who are adversely affected by changes in policy or legislation, so they will not be financially worse off at the point of change, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 65 65 1,313 750 650 500

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing supplementary financial assistance to people who are adversely affected by changes in policy or legislation.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Transitional Assistance under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Family Incomes Package 2017/18 - 1,063 500 400 250

Reasons for Change in Appropriation

Expenditure on Transitional Assistance is expected to rise between 2016/17 and 2017/18, and to fall between 2017/18 and 2020/21, because of the impact of the Family Incomes Package.

Conditions on Use of Appropriation

Reference Conditions
Transitional Assistance is paid through delegated legislation under the Social Security Act 1964 The delegated legislation provides for financial assistance to people who are financially disadvantaged as an unintended consequence of the net effects of the Children Living in Material Hardship Package.

Veterans' Pension (M75)

Scope of Appropriation

This appropriation is limited to the provision of the Veterans' Pension, and lump sum payments upon the death of a qualifying veteran or a veteran's qualifying spouse or partner, to eligible veterans and their spouses, partners and dependent children, as set out in the Veterans' Support Act 2014 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 176,353 174,853 162,002 150,901 141,510 131,690

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve social participation and independence for veterans by providing financial support.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Veterans' Pension under the War Pensions Act 1954 and the Veterans' Support Act 2014. Performance information relating to the administration of the payment is provided under the Processing of Veterans' Pensions appropriation.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Family Incomes Package 2017/18 - (79) (338) (420) (515)

Reasons for Change in Appropriation

Expenditure on Veterans' Pension is expected to fall between 2016/17 and 2020/21 because of an expected decrease in the number of recipients. Partly offsetting this are inflation and wage growth adjustments to the payment rates.

Conditions on Use of Appropriation

Reference Conditions
Veterans' Pensions paid in accordance with the criteria set out in the Veteran's Support Act 2015. Veterans' Pension is payable in the circumstances set out in the Veterans' Support Act 2015. This includes payment to ex-service personnel who served in the armed forces in a declared war or emergency, and have either: reached the qualifying age for New Zealand Superannuation and qualify Superannuation or who were entitled to receive a veterans' pension under the War Pensions Act 1954. A veteran can also be entitled to a pension if he or she was receiving a veterans' pension under the War Pensions Act 1954 by reason of infirmity and has not reached the New Zealand Superannuation qualification age, or if he or she were receiving a war disablement pension immediately before the commencement of Part 3 of Veterans' Support Act 2015. The rates of payment are the same as for New Zealand Superannuation. The spouses of deceased Veterans' Pension recipients continue to receive it if entitled under the Veterans' Support Act 2015.

Work Assistance (M63)

Scope of Appropriation

This appropriation is limited to payments to beneficiaries, low income earners, students and ex beneficiaries to assist them to obtain and maintain employment, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 2,923 2,323 2,423 2,458 2,505 2,545

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing financial support to people who are transitioning or have recently transitioned into employment to sustain their employment.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Work Assistance under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Reasons for Change in Appropriation

Expenditure on Work Assistance is expected to rise between 2016/17 and 2020/21 because of inflation adjustments to the payment rates.

Conditions on Use of Appropriation

Reference Conditions
New Employment Transition Grants are paid under the New Employment Transition Grant Programme pursuant to section 124(1)(d) of the Social Security Act 1964 New Employment Transition Grants provide payments to clients with a dependent child or children during the first six months that their benefit is stopped due to gaining employment.
A payment can be made when the client is unable to work because they, their partner or dependent children become sick or because of a breakdown in childcare arrangements.
Payments are non-taxable and non-recoverable.
Employment Transition Assistance is paid under the Employment Transition Programme pursuant to section 124(1)(d) of the Social Security Act 1964 The Employment Transition Assistance pays assistance to former Supported Living Payment - sickness, injury, or disability recipients who have completed an Employment Trial (this is when a person on Supported Living Payment can work 15 hours or more in open employment for an agreed period of up to six months without losing eligibility to Supported Living Payment) and who would otherwise experience a drop in income when they lose eligibility to Supported Living Payment at the end of the trial. The Assistance is non-taxable.
Seasonal Work Assistance Programme is paid under the Seasonal Work Assistance Programme pursuant to sections 5 and 124(1)(d) of the Social Security Act 1964 Seasonal Work Assistance provides assistance to people who left benefit to take up seasonal horticultural work and who cannot work and lose income due to adverse weather conditions. It pays a non-taxable weekly amount up to the net income lost for the week, subject to a maximum that depends on the client's family circumstances. The Assistance is non-taxable.
Work Bonus is paid under the Work Bonus Programme pursuant to sections 5 and 124(1)(d) of the Social Security Act 1964 Work Bonus provides a non-recoverable financial incentive to people who leave benefit for paid employment. It is an entitlement available to qualifying recipients of Sole Parent Support who do not have work-test obligations and Supported Living Payment on grounds of sickness, injury, disability or total blindness, and Emergency Benefit analogous to either of these two benefits. The Work Bonus incentive is non-taxable.

Youth Payment and Young Parent Payment (M63)

Scope of Appropriation

This appropriation is limited to income support and incentive payments for people who are eligible for the Youth Payment or Young Parent Payment, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 47,595 46,195 58,360 58,547 59,016 59,693

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing income support and incentive payments to young people and young parents.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Youth Payment and Young Parent Payment under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Benefits for Recent Migrants - Tightening Access 2018/19 - - (25) (51) (52)
Family Incomes Package 2017/18 - (101) (417) (440) (440)
Children Living in Material Hardship 2015/16 2,241 2,275 2,284 2,284 2,284
Enhanced Use of Authoritative Data 2015/16 (352) (880) (880) (880) (880)

Reasons for Change in Appropriation

Expenditure on Youth Payment and Young Parent Payment is expected to rise between 2016/17 and 2020/21 because of an expected increase in the number of recipients and an expected increase in the average payment per person (before inflation adjustments).

Conditions on Use of Appropriation

Reference Conditions
Youth Payment and Young Parent Payment are paid under the applicable sections of the Social Security Act 1964 Youth Payment provides support to unemployed 16-18 year olds who are in or available for full-time education, training or work-based learning, where it is inappropriate for them to obtain financial support from their parents or they are married, in a civil union or a de facto relationship.
Young Parent Payment provides support to unemployed 18 and 19 year old parents who are in or available for full-time education, training or work-based learning, and 16 and 17 year old parents who are in or available for full-time education, training or work-based learning, where it is inappropriate for them to obtain financial support from their parents or they are married, in a civil union or a de facto relationship.
In addition to the obligation to be in or available for full-time education, training or work-based learning, Youth Payment and Young Parent Payment recipients have an obligation to participate in budgeting activities. Young Parent Payment recipients have an additional obligation to participate in a parenting programme, to enrol their children with a Primary Healthcare Organisation, to keep their children under 5 up to date with Well Child checks and to use suitable childcare while they participate in education, training, work-based learning or part-time work.
These Payments are taxable and are after deductions for debt establishments.
The Young Parent and Youth Payments can include the payment of additional $10 weekly incentive payments for meeting education and training, budgeting and parenting obligations. The incentive payments are non-taxable.

3.4 - Non-Departmental Other Expenses

Debt Write-downs (M63)

Scope of Appropriation

This appropriation is limited to the provision for write-downs of Crown debt administered by the Ministry of Social Development due to debt write offs or debt provisions resulting from the need to value debt in accordance with generally accepted accounting practice.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 97,891 97,891 96,933

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve accurate valuations of outstanding debt in accordance with generally accepted accounting practice.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this is a technical accounting appropriation solely to record the amount of debt write-downs and provisions for debt write-down resulting from the need to value the amount of outstanding debt in accordance with generally accepted accounting practice.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Social Housing Reform: Implementing the Transfer of Needs Assessment Functions 2013/14 8,000 8,000 8,000 8,000 8,000
Welfare Reform Phase Two - Pre-Employment Drug Testing Costs 2013/14 161 161 161 161 161

Reasons for Change in Appropriation

This appropriation has decreased by $958,000 to $96.933 million in 2017/18. This decrease relates to a change in the level of outstanding debt and the rates used to calculate the debt write-down provision.

Extraordinary Care Fund (M63)

Scope of Appropriation

This appropriation is limited to providing financial assistance to carers receiving the Orphan's Benefit or Unsupported Child's Benefit to assist with costs for children in their care who are either experiencing difficulties that significantly impact on their development, or who are showing promise.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 2,308 2,308 2,308

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve more children in care reaching their full potential.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(iii) of the PFA as the amount of this annual appropriation for a Non-departmental Output Expense is less than $5 million.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Additional Financial Assistance for Carers Receiving Orphan's Benefit or Unsupported Child's benefit 2014/15 2,475 2,475 2,475 2,475 2,475
Approach and Criteria for the Extraordinary Care Fund 2014/15 (167) (167) (167) (167) (167)

Out of School Care and Recreation Programmes (M63)

Scope of Appropriation

This appropriation is limited to the provision of assistance to Out of School Care and Recreation programmes approved under the Children, Young Persons, and Their Families Act 1989, to assist with the establishment and/or operating costs of OSCAR programmes.

Expenses

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation 19,410 19,410 19,473

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve increased opportunities for parents and caregivers to gain and sustain employment.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The number of contracted places for children aged 5-14 years participating in funded OSCAR programmes will be no less than

45,000 52,637 48,000

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Minister for Social Development in the Vote Social Development Non-Departmental Appropriations Report.

Service Providers

Provider 2016/17
Final Budgeted
$000
2016/17
Estimated Actual
$000
2017/18
Budget
$000
Expiry of
Resourcing
Commitment
National Council of YMCAS of New Zealand Incorporated 1,332 1,332 - 30/06/2017
Schools Out Limited 483 483 489 30/06/2019
Auckland Council 310 310 318 30/06/2018
Kidz in Care Limited 242 242 258 30/06/2018
GHB Consultants Limited 221 221 255 30/06/2018
Other providers (approximately 578 providers with funding from $1,850 to $199,000) 16,822 16,822 18,153  
Total 19,410 19,410 19,473  

The table presents the top five service providers who have funding arrangements with the Ministry of Social Development under this output as at 15 March 2017.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Children in Material Hardship 2015/16 400 400 400 400 400
Out of School Care and Recreational (Oscar) Subsidy 2014/15 2,107 2,170 2,236 2,236 2,236

Reasons for Change in Appropriation

This appropriation has increased by $63,000 to $19.473 million in 2017/18. This is due to an increased funding for the Out of School Care and Recreational Subsidy.

3.5 - Non-Departmental Capital Expenditure

Recoverable Assistance (M63)

Scope of Appropriation

This appropriation is limited to recoverable assistance payments, as a facility for low-income earners and beneficiaries to access means-tested assistance to help them to meet essential and immediate needs, or costs in specific circumstances, and to meet costs of pre-employment drug tests, paid in accordance with criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Capital Expenditure

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 196,191 184,191 203,449 202,266 202,863 204,319

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing recoverable financial support to, or in respect of, people in financial hardship in specific circumstances.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for recoverable assistance payments as a facility for low-income earners and beneficiaries to access means-tested assistance in accordance with criteria set out in the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA and the Investigation of Overpayments and Fraudulent Payments and Collection of Overpayments appropriation.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Welfare Reform Phase Two - Pre-Employment Drug Testing Costs 2013/14 402 402 402 402 402

Reasons for Change in Appropriation

Expenditure on Recoverable Assistance is expected to rise between 2016/17 and 2017/18 because of increases in the average amount paid per grant and in the number of recipients. From 2017/18 to 2020/21 expenditure is expected to remain steady.

Conditions on Use of Appropriation

Reference Conditions
Payments are made under the Welfare Programme for Recoverable Assistance for Non-Beneficiaries, and relevant parts of the Welfare Programme for Special Needs Grants, both pursuant to section 124(1)d) of the Social Security Act 1964, the Ministerial Direction for Advance Payment of Benefits pursuant to section 5 of the Social Security Act 1964; and the Welfare Programme for DPB Sole Parent Study Assistance pursuant to both sections 5 and 124 (10)(d) of the Social Security Act 1964 The Social Security Act 1964 regulates access to Recoverable Assistance. The types of assistance include:
  • Recoverable Advance Payment of Benefit.
  • Recoverable Special Needs Grants including DPB Sole Parent Study Assistance.
  • Recoverable Assistance Programme.
Sections 88A, 102A-102E and 122A of Social Security Act 1964 The Social Security Act 1964 requires work-tested beneficiaries to pass pre-employment or pre-training drug tests required by a prospective employer or training course. Third parties can be reimbursed for drug-tests.

Student Loans (M57)

Scope of Appropriation

This appropriation is limited to loans to tertiary students undertaking studies at approved tertiary institutions in accordance with Cabinet decisions.

Capital Expenditure

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation 1,634,026 1,589,026 1,631,735 1,643,900 1,657,663 1,681,621

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve employment and social outcomes by providing financial support to eligible students to undertake tertiary study.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Student Loans. Performance information relating to the administration of the Loans is provided under the Management of Student Loans appropriation.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Annual Maximum Fee Movement for 2017 and 2018 2016/17 3,130 6,133 6,736 6,978 6,978
Response to the Syrian Refugee Crisis: Implementation 2016/17 96,140 70 35 35 35
Delivering support to graduate-entry students affected by the 7 EFTS Limit 2015/16 898 1,275 1,548 1,002 1,002
Investing to Increase the Number of Engineering Graduates 2015/16 57 187 879 879 879
Maintain the Student Allowance Parental Income Threshold 2015/16 1,023 3,739 5,806 5,806 5,806
Set the Annual Maximum Fee Movement at 3% for 2016 2015/16 (11,235) (11,717) (12,149) (12,149) (12,149)
Additional Medical Places 2014/15 1,464 2,277 2,277 2,277 2,277
Extending the Student Support Stand-Down Period for Permanent Residents 2014/15 (13,176) (13,176) (13,176) (13,176) (13,176)
Fixing a 4% Annual Maximum Fee Movement in 2015 and 2016 2014/15 32,659 32,659 32,659 32,659 32,659
Additional Flexibility for Highly Performing Private Training Establishments 2013/14 12,689 12,689 12,689 12,689 12,689
Continue 99-105% Tolerance Bands 2013/14 5,484 5,484 5,484 5,484 5,484
Reducing Student Allowance Eligibility for Students Aged 40 and Over 2013/14 (627) (627) (627) (627) (627)
Supporting Better Public Services and the Business Growth Agenda within Vote Tertiary Education 2013/14 3,805 4,496 4,496 4,496 4,496
Transfer and Return of 2012/13 Underspends in Vote Tertiary Education 2013/14 2,869 735 735 - -
20 Additional Medical Places 2013/14 1,294 1,294 1,294 1,294 1,294

Reasons for Change in Appropriation

Expenditure on Student Loans is expected to rise between 2016/17 and 2020/21 because of an expected increase in the average borrowings on Student Loans. Partly offsetting this is an expected decrease in the number of Student Loans.

Conditions on Use of Appropriation

Reference Conditions
Student Loans Scheme Act 2011 The Student Loan Scheme Act 2011 provides for the collection of Student Loan repayment and Bonded Scholarships.

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

Multi-Category Expenses and Capital Expenditure

Community Support Services (M63)

Overarching Purpose Statement

The overarching purpose of this appropriation is to prevent and reduce vulnerability and harm for individuals, families and communities.

Scope of Appropriation

Departmental Output Expenses
Developing and Managing Community Services
This category is limited to approving, monitoring, contracting and managing the relationships with community-based service providers; engaging with communities and developing services.
Non-Departmental Output Expenses
Community Support and Advice
This category is limited to services that build financial capability, develop community and provider capability and provide targeted advice and support for vulnerable individuals and families.
Participation and Support Services for Seniors
This category is limited to services that address isolation, abuse and neglect of older people, and support participation in communities.
Supporting Victims and Perpetrators of Family and Sexual Violence
This category is limited to services that support victims of family and sexual violence and address perpetrator behaviour.

Expenses, Revenue and Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Total Appropriation

- - 92,802

Departmental Output Expenses

     
Developing and Managing Community Services - - 19,083

Non-Departmental Output Expenses

     
Community Support and Advice - - 26,156
Participation and Support Services for Seniors - - 2,990
Supporting Victims and Perpetrators of Family and Sexual Violence - - 44,573

Funding for Departmental Output Expenses

     

Revenue from the Crown

- - 15,408
Developing and Managing Community Services - - 15,408

Revenue from Others

- - 3,675
Developing and Managing Community Services - - 3,675

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Departmental Output Expense: Investing in Communities 15,466 15,466 -
Non-Departmental Output Expense: Counselling and Rehabilitation Services 3,588 3,588 -
Non-Departmental Output Expense: Family Wellbeing Services 11,248 11,248 -
Non-Departmental Output Expense: Strong Families and Connected Communities 49,461 49,461 -
Non-Departmental Output Expense: Education and Prevention Services 1,707 1,707 -
Total 81,470 81,470 92,802

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve a reduction in the number of families that experience hardship and adverse life outcomes.

How Performance will be Assessed for this Appropriation

Performance will be assessed by:

  • A decrease in the number of family harm investigations attended by NZ Police (see Note 1).
  • A decrease in the number of working age people on a benefit.

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

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Departmental Output Expenses

     

Developing and Managing Community Services

     

The category is intended to achieve effective and efficient customer and community services that meet community needs and reduce vulnerability.

     
MSD Approvals:
     

The percentage of Level 1 (see Note 2) and Level 2 (see Note 3) Ministry of Social Development contracted providers who will be assessed at least once every two years against Ministry of Social Development approval standards will be no less than

100% 100% 100%

The percentage of Level 3 (see Note 4) Ministry of Social Development contracted providers who will be assessed within the review frequency (see Note 5) against Ministry of Social Development approval standards will be no less than

90-100% 95% 90%

The percentage of assessments on behalf of Social Sector Agencies (see Note 6) who will be assessed by Ministry of Social Development Approvals within the review frequency, against Social Sector Accreditation Standards will be no less than

100% 100% 100%
Result Measurement Framework:
     

The percentage of total services funded with Result Measurement Framework contracts (for contracting work) will be no less than

Establishing baseline 30% 50%

The percentage of all contracted services which achieved or exceeded the target for their primary contracted measure will be no less than

New measure for 2017/18 New measure for 2017/18 75%

Non-Departmental Output Expenses

     

Community Support and Advice

     

The category is intended to achieve increased financial capability, inclusion and improved wellbeing of vulnerable individuals and families.

     
Building Financial Capability:
     

The percentage of clients who report having greater financial confidence and capability (comparing pre and post intervention) will be no less than

New measure for 2017/18 New measure for 2017/18 80%

The percentage of clients who completed the service with all of their goals achieved, or evidence (in workers opinion) of ability to achieve their goals without further support will be no less than

New measure for 2017/18 New measure for 2017/18 80%
Sector Umbrella Groups:
     

The number of agencies worked with or supported will be no less than

New measure for 2017/18 New measure for 2017/18 500

The percentage of member agencies who report they have up to date information from the umbrella organisation will be no less than

New measure for 2017/18 New measure for 2017/18 90%

The percentage of member agencies who report that they are better able to deliver their services as a result of the support offered by the umbrella organisation will be no less than

New measure for 2017/18 New measure for 2017/18 90%
Microfinance Partnership:
     

The percentage of loans approved during the reporting period will be no less than

New measure for 2017/18 New measure for 2017/18 25%

Participation and Support Services for Seniors

     

This category is intended to achieve a reduction in the number of isolated, abused and neglected older people, and increase their participation in their communities.

     
Elder Abuse and Neglect Services (EANS)
     

The percentage of clients who indicate that the service provided met their needs will be no less than

New measure for 2017/18 New measure for 2017/18 80%

The percentage of clients who indicate they have greater control over their lives after receiving the service will be no less than

New measure for 2017/18 New measure for 2017/18 80%

Supporting Victims and Perpetrators of Family and Sexual Violence

     

This category is intended to achieve a reduction in the number of victims and perpetrators of family and sexual violence.

     

The percentage of clients who have expressed that they were satisfied with the service, content and delivery of the programme will be no less than

90% 90% 90%
Harmful Sexual Behaviour Services (HSB):
     

The percentage decrease in risk factors (excludes non-mandated adults pre-assessed as low risk) for clients who complete the intervention will be no less than

New measure for 2017/18 New measure for 2017/18 80%

The percentage increase in protective factors for clients who complete the intervention will be no less than

New measure for 2017/18 New measure for 2017/18 80%
E Tu Whanau
     

The percentage of those surveyed who report that the use of E Tu Whanau resources has led a change in beliefs and attitudes in their community will be no less than

60% 60% 60%

The number of activities supported by E Tu Whanau will be between

40-50 40 40-50
It's Not OK
     

The percentage of surveyed community groups that say the campaign has increased their ability to address or prevent family violence will be no less than

90% 93% 90%

Note 1 - Data from NZ Police.

Note 2 - These are providers who deliver care-based services.

Note 3 - These are providers delivering services to high risk/vulnerable clients who require intensive support.

Note 4 - These are providers delivering services to low-risk client groups or the general population.

Note 5 - Review frequency means: for Level 3 community service providers - every two years; for Level 3 OSCAR providers - every two to five years depending on risk; for Level 4 providers - every two years via provider self-assessment.

Note 6 - Social Sector Agencies includes Ministry of Justice, Department of Corrections and any other agencies as agreement specifies.

Service Providers for the Multi-Category Appropriation

Contracts for 2017/18 are under negotiation.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000

Developing and Managing Community Services

           
Ministry of Social Development - Maintaining Services 2017/18 - 220 199 200 197
E Tu Whanau Programme of Action 2017/18 - 500 500 - -
Gang Action Plan Community-based Pilots 2017/18 - 150 - - -

Supporting Victims and Perpetrators of Family and Sexual Violence

           
E Tu Whanau Programme of Action 2017/18 - 1,500 1,500 - -
Gang Action Plan Community-based Pilots 2017/18 - 1,600 - - -

Reasons for Change in Appropriation

This is a newly established multi-category appropriation in 2017/18 due to most of the amounts of the previous appropriations transferring to Vote Vulnerable Children, Oranga Tamariki.

Improved Employment and Social Outcomes Support (M63)

Overarching Purpose Statement

The single overarching purpose of this appropriation is to operate the benefit system and associated interventions in such a way as to improve client outcomes (employment and social) by moving them closer to independence, with a focus on those at risk of long term benefit receipt.

Scope of Appropriation

Departmental Output Expenses

Administering Income Support
This category is limited to assessing, paying, reviewing entitlements and collecting balances owed by clients for income support, supplementary assistance, grants and allowances.
Improving Employment Outcomes
This category is limited to providing specified assistance, including services provided in accordance with criteria set out in delegated legislation made under the Social Security Act 1964, to support people who are receiving or likely to receive working age benefits or youth support payments and are work ready to move into sustainable employment.
Improving Work Readiness Outcomes
This category is limited to providing services, including services provided in accordance with criteria set out in delegated legislation made under the Social Security Act 1964, to address barriers to employment (such as literacy, numeracy, health, skills, drug or alcohol use, confidence and motivation) for people who are receiving or likely to receive working age benefits or youth support payments so that they become work ready.

Expenses, Revenue and Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Total Appropriation

673,653 673,653 662,372

Departmental Output Expenses

     
Administering Income Support 289,438 289,438 266,514
Improving Employment Outcomes 299,246 299,246 309,519
Improving Work Readiness Outcomes 84,969 84,969 86,339

Funding for Departmental Output Expenses

     

Revenue from the Crown

670,614 670,614 658,810
Administering Income Support 286,399 286,399 262,952
Improving Employment Outcomes 299,246 299,246 309,519
Improving Work Readiness Outcomes 84,969 84,969 86,339

Revenue from Others

3,039 3,039 3,562
Administering Income Support 3,039 3,039 3,562

What is Intended to be Achieved with this Appropriation

The appropriation is intended to achieve a reduction in long-term welfare dependency.

How Performance will be Assessed for this Appropriation

Performance will be assessed by:

  • a reduction in the total number of people receiving benefit by 25%, from 295,000 in June 2014 to 220,000 by June 2018, and
  • a reduction in the long-term cost of benefit dependency by $13 billion as measured by an accumulated Actuarial Release (Note 1) by June 2018.

Note 1 - 'Actuarial Release' is defined as the difference between a current and previous estimate of the liability. The measure attempts to isolate the impact of collective government management on beneficiary numbers. Adjustments are made to remove the impact of interest and inflation rate changes on the liability and other factors beyond the control of management.

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

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Departmental Output Expenses

     

Administering Income Support

     

The category is intended to achieve accurate and efficient operation of the benefit system so that the correct amount is paid to the correct people on time.

     

The proportion of benefit entitlement assessments completed accurately will be no less than

90% 90% 90%

The proportion of benefit entitlement assessments completed within five working days will be no less than

90% 91.9% 90%

Improving Employment Outcomes

     

This category is intended to achieve an increase in the number of people (from those who are currently receiving or are likely to receive working-age benefits and are work ready) moving into sustainable employment.

     

The proportion of clients with full-time work obligations who remain independent of benefit for at least 26 weeks will be no less than

60% 65.5% 60%

The proportion of clients with full-time work obligations who are engaged will be no less than

80% 88.5% 80%

The proportion of clients who are not on a main benefit eight weeks following completion of an employment intervention programme will be no less than

50% 53.7% 50%

Improving Work Readiness Outcomes

     

This category is intended to achieve a substantial reduction in barriers to employment so that people who are receiving or are likely to receive working-age benefits can become work ready.

     

The proportion of clients with part-time, preparation or deferred obligations who remain independent of benefit for at least 26 weeks will be no less than

60% 64.1% 60%

The proportion of clients with part-time, preparation or deferred work obligations who are engaged will be no less than

70% 81.6% 70%

The proportion of clients who are not on a main benefit 16 weeks after completing a work readiness intervention will be no less than

35% 36.5% 35%

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000

Departmental Output Expenses

           
Administering Income Support
           
Ministry of Social Development - Maintaining Services 2017/18 - 3,014 2,672 2,585 2,646
Changes to Levy funding allocations and processes for migrant settlement services from 2017/18 2017/18 - (782) (782) (782) (782)
Employee Safety and Security 2017/18 - 1,521 - - -
Temporary Accommodation Assistance Extension 2017/18 - 100 194 100 -
Benefits for Recent Migrants - Tightening Access 2017/18 - 406 - - -
Additional Investment In MSD's Capital Base 2016/17 648 1,656 2,016 2,016 2,016
Ensuring the Safety of Our Employees 2016/17 3,751 2,574 463 463 463
Extension of Temporary Accommodation Assistance 2016/17 537 233 - - -
Measures to Support More People in Emergency Housing 2016/17 2,000 2,600 - - -
Move Payback of Brought Forward Funding for the Simplification programme of work 2016/17 9,000 - - (9,000) -
Social Sector Trials in the Wairarapa 2016/17 (50) - - - -
Allocation of Baseline Contributions Across Agencies for the Budget 2015 System Package 2015/16 (1,426) (1,426) (1,426) (1,035) (1,035)
Children Living in Material Hardship 2015/16 6,872 3,618 3,618 3,618 3,618
Next Steps to Implement the Sole Parent Tertiary-Welfare Interface Package 2015/16 (329) (481) (481) (481) (481)
Simplification: Implementing Client-centred Transactional Services 2014/15 (9,000) (13,500) (13,600) (13,600) (13,600)
Additional Financial Assistance for Carers Receiving Orphan's Benefit or Unsupported Child's Benefit 2013/14 114 114 114 114 114
Improving Employment Outcomes
           
Ministry of Social Development - Maintaining Services 2017/18 - 3,414 3,059 3,166 3,133
Employee Safety and Security 2017/18 - 1,722 - - -
Individual Placement Support for Clients with Mental Health Conditions 2017/18 - 103 1,339 1,332 1,332
Intensive Client Support - Extension 2017/18 - 7,200 6,100 6,200 -
Achieving Better Public Service Result Area 1 2016/17 11,651 11,566 11,566 6,500 6,500
Ensuring the Safety of Our Employees 2016/17 1,929 1,324 238 238 238
Response to the Syrian Refugee Crisis: Implementation 2015/16 836 836 - - -
Improving Outcomes and Managing the Liability (Investment Approach) 2014/15 25,000 25,000 25,000 25,000 25,000
Improving Work Readiness Outcomes
           
Ministry of Social Development - Maintaining Services 2017/18 - 975 880 853 844
Employee Safety and Security 2017/18 - 492 - - -
Achieving Better Public Service Result Area 1 2016/17 3,000 3,000 3,000 - -
Ensuring the Safety of Our Employees 2016/17 63 43 8 8 8
Extending The Youth Service to 18 and 19 Year-Olds 2016/17 10,326 10,517 10,286 10,286 10,286
Limited Service Volunteer Scheme 2015/16 3,860 3,860 3,860 3,860 3,860

Reasons for Change in Appropriation

This appropriation has decreased by $11.281 million to $662.372 million in 2017/18. This is mainly due to:

  • one-off funding for the Simplification Programme of Work in 2016/17: $25.876 million
  • one-off funding for Collective employment agreement in 2016/17: $5 million
  • reduced funding for Package for Children Living in Material Hardship in 2017/18: $3.254 million
  • reduced funding for Ensuring the Safety of our Employees in 2017/18: $1.802 million.

The above is offset by:

  • new funding for Ministry of Social Development - Maintaining Services in 2017/18: $7.403 million
  • new funding for Intensive Client Support - Extension in 2017/18: $7.200 million
  • a fiscally neutral transfer to other appropriations in 2016/17 in Vote Social Development, to reflect the redistribution of costs to appropriations resulting from change in cost drivers to better reflect the integrated nature of frontline service delivery: $5.843 million
  • one-off funding for Employee Safety and Security: $3.735 million.

Independent Advice on Government Priority Areas (M63)

Overarching Purpose Statement

The overarching purpose of this appropriation is to provide independent advice to the Minister for Social Development for discharging decision-making responsibilities.

Scope of Appropriation

Non-Departmental Output Expenses

Other Advice
This category is limited to the procurement of other advice (including advice on operational matters; advice from expert parties that provide review services not available in-house; advice on matters where a review is necessary but cannot be undertaken due to a conflict of interest; and advice on procurement to ensure value for money) on government priority areas.
Policy Advice
This category is limited to the provision of independent advice (including second opinion advice and contributions to policy advice led by other agencies) to support decision-making by Ministers on government priority areas.

Expenses, Revenue and Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Total Appropriation

518 518 518

Non-Departmental Output Expenses

     
Other Advice 364 364 269
Policy Advice 154 154 249

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve effective and efficient independent advice and expertise on policy and operational issues to support the Minister for Social Development's decision-making responsibilities.

How Performance will be Assessed for this Appropriation

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

An exemption was granted under s.15D(2)(b)(iii) of the PFA as the amount of this annual appropriation for a Non-departmental output expense is less than $5 million

Exempted Exempted Exempted

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

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Non-Departmental Output Expenses

     

Other Advice

     

This category is intended to achieve effective and efficient independent expertise, advice and assurance, other than policy advice, to support the Minister's portfolio and decision-making responsibilities.

     

An exemption was granted under s.15D(2)(b)(iii) of the PFA as the amount of this annual appropriation for a Non-departmental output expense is less than $5 million.

Exempted Exempted Exempted

Policy Advice

     

The category is intended to achieve effective and efficient independent policy advice and second opinion advice to support the Minister's portfolio and decision-making responsibilities.

     

An exemption was granted under s.15D(2)(b)(iii) of the PFA as the amount of this annual appropriation for a Non-departmental output expense is less than $5 million.

Exempted Exempted Exempted

End of Year Performance Reporting

An exemption was granted under s.15D(2)(b)(iii) of the PFA as the amount of this annual appropriation for a Non-departmental output expense is less than $5 million.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000

Policy Advice

           
Funding additional meetings of the Youth Advisory Panel 2016/17 (20) (20) - - -

Partnering for Youth Development (M77)

Overarching Purpose Statement

The single overarching purpose of this appropriation is to improve outcomes for young people through youth development opportunities.

Scope of Appropriation

Departmental Output Expenses

Administering Youth Development
This category is limited to generating, funding and promoting youth development opportunities.

Non-Departmental Output Expenses

Increasing Youth Development Opportunities
This category is limited to purchasing youth development opportunities.

Expenses, Revenue and Capital Expenditure

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000

Total Appropriation

10,515 10,515 10,592

Departmental Output Expenses

     
Administering Youth Development 2,682 2,682 2,339

Non-Departmental Output Expenses

     
Increasing Youth Development Opportunities 7,833 7,833 8,253

Funding for Departmental Output Expenses

     

Revenue from the Crown

2,682 2,682 2,339
Administering Youth Development 2,682 2,682 2,339

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve an improvement in the capability and resilience of young people.

How Performance will be Assessed for this Appropriation

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

The percentage of participants who report they have improved their capability and resilience through completion of a youth development opportunity will be between

80-85% 80% 80-85%

The percentage of participants who report being satisfied or very satisfied with the youth development opportunity they have participated in will be between

New measure for 2017/18 New measure for 2017/18 85-90%

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

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Departmental Output Expenses

     

Administering Youth Development

     

This category is intended to achieve an increase in youth development opportunities for all young people, particularly those from disadvantaged backgrounds.

     

The number of individual young people accessing funded youth development opportunities will be no less than

60,000 60,000 70,000

The percentage of total funding for youth development opportunities targeted at young people from disadvantaged backgrounds will be no less than

30% 30% 30%

Non-Departmental Output Expenses

     

Increasing Youth Development Opportunities

     

This category is intended to achieve an improvement in the personal, social and decision-making skills of young people through completion of youth development opportunities.

     

The percentage of participants who report an improvement in their personal, social and decision-making skills through completion of a youth development opportunity will be between

80-85% 80% 80-85%

The percentage of total youth development opportunities created in partnership with the business and philanthropic sector will be no less than

10% 10% 10%

Service Providers for the Multi-Category Appropriation

Provider 2016/17
Final Budgeted
$000
2016/17
Estimated Actual
$000
2017/18
Budget
$000
Expiry of
Resourcing
Commitment
Young Enterprise Trust 460 460 Contract under negotiation Contracts reviewed annually
Graeme Dingle Foundation 418 418 Contract under negotiation Contracts reviewed annually
The Malcam Charitable Trust 364 364 Contract under negotiation Contracts reviewed annually
The Duke of Edinburgh's Hillary Award 252 252 Contract under negotiation Contracts reviewed annually
Spirit of Adventure Trust Board 250 250 Contract under negotiation Contracts reviewed annually
TYLA Trust 217 217 Contract under negotiation Contracts reviewed annually
Inspiring Stories Trust 200 200 Contract under negotiation Contracts reviewed annually
The Salvation Army New Zealand Trust 200 200 Contract under negotiation Contracts reviewed annually
Other Providers (approximately 123 providers with funding levels from $1,000 to $150,000) 5,472 5,472 Contract under negotiation Contracts reviewed annually

Total

7,833 7,833 8,253  

The table above presents the top eight service providers who have funding arrangements with the Ministry of Social Development under Non-department output expenses: Partnering for Youth Development in year 2016/17 as at 6 March 2017.

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Social Development in the Ministry of Social Development Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000

Departmental Output Expenses

           
Administering Youth Development
           
Ministry of Social Development - Maintaining Services 2017/18 - 27 24 24 24
Establishing Partnering for Youth Development MCA 2016/17 2,312 2,312 2,312 2,312 2,312

Non-Departmental Output Expenses

           
Increasing Youth Development Opportunities
           
Youth Enterprise Initiatives Expansion 2017/18 - 1,500 1,500 1,500 1,500
Establishing Partnering for Youth Development MCA 2016/17 7,753 6,753 6,753 6,753 6,753

Reasons for Change in Appropriation

This appropriation has increased by $77,000 to $10.592 million in 2017/18. This is mainly due to:

  • new funding for Youth Enterprise Initiatives Expansion: $1.500 million
  • new funding for Ministry of Social Development - Maintaining Services: $27,000.

The above is offset by:

  • reduced funding in 2017/18 when the Multi-category appropriation was established in 2016/17: $1 million
  • a one-off increase in 2016/17 as a result of the transfer of the underspend in the Youth Development Partnership Fund appropriation of $450,000 from 2015/16 to 2016/17.

Vote Social Housing

APPROPRIATION MINISTER(S): Minister for Social Housing (M37)

APPROPRIATION ADMINISTRATOR: Ministry of Social Development

RESPONSIBLE MINISTER FOR MINISTRY OF SOCIAL DEVELOPMENT: Minister for Social Development

Overview of the Vote

Vote Social Housing is a new Vote established with effect from 1 July 2017. It contains social and emergency housing-related appropriations that were previously in Vote Building and Housing and Vote Social Development.

The Minister for Social Housing is responsible for appropriations in this Vote for the 2017/18 financial year covering the following:

  • a total of nearly $1,218 million on Accommodation Assistance
  • a total of nearly $901 million on social housing purchasing
  • a total of over $51 million on social housing outcomes support
  • a total of nearly $49 million on the emergency housing response
  • a total of over $20 million on community group housing
  • a total of nearly $4 million on social housing provider development, and
  • a total of $600,000 on administering the legacy social housing fund.

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

Details of Appropriations and Capital Injections

Annual and Permanent Appropriations

  2016/17 2017/18
Titles and Scopes of Appropriations by Appropriation Type Final
Budgeted
$000
Estimated
Actual
$000
Budget
$000

Departmental Output Expenses

     

Administering the Legacy Social Housing Fund (M37)

This appropriation is limited to the administration costs of the Legacy Social Housing Fund.
- - 600

Total Departmental Output Expenses

- - 600

Benefits or Related Expenses

     

Accommodation Assistance (M37)

This appropriation is limited to the Accommodation Supplement, Special Transfer Allowance, and Away From Home Allowance to cover accommodation costs, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.
- - 1,217,767

Total Benefits or Related Expenses

- - 1,217,767

Non-Departmental Other Expenses

     

Social Housing Provider Development (M37)

This appropriation is limited to providing support to third party providers of social and/or affordable housing services.
- - 3,926

Total Non-Departmental Other Expenses

- - 3,926

Multi-Category Expenses and Capital Expenditure

     

Community Group Housing MCA (M37)

The overarching purpose of this appropriation is to purchase housing services from Housing New Zealand Corporation and Community Group Housing providers to maintain the supply of tenanted Community Group Housing properties.
- - 20,010
Non-Departmental Output Expenses
     
Community Group Housing Market Rent Top-Up
This category is limited to the provision of funding to Housing New Zealand Corporation to pay the difference between the contracted rent with the Community Group Housing provider and market rent for the leased properties.
- - 10,106
Non-Departmental Other Expenses
     
Community Housing Rent Relief
This category is limited to the provision of a rent relief fund to Community Group Housing providers for the sole purpose of helping them meet their contracted rent payments.
- - 4,104
Non-Departmental Capital Expenditure
     
Acquisition and Improvement of Community Group Housing Properties
This category is limited to debt or equity in Housing New Zealand Corporation to acquire, modernise or reconfigure properties leased by Community Housing Providers.
- - 5,800

Emergency Housing MCA (M37)

The single overarching purpose of this appropriation is to fund the delivery of emergency housing places in New Zealand.
- - 48,544
Non-Departmental Output Expenses
     
Emergency Housing Services
This category is limited to payments to emergency housing providers on a per household basis to cover tenancy and property management; and services to support tenants in emergency housing to move into sustainable housing.
- - 21,935
Provision of Emergency Housing Places
This category is limited to supporting emergency housing providers to provide emergency housing places.
- - 26,609

Social Housing Outcomes Support MCA (M37)

The single overarching purpose of this appropriation is to operate the social housing register and associated interventions in such a way as to support more people with the greatest housing need into housing, and to move those who are capable of housing independence closer towards that.
- - 51,383
Departmental Output Expenses
     
Services to Support People to Access Accommodation
This category is limited to assessing and reviewing eligibility for social housing and income related rent, social housing register management and the accurate and timely payment of income related rent subsidies to the social housing provider.
- - 43,345
Non-Departmental Output Expenses
     
Services Related to Supporting Outcomes for those in need of or at risk of needing Social Housing
This category is limited to the provision of support services to those in need of social housing or those at risk of entering social housing.
- - 5,438
Non-Departmental Other Expenses
     
Housing Support Package
This category is limited to the provision of incentives, products and services to help households with lower housing need who are in, or seeking social housing, to access or retain alternative housing solutions.
- - 2,600

Social Housing Purchasing MCA (M37)

The single overarching purpose of this appropriation is to secure and purchase social housing tenancies for those who are eligible.
- - 900,851
Non-Departmental Output Expenses
     
Part Payment of Rent to Social Housing Providers
This category is limited to the part purchase of tenancies from social housing providers.
- - 900,451
Services Related to the Provision of Social Housing
This category is limited to the provision of services related to the provision of social housing by a social housing provider.
- - 400

Total Multi-Category Expenses and Capital Expenditure

- - 1,020,788

Total Annual and Permanent Appropriations

- - 2,243,081

Supporting Information

Part 1 - Vote as a Whole

1.1 - New Policy Initiatives

Policy Initiative Appropriation 2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Changes to the Social Housing Allocation System

Ministry of Social Development - Capital Injection (M63)

750 - - - -
Developing an Integrated Social Investment and Purchasing Model for Social Housing

Social Housing Outcomes Support MCA (M37)

         
 
  • Services to Support People to Access Accommodation
8,605 17,488 13,835 11,285 10,932
 
Departmental Output Expenses
         
 

Ministry of Social Development - Capital Injection (M63)

1,000 - - - -
Family Incomes Package Accommodation Assistance (M37) - 87,559 361,583 380,296 399,723
 

Social Housing Purchasing MCA (M37)

         
 
  • Part Payment of Rent to Social Housing Providers
- (1,649) (6,183) (4,940) (4,940)
 
Non-Departmental Output Expense
         
Increasing the Supply of Social Housing in Auckland

Social Housing Purchasing MCA (M37)

         
 
  • Part Payment of Rent to Social Housing Providers
20,051 5,073 9,596 - -
 
Non-Departmental Output Expense
         
 
  • Support for the provision of Social Housing Supply
18,980 (26,150) 13,770 (16,890) -
 
Non-Departmental Other Expenses
         
Measures to Support More People in Emergency Housing

Emergency Housing MCA (M37)

         
 
  • Provision of Emergency Housing Places
9,028 14,942 14,878 15,651 16,465
 
  • Emergency Housing Services
14,624 21,935 21,935 21,935 21,935
 
Non-Departmental Output Expenses
         
 

Social Housing Outcomes Support MCA (M37)

         
 
  • Services to Support People to Access Accommodation
2,900 2,900 - - -
 
Departmental Output Expenses
         
Positive Pathways for People with a Corrections History

Social Housing Outcomes Support MCA (M37)

         
 
  • Services Related to Supporting Outcomes for those in need of or at risk of needing Social Housing
- 438 438 438 438
 
Non-Departmental Output Expenses
         
 

Social Housing Purchasing MCA (M37)

         
 
  • Part Payment of Rent to Social Housing Providers
- 673 2,015 3,513 5,145
 
Non-Departmental Output Expenses
         
Securing the Supply of Housing for Vulnerable People in Auckland

Social Housing Outcomes Support MCA (M37)

         
 
  • Services to Support People to Access Accommodation
3,352 - - - -
 
Departmental Output Expenses
         
Total Initiatives   79,290 123,209 431,867 411,238 449,698

1.2 - Trends in the Vote

Summary of Financial Activity

  2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21
  Actual
$000
Actual
$000
Actual
$000
Actual
$000
Final 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 - - - 437 600 600 600 - 600 600 600 600
Benefits or Related Expenses 1,177,315 1,145,875 1,128,850 1,163,674 1,146,156 1,128,656 N/A 1,217,767 1,217,767 1,488,373 1,497,277 1,515,305
Borrowing Expenses - - - - - - - - - - - -
Other Expenses - - - 760 791 791 - 3,926 3,926 - - -
Capital Expenditure - - - - - - - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - - - N/A - - - -
Multi-Category Expenses and Capital Expenditure (MCA)                        
Output Expenses 610,846 660,012 723,591 795,384 942,085 942,085 43,345 964,939 1,008,284 1,078,214 1,139,782 1,197,108
Other Expenses - - - 5,917 60,184 60,184 - 6,704 6,704 46,614 6,704 23,594
Capital Expenditure - - - 5,800 5,800 5,800 N/A 5,800 5,800 5,800 5,800 5,800

Total Appropriations

1,788,161 1,805,887 1,852,441 1,971,972 2,155,616 2,138,116 43,945 2,199,136 2,243,081 2,619,601 2,650,163 2,742,407

Crown Revenue and Capital Receipts

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

Total Crown Revenue and Capital Receipts

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

Note - where restructuring of the vote has occurred then, to the extent practicable, prior years information has been restated as if the restructuring had occurred before the beginning of the period covered. In this instance Total Appropriations for the Budgeted and Estimated Actual year may not equal Total Appropriations in the Details of Appropriations and Capital Injections.

Adjustments to the Summary of Financial Activity Table Due to Vote Restructuring

Establishment of Vote Social Housing from 1 July 2017

  2012/13
Adjustments
$000
2013/14
Adjustments
$000
2014/15
Adjustments
$000
2015/16
Adjustments
$000
2016/17
Final Budgeted
Adjustments
$000
2016/17
Estimated
Actual
Adjustments
$000

Appropriations

           
Output Expenses - - - 437 600 600
Benefits or Related Expenses 1,177,315 1,145,875 1,128,850 1,163,674 1,146,156 1,128,656
Borrowing Expenses - - - - - -
Other Expenses - - - 760 791 791
Capital Expenditure - - - - - -
Intelligence and Security Department Expenses and Capital Expenditure - - - - - -
Multi-Category Expenses and Capital Expenditure (MCA)            
   Output Expenses 610,846 660,012 723,591 795,384 942,085 942,085
   Other Expenses - - - 5,917 60,184 60,184
   Capital Expenditure - - - 5,800 5,800 5,800

Total Appropriations

1,788,161 1,805,887 1,852,441 1,971,972 2,155,616 2,138,116

Crown Revenue and Capital Receipts

           
Tax Revenue - - - - - -
Non-Tax Revenue - - - - - -
Capital Receipts - - - - - -

Total Crown Revenue and Capital Receipts

- - - - - -

1.3 - Analysis of Significant Trends

Output Expenses

The stable trend for the Departmental Output Expense relates to Administering the Legacy Social Housing Fund appropriation.

Benefits or Related Expenses

Annual expenditure decreased in line with the number of recipients from $1,177 million in 2012/13 to $1,129 million in 2014/15. In the following year, the number of recipients was flat and expenditure rose to $1,164 million. Annual expenditure is expected to increase from $1,129 million in 2016/17 to $1,515 million in 2020/21. Expenditure on Accommodation Assistance is expected to rise from April 2018 because of the impact of the Family Incomes Package.

The number of recipients receiving Accommodation Assistance typically follows the trends of main benefits (Jobseeker Support, Sole Parent Support and Supported Living Payment). The number of recipients peaked during 2010/11 at an average of nearly 320,000 and is expected to be around 290,000 in 2016/17. Over the next four years to 2020/21, numbers are expected to rise to nearly 298,000 in 2018/19 and then drop to nearly 294,000 in 2020/21.

The average amount of Accommodation Assistance paid per recipient increased slightly between 2012/13 and 2016/17, and is expected to increase significantly after 2017/18 from the impact of the Family Incomes Package.

Other Expenses

The increasing trend for Other Expenses is due to the transfer of $3 million from 2016/17 to 2017/18 to the appropriation Social Housing Provider Development. The transfer is from Vote Building and Housing and was due to delays in the building process, resulting in several associated grant payments now occurring in 2017/18.

Multi-Category Expenses and Capital Expenditure

The increasing trend for the Multi-Category Output Expenses is mainly due to an increase in actual and forecast expenditure on the non-departmental output expense category, Part Payment of Rent to Social Housing Providers, much of which is demand driven expenditure, which is influenced by the levels of recipient numbers and subsidies paid per person.

Part 2 - Details of Departmental Appropriations

2.1 - Departmental Output Expenses

Administering the Legacy Social Housing Fund (M37)

Scope of Appropriation

This appropriation is limited to the administration costs of the Legacy Social Housing Fund.

Expenses and Revenue

  2016/17 2017/18
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Total Appropriation - - 600
Revenue from the Crown - - 600
Revenue from Others - - -

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote: Building and Housing: Administering the Social Housing Legacy Fund 600 600 -
Total 600 600 600

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve safe, healthy and affordable homes through the effective and efficient administration of the Legacy Social Housing Fund.

How Performance will be Assessed and End of Year Reporting Requirements

  2016/17 2017/18
Assessment of Performance Final Budgeted
Standard
Estimated
Actual
Budget
Standard

Effective and efficient administration of the Legacy Social Housing Fund

Achieved Achieved Achieved

End of Year Performance Reporting

Performance information for this appropriation will be reported by the Ministry of Business, Innovation and Employment in the Ministry of Business, Innovation and Employment Annual Report.

Current and Past Policy Initiatives

Policy Initiative Year of
First
Impact
2016/17
Final Budgeted
$000
2017/18
Budget
$000
2018/19
Estimated
$000
2019/20
Estimated
$000
2020/21
Estimated
$000
Efficiency Savings from the formation of Ministry of Business, Innovation and Employment 2014/15 (47) (47) (47) (47) (47)

Reasons for Change in Appropriation

This appropriation has been transferred from Vote Building and Housing with effect on 1 July 2017. The amount of the appropriation in 2017/18 is the same as in 2016/17.

Part 3 - Details of Non-Departmental Appropriations

3.2 - Non-Departmental Benefits or Related Expenses

Accommodation Assistance (M37)

Scope of Appropriation

This appropriation is limited to the Accommodation Supplement, Special Transfer Allowance, and Away From Home Allowance to cover accommodation costs, paid in accordance with the criteria set out in the Social Security Act 1964 and delegated legislation made under that Act.

Expenses

  2016/17 2017/18 2018/19 2019/20 2020/21
  Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Total Appropriation - - 1,217,767 1,488,373 1,497,277 1,515,305

Components of the Appropriation

  2016/17 2017/18 2018/19 2019/20 2020/21
  Budgeted
$000
Estimated Actual
$000
Budget
$000
Estimated
$000
Estimated
$000
Estimated
$000
Accommodation Supplement - - 1,217,756 1,488,364 1,497,270 1,515,299
Special Transfer Allowance - - 11 9 7 6

Comparators for Restructured Appropriation

  2016/17 2017/18
Vote, Type and Title of Appropriation Final Budgeted
$000
Estimated Actual
$000
Budget
$000
Vote: Social Development: Accommodation Assistance 1,146,156 1,128,656 -
Total 1,146,156 1,128,656 1,217,767

What is Intended to be Achieved with this Appropriation

This appropriation is intended to achieve social outcomes by providing targeted financial support to help eligible people meet the costs of accommodation.

How Performance will be Assessed and End of Year Reporting Requirements

An exemption was granted under s.15D(2)(b)(ii) of the PFA, as additional performance information is unlikely to be informative because this appropriation is solely for payments of Accommodation Assistance under the Social Security Act 1964. Performance information relating to the administration of the payment is provided under the Improved Employment and Social Outcomes Support MCA in Vote Social Development.

Current and Past Policy Initiatives