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Public Finances (Amendment No. 3) Law, 2011 - Transitional Order - Law Drafting Request

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A decision made 9 December 2011:

Decision Reference:  MD-TR-2011-0151

Decision Summary Title:

Law Drafting request – Transitional Order

Date of Decision Summary:

7th December 2011

Decision Summary Author:

Head of Decision Support

Decision Summary:

Public or Exempt?

Public

Type of Report:

Oral or Written?

Written

Person Giving

Oral Report:

N/A

Written Report

Title:

Law Drafting request – Transitional Order

Date of Written Report:

7th December 2011

Written Report Author:

Decision Support Officer

Written Report :

Public or Exempt?

Public

Subject:

Law Drafting request – Transitional Order

Decision(s):

The Minister approved the Law Drafting request for a Transitional Order to aid the commencement of the Public Finances (Amendment No. 3) Law, 2011.

Reason(s) for Decision:

To enable Law drafting time to be allocated in order to introduce an Order to aid the implementation of the Public Finances (Amendment No 3) Law from 1st January 2012.

Resource Implications:

Apart from the resources required to draft the Order and covering report there are no financial or manpower implications from this decision.

Action required:

Head of Decision Support to notify the Law Draftsman that this request has been approved.

Signature:

 

 

 

 

Position: Senator P F C Ozouf, Minister for Treasury and Resources

 

 

Date Signed:

Date of Decision:

 

Public Finances (Amendment No. 3) Law, 2011 - Transitional Order - Law Drafting Request

 - 1 -

Treasury and Resources

Ministerial Decision Report

 

 

 

Law drafting request – Transitional ORDER

 

  1. Purpose of Report

The purpose of this report is to set out the requirements of the Minister for Treasury and Resources for:-

  • the introduction of a Transitional Order to aid the commencement of the Public Finances (Amendment No. 3) Law, 2011; and
  • to instruct the Law Draftsman to draft the relevant legislation.

 

  1. Background

2.1 Transitional Order

The Public Finances (Amendment No. 3) Law has been approved by the UK Privy Council and will be effective from 1st January 2012. 

 

From 1st January 2012 the existing Articles 7 – 20 will fall and be replaced by the Articles included in Amendment No 3. 

 

The amending legislation empowers the Minister via an Order, to make transitional provisions to enable the smooth progressions from the old Articles to the new ones.  It is important that expenditure and income and other administrative arrangements approved under the old process are able to continue under the new arrangements – the presentation of the Order should ensure that this happens. 

 

In order to progress the “Order” the Minister is asked to consider the issues identified in Appendix A and agree that the Law Draftsman be asked to prepare the relevant Order for onward presentation to the States.

 

  1. Recommendation

It is recommended that the Minister for Treasury and Resources agrees the way forward for the Transitional Order and request the Law Draftsman to prepare the necessary legislation.

 

  1. Reason for Decision

To enable Law drafting time to be allocated in order to introduce an Order to aid the implementation of the Public Finances (Amendment No 3) Law from 1st January 2012.

 

  1. Resource Implicationss

Apart from the resources required to draft the “Order” and covering report there are no financial or manpower implications from this decision.

 

Report author :

Document date 24/11/11

Quality Assurance / Review :

File name and path: L:\Treasury\Sections\Corporate Finance\Ministerial Decisions\DSs, WRs and SDs\2011-0151 - Law Drafting request – Transitional Order - KH\WR - States Order for PFL 111207 - MLW.doc

MD sponsor : Treasurer of the States


Appendix A

 

Public Finances (Jersey) Order 201-

 

It is recommended that the Order required to enable the smooth transition for the implementation of the Public Finances (Amendment No 3) Law covers the following areas:

  • that 2012 Expenditure and Income is approved as if it were the final year of the Medium Term Financial Plan (This should mean that the procedures and processes set in the Law Amendment will apply to 2012 expenditure and income);
  • if the above bullet point is approved this would give the opportunity to formally set up and operate the new “contingency” in 2012;
  • In the 2012 Annual Business Plan a sum of £12,485,000 was provided for “central reserves” within the Treasury and Resources departmental budget at this stage it is not known whether this sum is sufficient to cover all additional funding problems in 2012 and it is recommended that the Minister request that the existing Article 11(8) in the current Law be retained for 2012;
  • The Order should enable the 2011 financial year end process to be completed under the existing Public Finances Law prior to any amendments. 
  • The only proviso to this is that any unallocated carry forwards after the 2011 year end process have been followed should be transferred into the new Contingency.
  • The Order should enable all revenue carry forwards and all allocated but unspent capital allocations to be available for spend in 2012.

 

 

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