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Property and Infrastructure Regeneration: the States of Jersey Development Company Limited (P.79/2009) – third amendment.

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STATES OF JERSEY

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PROPERTY AND INFRASTRUCTURE REGENERATION: THE STATES OF JERSEY DEVELOPMENT COMPANY LIMITED (P.79/2009) – THIRD AMENDMENT

Lodged au Greffe on 2nd December 2009 by Senator J.L. Perchard

STATES GREFFE

2009   Price code: A  P.79 Amd.(3)

PROPERTY AND INFRASTRUCTURE REGENERATION: THE STATES OF JERSEY DEVELOPMENT COMPANY LIMITED (P.79/2009) –

THIRD AMENDMENT

1  PAGE 2, PARAGRAPH (a) –

After the words "as set out in Paragraphs 2–11 of the report of the Council of Ministers dated 2nd June 2009" insert the words –

"except  that  on  page 38  of  P.79/2009  (as  amended  on  3rd November 2009)*, in Article 33 (Remuneration of Directors) of the Memorandum of Association of the States of Jersey Development Company Limited –

  1. delete the words "Non-Executive";
  2. for  the  words "approval  of  the  Minister",  substitute  the words "prior approval of the Minister and the Council of Ministers  at  a  properly  constituted  meeting  of  the Council".".

2  PAGE 2, PARAGRAPH (a) –

After the words "as set out in Paragraphs 2–11 of the report of the Council of Ministers dated 2nd June 2009" insert the words –

"except  that  on  page 39  of  P.79/2009  (as  amended  on  3rd November 2009), in Article 37 of the Memorandum of Association of the States of Jersey Development Company Limited, after the words "The Company" where they first appear, insert the words ", with  the  prior  approval  of  the  Minister  and  the  Council  of Ministers at a properly constituted meeting of the Council,".".

SENATOR J.L. PERCHARD

Page - 3

P.79/2009 Amd.(3)

REPORT

P.79/2009 (as amended on 3rd November 2009) now includes all the amendments proposed by the Corporate Services Scrutiny Panel, which I welcome, and in doing so I  congratulate  the  Panel  on  an  excellent  report.  The  report's  recommendations strengthen  the  role  of  the  parishes  and  the  States  and  will  make  the  Jersey Development  Company  (JDC)  Limited  more  accountable  when  discharging  its responsibilities.

P.79/2009 contains the Proposed Memorandum and Articles of Association of the States of Jersey Development Company Limited, which I have studied. These draft Articles are very similar to those of the Waterfront Enterprise Board Limited (WEB); however they differ mainly in Article 25(b) on pages 36 and 37 of the amended Report and Proposition, where the objectives of the new development company are clearly established.

I have been concerned for some time that WEB has operated without the appropriate directives and governance arrangements in place. I am content that the objectives for the new company as laid out in P.79/2009 are sound, and that with the oversight of the Regeneration Steering Group, that unambiguous and positive directives will transpire and that the JDC will be held properly accountable for its performance.

The  amendments  I  bring  to  P.79/2009  (as  amended)  are  relatively  small  but nevertheless important. I propose that all Directors of the new company, and not just the Non-Executive Directors, should have their total remuneration package (which must include all benefits and bonuses) approved by the Minister for Treasury and Resources,  only  after  such  time  that  the  Minister  has  obtained  approval  for  the proposed new or adjusted levels of remuneration from the Council of Ministers at a properly constituted meeting of the Council.

Financial and manpower implications

There are no financial or manpower implications arising from this proposition.

Page - 4

P.79/2009 Amd.(3)