States of Jersey Law 2005: delegation of functions – Minister for Treasury and Resources – November 2019

STATES OF JERSEY

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STATES OF JERSEY LAW 2005: DELEGATION OF FUNCTIONS – TREASURY AND RESOURCES – REVISED DELEGATIONS NOVEMBER 2019

Presented to the States on 4th November 2019 by the Minister for Treasury and Resources

STATES GREFFE

Legislation:

Public Finances (Jersey) Law 2005: Article 18(1)(a) and (b) – Permitted variations of heads of expenditure.

Delegate:

Treasurer of the States or, in their absence, another person as nominated by  the  Treasurer  (excluding  the  Principal  Accountable  Officer ("PAO")), to agree any non-contentious transfers between revenue and capital heads of expenditure (and vice versa), with no financial limit where the transfer is solely to ensure that financial transactions are accurately  reflected  in  the  States'  Accounts  in  accordance  with accounting standards issued under Article 32(2) of the 2005 Law.

The  Treasurer  of  the  States  or,  in  their  absence,  another  person nominated by the Treasurer (excluding the PAO), to agree that funds can be transferred, without further approval by the Minister, in instances where there is a transfer from one head of expenditure to another head of  expenditure  consequentially  upon  a  transfer  of  functions  under Regulations made under Article 29 of the States of Jersey Law 2005.

All such decisions must be included in the 6 monthly report presented to the States.

Functions delegated and

scope of delegation:

These paragraphs of Article 18 of the 2005 Law enable the Minister to approve the transfer of funds from one head of expenditure to another to comply with accounting standards, or where the States have approved the transfer of functions or services.

Legislation:

Public Finances (Jersey) Law 2005: Article 17(2) – Permitted contingency expenditure.

Delegate:

Treasurer of the States or, in their absence, another person as nominated by the Treasurer (excluding the PAO), to approve the transfer from contingency expenditure to heads of expenditure or the Insurance Fund, of amounts not exceeding, in total, the amount available for contingency expenditure in a financial year, in accordance with Article 17(1).

Authority is delegated to the Treasurer of the States or, in their absence, another person nominated by the Treasurer (excluding the PAO), to agree any transfer between contingency expenditure or the Insurance Fund and heads of expenditure up to £500,000.

All such transfers must be included in the 6 monthly report presented to the States.

Functions delegated and

scope of delegation:

This paragraph of Article 17 of the 2005 Law enables the Minister to approve  the  transfer  from  contingency  expenditure  to  heads  of expenditure or the Insurance Fund, of amounts approved by the States in the Medium Term Financial Plan.

Legislation:

Public Finances (Jersey) Law 2005: Article 19(1) – Adjustments for variations in income.

Delegate:

Treasurer of the States or, in their absence, another person as nominated by the Treasurer (excluding the PAO), to approve –

 additional income in excess of increased expenditure (i.e. additional surplus income) required to generate that income but the excess income is more than 10% (up to a maximum of £500,000 for a States trading operation and £100,000 for all other States-funded bodies) of the estimated income notified to the States for that particular service area – this additional income should not be used to fund recurring expenditure for which no future funding is secured.

Functions delegated and

scope of delegation:

This paragraph of Article 19 of the 2005 Law empowers the Minister to authorise a States funded body to use any additional income it may generate over and above the estimate approved by the States in the Medium-Term Financial Plan.

The Minister agreed that States-funded bodies be allowed to retain and use additional income in instances where –

1. any such income and associated additional expenditure match; and

2. the additional income is in excess of increased expenditure (i.e. additional surplus income) required to generate that income but the excess income is not more than 10% (up to a maximum of £500,000 for a States trading operation and £100,000 for all other States-funded bodies) of the estimated income notified to the  States  for  that  particular  service  area –  this  additional income should not be used to fund recurring expenditure for which no future funding is secured;

with any approval above these levels delegated to the Treasurer of the States as detailed above.

Legislation:

Public Finances (Jersey) Law 2005: Article 18(5) – Permitted variations of heads of expenditure.

Delegate:

Treasurer of the States or, in their absence, another officer nominated by the Treasurer (excluding the PAO), to agree non-contentious requests for the use of sale proceeds where the net balance over the residual value of the asset sold is equal to or less than £100,000.

Accountable Officers to make use of up to £5,000 of income from the sale of an asset where the net balance over the residual value of the asset sold is £5,000 or less.

Functions delegated and

scope of delegation:

This paragraph of Article 18 of the 2005 Law empowers the Minister to authorise a States-funded body to make use of income from the sale of an asset for revenue expenditure or a specified capital project.

Legislation:

Public Finances (Jersey) Law 2019: Article 21 –

Adjustments for variations in income attributable to States bodies.

Delegate:

Treasurer of the States or, in their absence, another person as nominated by the Treasurer (excluding the PAO), to approve the use of –

 additional income in excess of increased expenditure (i.e. additional surplus income) required to generate that income but the excess income is more than 10% (up to a maximum £100,000 for States bodies) of the  estimated  income  notified to the States for that particular service area – this additional income should not be used to  fund  recurring  expenditure  for  which  no  future  funding  is secured.

Functions delegated and

scope of delegation:

This Article of the Law empowers the Minister to authorise the use of any additional income generated by a States body over and above the estimate approved by the States in the Government Plan.

The Minister agreed that States bodies be allowed to retain and use additional income in instances where –

1. any such income and associated additional expenditure match; and

2. the additional income is in excess of increased expenditure (i.e. additional surplus income) required to generate that income but the excess income is not more than 10% (up to a maximum of £100,000 for all States bodies) of the estimated income notified  to the  States for  that particular  service area –  this additional  income  should  not  be  used  to  fund  recurring expenditure for which no future funding is secured.

Any approval above these levels is delegated to the Treasurer of the States as detailed above.

Legislation:

Public Finances (Jersey) Law 2019: Article 26 –

The Minister may arrange for –

• a bank overdraft or bank overdraft facility; and

• other minor financing.

Delegate:

Treasurer of the States to agree short-term bank overdrafts/ overdraft facilities up to £10 million.

Authority is delegated to the Treasurer of the States to agree minor borrowing up to £100,000 in any one financial year (up to a maximum of £500,000), with no transaction to exceed £10,000 and repayment periods of 5 years or less.

All borrowing must be reported in the half-yearly financial update presented to the States by the Minister.

Functions delegated and

scope of delegation:

This Article of the Law empowers the Minister to arrange for a bank overdraft  (or  bank  overdraft  facility)  and  to  approve  other  minor borrowing up to specific total and annual limits set in the Law.

Legislation:

Public Finances (Jersey) Law 2019: Article 27 –

The Minister may lend in the name of the States from the Consolidated Fund.

Delegate:

Treasurer of the States to agree short-term lending.

Authority is delegated to the Treasurer of the States to agree minor lending up to £100,000 in any one financial year (up to a maximum of £500,000), with no loan to exceed £10,000 and with a maximum loan repayment period of 5 years.

All loans must be reported in the half-yearly financial update presented to the States by the Minister.

Functions delegated and

scope of delegation:

This Article of the Law empowers the Minister to grant loans up to specific total and annual limits set in the Law.

Legislation:

Public Finances (Jersey) Law 2019: Article 33(1) and (4) – Treasurer to open bank accounts with a bank or banks approved by the Minister.

Delegate:

Treasurer of the States to carry out this function without recourse to the Minister,  provided  that  any  bank  selected  is  licensed  for  banking services in Jersey by the Jersey Financial Services Commission.

Functions delegated and

scope of delegation:

These paragraphs of Article 33 of the Law allow the Treasurer to open, operate and maintain bank accounts with a bank(s) approved by the Minister for the operation of the Consolidated Fund, and for the proper administration of this or any other Law.

Legislation:

Public Finances (Jersey) Law 2019: Article 20 – The Minister has the authority to transfer unspent amounts allocated for major project to the following year.

Delegate:

The  Treasurer  of  the  States  or,  in  their  absence,  another  officer nominated by the Treasurer (excluding the PAO) to agree all non- contentious requests to transfer unspent funds allocated to a head of expenditure  for  a  major  project  to  the  same  major  project  in  the following financial year.

Functions delegated and

scope of delegation:

This  Article  allows  the  Minister  to  direct  that  an  unspent  amount appropriated to a head of expenditure for a major project in one financial year is available to spend on the same major project in the following financial year.

Legislation:

Public Finances (Jersey) Law 2019: Article 31 – Public Finances Manual.

Delegate:

Treasurer  of  the  States  to  issue  minor  amendments  to  the  Public Finances Manual as he considers necessary. (This authority shall not extend to those sections of the Manual which propose the delegation of responsibility from the  Minister to an  officer without the  Minister having already agreed those delegations.)

The Manual and all amendments must be issued to the States' Public Accounts Committee and made publicly available.

Functions delegated and

scope of delegation:

The Minister has responsibility for the issuance and amendment of the Public Finances Manual. (The Law enables the Minister to delegate the above functions to the Treasurer.)

Legislation:

Public Finances (Jersey) Law 2019: Article 53 – Minister's responsibility in respect of certain companies.

Delegate:

Assistant Minister for Treasury and Resources to have responsibility for shareholder matters.

Functions delegated and

scope of delegation:

The Minister has responsibilities for certain matters relating to the shareholdings in certain companies (wherever incorporated) that are owned by the States in the name of the States.

Legislation:

Public Finances (Jersey) Law 2019: Article 60 – allows the continuation of the Insurance Fund.

Delegate:

Treasurer of the States or, in their absence, another officer nominated by the Treasurer (other than the PAO) to permit persons or bodies that appear to be connected with the States to participate in the States' mutual insurance arrangement on such terms and conditions as agreed.

Functions delegated and

scope of delegation:

This Article of the Law enables the Minister to determine which persons or bodies with States' connections, can participate in the States' mutual insurance arrangements, and what terms and conditions should apply to them.

Legislation:

Powers under the Public Finances (Jersey) Law 2019 (including those which enable provisions of the Public Finances (Jersey) Law 2005 and the Regulations which flow from this legislation to continue to apply for 2019 income and expenditure.

Delegate:

The Minister delegated, in the event of her absence or incapacity, all of the functions conferred on or vested in the Minister by the  Public Finances (Jersey) Law 2019 (including those provisions of the Public Finances (Jersey) Law 2005 and any Regulations which continue to apply to 2019 income and expenditure which Article 58 of the 2019 Law allow to continue) to the Assistant Minister for Treasury and Resources.

Functions delegated and

scope of delegation:

Functions conferred on or vested in the Minister by or under the Public Finances (Jersey) Law 2019.

States' decision:

Anti-Inflation Strategy (P.125/2000).

Delegate:

Treasurer of the States or, in their absence, another person as nominated by the Treasurer (excluding the PAO) to agree non-contentious fee/ charge increases which do not require subsequent States' approval; or in instances where fees are being increased in line with the "User Pays" principle.

The Treasurer of the States will be able to give "blanket" approval to groups of charges in a particular year, or a single charge over a period of a number of years.

The Minister agreed that approval for increases which are in line with statute or with a formula which has already received the States' or their approval do not require further approval.

Functions delegated and

scope of delegation:

The States, in adopting the Anti-Inflation Strategy, agreed that increases in States charges should be limited to a maximum of 2.5% a year, with any exceptions, in extremely compelling cases only, to be subject to prior approval by the Finance and Economics Committee (now the Minister for Treasury and Resources).

Legislation:

Decimal  Currency  (Jersey)  Law  1971:  Article 3 –  Coinage  of  new

currency.

Delegate:

The  Minister  delegated  approvals  of  the  annual  programme  of commemorative currency designs to the Treasurer of the States, and the issue of individual coins within this programme to the Head of Treasury and Investment Management.

Functions delegated and

scope of delegation:

This delegation enables the Treasurer of the States to approve the annual programme of commemorative currency designs, and the Director of Treasury  and  Investment  Management  to  approve  individual commemorative currency designs as and when they are produced.

States' decision:

Regulation of Public Sector Employment (P.67/1999).

Delegate:

Treasurer of the States or, in their absence, another person as nominated by the Treasurer (excluding the PAO) for agreeing non-contentious increases to States' staff levels.

Functions delegated and

scope of delegation:

This proposition charges the Minister for Treasury and Resources to regulate the number of persons that may be employed by the States of Jersey in any area of the States' administration, excluding those States' departments that report to the States' trading operations, in accordance with the principles contained within the Regulation of Undertakings legislation and the policy statement issued by the then Finance and Economics Committee in respect of the application of the Regulation of Undertakings to the private sector, effective from 10th November 1998.

States' decision:

Starter  Home  Deposit  Loan  Scheme  (P.131/2012)  and  associated Scheme Rules.

Delegate:

Treasurer of the States or, in their absence, another person as nominated by the Treasurer (excluding the PAO) to consent to property sales, approve investment returns (subsidies at market rates) on property sales, and approve the waiving or deferral of part or all of an investment return in certain circumstances (e.g. separation of a couple, deferred sale of the property).

Functions delegated and

scope of delegation:

Article 2.1: As a result of loans being made at a 0% interest rate, a subsidy is recoverable if the property is sold at a profit before the term of the mortgage.

Authority is delegated to the Treasurer of the States to agree the level of investment return (subsidy at market rates) in accordance with pre- determined calculation criteria as detailed in the Scheme Rules.

Authority is delegated to the Treasurer of the States to agree to waiving or deferring the investment return in part or in full in exceptional circumstances, e.g. prolonged ill-health, death or divorce.

Signature of corporate contracts:

Signing  of  corporate  and  departmental  contracts  on  behalf  of  the Minister for Treasury and Resources.

Delegate:

The Minister delegates, to the Treasurer of the States, the signing of all corporate  contracts  negotiated  by  Commercial  Services  for  and  on behalf of the States, and all departmental contracts, with no financial limit.

Administering Jersey's international taxation agreements:

Administering Jersey's international taxation agreements, such as Double  Taxation  Agreements,  Tax  Information  Exchange Agreements, the European Union (EU) Savings Directive, and all of Jersey's other international taxation agreements that provide for a mutual agreement procedure and/or the exchange of information on behalf of the Minister for Treasury and Resources.

Delegate:

The Minister delegates authority to any officer acting as Comptroller of Taxes, any officer acting as Deputy Comptroller of Taxes, any officer acting as Director – International Tax, and the Adviser – International Affairs, to act for and on behalf of the Minister for Treasury and Resources as Competent Authority for the purposes of Jersey's Double Taxation Agreements, Tax Information Exchange Agreements, the EU Savings Directive, and all of Jersey's other international  taxation  agreements  that  provide  for  a  mutual agreement  procedure  and/or  the  exchange  of  information.  The Minister also authorises the Tax Information Exchange Officer to process matters relating to tax information exchange.

Expenditure of the Treasury and Exchequer Department:

Expenditure of all amounts approved by the States Assembly for the Treasury and Exchequer Department.

Delegate:

The Minister delegates authority to the Treasurer of the States to spend up to the amounts approved by the States Assembly for the Treasury and Exchequer Department.

Legislation:

Delegate:

Assistant Minister for Treasury and Resources – all powers and responsibilities arising under Standing Orders 17, 19 and 35.

Functions delegated and scope of delegation:

These Standing Orders apply to the following actions –

• Standing Order 17 – Notice of intention to make statement on a matter of official responsibility

• Standing Order 19 – Who can lodge a proposition

• Standing Order 35 – Who may present report or comments.