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Proposed Budget (Government Plan) 2025-2028 (P.51/2024): nineteenth amendment. (P.51/2024 Amd.(19)) – comments. Fort Regent Development

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STATES OF JERSEY

PROPOSED BUDGET (GOVERNMENT PLAN) 2025-2028 (P.51/2024): NINETEENTH AMENDMENT (P.51/2024 AMD.(19)) – COMMENTS

Presented to the States on 22nd November 2024 by the Council of Ministers

STATES GREFFE

2024  P.51 Amd.(19) Com.

COMMENTS

The amendment seeks to set up a new head of expenditure for Fort Regent to ensure "that all work carried out and monies spent on the site are subject to the proper level of Ministerial and States Assembly oversight."

In 2019, The States of Jersey Development Company ("SoJDC") set aside £5 million for further public infrastructure projects, with funds to be directed by the Regeneration Steering Group ("RSG"). There remains approximately £3 million from the funds set aside  by  SoJDC,  and  these  remaining  funds  are  earmarked  for  feasibility  and preliminary works relating to Fort Regent.

There are existing, well-established arrangements for oversight of this spend, both through  the  Regeneration  Steering  Group  and  the  Shareholder  function.  The introduction of a separate Head of Expenditure will therefore have limited benefit at this stage.

Expenditure  incurred  is  recorded  in  the  books  of  SoJDC,  and  accounted  for  in accordance with accounting standards within the States Annual Report and Accounts. Where work on a States' asset incurred by SoJDC is capitalisable, this is treated as a form of dividend in-specie. The expenditure will be reported in the annual published accounts of SoJDC available on their website, for reference please see pages 33 of their latest annual report for Annual Report 2023.

Any additional funding required beyond feasibility works will need to be considered in forthcoming Budgets, with the creation of a separate head of expenditure at the point at which States Assembly approval is required for such a major project. Accordingly, Ministers request that Members reject this amendment at this stage.

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P.51/2024 Amd.(19) Com.