COMMITTEE FOR FINANCE AND PERSONNEL
MINUTES OF PROCEEDINGS
WEDNESDAY, 10 FEBRUARY 2010
ROOM 135, PARLIAMENT BUILDINGS

Present:
Jennifer McCann MLA (Chairperson)
Peter Weir MLA (Deputy Chairperson)
Dr Stephen Farry MLA
Simon Hamilton MLA
Fra McCann MLA
Adrian McQuillan MLA
Declan O’Loan MLA
Ian Paisley Jr MLA
Dawn Purvis MLA

In Attendance:
Shane McAteer (Assembly Clerk)
Karen Jardine (Assistant Assembly Clerk)
Kathy O’Hanlon (Assistant Assembly Clerk)
David McKee (Clerical Supervisor)
Kevin Marks (Clerical Officer)

Apologies:
Mitchel McLaughlin MLA
David McNarry MLA

The meeting commenced at 10.07 am in open session.

1. Apologies

Dr Farry joined the meeting at 10.08am.

Apologies are detailed above.

Members were reminded of the requirement to formally submit apologies to Committee staff prior to any meeting they are unable to attend, with as much advance notice as possible.

Agreed: that the evidence sessions from Department of Finance and Personnel (DFP) officials at agenda items 5 and 7 respectively, will be recorded by Hansard, and the Official Report published on the website.

Agreed: that consideration of the draft Committee Report on the Inquiry into Public Procurement Policy and Practice in Northern Ireland will be held in closed session, in line with normal convention for considering draft reports relating to Committee inquiries.

2. Draft Minutes of Proceedings of 27 January 2010

Agreed: that the minutes be published on the Assembly website.

3. Matters Arising

The Committee noted the composite request for information from DFP which provided an update on any matters arising not covered elsewhere on the agenda.

Members noted correspondence from DFP in relation to the Minister’s unavailability to meet with the Committee, as originally planned, on 8 February 2010. The meeting has been re-scheduled and will take place on Thursday 11 February 2010 at 11.15 am in the Senate Chamber.

Members considered a draft letter from the Chairperson to the Minister on Equal Pay issues, arising from the evidence session on 27 January 2010 with representatives from the Northern Ireland Public Service Alliance. Mr O’Loan indicated that, while his preference would have been for a stronger form of words, he would accept the draft letter.

Agreed: to forward the correspondence to the Minister of Finance and Personnel.

The Committee moved into closed session at 10.11am.

4. Consideration of Draft Committee Report on the Inquiry into Public Procurement Policy and Practice in Northern Ireland

The Committee undertook a paragraph-by-paragraph consideration of its draft report on the Inquiry into Public Procurement Policy and Practice in Northern Ireland.

Agreed: that paragraphs 1-5 stand part of the Report;

Agreed: that paragraphs 6-11 stand part of the Report;

Agreed: that paragraphs 12-19 stand part of the Report;

Agreed: that paragraphs 20-25 stand part of the Report;

Agreed: that paragraphs 26-31 stand part of the Report;

Agreed: that paragraphs 32-40 stand part of the Report;

Agreed: that Figure 2 stands part of the Report;

Agreed: that paragraph 41 stands part of the Report;

Agreed: that paragraphs 42-48 stand part of the Report;

Agreed: that paragraphs 49-57 stand part of the Report;

Agreed: that paragraphs 58-65 stand part of the Report;

Agreed: that paragraphs 66-72 stand part of the Report;

Agreed: that paragraphs 73-79 stand part of the Report;

Agreed: that paragraphs 80-81 stand part of the Report;

Agreed: that paragraphs 82-88 stand part of the Report;

Agreed: that Figure 3 stands part of the Report;

Agreed: that paragraphs 89-92 stand part of the Report;

Agreed: that paragraphs 93-98 stand part of the Report;

Agreed: that paragraphs 99-108 stand part of the Report;

Agreed: that paragraphs 109-115 stand part of the Report;

Agreed: that paragraphs 116-121 stand part of the Report;

Agreed: that paragraphs 122-128 stand part of the Report;

Agreed: that paragraphs 129-131 stand part of the Report;

Agreed: that paragraphs 132-136 stand part of the Report;

Agreed: that paragraphs 137-142 stand part of the Report;

Agreed: that paragraphs 143-148 stand part of the Report;

Agreed: that paragraphs 149-155 stand part of the Report;

Agreed: that paragraphs 156-160 stand part of the Report;

Agreed: that paragraphs 161-167 stand part of the Report;

Agreed: that paragraphs 168-172 stand part of the Report;

Agreed: that paragraphs 173-176 stand part of the Report;

Agreed: that paragraphs 177-184 stand part of the Report;

Agreed: that paragraphs 185-192 stand part of the Report;

Agreed: that paragraphs 193-200 stand part of the Report;

Agreed: that paragraphs 201-204 stand part of the Report;

Agreed: that paragraphs 205-212 stand part of the Report;

Agreed: that paragraphs 213-219 stand part of the Report;

Agreed: that paragraphs 220-224 stand part of the Report;

Agreed: that paragraphs 225-230 stand part of the Report;

Agreed: that paragraphs 231-235 stand part of the Report;

Agreed: that paragraphs 236-240 stand part of the Report;

Agreed: that paragraphs 241-247 stand part of the Report;

Agreed: that paragraphs 248-253 stand part of the Report;

Agreed: that paragraphs 254-259 stand part of the Report;

Agreed: that paragraphs 260-263 stand part of the Report;

Agreed: that paragraphs 264-272 stand part of the Report;

Agreed: that paragraphs 273-277 stand part of the Report;

Agreed: that paragraphs 278-287 stand part of the Report;

Agreed: that paragraphs 288-296 stand part of the Report;

Agreed: that paragraphs 297-298 stand part of the Report;

Agreed: that paragraphs 299-309 stand part of the Report;

Agreed: that paragraphs 310-312 stand part of the Report;

Agreed: that paragraphs 313-319 stand part of the Report;

Agreed: that the Executive Summary, with a minor amendment, stands part of the report;

Agreed: that, mindful of the sub-judice rule, the DFP paper entitled Legal Challenges Against Government Procurement February 2010 will replace the other DFP papers relating to Legal Challenges in Appendix 4;

Agreed: that the Appendices, as amended, stand part of the Report and that all Appendices will be included on a CD-ROM to accompany the printed version of the Report;

Agreed: that the extract of the unapproved minutes of proceedings of today’s meeting will be checked by the Chairperson and included in Appendix 1.

Agreed: that the Report, as amended, be the First Report of the Committee for Finance and Personnel to the Assembly for session 2009/10.

Agreed: that the Report on the Inquiry into Public Procurement Policy and Practice in Northern Ireland, as amended, be printed.

The Committee agreed the following draft motion to debate the report in plenary:

“That this Assembly approves the report of the Committee for Finance and Personnel on its Inquiry into Public Procurement Policy and Practice in Northern Ireland; and calls on the Minister of Finance and Personnel, in conjunction with Executive colleagues, to implement the recommendations contained therein.”

Agreed: to request that the Business Committee considers scheduling the motion in plenary on Tuesday 23 February.

Members considered a draft press release which will be issued ahead of the plenary debate.

Agreed: that the press release will issue prior to the plenary debate subject to minor amendment.

Members noted that a typescript copy of the Report will issue to DFP by the end of the week, in line with normal protocol and in advance of printed copies being made available.

Agreed: that the report will also be issued to all MLAs when published and to the following additional recipients:

Those who provided written and oral evidence to the Inquiry;
Stakeholder Conference Facilitator and Commentators;
Stakeholder Conference Participants;
Professor Chris McCrudden;
Dr Aris Georgopoulos;
Centres of Procurement Expertise; and
The Procurement Board.

The Chairperson resumed the meeting in open session at 10.38am.

5. Correspondence

Mr Paisley Jr joined the meeting at 10.42am.
Dr Farry returned to the meeting at 10.42am.

Due to business being ahead of schedule, the Committee noted the following correspondence:

DFP: Regional Innovation Strategic Action Plan (RISAP);
Agreed: to forward the correspondence to the Committee for Enterprise, Trade and Investment.
DFP: Follow up to EU Programmes session on 6 January 2010;
Agreed: to forward the correspondence to the Committee for Enterprise, Trade and Investment.
DFP: Review of Technical Grades I & II in NICS;
Ian Paisley Jnr MLA: Housing Rights Service – free court representation for people facing repossession;
Agreed: to forward the correspondence to the following:
1. Committee for Social Development, encouraging that the issues raised be pursued by that Committee;
2. Northern Ireland Courts Service, expressing this Committee’s concern over the issues raised;
3. Local banks, expressing the Committee’s concern over the issues raised, particularly regarding mortgage repossessions;
Assembly Research: Zero-based and Performance-based Budgeting in Texas;
DFP: Letter from Minister on Review of Senior Civil Servants’ Pay and Terms of Reference ;
Agreed: to consider this correspondence again at next week’s meeting;
DFP: Follow up to Review of 2010-11 DFP Spending Plans;
Agreed: that the correspondence will be included in the evidence base for the Committee’s forthcoming report on the Review of 2010-11 Spending Plans for NI Departments;
DFP: Consultation Report on Electronic Registration of Land Transactions;
DFP: NI Marine Taskforce;
Agreed: that the correspondence will be forwarded to the NI Marine Taskforce for information;
Committee for Culture, Arts and Leisure: Central Procurement Directorate policies on sports capital projects;
Agreed: that an embargoed copy of the Committee’s Report on the Inquiry into Public Procurement Policy and Practice in NI will be forwarded to the Committee for Culture, Arts and Leisure, with the sections relevant to the issues raised in the correspondence highlighted.
Chairperson’s Liaison Group: Note of Key Issues taken on 19 January 2010;
NI Law Commission: Supplementary Consultation Paper on Land Law;
Committee for the Office of the First and Deputy First Minister : Update on the Recommendations of the Child Poverty Inquiry;
Victor Hewitt: The State of the Public Finances - 2010 and Projections to 2014;
Agreed: that the paper will be included in the evidence base of the Committee’s forthcoming report on the Review of Spending Plans 2010-11 for NI Departments.
Committee for Regional Development: Community Transport;
Agreed: that the correspondence will be forwarded to DFP with a covering letter expressing this Committee’s concern about the issues raised.
Committee for the Office of the First and Deputy First Minister: Programme for Government Take Note Debate;
DFP Revised Expenditure Plans 2010-11 (DFP Position) Follow up information;
Agreed: that the correspondence will be included in the evidence base of the Committee’s forthcoming report on the Review of Spending Plans 2010-11 for NI Departments.
CAL Committee: Promotion of Townland Names;
Agreed: that the correspondence will be forwarded to the DFP Permanent Secretary.

6. Budget Bill 2010 - Spring Supplementary Estimates & Vote on Account (Evidence from DFP)

The Committee took evidence from the following DFP officials: Joanne McBurney, Central Expenditure Division, Central Finance Group, DFP; Agnes Lennon, Central Expenditure Division, Central Finance Group, DFP and Barry Armstrong, Supply Division, Central Finance Group.

Members also considered correspondence from the Minister of Finance Personnel requesting the Committee’s approval to grant accelerated passage to the Budget Bill 2010.

The session was recorded by Hansard.

Agreed: that the Committee for Finance and Personnel is satisfied that there has been appropriate consultation with it on the public expenditure proposals contained in the Budget Bill 2010 and is content to grant accelerated passage to the Bill in accordance with Standing Order 42 (2).

Agreed: a letter to advise the Speaker of the Committee’s decision on granting accelerated passage to the Budget Bill 2010.

Agreed: that the background paper provided by DFP officials in advance of this session is circulated to other interested committees ahead of the plenary debate on the Supply Resolution on 15 February 2010 and Second Stage of the Budget Bill 2010 on 16 February 2010.

Mr Paisley Jr left the meeting at 11.16am.

7. DFP February 2010 Monitoring Round Position (Written evidence from DFP)

Members noted a written submission from DFP officials on the DFP 2010 Monitoring Round Position.

Mr Weir joined the meeting at 11.16am.

8. DFP Investment Delivery Plan (Written evidence from DFP)

Members noted a written submission from DFP officials on the DFP Investment Delivery Plan.

9. DFP Response on Strategic Financial Issues

The Committee considered a written response from DFP on Strategic Financial Issues arising from the oral evidence session on 20 January 2010.

Agreed: that the response will be included in the evidence base for the Committee’s forthcoming report on the Review of Spending Plans 2010-11 for NI Departments.

10. Subordinate Legislation

(i) The Committee considered SR 2010 No.1 The Building (Amendment) Regulations (NI) 2010 and the accompanying explanatory memorandum, which had been laid in the Business Office by DFP. The Committee noted the Ninth Report from the Examiner of Statutory Rules, which raised no issues by way of technical scrutiny.

Agreed: that the Committee for Finance and Personnel has considered SR 2010 No.1 The Building (Amendment) Regulations (NI) 2010 and has no objection to the Rule.

(ii) The Committee considered SR 2010 No.3 The Rates (Regional Rates) Order (NI) 2010 and the accompanying explanatory memorandum, which had been laid in the Business Office by DFP. The Committee noted the Ninth Report from the Examiner of Statutory Rules, which raised no issues by way of technical scrutiny.

Question put:

That the Committee for Finance and Personnel has considered SR 2010 No.3 The Rates (Regional Rates) Order (NI) 2010 and has no objection to the rule.

The Committee divided: Ayes 6; Noes 2; Abstentions 0

AYES:

Mr Hamilton, Mr McCann, Ms McCann, Mr McQuillan, Mr O’Loan and Mr Weir.

NOES:

Dr Farry, Ms Purvis.

ABSTENTIONS:

None

Question accordingly agreed to.

(iii) The Committee considered SR 2010 No.4 The Rates (Small Business Hereditament Relief) Regulations (NI) 2010 and the accompanying explanatory memorandum, which had been laid in the Business Office by DFP. The Committee noted the Ninth Report from the Examiner of Statutory Rules, which raised no issues by way of technical scrutiny.

Agreed: that the Committee for Finance and Personnel has considered SR 2010 No.4 The Rates (Small Business Hereditament Relief) Regulations (NI) 2010 and has no objection to the Rule.

11. Committee Work Programme

Members considered the current draft of the Committee work programme until March 2010 and noted that officials from Land and Property Service (LPS) will give evidence on the impact of the Review of 2010-11 Spending Plans for LPS at the meeting on 17 February.

Agreed: that the evidence sessions on the Capital Realisation Taskforce and PEDU, scheduled for 17 February, be postponed;

Agreed: that the evidence session on Multiple Deprivation Measures from the NI Statistics and Research Agency be postponed until April 2010.

Agreed: that the current draft of the programme will be published on the Assembly website.

12. Any Other Business

Mr O’Loan requested that DFP provide an update on proposed priorities for the Dormant Accounts Scheme.

Agreed: to seek an update from DFP on this issue.

The Chairperson suspended the meeting at 11.28am.

Dr Farry left the meeting at 11.29am
Mr McQuillan left the meeting at 11.33am
Mr Paisley Jr returned to the meeting at 11.36am.

The Chairperson resumed the meeting in open session at 11.38am.

13. Green Rates Rebates (DFP Briefing)

Dr Farry returned to the meeting at 11.41am.

The Committee took evidence from the following DFP officials: Brian McClure, Head of Rating Policy Division, DFP; Gerald Coulter, Building Standards Branch, Properties Division, DFP and Keith Barker, Rating Policy Division, DFP.

Agreed: that the witnesses will provide further information as requested by the Committee during the evidence session.

The Committee considered the following proposals from DFP for subordinate legislation:

The draft Rate Relief (Energy Efficiency Homes Scheme) Regulations (NI) 2010;
The draft Rate Relief (Low-Carbon Homes Scheme) Regulations (NI) 2010;
The draft Non-Domestic Rating (Unoccupied Hereditaments) (Amendment) Regulations (NI) 2010; and
The drafts Rates (Payment of Interest) (Amendment) Regulations (NI) 2010.

Agreed: that the Committee is content with the policy implications of each of the proposals for subordinate legislation at this stage.

Mr O’Loan left the meeting at 11.53am.
Mr McQuillan returned to the meeting at 11.54am.

14. Equality & Diversity Plan (DFP Briefing)

The Committee took evidence from the following DFP officials: John McKervill, Head of Resourcing Division, Corporate HR, DFP and Carolyn Booth, Equality and Diversity Branch, Corporate HR, DFP