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OIA 20190799
Information for Release
1.
Briefing for Cabinet Economic Development Committee 24 07 2019 11 00 AM
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Treasury Report: Briefing for Cabinet Economic Development Committee
24 July 2019
Date:
19 July 2019
Report No:
T2019/2167
File Number:
MS-5-3-DEV
Action Sought
D
Action Sought
Deadline
Minister of Finance
Read prior to Cabinet Economic
11:00 AM, Wednesday,
Development Committee meeting
24 July 2019
(Hon Grant Robertson)
Associate Minister of Finance
Read prior to Cabinet Economic
11:00 AM, Wednesday,
Development Committee meeting
24 July 2019
(Hon Dr David Clark)
Associate Minister of Finance
Read prior to Cabinet Economic
11:00 AM, Wednesday,
Development Committee meeting
24 July 2019
(Hon David Parker)
Associate Minister of Finance
Read prior to Cabinet Economic
11:00 AM, Wednesday,
Development Committee meeting
24 July 2019
(Hon Shane Jones)
Associate Minister of Finance
Read prior to Cabinet Economic
11:00 AM, Wednesday,
Development Committee meeting
24 July 2019
(Hon James Shaw)
Contact for Telephone Discussion (if required)
Name
Position
Telephone
1st Contact
s9(2)(g)(i)
Graduate Analyst, Economic
s9(2)(k)
n/a
Strategy and Productivity
(mob)
Andrew Rutledge
Manager, Economic Strategy
n/a
and Productivity
(mob)
Actions for the Minister’s Office Staff (if required)
Return the signed report to Treasury.
Note any
feedback on
the quality of
the report
Enclosure:
No
Treasury:4137433v1
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Treasury Report: Briefing for Cabinet Economic Development
Committee 24 July 2019
Executive Summary
The Treasury is aware of 9 items on the Cabinet Economic Development Committee agenda
including 2 Oral items for Wednesday 24 July 2019. The table below provides Treasury
comment and recommendations on key items, and identifies any relevant fiscal impacts.
Comments
Fiscal implications
Treasury Recommendation
Deleted - Not Relevant to Request
Research, science and innovation reprioritisation package
Treasury contact: Lauren Hol oway
Description: This paper proposes a reprioritisation package in the Research, Science and Innovation
portfolio, whereby a range of new initiatives wil be funded by projected and current underspends across
the portfolio.
This paper seeks to better
This paper proposes a series
Support
allocate Research, Science
of transfers across
and Innovation funding and is
Research, Science and
Raise the following
aligned with the Government’s
Innovation, Economic
recommendation:
priorities.
Development and Transport
Agree that the remaining
appropriations that are
funding in the Research and
MBIE’s latest forecast for the
fiscally neutral over the
Development Growth Grants
Research and Development
forecast period.
appropriation from the
Tax Incentive is higher than it
FY23/24 and onwards
was at Budget 2019 – this will
(referenced in para 12 of
be reflected at the Half Year
Annex One) be returned and
Economic and Fiscal Update
any new initiatives be
(as it is a Benefit or Related
considered through the
Expense). This means that,
Budget process.
while the changes proposed in
the paper are fiscally neutral,
total expected spending is now
$9.000 million more than was
forecast at Budget 2019.
This paper proposes that the
Growth Grants appropriation
will fund the 2.5% rate change
of the Tax Incentive, and that
Minister Woods will make a
decision at a later date on how
the remaining unspent funding
from FY23/24 onwards could
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Comments
Fiscal implications
Treasury Recommendation
be reprioritised across the
Research, Science and
Innovation portfolio. However,
we recommend that the
remaining balance be returned
to the centre and new
initiatives come through the
Budget process.
Deleted - Not Relevant to Request
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Deleted - Not Relevant to Request
Briefing for Cabinet Economic Development Committee 11:00 AM, Wednesday 24 July 2019
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Recommended Action
We recommend that you
read this report prior to the Cabinet Economic Development
Committee meeting at 11:00 AM on Wednesday, 24 July 2019.
Andrew Rutledge
Manager, Economic Strategy and Productivity
Hon Grant Robertson
Minister of Finance
Briefing for Cabinet Economic Development Committee 11:00 AM, Wednesday 24 July 2019
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Document Outline
