Appendix 3: Summary of types of ministerial expenditure and relevant rules
How the Department of Internal Affairs manages spending that could give personal benefit to Ministers.
| Scope/restrictions | Source of authority | Vote | Comment |
|---|---|---|---|
| Type of expenditure: International travel | |||
| For ministerial purposes: Minister, spouse, staff | |||
| For any ministerial business if approved by the PM and by Cabinet. May be accompanied by those authorised in the trip approval (including spouse and officials). Approval covers all costs of travel. |
Executive Determination paragraph 3.2 | Ministerial Services | Informal but public expectation that spouses will be paid for personally at present (from PM, as a response to the recession). |
| For parliamentary purposes: MP (Minister) and spouse | |||
| For any parliamentary purpose if approved by party leader and the Speaker. Spouse only needs approval of the Speaker. Covers travel and accommodation costs, but not expenses. |
Parliamentary Determination, paragraph 3.10 and 3.11 | Parliamentary Service, leadership funding allocation | |
| For private purposes: Minister and spouse | |||
| Entitled to a rebate of a percentage of the airfare. Size of rebate depends on time served as an MP. Does not include accommodation or expenses. Spousal travel cannot be for private business purposes. |
Parliamentary Determination, paragraph 3.13 | Parliamentary Service | |
| Type of expenditure: Domestic travel | |||
| Airfares: Minister | |||
| Full domestic air travel, with no restriction on purpose of travel (i.e. ministerial, parliamentary, personal). | Parliamentary Determination, paragraph 3.7 | Ministerial Services while a Minister | Implicit limit that not to be used for private business purposes. This is explicit for spouses. |
| Airfares: spouse | |||
| Full domestic air travel, but not if the travel is for private business purposes. | Parliamentary Determination, paragraph 3.8 | Parliamentary Service | |
| Rail, road, and ferries | |||
| A member and spouse can travel by rail, ferry (including a car), and non-urban bus throughout NZ. No limit on purpose. Does not include travel by children. |
Parliamentary Determination, paragraph 3.20 | Ministerial Services while a Minister Parliamentary Service for a spouse |
|
| Travel by children under 18 | |||
| Children of an MP may make up to four return trips between the
primary place of residence and Wellington to be with the MP when on
parliamentary business. There is no limit on the number of trips for a child under 5. The Speaker may approve travel elsewhere for a child if it costs the same or less than travel between Wellington and the primary place of residence. |
Parliamentary Determination, paragraph 3.28 | Parliamentary Service | It is implicit that for a child under 5 the travel must also be between the primary place of residence and Wellington, unless the Speaker approves other travel. |
| Domestic travel: expenses (accommodation, meals, and incidental expenses) | |||
| Travel must be for parliamentary or ministerial business, that
takes the Minister away from Wellington and more than 80km from the
primary place of residence. Covers actual and reasonable costs up to a daily maximum for all expenses including accommodation. Daily limit is $350 for Minister alone. Limit rises to $500 if the travel involves attending an official function and it is necessary for the spouse to attend. |
Executive Determination, paragraph 3.3 | Ministerial Services | |
| Type of expenditure: General expenses | |||
| Incidental expenses as an MP | |||
| All MPs get an allowance of $14,800 to reimburse them for
"expenses that arise from the recipient's official and parliamentary
duties" that are not covered elsewhere. It cannot be used for things
covered by the Executive Determination. Explanatory note says it is intended to cover out-of-pocket expenses from parliamentary business, such as entertainment, koha, donations and raffle tickets, flowers, luggage. |
Remuneration Authority Determination, clause 6 and explanatory note | Parliamentary Service | |
| Operational activities as an MP | |||
| Each MP receives an annual allocation of funding to provide
services and resources to help them discharge their responsibilities as
legislators and elected representatives, to research and develop policy,
to communicate with constituents, and to meet operational needs. Funding must be used for a parliamentary purpose. It cannot be used for ministerial business, or for anything that is already provided for through the Remuneration Authority Determination or the Executive Determination. |
Parliamentary Determination, paragraph 4.12 | Parliamentary Service | |
| General expenses as a Minister | |||
| Operational resources are provided to assist Ministers to carry
out ministerial business, including operating a ministerial office. Operational resources cannot be used for personal or private benefit, electioneering, or for work directly related to running a political party. Also cannot be used if the cost is already covered by the Remuneration Authority Determination or another part of the Executive Determination. |
Executive Determination, paragraphs 7.3 and 7.4, and schedule 2 | Ministerial Services | The list of incidental expenses covered overlaps with the list in the Remuneration Authority Determination. It should be interpreted as covering additional costs arising as a Minister, as the general costs from being an MP are already covered by the allowance. |
Sources: Parliamentary Service Act 2000. Civil List Act 1979.
Parliamentary Salaries and Allowances Determination 2009 (the Remuneration Authority Determination) – made under section 16 of Civil List Act.
Executive Travel, Accommodation, Attendance and Communications Services Determination (No 2) 2009 (the Executive Determination) – made under section 20A of the Civil List Act.
Directions and Specifications for Services and Funding Entitlements
for the House of Representatives, its Members, Former Members, and
Certain Electoral Candidates 2008 (the Parliamentary Determination) – made under section 20A of the Civil List Act and the Parliamentary Service Act.
Appropriations (Vote Ministerial Services and Vote Parliamentary Service).