NZ Transport Agency operating budget – 2008/09

Applicant

NZ Transport Agency

Purpose

To seek the Board’s approval of the NZ Transport Agency’s annual operating expenditure budget for the funding of NZ Transport Agency’s business activities from the National Land Transport Fund for the financial year 1 July 2008 to 30 June 2009.

Date of decision

01 August 2008

Resolutions

1. notes the NZ Transport Agency 2008/09 operating expenditure budget represents the combined budgets for Land Transport NZ and Transit NZ and these were individually reviewed and endorsed by the respective Boards of those organisations prior to 30 June 2008;
2. notes that the proposed budget excluding amalgamation costs has been presented to the NZ Transport Agency Establishment Board;
3. notes that PricewaterhouseCoopers has prepared an estimate of 2008/09 amalgamation costs of $[amount withheld] that have not been included in the predecessor organisation's budgets;
4. approves a provisional operating expenditure budget for 2008/2009 of $[amount withheld];
5. requests the Chief Executive to develop funding strategies for the 2008/09 operating budget (including amalgamation costs) and to report back to the Board in September 2008;
6. requests the Chief Executive to develop strategies for future years that address gaining cost efficiencies in the operating budget;
7. agrees that the report for the year ended 30 June 2009, incorporating the first month of activity of Land Transport NZ and Transit NZ, will reflect twelve months of operations of the New Zealand Transport Agency; and
8. agrees to keep Board paper 08/07/0003 In Committee until the New Zealand Transport Agency Board has approved the final operating expenditure budget for 2008/09

Reason for the decision

The approval of the NZ Transport Agency's annual operating expenditure budget is necessary to enable the NZ Transport Agency to achieve its objective and to undertake its functions under the Land Transport Management Act 2003 and in accordance with the Government's vision and objectives for the transport system, as set out in the New Zealand Transport Strategy 2008.

The matters in section 20(2) and 20(5) of the LTMA have been satisfied, and the matters in section 20(3) have been taken into account.

If you would like details of the assessment of the activities for this matter, please email us at boardsecretariat@nzta.govt.nz.

Information withheld

The dollar values in Resolutions (c) and (d) above have been withheld in accordance with section 20D(3) of the Land Transport Management Act 2003, and pursuant to section 9(2)(j) of the Official Information Act 1982 to enable the NZ Transport Agency to carry on negotiations with the Ministry of Transport. This information will be contained in the NZ Transport Agency’s Statement of Intent, which is likely to be published by the end of October 2008, in accordance with the process set out in the Crown Entities Act 2004.