GENERAL PURPOSE STANDING COMMITTEE NO. 1
Page: 10895
Report: The Need for a Mini-budget
Reverend the Hon. Fred Nile, as Chair, tabled report No. 32, entitled "The Need for a Mini-budget", dated October 2008, together with the transcript of evidence, tabled document and correspondence.
Report ordered to be printed on motion by Reverend the Hon. Fred Nile.
Reverend the Hon. FRED NILE [3.15 p.m.]: I move:
That the House take note of the report.
As members know, on 29 August 2008 the former Premier, the Hon. Morris Iemma, announced that a mini-budget would be delivered within 10 weeks in order to reflect the changed fiscal outlook for the State, and the Treasurer, the Hon. Eric Roozendaal, has since announced that the mini-budget will be handed down on 11 November 2008. On 24 September 2008 General Purpose Standing Committee No. 1 resolved to adopt the terms of reference pursuant to its power to self-reference. The terms of the reference required the committee to examine the need for a mini-budget and report to the House by 30 October, prior to the handing down of the mini-budget. The Committee had one public hearing in Parliament House on 9 October 2008. The main witness was the Secretary of New South Wales Treasury, Mr John Pierce. He explained to the committee that the need to deliver a special mini-budget was motivated by three related issues: first, the lack of parliamentary approval for the Government's electricity reform package; second, emerging risks to budget operation results due to pressure on revenues and expenses; and, third, Standard and Poor's downgrading of the State's credit rating from stable to negative following the blocking of the electricity reform package.
The committee examined these issues in detail during questions by committee members to the secretary. I wish to draw the attention of the House to the committee's power to order documents. During the hearing on 9 October 2008 a member of the committee requested that Mr Pierce provide the committee with a copy of the briefing note to the former Treasurer regarding interest rate calculations. Mr Pierce undertook to advise the committee whether he would provide the briefing note at his next appearance before the committee on Tuesday 14 October 2008, when he was to give evidence at an inquiry into the 2008-09 budget estimates. When I asked, as chair of the committee, during budget estimates whether he would provide the committee with a briefing note, Mr Pierce responded:
I am advised that the Crown Solicitor has advised that the Committee does not have the power to order the production of documents. If necessary, that should be dealt with by the whole House under Standing Order 52. If the Committee wishes to progress this request, I ask that the Committee refer the matter to the House.
The committee decided not to make an order for the document at the hearing on 9 October. The status of that request was simply that of an individual member of the committee requesting that the witness provide the document voluntarily. However, with respect, the committee does not support the interpretation of its powers as provided by the Crown Solicitor. The committee acknowledges that there is a difference in view between the Executive and the Legislative Council as to the power of its committees to order the production of documents. In this case the committee has chosen not to pursue the matter further, although it has the power should it wish to do so.
Debate adjourned on motion by Reverend the Hon. Fred Nile and set down as an order of the day for a future day.