nsw premier government cabinet reference: dpc14/02802 · & cabinet mr david blunt clerk of the...

NSW GOVERNMENT

Premier & Cabinet

Mr David Blunt Clerk of the Parliaments Legislative Council Parliament House Macquarie Street Sydney NSW 2000

Dear Mr Blunt

Order for Papers- 2014-2015 Budget Finances

Reference: DPC14/02802

- 9 JUL 2014

I refer to the resolution of the Legislative Council under Standing Order 52 made on 18 June 2014, concerning the 2014-2015 Budget finances.

I am now delivering to you documents referred to in that resolution. The documents have been obtained from the:

• Office of the Treasurer

• Office of the Minister for Finance and Services

• Office of the Premier

• NSW Treasury, and

• Office of Finance and Services.

Enclosed at Annexure A are certification letters from the following officers certifying that, to the best of their knowledge, all documents held and covered by the terms of the resolution have been provided:

• Chief of Staff, Office of the Treasurer

• Chief of Staff, Office of the Minister for Finance and Services

• Chief of Staff, Office of the Premier

• Secretary, NSW Treasury, and

• Acting Chief Executive, Office of Finance and Services

I can also certify that to the best of my knowledge the Department of Premier and Cabinet holds no documents covered by the terms of the resolution . In making this certification , I note that, consistent with past practice, the Department has assumed that the resolution is seeking production of documents that relate to the overall State budget finances for 2014-2015 and not to documents prepared primarily for the purpose of developing internal Premier and Cabinet cluster agency budgets. I note also that Cabinet documents are not produced in response to resolutions under Standing Order 52.

Governor Macquarie Tower, 1 Farrer Place, Sydney NSW 2000 • GPO Box 5341 Sydney NSW 2001 Tel: (02) 9228 5555 • www.dpc.nsw.gov.au

2

Whilst I note paragraph (i) of the resolution, in accordance with legal advice from the Solicitor General dated 9 April 2014 the Department is returning documents that were in existence at the date the resolution was passed.

Enclosed at Annexure B are indexes of all non-privileged documents that have been provided in response to the resolution.

In accordance with Item 5(a) of Standing Order 52, those documents for which a claim for privilege has been made have been separately indexed and the case for privilege has been noted. Enclosed at Annexure C is an index of all privileged documents and a submission in support of the case for privilege.

I note that submissions in support of a claim of privilege may sometimes reveal information that is privileged. To the extent that they do, such submissions should be considered to be subject to the same confidentiality as the documents over which the privilege claim is made.

Should you require any clarification or further assistance, please contact Ms Rachel McCallum, Deputy General Counsel on telephone (02) 9228 5546.

Yours sincerely

[JU aul Mill r

Acting Secretary

Office of the Hon. Andrew Constance MP A NSW Treasurer

GOVERNMENT Minister for Industrial Relations

8 July 2014

Ms Rachel McCallum Deputy General Counsel Department of Premier and Cabinet Level 37 Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000

Dear Ms McCallum

I certify to the best of my knowledge all documents held by the Treasurer and Minister for Industrial Relations and covered by the terms of resolution have been provided.

Bloxsom Deputy Chief of Staff

Govemor Macquarie Tower, 1 Farrer Place, Sydney 2000. Switchboard: (612) 9228 4567 Facsimile: (612) 9221 7029

NSW GOVERNMENT

The Hon Dominic Perrottet MP Minister for Finance and Services

Ms Karen Smith Deputy General Counsel Department of Premier and Cabinet Level 37 Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000

Dear Ms Smith

I certify to the best of my knowledge all documents held by the Minister for Finance and Services covered by the terms of resolution have been provided.

Best regards

Steve Joseph Chief of Staff

Level 36. Governor Macquarie Tower. 1 Farrer Place, Sydney NSW 2000

Phone: (61 2) 9228 5287 Fax: (61 2) 9228 5899

Ms Rachel McCallum Deputy General Counsel Department of Premier and Cabinet Level 37, Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000

By hand

Dear Ms McCallum

Standing Order 52- Order for Papers- 2014-2015 Budget Finances

I refer to Mr Paul Miller's letter to me of 23 June 2014 in relation to the 2014-2015 Budget Finances.

I certify to the best of my knowledge that all documents held by the Office of the Premier and covered by the terms of the resolution are set out in the annexure and provided with this letter.

Please contact Tom Payten of this office on 9228 5239 if you have any questions in relation to this matter.

Yours sincerely

~WJK Bay Warburton Chief of Staff

GPO Box 5341, Sydney NSW 2001 • P: (02) 9228 5239 • F: (02) 9228 3935 • www.premier.nsw.gov.au

NSW GOVERNMENT

The Treasury

Ms Rachel McCallum Deputy General Counsel Department of Premier and Cabinet Level37, Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000

Dear Ms McCallum

Contact Sean Darragh Telephone: (02) 9228 4611

Standing Order 52- Order for Papers- 2014-15 Budget Finances

I refer to the Legislative Council's Standing Order 52 passed on 18 June 2014, calling for the tabling of all documents relating to the 2014-15 Budget Finances.

The required documents together with a schedule of those documents are attached.

NSW Treasury has interpreted item (e) as seeking the production of documents identifying or qualifying risks and contingent liabilities that directly impact [underpin] the estimates contained in the 2013/14 to 2017/18 Budget financial statements.

NSW Treasury is the central agency responsible for the co-ordination of the Budget process on behalf of the Expenditure Review Committee (ERC) of Cabinet. As you would appreciate, the Budget process is undertaken by NSW Treasury under a mandate from the ERC of Cabinet. I note that an agency is not permitted to produce or refer to Cabinet documents in response to the resolution.

As you will note a claim of privilege is proposed regarding a number of documents. Privilege is sought to preclude public disclosure on the grounds of public interest immunity. A submission to support the claim of privilege has been prepared and is enclosed.

I certify to the best of my knowledge that all documents held by NSW Treasury and covered by the terms of the resolution, have been provided.

Yours sincerely

Caralee Mcliesh Acting Secretary

D 8 .lUL 2014

Governor Macquarie Tower, 1 Farrer Place, Sydney 2000. Switchboard: (61 2) 9228 4567 Facsimile: (61 2) 9221 7029

Finance GOVERNMENT & Services

Ref: DG14/352

Ms Rachel McCallum Deputy General Counsel Department of Premier and Cabinet Level37 Governor Macquarie Tower 1 Farrer Place SYDNEY NSW 2000

DearMf~:;r

McKell Building 2-24 Rawson Place

Sydney NSW 2000

Tel 02 9372 8877 Fax 02 9372 7070

TTY 1300 301181 ABN 81 913 830 179

www.finance.nsw.gov.au

I refer to the resolution of the Legislative Council passed on 18 June 2014 ordering papers relating to the 2014-2015 budget finances.

In accordance with the resolution, a schedule detailing the relevant papers held by the Office of Finance and Services is attached.

Accordingly, I certify to the best of my knowledge all documents held by the Office of Finance and Services and covered by the terms of the resolution have been provided.

If you require further information, please contact Mr Richard Weiley on 9372 7269 or at [email protected] ·

Yours sincerely

OFFICE OF THE TREASURER

Standing Order 52 - Order for Papers- 2014-2015 Budget Finances Document No. Item Document Date of Creation Author Privilege Claim YIN Item (A) 1 Any document Email from Joshua 07/05/2014 Joshua Shrubb No

detailing recurrent Shrubb to Danielle and capital estimates Brown. Cc: Brendan at agency level for Gaudry, Dimitrios the financial years Deligiannis & Ryan 2013-2014 revised to Bloxsom re: new 2016-2017 inclusive; Police Policy and printouts provided projects from Treasury's financial information system should only be the version consistent with the 2014-2015 State Bu<met

Item (A) 2 Any document Email from Joshua 12/06/2014 Joshua Hatten No detailing recurrent Hatten to Ryan and capital estimates Bloxsom at agency level for the financial years 2013-2014 revised to 2016-2017 inclusive; printouts provided from Treasury's financial information system should only be the version consistent with the 2014-2015 State Bud_g_et

t70 Item (B) Any document

I identifying


unallocated funds or contingencies within those forward estimates; printouts provided from Treasury's Financial Information System should only be the version consistent with the 2014-2015 State Budaet,

Item {C) All estimates relating to the projects included in the state infrastructure Strategy, Metropolitan Strategy arid the State Plan 2021

Item {D) Any document showing economic and other assumptions underpinning the estimates for the financial years 2014-2015 (revised) to 2017-2018 inclusive.

Item {E) Any document indetifying or qualifying risks and contingent liabilities that might impact the financial years 2014-2015 I revised) to

4


2017-2018 inclusive. Item (F) Any document that

relates to the State's future financial position as revealed in the estimates.

Item (G) 1 Any documents Forecasts- State Undated Information not No pertaining to 2013- Owned Corporations available 2014 actual budget performance not requested anywhere else in this motion

Item (H) All documents pertaining to revenue estimates 2014-2015 to 2017-2018 inclusive

Item (1)1 Any document which Email from Ryan 3 July 2014 Ryan Bloxsom No records or refers to Bloxsom to Andrew the production of Constance; Barbara documents as a Williams; Chris Muir; result of this order of Danielle Brown; the House. Dominic Cuschieri;

Jacinta Ching; Jason Falinski; Josh Murphy; Louise Peacock; Neil Ackland; Sharna Southwell. Re: Standing Order 52-2014-15 Budget

Item (1)2 Any document which Email from Ryan 4 July 2014 Ryan Bloxsom No records or refers to Bloxsom to Andrew the production of Constance; Barbara documents as a Williams; Chris Muir;

5


result of this order of Danielle Brown; the House. Dominic Cuschieri;

Jacinta Ching; Jason Falinski; Josh Murphy; Louise Peacock; Neil Ackland; Sharna Southwell, Re: S052- 2014-15 Budget

Item (1)3 Any document which Email from Chris Muir 3 July 2014 Chris Muir No records or refers to to Ryan Bloxsom. Re: the production of SO 52 re budget documents as a result of this order of the House.

Item (1)4 Any document which Email from Louise 3 July 2014 Louise Peacock No records or refers to Peacock to Ryan the production of Bloxsom. Re: documents as a Standing Order 52-result of this order of 2014-15 Budget the House.

Item (1)5 Any document which Email from Jason 3 July 2014 Jason Falinski No records or refers to Falinski to Ryan the production of Bloxsom. Re: documents as a Standing Order 52-result of this order of 2014-15 Budget the House.

Item (1)6 Any document which Email from Jason 4 July 2014 Jason Falinski No records or refers to Falinski to Ryan the production of Bloxsom. Re: SO 52-documents as a Further note result of this order of the House.

Item (1)7 Any document which Email from Jacinta 3 July 2014 Jacinta Ching No

6


records or refers to Ching to Ryan the production of Bloxsom. Re: documents as a Standing Order 52-result of this order of 2014-15 Budget the House.

Item (1)8 Any document which Email from Barbara 4 July 2014 Barbara Williams No records or refers to Williams to Ryan the production of Bloxsom. Re: SO 52-documents as a Further note result of this order of the House.

Item (1)9 Any document which Email from Dominic 7 July 2014 Dominic Cuschieri No records or refers to Cuschieri to Ryan the production of Bloxsom. Re: SO 52-documents as a Further note result of this order of the House.

Item (1)10 Any document which Email from Dominic 7 July 2014 Dominic Cuschieri No records or refers to Cuschieri to Ryan the production of Bloxsom.Re: documents as a Standing Order 52-result of this order of 2014-15 Budget the House.

Item (1)11 Any document which Email from Sharna 7 July 2014 Sharna Southwell No records or refers to Southwell to Ryan the production of Bloxsom. Re: SO 52-documents as a Further note result of this order of the House.

Item (1)12 Any document which Email from Sharna 4 July 2014 Sharna Southwell No records or refers to Southwell to Ryan the production of Bloxsom. Re: documents as a Standing Order 52-result of this order of 2014-15 Budget the House.

7


Item (1)13 Any document which Email from Danielle 7 July 2014 Danielle Brown No records or refers to Brown to Ryan the production of Bloxsom. Re: documents as a Standing Order 52-result of this order of 2014-15 Budget the House. -- - --- - --- --- - -

8

OFFICE OF THE MINISTER FOR FINANCE AND SERVICES

ORDER FOR PAPERS- 2014-15 BUDGET FINANCES

Document Item Document Date of Author Privilege no. Creation Claim Item 1 (a)(1) Any document OFS May 2014 Sajeev N

detailing Budget George recurrent and capital estimates at agency level for the financial years 2013-14 (revised) to 2016-17 includisve; printouts provided from Treasury's Financial Information System should only be the version consistent with the 2014-15 State Budget.

Annexure- Standing Order 52- Order for Papers- 2014-2015 Budget Finances Offtc:.rS OF THr'!:- ('/f:C711t6<_

Document Item Document Date of creation Author Privilege No. Claim

Y/N? (g)1 Any documents pertaining to 2013-2014 actual budget Email from Rachael Storey to 17 June 2014 Rachael Storey, No

performance not requested elsewhere in this motion. Melissa Jaros 'lllawarra Senior Media $100m' Advisor, Office

of the Premier (h)1 All documents pertaining to revenue estimates 2014- 'Federal Budget impacts on Undated Unknown No

2015 to 2017-2018 inclusive. NSW' -·-- --·

2

NSW TREASURY I

LEGISLATIVE COUNCIL. STANDING ORDER 52

2014/15 BUDGET FINANCES

Date produced: 07 July 2014

Schedule 1: Non-privileged

Volume litem I ~ocument I Document ~~ate of I Author ~~rivllege Claim number creation YIN?

(a) any document detailing recurrent and capital estimates at agency level for the financial years 2013-2014 (revised) to 2016-2017 inclusive; printouts provided from Treasury's Financial Information System should only be the version consistent with the 2014-2015 State budge~

1.1 I [a) I 1 12013-14 Budgeted Forward Estimates Detailed Report I

Volume 2: Sche.dule 1

16.06.14 INSWTreasury I N

II,, .. i''

tl Ll I' •' t: ;.

~· [,' ~:· '[ L \i ll t. f]

NSW TREASURY

LEGISLATIVE COUNCIL- STANDING ORDER 52




Volume Item Document Document Date of Author Privilege Claim number creation YIN?

(c) any document showing economic and other assumptions underpinning the estimates for the financial years 2014-2015 to 2017-2018 inclusive,

2.1 (d) 1 2014-15 Budget Economic Forecast Update Tsy Internal Briefing.pdf 05-Jun-14 NSW Treasury N

2.1 (d) 2 MEP FrontPage- 5 June 2014.pdf 05-Jun-14 NSW Treasury N

2.1 (d) 3 MEPtab- 5 June.xls 05-Jun-14 NSW Treasury N

2.1 (d) 4 Interest Rate Forecast 14-15 Budget-may Revis"1on.xlsx 22-May-14 NSW Treasury N

2.1 (d) 5 Briefing Note on Interest Rate Forecasts for the 2014-15 Budget 07-Apr-14 NSW Treasury N

2.1 (d) 6 Email and attachment 10yr CGS forecasts 08-Apr-14 NSW Treasury N

2.1 (d) 7 Interest Rate Forecasts for TCorp.xlsx 22-Apr-14 NSW Treasury N

2.1 (d) 8 Email Bond Rate Forecasts 21-May-14 NSW Treasury N

2.1 (d) 9 Email and attachment 10yr CGS forecasts 14-15 Budget May Revision 22-May-14 NSW Treasury N

2.1 (d) 10 Email and attachment Interest Rate Forecasts for Tcorp May revision 22-May-14 NSW Treasury N

2.2 (d) 11 fcst14G 2014-15 Budget dnd.xlsm 05-Jun-14 NSW Treasury N

~~- (d) 11 fcst14G 2014-15 Budget dnd.xlsm 05-Jun-14 NSW Treasury N

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113-14 Budget to 2014-15 Budget dnd.xlsx

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6 FW: Coal info for Sam Kursar.

iFW: 2014-15 NSW Rnrlt:rt>t-

Tax May 2014 JW dnd.xls

~nts: Forecast coal 3 (copy of e-mail)

s (copy' ,rcoal

8 FW: 14-03-03 Broker Coal I ( py ,f e-mail)

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NSW TREASURY





Volume Item Document Document Date of Author Privilege Claim number creation Y/N?

(1) any document which records or refers to the production of documents as a result of this order of the House.

4 i 1 Standing Order 52 notification email 23-Jun-14 NSW Treasury N

4 I 2 Order for Papers- Standing Order 52- 2014-15 Budget Finances 23-Jun-14 DPC N

4 i 3 Email Received stamped copy of Order for Papers- Standing Order 52- 2014-15 Budget Finances

23-Jun-14 DPC N

4 i 4 Standing Order 52 Report 07-Jul-14 NSW Treasury N

4 i 5 Standing Order 52 Certifications of Document Serach ------02-Jul-14 N~W Treasury ---------- ~ ... ~ . N

·,

! :

'i '·

I''.

OFFICE OF FINANCE & SERVICES

STANDING ORDER 52- ORDER FOR PAPERS- 2014-2015 BUDGET FINANCES LEGISLATIVE COUNCIL MOTION TO PRODUCE ALL DOCUMENTS

NON PRIVILEGED Documents provided under Standing Order 52 of Legislative Council

'"'· "N"ii''''''~"' ,,,,,,, '·itl1ii'doc1lmltie' . ·.· .. •\'1' q;J~.;,,;.:);.:j~: ~f~~; ···· ··· " .:·;:.·; · • ~;: ''' lt·v·f'''•····.·· ,. • "'N "~,.. · t''\!;'~l"::f~·~~'ill~j!•:(':f:',)!)··:;'B·i"''•''''t:·;~;, ;'<'il;~~:· .,, ?·~, i:'L ,,•:: .. ) .. · .. ,• .:, · . c_ '·''2·'."'', · ~:';•,,w~:1(i':l;!~f'•.·:~·if:/~~'j.f':~ Item (i) 1 Production document Letter of notice from Department of Premier and 23/06/2014 P Miller NO 1

Cabinet.

Item (i) 2 Production document Agency Advice 24/6/2014, M Lindsay NO 1 4/07/2014

Item (i) 3 Production document Briefing note, Chief Executive's letter to 07/07/2014 J Hubby, S George, M NO 1 Department of Premier and Cabinet, schedule of Dodwell, C Dreis documents

Item (a) 4 Budget Report Forward estimates reports- Treasury Online 04/06/2014 S George NO 1 Entry System and Capital Treasury Online Entry System

Item (a) 5 Budget Report Budget Papers 3 and 4 18/06/2014 NO 1

Item (a) 6 Budget Report Dividend and Income Tax Equivalent Forward May 2014 S George. NO 1 Estimates

Item (a) 7 Budget Report Loan Council Return 2014-15 Budget Review 12/05/2014 S George NO 1

Item (a) 8 Budget Report Tax Expenditures and Concessions Statement 12/05/2014 S George NO 1

End

Page 1 of 1

2

SUBMISSION IN SUPPORT OF CLAIMS FOR PRIVILEGE BY THE NSW TREASURYDOCUMENTS RELATING TO THE NSW LEGISLATIVE COUNCIL RESOLUTION OF

18 JUNE 2014

It is submitted that the documents listed in the indices to the enclosed folders of documents provided pursuant to NSW Legislative Council Resolution of 18 June 2014, and to which a claim of privilege applies, should not be made public.

Public Interest Immunity

Public interest immunity pursuant to both common law doctrines and statutory regimes recognises that it would be against the public interest for certain documents or information to be made public. This involves balancing the public interest in non-disclosure against the requirements of disclosure in the light of governmental accountabi lity. In the context of the NSW Government's energy transactions program, public interest immunity is claimed where the public interest in non-disclosure relates to information that would, if released, affect transaction and compensation negotiations that are currently on foot. Disclosure of the information contained within these documents would affect the orderly sale of assets and the maximisation of value from the sale of State assets.

Public Interest Immunity Privilege (Commercial-in-Confidence)

Commercial-in-confidence is a sub-set of public interest immunity. Public interest immunity pursuant to both common law doctrines and statutory regimes recognises that it would be against the public interest for certain documents or information to be made public. This involves balancing the public interest in non-disclosure against the requirements of disclosure in the light of governmental accountability.

Commercial-in-confidence privilege is claimed for those documents as indicated in the indexes as their disclosure is outweighed by a competing public interest in their remaining confidential to Government.

In relation to commercially sensitive price and/or volume information provided to NSW Treasury from coal terminals , ports and brokers, disclosure of this confidential information would prejudice the future supply of confidential information to NSW Treasury. In addition, some pricing information has commercial value which genuine arms-length buyers are prepared to pay brokers to obtain.

Coal terminals and ports would be less likely to provide this information to NSW Treasury if there were not some assurance of confidentiality. Disclosure of this commercial-inconfidence information could reasonably be expected to impede the free flow of commercially sensitive information to Government. The cessation of this confidential information flow to NSW Treasury could diminish the accuracy of Treasury's forecasts thus impacting on the effective exercise of Treasury's functions , including the proper management of the Budget.

The export coal price data used in the 2014-15 Budget forecasts is based on broker data provided to NSW Treasury which is commercially sensitive information. NSW Treasury purchased data from Consensus Economics to derive the price forecasts for thermal coal

c

3

and releasing this would disclose commercially sensitive information that would have a detrimental impact on the business affairs of these brokers, who have invested considerable time and resources into collecting, managing and preparing this information for a commercial return. The information is commercially valuable to the brokers and disclosure would diminish the competitive commercial value of the information.

NSW Treasury produces these documents to the Legislative Council under compulsion of law and is not waiving privilege in respect of any of the privileged documents by producing them.

NSW TREASURY



7-Jul-14

Schedule 2: Privileged

Volume Item Document Document Date of creation Author Privilege Claim number V/N?

(h) all documents pertaining to revenue estimates 2014-2015 to 2017~2018 inclusive,

3.5 (h) 1 ALL FOR SUMMARY\2014-15\Round 4_May 14\Forecast notes 2014-15 Budgetfinal_dnd.docx 12-Jun-14 NSW Treasury y

3.5 (h) 2 FW: Coal info for Sam Kursar, Attachments: Forecast coal exports.PNG (copy of e-mail) 21-Jan-14 NSW Treasury y

3.5 (h) 3 FW: 2014-15 NSW Budget- request for coal volume forecasts (copy of e-mail) 08-Apr-14 NSW Treasury y

3.5 (h) 4 FW: 14.03-03 Broker Coal Forecasts dnd.xlsx (copy of e-mail) 06-Mar-14 NSW Treasury y

3.5 _{111_ 5 Mineral Royalties Forecast 2014-15 Budget final dnd.xlsx 12-Jun-14 NSW Treasury y