New legislation ?makes mockery of Budget?
New legislation allowing Ministers to shift money to different projects in a Ministry without informing Parliament make a mockery of the Budget, the Opposition claimed yesterday.
Previously, according to United Bermuda Party leader Grant Gibbons, money could only be moved about within a particular head of a Ministry, such as Corrections.
Now, following a bill passed on Wednesday, a Minister, Permanent Secretary of head of department, can transfer money within department heads which are all part of one ministry.
This means, according to Dr. Gibbons, that money allocated within Labour and Training could be switched to the Department of Corrections ? which are both in Labour and Home Affairs ? without the House of Assembly being informed.
The new powers come after MPs passed legislation on Wednesday to set up a reserve fund for the $11 million left by the United States ? which had responsibility for Longbird Bridge ? to Bermuda as part of the deal when it gave up its military bases.
?The reason why this is important is that it makes a mockery out of the whole Budget process,? Dr. Gibbons told last night.
?It means that the two or three weeks we spent discussing the Budget will be meaningless because after we have spent all this time talking about how the money will be allocated in an individual head, the Minister can now a few weeks later arbitrarily decide to shift the money to another head within the Ministry.
?This can be done without coming back to the House for approval or even disclosing that it has been done.
?It gives a great deal of power to the Minister or Permanent Secretary to move money around after we?ve had a Budget discussion.
?For example, at Corrections where they they often have a lot of overtime, money could be moved arbitrarily from Labour and Training.
?We have enough trouble getting disclosure now, but there is not even a disclosure requirement about this.?
The UBP voted against the bill ? the Public Treasury (Administration Payments) Amendment Act ? in the House on Wednesday night and it went to a 14-14 tie, but Speaker Stanley Lowe voted with Government to pass the Act.
The UBP will now try to defeat the bill when it comes before Senate.
Dr. Gibbons said that previously money could be shifted within a department head without the House being informed.
And money could also be shifted between capital projects.