Report under section 4 of the Public Service Management Act, 1997, by the Secretary General to the Minister for Finance on progress in the first year with the strategic priorities and associated high-level objectives set out in the Department's Statement of Strategy 1998-2000, published in April, 1998.

Note on the period to which the report relates

This report is an account of progress in the first 12 months since publication of the Department's Statement of Strategy 1998-2000, that is May 1998 to April 1999, inclusive. However, for purposes of clarity, brief references to developments subsequent to that period have been included in some parts of the report.

CONTENTS

Introduction by the Secretary General

Chapters

1. Mission, Strategic Priorities & Organisation

2. Strategic Priority I

3. Strategic Priority II

4. Strategic Priority III

5. Strategic Priority IV

6. Supporting the Strategic Management Process

Appendices

A Organisation at Principal level

B Legislation prepared by the Department

Introduction by the Secretary General

The Department's Statement of Strategy, 1998-2000, set out a comprehensive account of its strategic objectives over a three-year period. This report, which is submitted to the Minister under section 4 of the Public Service Management Act, 1997, outlines progress in the past year with their achievement and the extent to which each of our four strategic priorities has been advanced. These priorities relate to economic and fiscal policy (including the question of resources for social priorities), Ireland's participation in the EU, incomes policy development, and the public service change programme.

Since the work of the Department is varied and complex, the review is intended in general to capture the broad thrust rather than the fine detail of each of the main developments.

More headway has been made on some fronts than on others but, overall, our rate of progress has been satisfactory. This is due in no small measure to the skill and commitment of our staff and to our ongoing collective efforts to enhance the efficiency of the Department.

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P H Mullarkey

Secretary General

September 1999

Chapter One

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Mission, Strategic Priorities & Organisation

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Mission, Strategic Priorities & Organisation

Mission

The Department of Finance has the lead role in advising and supporting the Minister for Finance and the Government on the economic and financial management of the State and on the overall management and development of the public sector. The mission of the Department is

to promote an economy which will maximise growth, sustainable employment and social progress.

The Department has responsibility under statute for the administration of the public finances of Ireland, as well as for the promotion and co-ordination of economic and social planning. Thus its mission involves:

promoting Government policies which deliver international competitiveness and internal efficiency;

managing the overall process of resource generation and allocation, as decided by the Government, to secure optimum social and economic benefits;

achieving ongoing improvements in efficiency and effectiveness across the public sector.

Strategic Priorities

The Department's overall mission requires that it focus on four strategic priorities:

I Economic and fiscal policy, covering

• price stability;

• debt reduction;

• management and effectiveness of public expenditure;

• tax reform.

II Ireland's participation in the EU, particularly in regard to

• Economic and Monetary Union (EMU);

• EU budgetary issues, including Structural and Cohesion Funds;

• financial regulation.

III Incomes policy development in both

• the economy generally and

• the public service

by reference to competitiveness, a sound budgetary position and social partnership.

IV The public service change programme which encompasses

• improved delivery of quality services;

• more efficient and cost-effective management of the public finances;

• enhanced accountability, flexibility and devolution of responsibility;

• improved human resource management;

• improved access to information.

Organisation

The work of the Department is carried out by six Divisions:

Budget and Economic Division deals with overall budgetary policy, taxation policy, economic policy and forecasting, and policy and certification for the International Financial Services Centre and the Shannon Zone.

Corporate Services Division deals with the internal staffing and systems of the Department, including information technology.

Finance Division deals with exchange rate and monetary matters, debt management policy, the supervision of financial markets and banking; the changeover to the euro; international financial institutions; EU policy co-ordination and the EU Budget; EU Structural and Cohesion Funds policy, monitoring and evaluation; and Exchequer accounts and payrolls.

Organisation, Management and Training Division deals with civil service organisational issues such as systems, structures, staff numbers, administrative budgets, Government accounting, the application of information technology, arrangements for ensuring the effective implementation of Freedom of Information, and staff training and development.

Personnel and Remuneration Division deals with policy on public service pay and superannuation and on other conditions of service for the civil service, including recruitment, promotion and equality.

Public Expenditure Division deals with policy on public expenditure, aspects of policy towards commercial state bodies, and policy relating to Government contracts, the National Lottery and Public Private Partnerships.

ORGANISATION (to Director level)

Secretary General Paddy Mullarkey

Public Expenditure Division

Second Secretary General Robert Curran

Assistant Secretaries Phil Furlong

Jim McCaffrey

Tom Considine

Director of PPP* Unit Jim O'Brien

Organisation, Management & Training Division

Secretary General PSMD** John Hurley

Assistant Secretaries Eric Embleton

Colm Gallagher

Gerry Kearney

Personnel & Remuneration Division

Secretary General PSMD** John Hurley

Assistant Secretaries Ciaran Connolly

Joe McGovern

Budget & Economic Division

Second Secretary General Michael G Tutty

Assistant Secretaries Donal McNally

Cathal O'Loghlin

Finance Division

Second Secretary General Noel O'Gorman

Assistant Secretaries David Doyle

Aidan Dunning

Chairperson ECBI*** Philip Hamell

Corporate Services Division

Assistant Secretary Tom Considine #

Eric Embleton #

* Public Private Partnership

** Public Service Management & Development

*** Euro Changeover Board of Ireland

# Reporting directly to the Secretary General

MINISTERIAL OFFICES

Minister for Finance Charlie McCreevy, T.D.

Private Secretary Hannah O'Riordan

Minister of State Martin Cullen, T.D.

Private Secretary Margaret O'Donnell

Chapter Two

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Progress under Strategic Priority I

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Strategic Priority I -- Economic and Fiscal Policy

Objectives

Our objectives for the period under this strategic priority included:

Economic policy: In order to promote the maximum sustainable rate of economic growth and sustainable employment consistent with Ireland's growing labour force, the Department aims to secure a high degree of price stability, overall levels of taxation and expenditure consistent with economic and social progress, international competitiveness, and internal efficiency in the economy as a whole, including the public sector. In this context entry into EMU from the outset at an appropriate exchange rate was a key policy objective.

Budgetary balance: The Department aims to secure the adoption of a budgetary strategy which will be consistent with the need to ensure a continued gradual reduction in the tax burden designed to underpin competitiveness and employment, deliver over the course of the economic cycle a budget position close to balance or in surplus, continue reducing the burden of Government debt at a satisfactory rate, ensure the long-term sustainability of the public finances and compliance with the EU Treaty and the Stability and Growth Pact, and preserve scope for necessary flexibility so that budgetary policy continues to contribute to stable progress.

Taxation policy: The Department aims to improve the structure of the taxation system in a manner which will promote a competitive economy through the reduction of tax rates and the impact of taxation on employment and the productive sector, the better focusing of tax incentives, ensure that tax policy integrates with income support measures so as to maximise the incentive to work and promote social cohesion, promote greater equity in the tax system through measures to broaden the tax base, reduce the proportion of taxpayers on the higher income tax rate, reduce the burden of tax on the lower paid, encourage entrepreneurship, and support a moderate pay regime.

Expenditure policy: The Department's aims in relation to expenditure policy include the management of aggregate public expenditure within the limits set by overall Government parameters, assigning priority to spending which will assist the economy to achieve the maximum sustainable output of goods and services (including employment and resources for social priorities), the development and co-ordination of the PPP process, ensuring (in conjunction with other Departments) quality output and value for money from public expenditure and the completion of the comprehensive programme of expenditure reviews, redefining the Department's role in ensuring that expenditure management is exercised effectively by other Departments, optimising the use of available EU Structural and Cohesion Funds, pursuing a debt management policy which minimises debt service costs over time, contributing to cross-border initiatives which support sustainable economic and social development, and (in conjunction with other Departments) reviewing on an ongoing basis the objectives, performance, corporate status, structure and governance of the commercial and non-commercial state sectors.

Progress achieved

Economic Policy

The Department has contributed to the formulation of policy which has seen Ireland

record economic growth at about three times the European Union average;

maintain a high degree of price stability: inflation as measured by the Consumer Price Index averaged 2.4% in 1998,              moderating to 1.5% in the first quarter of 1999;

successfully meet the economic and budgetary criteria for entry into EMU.

Inflation

In 1997 Ireland's inflation was among the lowest in the European Union. While inflation among our EU partners tended downward through 1998, it accelerated in Ireland until August of last year, largely reflecting exchange rate developments. Thus, although the rate of price increase here has since slowed to prevailing moderate levels, Irish inflation has been at the higher end of the EU range in 1999 to date.

Employment

The exceptional employment increase which has characterised the 1990s is continuing. Total employment rose by 72,000 (almost 5 percent) in the year to December 1998 - February 1999, with even stronger growth (6¼ percent) in non-agricultural private sector employment.

Competitiveness

Wage moderation, underpinned by the national agreements between the social partners, has ensured the continued competitiveness of the economy. It will be important to maintain a restrained approach to pay into the future, notwithstanding some growing pressures with the ongoing tightening in the labour market.

In this regard, the Department will be supporting the negotiation of a further responsible national agreement to succeed Partnership 2000, which expires at the end of 1999. The key competitiveness issues facing the economy have been highlighted in the Annual Competitiveness Report published by the National Competitiveness Council. The Department supported the Council in its preparation.

Social Progress

Both overall unemployment and long-term unemployment -- key sources of social exclusion -- have been reduced substantially further. Total unemployment fell by 1.6% in the year to December 1998 to 7.1%, and continued to decline through 1999 -- to 6.6% of the labour force in July last; and long-term unemployment had fallen well below 3% of the labour force at last count (December-February, 1999).

Meanwhile, in pursuit of the Partnership 2000 objectives of ensuring that Irish society becomes more inclusive and that the benefits of growth are more equally distributed, recent budgets provided cumulative personal tax reliefs amounting to almost £1½ billion, far in excess of the Partnership 2000 commitment, and provided for increased expenditure of almost £1bn to underpin social cohesion, also very substantially more than had been committed under the current Partnership Agreement.

Budgetary Strategy

The Department has contributed to a budgetary strategy which has seen

a continued reduction in the tax burden, from 34.9% of GNP in 1997 to 34.5% of GNP in 1998, designed to underpin competitiveness and employment.

a budget surplus of 2.4% of GDP in 1998 following a surplus of 1% of GDP in 1997.

a further reduction in the debt to GDP ratio to about 50% from 60% in 1997.

the conclusion by the EU Economic and Finance Council in January 1999 that Ireland already fulfils the Stability and Growth pact objective of a budget position close to balance or in surplus and that the scenario for the public finances in Ireland's Stability Programme envisages Ireland continuing to meet the budgetary requirements of the Stability and Growth Pact over the period 1999-2001.

the maintenance, through significant budgetary surpluses and substantial reduction in the debt burden, of the necessary room for manoeuvre to ensure that budgetary policy can continue to contribute to sustainable economic and social progress.

General Government Debt

General Government Debt as a percentage of GDP has been decreasing progressively in recent years. Macroeconomic stability has been a key factor underpinning this performance. The General Government Deficit has not exceeded 3% of GDP in any of these years and, combined with robust growth, has enabled a rapid reduction in Government indebtedness -- from almost 120% of GDP in 1986 to 59.9% of GDP by end-1997.

This positive trend continued in 1998, with General Government Debt as a percentage of GDP declining from 59.9% to 49.5%. This was mainly due to continued strong economic growth during the year. There was also a decrease in the actual level of indebtedness -- from £32.3 billion at end-1997 to £31.4 billion at end-1998. This was due principally to two factors:

- an Exchequer surplus of £747m which was used to reduce foreign currency borrowings;

- a favourable foreign exchange translation impact of some £160m.

There was also a restructuring of debt during 1998 to eliminate exposure to non-euro currencies (other than Sterling) in which 6% of debt is now denominated.

In line with the decline in Ireland's debt/GDP ratio to 49.5% by 1998, the cost of debt service has also been falling -- from £2,755 million in 1997 to £2,559 million in 1998. As a percentage of tax revenue, this represents a fall from a record high of 35.2% in 1985 to 19.3% in 1997 (15.9% in 1998), while as a percentage of net current expenditure it has fallen from a high of 27.3% in 1990 to 19.6% in 1997 (17.8% in 1998).

In May, 1999, the NTMA exchanged 91% of outstanding old Government bonds for new bonds during the Securities Exchange Programme. The aim of the Programme to ensure that Irish Government bonds remain competitive in the new euro environment. As a result of the Programme the end-1999 debt/GDP ratio will be 4% higher than it would otherwise have been. The September forecast is for an end-1999 debt/GDP ratio of 47%. The nominal increase in debt due to the Programme will be offset by reduced debt service costs due to the lower coupons on the new bonds.

Multi-annual Budgeting

In March, 1998, the Government agreed a timetable for the implementation of the final phase of the multi-annual expenditure budgeting system with effect from the 1999 Budget. This involved seeking Government agreement on and publication of medium-term financial envelopes for Departmental expenditure. These envelopes, which will facilitate better planning of expenditure programmes by Departments, represent the amounts which the Government intends to allocate to Departments on the assumption that the general economic and budgetary position develops as predicted.

In view of the forthcoming negotiations on the National Development Plan and subsequently on a national agreement to follow Partnership 2000, the timetable has been modified and the final phase of move to multi-annual budgeting, involving agreement on and publication of financial envelopes, will take effect in 2000.

Taxation Policy

The Department has contributed to the development of a taxation policy during the period which has resulted in the following major changes.

Improving the structure of the taxation system

The standard rating of the basic personal and PAYE allowances, and the significant increase in these allowances in Budget 1999, removed 80,000 taxpayers from the tax net. Standard rating has equalised the value of the allowances to all taxpayers, while their increase is of greatest relative benefit to standard rate taxpayers. The increase in the basic personal allowance has also resulted in the virtual abolition of the marginal relief system for taxpayers aged under 65 -- a key recommendation of the Expert Group on the Integration of the Tax and Welfare systems.

Following Budget 1999, a person may earn £100 per week before tax is payable -- an increase of £21 on the previous tax year. The number of taxpayers paying tax at the higher rate was reduced by 15,000 compared to the position which would have applied in the absence of any changes.

The Budget also set out the timetable for reducing the standard rate of corporation tax from 32% to 12½% over the period 1999 to 2003. This phased reduction should increase employment in the services sector by promoting both business expansion and investment.

The personal tax reliefs in Budget 1999, which amounted to £581 million, were targeted at low to middle income earners. They brought the cumulative tax reliefs in the three Budgets covered by Partnership 2000 to almost £1,500 million, well in excess of the P2000 commitment of £900 million. The tax reliefs in Budget 1999 resulted in a fall in effective tax rates for all taxpayers, ranging from around 5% for low income earners to around 1% for those on higher incomes. The magnitude of the tax reliefs provided, combined with the continued reduction in effective tax rates for all taxpayers, has made a significant contribution to the maintenance of a moderate pay regime.

Taxation policy and the IFSC

In 1998, agreement was reached with the EU Commission on the orderly phasing out of the preferential IFSC and Shannon tax regimes, in the context of the introduction of the proposed new 12.5% corporation tax regime for trading income. As part of this agreement, the EU capped the number of new projects which could be approved for the IFSC in 1998 and 1999 at 67 per year -- the average number of new projects over the previous three years. The corresponding number for Shannon was 15. Under the agreement, no new projects may be approved for the IFSC or Shannon post-1999.

The industry has expressed its satisfaction with the manner in which the difficult process of managing the new quota arrangements has been handled by the Department. The guidelines and marking system used in deciding IFSC approvals were also adapted, in consultation with the Department of Enterprise, Trade & Employment and Shannon Development, for the allocation of Shannon approvals in December 1998.

The Department also contributed to the development of expenditure policy and the following important developments took place during the period under review.

Aggregate public expenditure

The Revised Estimates for Public Services, published on 10 March, 1999, include the changes in voted expenditure announced by the Minister for Finance in the Budget and also contain certain other adjustments to voted expenditure which have arisen since the Budget. On the basis of the allocations for Departmental expenditure included in the 1999 Revised Estimates, the average annual increase in total net current expenditure in 1999 over the 1997 outturn is now estimated at 4.1 per cent, which is broadly in line with the Government's target.

Aggregate Capital Expenditure

Voted capital expenditure in 1998 continued to grow at a higher percentage than the 5% target which was envisaged under the Government's Action Programme. The higher increases in 1997 and 1998 were seen as necessary to meet the needs of a rapidly expanding economy, particularly in the area of infrastructure.

Public Private Partnerships

The adoption by the Government in August 1998 of a Public Private Partnership (PPP) approach to the development of public capital projects will facilitate the development of the infrastructure that is required to help sustain economic development and to secure international competitiveness. The PPP approach is being pursued on a cross-Departmental basis, with PPP Units in the key Departments, an Inter-Departmental PPP Group and also an Informal Advisory Group which includes key Departments and agencies and representatives of business and trade unions. Pilot PPP projects were announced by the Minister for Finance on 1 June 1999 and a significant PPP element is envisaged for inclusion in the National Development Plan 2000 - 2006.

Programme of Expenditure Reviews

In July, 1997, the Government agreed the first round of a programme of expenditure reviews to be undertaken in 1997-98. Overall progress on completing the first round of reviews was slower than expected. On 14 April, 1999, the Government agreed that all Departments must complete their first round reviews by end-April, 1999, unless an exemption was agreed between the Minister for Finance and other Ministers in relation to individual reviews, and approved proposals for completion of the second round by April, 2000. In an Aide Memoire for the Government of 30 June, 1999, the Minister for Finance reported on progress with the reviews. He indicated that, since the Government decision of 14 April, a further 8 reviews had been completed and work on the remaining 14 was well advanced. The Minister again asked Ministers to instruct their Departments to complete all the outstanding reviews from the 1997-98 round and to ensure that the second round of reviews agreed by the Government on 14 April were completed by April, 2000.

Public Expenditure Initiatives

In addition to the programme of expenditure reviews and its ongoing role generally in the management of public expenditure, the Department actively participated in a number of specific initiatives in the course of the year relating to such areas as the buyout of decentralised Government offices, the control of house prices, the integration of local development bodies and local authorities, social housing policy, Army deafness claims, and the reorganisation of the Defence Forces. Significant initiatives were also taken in third level education to increase the supply of skilled graduates and to promote R&D, as well as a major initiative to tackle educational disadvantage. There were significant developments in the Health services and further measures in the area of Social Community and Family Affairs were announced in the Budget to combat social exclusion.

Cross-border developments

The Department has participated in the working out of the North-South provisions of the Good Friday Agreement dealing both with the establishment of the six Implementation Bodies provided for in the Agreement and the identification of the scope for expanded cross-border co-operation in sectors such as tourism, transport, and education.

The Commercial State Sector

The business environment of most state bodies has improved with the growth in the economy in recent years. Competition is being introduced into areas which up to now have been State monopolies. In its role in the review of the objectives and performance of both commercial and non-commercial state bodies, the Department took steps over the past twelve months, in conjunction with the Department of Public Enterprise and other Departments, in relation to a number of such bodies, including:

the conclusion of an ESOP with Telecom Eireann unions, with amendments to the Finance Act;

the public flotation by the State in an IPO of its remaining shareholding in Telecom Eireann;

steps to secure a strategic partner for Aer Lingus, and the sale of TEAM;

the strategic direction of Aer Rianta;

the strategic direction of Coillte Teo;

arrangements for the discharge of Exchequer liabilities to the pension funds of the Irish Aviation Authority, An Post and Telecom Eireann;

the establishment of a regulator for the electricity industry and progress on legislation for corporatising ESB;

development of a new public service contractual arrangement for payment of the annual subvention to CIE; rail safety; and investment in public transport;

the evolution of general policy on ESOPs and guidelines for the corporate governance of state bodies.

State Banking

In November, 1997, the Government decided that the State no longer needed to be involved in the banking sector in an ownership capacity and authorised the Minister to enter discussions with the State banks in that context. On foot of that and subsequent Government decisions, the Department is currently engaged in the sale of the Minister's shareholding in ICC Bank and planning for the merger/flotation of ACC and TSB Banks.

- sale of ICC Bank

Subject to regulatory clearance, it is hoped that the sale of ICC Bank will be completed early next year. To assist the Minister in the sale process, a Partnership Group has been established comprising representatives of the Department, the Board and management, and the staff of the Bank. A Shareholder/Board Liaison Committee has also been established to deal with aspects of the process specific to the Board.

In the context of the sale, the Government authorised the Minister to enter into negotiations with staff on an ESOP of up to 14.9% of the State's shareholding in the Bank on the lines of the ESOP agreed in Telecom Eireann. Discussions with ICC staff representatives on a framework have been concluded and the staff have voted in favour of the ESOP. It is envisaged that legislation to provide for the sale of the bank, and related matters, will be enacted before the end of the year.

- merger/flotation of ACC and TSB Banks

In February, 1999, ACC and TSB Banks presented a joint memorandum of understanding to the Minister proposing the merger and flotation of the two banks. The Government subsequently approved this proposal and the structure for managing the process. The Minister has appointed financial, legal and brokerage advisers to advise him in relation both to the flotation process and to the merger in so far as it affects the flotation. The Government has authorised the Minister to enter into negotiations with staff on an ESOP of up to 14.9% of the State's shareholding in the merger bank. It is intended to introduce primary legislation late this year to provide for the proposed merger/flotation of the two banks.

Conclusion

Significant progress has been made with this strategic priority under a broad range of objectives. The economy continues to perform exceptionally well, budget surpluses are being achieved, the national debt is falling in relative terms, inflation is under control, employment is growing, unemployment is falling, the structure of our taxation system is being progressively improved, social priorities are being addressed effectively, measures for improving the management of public expenditure are being implemented, state monopolies are increasingly being made open to competition, and State banks are in the process of being sold. However, there are also some negative developments which need to be taken into account in assessing the overall state of the economy, notably the continuing upward pressure on house prices, deficiencies in our transport infrastructure, and the potentially adverse impact on competitiveness of rising pay expectations. Our strategy is designed to address these issues while continuing to promote the ongoing development of the economy.

Chapter Three

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Progress under Strategic Priority II

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Strategic Priority II -- Ireland's Participation in the EU

Objectives

Our objectives for the period under this strategic priority included:

Economic and The promotion of the policies necessary for Ireland to qualify for EMU

Monetary Union at the outset, ensuring that domestic preparations for EMU were adequate and that after commencement Ireland makes an effective contribution to the formulation of exchange rate policy and broad guidelines for economic policy in the euro area and the EU generally.

Structural and Successful implementation of the National Development Plan (94-99),

Cohesion Funds securing a satisfactory outcome for Ireland to the negotiations on the next round of EU funding arrangements, the production of an agreed post-1999 National Plan with reference to the Structural and Cohesion Funds allocated to Ireland for the post-1999 period, the promotion of sound and efficient management of EU funds across Departments, and the fostering, where appropriate, of structures and programmes which benefit the whole island.

Financial regulation Contribution to the development of EU policy on the regulation of the financial system and the formulation of proposals for an effective and competitive system of financial regulation.

GeneralPlaying a positive role in Ireland's contribution to strengthening the European Union, especially through the Council of Economic and Finance Ministers (ECOFIN).

Progress achieved

Economic and Monetary Union (EMU)

The Department contributed to the following major developments on EMU:

The revaluation of the Irish pound's central rate in the ER*by 3% -- from D*2.41105 to D*2.48338 -- with effect from 16 March 1998. A key consideration in the decision regarding the extent of the revaluation was the need to balance the potential inflationary risk and competitiveness concerns.

The pre-announcement in May 1998 of the bilateral exchange rates of the currencies that would be participating in EMU from 1 January 1999.

Ireland's adoption of the euro which came into being on 1 January 1999. The Council of EU Finance Ministers (ECOFIN) met in Brussels on 31 December 1998 and, in accordance with the Treaty on European Union, irrevocably fixed the conversion rates to apply between the euro and the currencies of the eleven Member States joining EMU. The irrevocably fixed conversion rate between the euro and the Irish pound is 1 euro = IR£0.787564.

The establishment of the Euro Changeover Board of Ireland (ECBI) by the Minister for Finance in May 1998 to oversee the changeover to the euro (see below).

The Central Bank Act, 1998, which, inter alia, facilitated the institutional integration of the Central Bank of Ireland into the European System of Central Banks (ESCB) and the European Central Bank (ECB).

Establishment of the Euro Changeover Board of Ireland (ECBI)

The ECBI was established by the Minister for Finance in May 1998 to oversee the detailed implementation of the changeover to the euro and to provide public and consumer information. The Department provides the Chairperson and Secretariat.

In the year to April 1999, the key objectives on the implementation side were to ensure that both the necessary legislation and an update of the National Changeover Plan were in place for the launch of the euro. These were achieved by the passage of the Economic and Monetary Union Act, 1998, and Commencement Orders under it, and by the publication of the third edition of the National Changeover Plan in November, 1998. On the public information side, the objective of providing public information about the euro was achieved by a wide variety of initiatives, including the circulation of two information leaflets to every household and the provision of large amounts of informative materials in other ways; by three advertising campaigns; by the provision of a lo-call helpline, Aertel page and website, and public information videos; by a regional roadshow; and by initiatives targeted at particular areas, including people with special needs and the education sector. A detailed account of the Board's activities in its first year of operation is contained in its first annual report, published in June 1999.

Implementation of the current NDP 1994-1999

Implementation of the NDP is monitored through the CSF (Community Support Framework) Monitoring Committee chaired by the Department of Finance, the Operational Programming Monitoring Committees, and the eight EU Operational Programming Monitoring Committees. The decisions of the CSF Monitoring Committee on the mid-term review of the Community Support Framework were implemented in 1998. The CSF Monitoring Committee also agreed on the reallocation of Structural Funds where projects do not go ahead or develop as expected. Reporting requirements were strengthened in the past year to provide the information required for decisions regarding the reallocation of expenditure in the final year of the CSF and thereby avoid potential loss of EU funds arising from underspending in particular areas. The bulk of EU funds under the current NDP are now committed and the Department is monitoring expenditure to ensure that these commitments are met within the eligible period.

Progress on the preparation of the new National Development Plan covering the period 2000 - 2006

The outcome of the Berlin Summit on the Structural and Cohesion Funds was very satisfactory from Ireland's viewpoint. The Government's application for the reclassification of the country into two new regions was agreed, thereby preserving full Objective One status for thirteen counties until 2006. Objective One transition arrangements for six years were also negotiated for the remaining thirteen counties and access to the Cohesion Fund at least until the end of 2003 was retained for the whole country. Assistance to the Border counties from the Peace Programme was also secured, as was assistance from the four Community Initiatives which will operate after 1999. It is estimated that over €3.8bn of transfers from the Structural and Cohesion Funds will be available over the period 2000 - 2006.

During the past year, preparation of the National Development Plan was progressed through:

- the submissions sought from Government Departments, social partners and regional authorities on their NDP priorities;

- the commissioning of the ESRI to produce a report on National Investment Priorities;

- the production of two separate reports for the two new NUTS II regions;

- meetings held with the EU Commission on the priorities and programming aspects of the post-1999 programmes.

Meetings have also been held with the social partners and regional authorities to discuss their priorities. These reports and submissions have been analysed and the priorities for the NDP are now being formulated with a view to finalising the Plan before the deadline for its submission to the European Commission.

Financial management of EU Funds

An ERDF and Cohesion Fund financial control unit was established in the Department in 1998, both to strengthen the Department's role in the overall financial management of these funds and to ensure that all relevant financial regulations continue to be observed. Towards this end, the unit is conducting both system checks and transaction checks across all ERDF and Cohesion funded programme areas.

Computerisation of Structural Funds information

A project was started on the development of an improved computer system for the management of Structural Funds information.

Financial Regulation

The Department has responsibility for developing the legal framework for the regulation of the financial services sector, excluding insurance, and for representing the Irish position at relevant EU forums. Initiatives in this area in 1998 included the enactment of the Investor Compensation Act, the adoption and transposition into Irish law of a Directive on Settlement Finality in Payment and Securities Settlement Systems, and participation in discussions on draft Directives on electronic money and cross border credit transfers.

In addition, the Department supplied the Secretariat to and was represented on a high-level group established by Government to advise on the establishment of a single regulatory authority for the financial services sector. This group, which was established in October, 1998 finalised its report in May, 1999. The report was published on 23 June, 1999 in order to facilitate public consideration of the issues involved.

- money laundering

The Financial Action Task Force has stated that the measures put in place by Ireland, such as the Criminal Assets Bureau and the Proceeds of Crime Act, 1996, provide a firm foundation for an effective anti-money laundering system and constitute "an innovative legislative and administrative scheme which could provide a model for other countries."

Conclusion

Very significant developments have taken place under this strategic priority, with major long-term implications for the economy and the country as a whole. Overall progress has been satisfactory and notable headway has been made under several of the high-level objectives set out above.

Chapter Four

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Progress under Strategic Priority III

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Strategic Priority III -- Incomes Policy Development

Objectives

Our objectives for the period under this strategic priority included:

Partnership 2000 Subject to compliance with the macroeconomic principles which underpin the national programme, Partnership 2000 for Inclusion, Employment and Competitiveness, the Department aims to support developments on pay and conditions of employment in the economy generally in accordance with the terms of the Partnership Agreement on Pay and Conditions of Employment and to ensure in relation to the public service that (i) the terms and cost parameters of that Agreement, as it applies to the public service, are adhered to and that (ii) related commitments to full and ongoing co-operation with change, continued adaptation and flexibility, including the modernisation programme for the public service, are fulfilled.

General objectives Other objectives include the processing to finality claims and issues outstanding under the public service "local bargaining" clause of the Programme for Competitiveness and Work (PCW), monitoring of the possible impact of pay developments on the arrangements to follow Partnership 2000 and to make a significant contribution to the determination of those arrangements, playing a full part in the consideration of the national minimum wage and union recognition issues under Partnership 2000, development and management of pensions policy across the public sector having regard to the emerging cost profile of pensions schemes and the report of the Commission on Public Service Pensions, supporting the satisfactory operation of industrial relations machinery in the public service in light of changing requirements, and the promotion of industrial peace.

Progress achieved

Partnership 2000

The Partnership 2000 Public Service Pay Agreement is in place in all areas of the public service except the Garda Síochána. New arrangements for the management and control of public service pay were introduced this year which were designed to ensure that the terms and cost parameters of the Agreement are adhered to in the public service. Within the civil service, each Department/Office is responsible for developing its own modernisation programme and for verifying that there has been progress to a satisfactory level on the implementation of its action plan (which is a prerequisite for the payment of the 2% local bargaining increase under the Agreement). Similar arrangements apply in other areas of the public service but there is also scope for sectoral or sub-sectoral level co-ordination within the relevant sectors.

Programme for Competitiveness and Work

In the 12 months to April 1999, settlements were concluded with a wide range of groups including craftworkers and general operatives/non-nursing personnel in the local authority and health services, the two main Garda Associations (an interim settlement) and the representative associations in the Defence Forces. These settlements had a major impact on the Exchequer Pay and Pensions Bill which increased by almost 9% in 1998 (following a 10% increase in 1997). Almost all of the increase in 1998 was attributable to increases in the pay rates of public service employees (there was an increase of 1% in numbers employed) and PCW local bargaining increases alone accounted for 4.5% of the 9% increase.

Post-Partnership 2000

Partnership 2000 expires at the end of 1999 but the associated pay agreement expires at the end of March 2000 in many parts of the private sector and at the end of September 2000 in the public service. Preparations are under way within the Department for negotiations, which are expected to start before the end of the year, on a possible successor to Partnership 2000.

The National Economic and Social Council (NESC) is preparing a new strategy report on the issues and priorities to be addressed in the negotiation of a new national partnership agreement, to follow Partnership 2000. The Department is a member of NESC and actively contributes to discussions at its monthly meetings.

The NESC strategy document will be completed in October 1999 and will provide the framework for negotiations on a successor to Partnership 2000. All parties concerned are agreed on the value of social consensus.

In the case of the public service, the Taoiseach has referred to the need to take a fundamental look at how pay bargaining and pay management are approached in the public service after Partnership 2000, and has highlighted the need to consider how public pay policy can, by more closely relating pay to performance, meet the aspirations of public servants while maintaining the unavoidable limits on public spending. The Department is pursuing these issues in discussions which are currently taking place with the Public Services Committee of the ICTU.

However, the Department is extremely concerned about more recent public sector pay developments, particularly those involving nurses, gardaí and groups in Dublin Bus and Irish Rail. The impact of these developments on other groups such as teachers and key civil service grades will make it more difficult to negotiate a possible successor to Partnership 2000, develop a new framework for public service pay, and manage the transition from Partnership 2000 to any new arrangements which might be agreed with the social partners.

National Minimum Wage

The Department was represented on the Inter-Departmental Group (IDG) established by the Government in March 1998, following consideration of the Report of the National Minimum Wage Commission, to assist in formulating proposals and a plan of action. The IDG produced an interim report in October 1998 and completed its final report in May 1999. The National Minimum Wage Commission recommended that a target date of 1 April 2000 should be set to implement the commitment on the national minimum wage in the Government's Action Programme for the New Millennium and the Tánaiste has given a commitment to introduce enabling legislation on a national minimum wage in 1999.

Union recognition

The Department was also represented on a High Level Group on Trade Union Recognition established under Partnership 2000. The Group's report of March 1999 has been submitted to Government and the necessary legislation is to be drafted by the Department of Enterprise, Trade and Employment.

Industrial Relations Machinery

In July 1998, the remit of the Labour Relations Commission and the Labour Court was extended to include health service and local authority employees. A revised conciliation and arbitration scheme has been introduced for members of the Defence Forces and a revised scheme for teachers is awaiting ratification. The willingness of different groups of public service employees to engage in, or threaten, industrial action of one form or another, notwithstanding the industrial peace provisions of national programmes, is a matter of considerable concern to the Department and this issue has been raised in the discussions (referred to earlier) with the Public Service Committee of the ICTU.

Commission on Public Service Pensions

The Commission on Public Service Pensions, which comes under the aegis of this Department, is due to report within the next few months. The Commission will address issues such as early retirement, pension funding, and pension increase policy across the public service. The Department will present the Commission's report for consideration by the Government. Subsequently, it will be involved in co-ordinating implementation of any consequential changes to public service pension arrangements.

Funding Public Service Pensions

As part of its long-term strategy for demographic ageing, the Government has recently decided to make an annual allocation of 1% of GNP to establish pension funds for public service and social welfare pensions, and to commit a tranche of the proceeds of the Telecom Eireann flotation to supplement the annual allocations. The Department is preparing the necessary legislation for the new funds. The Report of the Commission on Public Service Pensions, which is due shortly, will be considered in that context.

Conclusion

The social partnership process has made a major contribution to the economic and social progress achieved over the last decade. Central to each of the successive national programmes was agreement on a disciplined approach to the evolution of pay. It will be essential that the pay provisions in any further national partnership agreement do not undermine national competitiveness and that, in entering into a pay agreement, all sides are fully committed to, and will deliver on, whatever is agreed. This will be particularly important in the case of the public service, where developments over the past few years demonstrate that the problems posed by traditional pay relativities remain as intractable as ever.

Chapter Five

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Progress under Strategic Priority IV

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Strategic Priority IV -- The Public Service Change Programme

Objectives

Our objectives for the period under this strategic priority related to the Department's role in promoting the ongoing development and implementation of Delivering Better Government, namely: that the Department will, in conjunction with other Departments where appropriate, continue to prepare any necessary supporting legislation, develop and implement initiatives to give effect to the change programme, support the development of effective partnership structures in each Department in accordance with the principles of Partnership 2000, provide effective advisory and support services in the areas of organisation development, human resource development and information technology, ensure that preparations to address the Year 2000 computer problem in the civil service are adequate, support the implementation of the Freedom of Information Act, and contribute to the development of national policy in areas which require a coherent and collective response across a number of Departments.

Progress achieved

Administrative Budget Agreements

During the past year the Department has been negotiating new Administrative Budget Agreements with Departments which incorporate a number of enhancements designed to provide for greater delegation of powers in relation to staffing and finances, greater accountability, and greater flexibility in how resources are used to meet local priorities. The new arrangements will also improve co-ordination between the Department of Finance and other Departments. The administrative budget system is also been extended to Departments and Offices not covered to date.

This negotiation process is well advanced. Agreements have been finalised with most Departments/Offices and most of the remainder are expected to sign off very shortly.

Financial Management

The Department has been supporting the Financial Management Working Group in developing the recommendations to establish a new financial management system for the civil service. In July, 1999, the Government approved the Working Group's report which comprised a number of proposals and recommendations, including the following:

the aims and future development of the multi-annual budgeting system;

scope for further delegationof spending authority to Departments;

systematic reviews of all programme expenditure;

future operation and proposed modification to the Administrative Budget system;

recommendations for property acquisition and maintenance arrangements;

the proposed model for an enhanced Financial Management System.

Government Accounting Section of the Department has responsibility for supporting the Consultative Committee, chaired by the Department, which will manage the roll-out of the new financial model across Departments and Offices.

HRM Aspects of the Public Service Change Programme

Delivering Better Government made a series of recommendations for change in the area of human resource management (HRM) in the civil service. A Working Group representative of civil service management, the wider public sector and the private sector has been considering a wide range of HR proposals developed by the Department of Finance. Items cleared by the Working Group are considered both by the SMI Implementation Group of Secretaries General and by the SMI Co-ordinating Group. They are then submitted to Government for overall clearance before detailed consultation with the civil service unions commences. (The extensive round of consultation involved is considered an important element in ensuring ownership of the process.)

A number of the reforms recommended Delivering Better Government are already in place, including temporary one-year trial contracts for certain grades, the compilation during recruitment of panels of candidates who are interested in part-time or temporary employment, the continued delegation to line Departments of greater responsibility in relation to HR*matters generally, and steps have been taken to ensure the greater utilisation by Departments of their quota of open recruits to which current arrangements entitle them. The Group has completed its deliberations on gender equality, recruitment, promotion, tenure and a code of conduct for civil servants. Proposals to address gender imbalance at higher levels and to enhance the recruitment system in the short term have been endorsed by the Implementation Group and approved by Government in July. A new civil service gender equality policy is being formulated by management and will be discussed with the staff side in the near future prior to implementation. The short-term recruitment proposals are now being implemented. Areas where the HR*Group has completed its deliberations, which are now under consideration or are about to be considered by the Implementation Group, are the long-term recruitment issues (dependent upon new legislation), promotion, tenure and code of behaviour. The HRM Group has still to consider proposals in such areas as occupational health, probation, induction and staff mobility.

Performance Management

The Department has played a key role in the design and development of a new performance management system for the civil service. Such a system is a key element of the SMI process and is designed to ensure a continuing focus on improving individual, team and corporate performance. The Department has participated actively in the consultations with the unions on the implementation of the system. Good progress has been made and it is now expected that implementation will commence in the autumn. The Department, through the Centre for Management and Organisation Development (CMOD), will deliver training to key management and other groups at the implementation stage (see also Staff Training and Development below).

Freedom of Information

The Freedom of Information Act commenced for departments and certain public bodies on 21 April 1998. It was subsequently extended to Health Boards and Local Authorities on 21 October 1998.The Department has overseen preparations for the commencement of the FOI Act across these public bodies. These have entailed the provision of FOI training for tens of thousands of public servants, preparation of extensive publications detailing the activities of public bodies and their decision-making frameworks, development of organisational systems for handling FOI, and tackling record management issues.

The Department continues to play a lead role in progressing the implementation of the Freedom of Information Act (FOI). It undertakes this function through:

Provision of an expert advisory service on FOI to public bodies;

Provision of training, seminars and conferences on FOI;

Facilitating reviews of FOI arrangements in public bodies;

Promulgating public awareness of the Act through publicity campaigns;

Preparation of regulations and guidelines to further the objectives of the Act;

Developing policy in respect of common issues across public bodies arising from FOI;

Establishment and chairing FOI groups comprehending business, consumer and public service interests;

Provision of analysis and advice on Information Commissioner findings to public bodies.

The department is supporting preparations being led by the Department of Health and Children for the extension of the FOI Act, with effect from 21st October, 1999, to both voluntary bodies providing services to people with a mental handicap (receiving funding in excess of £2m) and voluntary hospitals.

On foot of a Government decision, the department is also liaising with the relevant departments on extending the Act to a range of bodies in the cultural/broadcasting, education, enterprise, environment, health, public enterprise and social services sectors. Lead-in periods of 12-24 months are being allowed for the necessary preparations.

Committees of the Houses of the Oireachtas are also actively involved in promoting the legislation. The Joint Oireachtas Committee on Finance and the Public Service is undertaking a review of secrecy provisions of other enactments. In addition, the All Party Oireachtas Committee on the Strategic Management Initiative (SMI) is considering progress in the implementation of the FOI Act, in the context of the wider programme of reform. That Committee proposes to publish its report on FOI later this year.

Proposed Standards in Public Office Bill

Proposals for a Standards in Public Office Bill were drawn up in the Department and approved for publication by Government in July, 1998. The proposals derive from the Government Programme, An Action Programme for the Millennium, which undertakes to restore confidence in public life through a credible policing mechanism for ethical issues. These proposals were submitted to the relevant Oireachtas Committees who considered them and reported in May, 1999. The Department is currently considering the Committees' suggestions with a view to making early progress on the drafting of a Bill.

Staff Training and Development

Extensive training has been provided in a number of areas of importance to the change programme, including the development of partnership structures under Partnership 2000 and the implementation of the Freedom of Information Act -- some 8000 civil servants receiving training in the latter in the eighteen months since October 1997. Progress has also been made with the design of suitable training modules to support the implementation of the proposed new performance management system for the civil service, as well as the identification of training needs of HR specialists and staff involved with the implementation of the proposed new financial management systems.

Telecommunications

The main development in this area has been the signing of a three-year contract with Telecom Eireann for the provision of a Virtual Private Network (VPN) for the civil service and the wider non-commercial public sector. The new network, which has now been extended to most of the civil service and the health sector, offers significant discounts and is intended to replace the Government Telecommunications Network (GTN) which is being shut down.

Year 2000 Compliance

The Department chairs, and provides the secretariat of, the Interdepartmental Year 2000 Committee which monitors the achievement of Year 2000 compliance programmes for computer systems and office equipment and plant in the civil service. The Committee reports to the Government on progress every two months (It is planned to report monthly from September, 1999). The Committee's web site (www.irlgov.ie/y2k) provides a summary of activities to date, links to individual Year 2000 statements by Departments and Offices, links to international sites of interest, and a source of information for private sector companies.

The Department has also been engaged in making the common administrative systems in widespread use across the civil service Year 2000 compliant. These include payroll, personnel administration, financial management, parliamentary question systems, etc. All such systems are now either Year 2000 compliant or will be by end-July 1999.

The Department has also taken extensive steps to ensure that its internal computer systems are fully compliant.

IT Advisory and Support Services

The Department provides a range of IT advisory and support services to other Departments and Offices. In this context, it has assisted with the development and implementation of a number of systems in individual Departments and Offices to meet business and other needs arising under the Strategic Management Initiative. The Department provides also advice and support in relation to structural change and organisational development generally.

Electronic Government

The Department's contribution to the electronic government action plan has been agreed, along with the architectures and standards to allow the development and implementation of systems for the sale of goods and services over the Internet (for example Land Registry searches, genealogical information from the GRO, and the purchase of publications).

Foreign Travel Policy

Following a tender process, and in the context of the Travel Policy document which issued to Departments in March 1998, a travel agent has been appointed, with effect from 1 February 1999, to provide air travel and related services to Government Departments/Offices. Each Department/Office has its own contractual relationship with the Travel Agent and is responsible for the development and operation of a travel policy, within parameters established by this Department.

The objective of this initiative, which followed on from a review of travel management practices in Government Departments, is to increase the level of expertise available to Departments in the management of air travel arrangements, to provide best value for money in this area, and in so far as central government travel arrangements are concerned, to avoid any distortions in competition between air carriers operating out of Ireland.

Other aspects of the change programme

Other aspects of the public service change programme, such as multi-annual budgeting and the programme of public expenditure reviews, are addressed under Strategic Priority I, while progress within the Department in implementing the partnership structures outlined in Partnership 2000 is detailed in Chapter Six.

Conclusion

Progress with this strategic priority has generally been satisfactory, if slower than expected. Delivering Better Government is a highly ambitious programme of change which requires ongoing management. Several important pillars are already in place, notably the Public Service Management Act and the Freedom of Information Act, while considerable detailed planning has taken place in a number of areas, particularly financial management and HRM, including the design and development of a new performance management system which is scheduled for implementation in the autumn. The implications of the changes to date are now becoming more widespread, particularly as the HRM initiatives are implemented, and the impact of the programme will continue to be increasingly felt in the months and years ahead.

Chapter Six

___________________________________

Supporting the Strategic Management Process

within the Department

___________________________________

Supporting the Strategic Management Process

within the Department

Background

The Department drew up its first Statement of Strategy in 1994 and put in place structures at that time to support the development and use of the work programme system to underpin strategic management. These were significantly revised in 1996, both to strengthen the linkage between the objectives outlined in the Statement of Strategy and the objectives for each section and division of the Department and to promote the use of formal business plans as a tool of management at a local level.

Structures in place to support Strategic Management

The structures currently in place to support strategic management comprise:

Annual meetings between the Management Advisory Committee (MAC) and each Assistant Secretary area, with staff down to and including Assistant Principal (AP) level, to discuss the principal strategic issues arising under each work programme (business plans at Divisional level).

Regular meetings of the Assistant Secretary Group which plays a key role in reviewing the organisation and staffing of the Department. The Group, which comprises all Assistant Secretaries, receives copies of all papers submitted to the MAC, meets on a regular basis with its own agenda and terms of reference, and is represented at all MAC meetings by several members of the Group rotating over time. In addition to preparing the Department's Statement of Strategy, it plays a major role in the business planning process and in identifying strategic issues of concern to the Department in the medium to longer term, e.g. the implications of EMU membership, preparation of a successor to Partnership 2000, and the implications of demographic developments for budgetary policy.

Regular meetings of the Principal Officer Group which became fully operational in recent months. This new group was intended by the MAC to perform a role analogous to that of the Assistant Secretary Group and to give the Principal grade as a whole a more active say in the overall management of the Department. It comprises 15 members (from the Department's total complement of 41) and meets on a regular basis to consider matters outlined in its terms of reference, including human resource management, organisational change and strategic issues. Its initial activities included an in-depth review of the Department's work programme cycle and procedures.

Regular meetings of the Department's Partnership Committee which was established in July, 1998. Chaired by the Secretary General, it comprises 15 representatives of management, unions and staff, as well as participants from Corporate Services Division. The Committee has been examining an extensive range of issues concerning the management of the Department, in particular the implementation of the recommendations set out in the Department's policy document, "Human Resource Management: Outline and Recent Developments" (May 1998). It has also established two subgroups to draw up its Action Programmes for modernisation and change under Partnership 2000. These relate to such issues as enhancing the effective use of information technology, the monitoring of structures to support business planning, the enhancement of financial management systems and procedures, improving quality customer service, the full implementation of multi-annual budgeting, improving delegation to Departments through the Administrative Budget system, and measures to promote the completion of programme expenditure reviews.

With the publication of the initial framework in January, 1999, a mechanism was established for implementing and monitoring assignments of responsibility by the Secretary General under section 4 of the Public Service Management Act, 1997.

The Department has also undertaken a major training needs analysis across all Divisions to determine the existing and future skills needs of the organisation and the steps required to address them. This analysis included consideration of both the strategic aims of the Department generally, as well as those of each Division and functional area. As a result an extensive programme of staff development is being put in place, including management training and policy analysis, using a combination of in-house expertise and outside suppliers. The programme as a whole is designed to complement the changes generally which are taking place under SMI and Delivering Better Government.

Conclusion

While structures to promote the strategic management process within the Department are already well developed, senior management continues to monitor their effectiveness and to explore their potential for further improvement.

APPENDIX A

Department of Finance

Organisation Chart to Principal level, May 1999

Secretary General Paddy Mullarkey

Public Expenditure Division

Second Secretary General Robert Curran

Assistant Secretaries Phil Furlong

Jim McCaffrey

Tom Considine

Director of PPP* Unit Jim O'Brien

Principals Niall MacSweeney

Dermot Quigley

Jim O'Farrell

Don Bergin

John O'Connell

Stephen O'Neill

Joe Mooney

Eugene O'Sullivan

Organisation, Management & Training Division

Secretary General PSMD** John Hurley

Assistant Secretaries Eric Embleton

Colm Gallagher

Gerry Kearney

Principals Cormac Cronin

Paddy Howard

Kevin Cardiff

Eamonn Kearns

Tom Walsh

Pat McBride

Jim Duffy

Carmel Keane

Personnel & Remuneration Division

Secretary General PSMD** John Hurley

Assistant Secretaries Ciaran Connolly

Joe McGovern

Principals Michael Scanlan

Neil Doyle

Paddy Barry

Michael Murphy

Liam Drain

Paul Byrne

Budget & Economic Division

Second Secretary General Michael G Tutty

Assistant Secretaries Donal McNally

Cathal O'Loghlin

Principals Liam Murphy

Barra O Murchadha

Bob Bradshaw

Phil Ryan

Brendan Ryan

Ann Nolan

Finance Division

Second Secretary General Noel O'Gorman

Assistant Secretaries David Doyle

Aidan Dunning

Chairperson ECBI*** Philip Hamell

Principals Noel Kerins

Colm Breslin

Nioclas O Murchu

Dave Hurley

Jim Higgins

Pol O Duibhir

Pat Hastings

John Norris

Brendan Duffy

Corporate Services Division

Assistant Secretary Tom Considine #

Eric Embleton #

Principals John Fitzgerald

Dara Mulally.

* Public Private Partnership

** Public Service Management & Development

*** Euro Changeover Board of Ireland

# Reporting directly to the Secretary General

APPENDIX B

Legislation pertaining to the

Department of Finance

during the period

Bills enacted

Oireachtas (Allowances to Members) and Ministerial,

Parliamentary, Judicial and Court Offices (Amendment) Act, 1998

Finance (No. 2) Act, 1998

Investor Compensation Act, 1998

Economic and Monetary Union Act, 1998

Central Bank Act, 1998

Comptroller and Auditor General and Committees of

the Houses of the Oireachtas (Special Provisions) Act, 1998

Appropriation Act, 1998

Finance Act, 1999

Bretton Woods Agreement (Amendment) Act, 1999.

Bills before either House of the Oireachtas

The Department had no legislation before either House of the Oireachtas at the commencement of the summer recess, 1999.

Bills currently under preparation

Valuation Bill

ICC Bill

ACC/TSB Bill

Standards in Public Office Bill

Central Treasury Services Bill

National Treasury Management Agency (Amendment) Bill

Central Bank (No.2) Bill

Stamp Duty Consolidation Bill

Ombudsman (Amendment) Bill

Customs and Excise Mutual Assistance Bill

Ordnance Survey Bill

Protection of Financial Interests of the European

Communities and Administrative Fines Bill

International Development Association (Amendment) Bill.

Multilateral Investment Guarantee Agency (Amendment) Bill

Pensions (Partial pre-Funding of Future Liabilities) Bill.

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