Coleman Jonathan: Crown Entities Reform Bill — In Committee 
Text is incorporated into the Bound Volume 
Coleman Jonathan: Crown Entities Reform Bill — In Committee 
[Sitting date: 23 May 2012. Volume:680;Page:2369. Text is incorporated into the Bound Volume.] 
Hon Dr JONATHAN COLEMAN (Minister of State Services) 
: 
 That was a very interesting dissertation there from Mr Mallard trying to tie the public up in all the intricacies and all the detail to make this sound like some morass. But look the fact is the Government Administration Committee did its work the officials have done a very good job on this and what we have got here is something completely consistent with the Government’s approach to public services. 
Chris Hipkins talked about plans for the Public Service. What I can tell you is that under Labour there was a plan for the Public Service. It was to grow it bigger and bigger year by year and sink more and more money into it. And what happened? Nothing. We did not get any real meaningful outcomes that meant something to the average person in the street in New Zealand. So the Government’s approach around this has been to get public services focused on things that matter to New Zealanders. Within that we have got to provide better public services within a constrained fiscal environment. 
Trevor Mallard talked about so-called inconsistency on the part of Peter Dunne around this issue. It was not like Mr Dunne did something like speak out against Skycity when he was in Parliament but support it when he was in the corporate box at the Rugby World Cup final. It was not like he did anything like that. But no it is one rule for people over there and one rule for the rest of the people. 
When you look at what is happening overall with this Charities Commission situation the functions are going to remain. I can understand that people in the charities sector could be concerned with any change. People do not like change and they have had a situation that they have got used to and been comfortable with for a long time. But when you look at the wider situation and what we have got to do across the public sector as a whole it is about actually making some sensible changes that get some efficiencies made and get greater functionality out of what we have got there. 
We will have this three-person board. The New Zealand First member down there was worried about independence. Frankly I think some of these members have been questioning the independence of the Department of Internal Affairs. What I can tell you is the officials are very used to handling this sort of situation. They have done it with the Gambling Commission and the Registrar-General of Births Deaths and Marriages. There is extensive experience there and the registration and the deregistration function will be handled by that three-person board. The chief executive of the Department of Internal Affairs and the staff will provide the secretariat functions. 
So the key message here to the public is: “Look the functions of the Charities Commission are going to remain. It’s just going to be within a different entity. Life will go on. Charities will continue to play a vital role in New Zealand society. Don’t be scared by these people over there.” Opposition members are trying to seize on a political issue in difficult times for them and turn it into something that scares people out there. The reality is it is quite simple. It is very consistent with the wider plan around the public sector to make sure that things are working far more efficiently and that we are getting some outcomes that actually make a difference for people. 
Mr Mallard also I think got very confused about costs as opposed to the benefits of this. He was citing costs of $2 million. Well actually they are the benefits. The cost of setting up this board is probably going to be about $400000 so overall it is going to be a net positive. The message is that the functionality remains. We have actually strengthened the education function. We have strengthened that. This is going to end up being a better server of the original purpose of the Charities Commission overall with that strengthened education function. So there are many positives that will come out of this. Not the least though one point that needs to be made is that one around independence. The New Zealand First member also said: “Look the Charities Act review is just around the corner. It’s just about to happen. Why don’t you wait for that?”. In actual fact it is not happening until 2015. I guess that is progress in reforming the public sector New Zealand First - style. The reality is we need to act on this now.  
Nothing that will happen in that review of the Charities Act will be precluded by these changes that the Government is putting forward and wanting to pass into law. So no one needs to be worried about that. The Charities Act review will still happen but these changes will happen in advance and quite frankly they are sensible changes. I can tell you if you go out into the streets of New Zealand people will still find that the charity sector is working very very well. I was a bit disappointed by the New Zealand First member’s knowledge of the Crown Entities Reform Bill but you know he has not been a member for that long and will have time to study this legislation at leisure in time to come. So Part 3 is actually a very good piece of legislation—