A Case Study of the Public Accounts Committees

A Case Study of the Public Accounts Committees (PAC & PA(E)C) The Parliament of the Republic of Trinidad and Tobago

SUMMARY OF PRESENTATION The aim of this presentation is to sensitize you to the workings of the Public Accounts Committee (PAC) and the Public Accounts (Enterprises) Committee (PA(E)C) in the Republic of Trinidad and Tobago; its composition; powers and responsibilities; and its role within the Parliamentary process.

T&T in Brief Trinidad and Tobago is a twin-island state located off the northeast coast of South America, near Venezuela. At present, the estimated population is 1. 3 million people. Trinidad and Tobago is a Parliamentary democracy based on the Westminster Model The Parliament of Trinidad and Tobago is bicameral, consisting of a Senate and a House of Representatives. There are 31 appointed Members of the Senate and 41 elected Members of the House of Representatives.

Trinidad Red House

Parliament Chamber Then

Parliament Chamber Now

Background Information Trinidad and Tobago first introduced a Public Accounts Committee in 1960. In 1974, this evolved when the Constitution Commission recommended the establishment of two (2) Committees. The recommendation took effect with the provision for both Committees in Section 119 of the 1976 Constitution.

Background Information The PAC was established to examine the Reports of the Auditor General on Ministries and Departments; and the PA(E)C was established to examine such Reports on Statutory Authorities and state enterprises.

Background Information The primary purpose for the existence of these Public Accounts Committees is to strengthen the accountability process within our Parliament; a process through which the Government is taken to task in accounting for its management and use of public resources.

PAC’s Mandate • • The PAC was constituted to consider and report to Parliament on the appropriation accounts of moneys expended out of sums granted by Parliament to meet the public expenditure of Trinidad and Tobago; Other accounts as may be referred to the Committee by the House of Representatives or as are authorised or required to be considered by the committee under any other enactment; and

PAC’s Mandate (cont’d) • The report of the Auditor General on any such accounts.

The PAC’s Chair In accordance with Sec. 119(2) of the Constitution, the PAC shall be led by a Chairman, who shall be a Member of the Opposition in the House. The Chairman is elected by the Committee at its first meeting.

PA(E)C’s Mandate The PA(E)C was constituted to consider and report to Parliament on the audited accounts, balance sheets and other financial statements of all enterprises that are owned or controlled by or on behalf of the State; The Auditor General’s report on any such accounts, balance sheets and financial statements.

The PA(E)C’s Chair In accordance with Section 119(6) of the Constitution the Committee shall be led by a Chairman, who shall be a Member of the Opposition in the Senate. The Chairman is elected by the Committee at its first meeting

Role of the Chairman • • Conducts meetings in an orderly and fair manner; Maintains order at all times; rules on procedure and other issues of relevance; Ensures fair and respectful treatment of persons appearing before the Committee; Ensures that Members have equal opportunity in contributing to the proceedings of the Committee;

Composition of the Committees In accordance with the Constitution, the Committees should comprise of not less than six (6) nor more than (10) Members. The current Membership is ten (10) comprised of an equal number of Members of the House of Representatives and the Senate. (The H. O. R appoints three (3) government and two (2) opposition members while the Senate appoints three (3) government, one (1) opposition and one (1) independent Senator. )

Life of the Committees The Committees are appointed at the start of a new Parliament and their term ends upon the dissolution of that Parliament. Traditionally, there has been consistency in the Chairmanship of the Committees throughout the lifetime of a Parliament, however there are usually several changes to the Membership of the Committees.

Powers of the Committees The Committee is empowered (among other things) to: (a) “send for persons, papers and records” – H. O. R Standing Order 80(3) and 73(3) of the Senate; (b) Report from time to time; (c) Meet notwithstanding the adjournment or suspension of the Houses of Parliament; (d) Take evidence and report to Parliament.

Activities of PAC – 3 rd Session DATES OF MEETINGS October 30, 2012 LINE MINISTRY - AGENCY/ENTERPRISE - NO. OF MEETINGS HELD COMMENTS 1 In-camera November 27, 2012 Ministry of Finance and the Economy Unit Trust Corporation 1 In-camera January 29, 2013 Ministry of Finance and the Economy National Insurance Board 1 Public Meeting March 12, 2013 Ministry of the Environment and Water Resources Environmental Management Authority & Environmental Trust Fund 1 Public Meeting April 09, 2013 Ministry of Public Utilities Regulated Industries Commission 1 Public Meeting July 02, 2013 Ministry of Public Utilities Trinidad & Tobago Electricity Commission 1 Public Meeting

Activities of PA(E)C – 3 rd Session DATES OF MEETINGS LINE MINISTRY AGENCY/ENTERPRISE NO. OF MEETINGS HELD COMMENTS October 30, 2012 - - 1 In-camera November 20, 2012 - - 1 In-camera January 08, 2013 - - 1 In-camera February 19, 2013 April 16, 2013 Ministry of Energy and Energy Affairs Petroleum Company of Trinidad & Tobago Ltd. 2 Public Meeting May 15, 2013 June 07, 2013 Ministry of Education Facility Company Ltd. 2 Public Meeting

Reporting • • • The Committees makes their findings known by presenting a Report to the House; Reports are prepared by the Secretariat for the Committee’s consideration. Members not in agreement can submit a Minority Report, stating the reason(s) for doing so. The Chairman or a delegated Member presents the Report to Parliament. Reports are laid in both Houses and are NOT debated.

Reports laid For the life of this Parliament, two (2) PA(E)C Reports have been laid Report on CNMG was laid in the HOR on September 12, 2012. Caribbean Airlines Limited (CAL) was laid in the HOR on April 26, 2013 and in the Senate on April 30, 2013. No report has been laid for the PAC since 2006.

The PACs in Action Collectively the Committee identifies the entities for examination. This is usually done in a very adhoc manner. Formal notification & invitation of CEO/Chairman of the entity by the Committee’s Secretary; Circulation of required documents (reports) to Committee Members; Invite Auditor General officials as well as officials from the Comptroller of Accounts Department to assist the Committee during its deliberations; The CEO/Chairman is allowed to bring other representatives who may assist in answering questions;

Relationship with the Auditor General and other Departments The AG acts in an ADVISORY capacity. The AG prepares a brief which include questions for the Committee. PAC is also assisted by the Comptroller of Accounts for the examination of Ministries. The PA(E)C is assisted by the Investments Division of the Ministry of Finance.

Challenges Ministers (Members of the Executive) also serve as Members of the Committees. Members are compensated for part-time work. Many Members don’t see the value of Committee work. There is a large backlog of reports to be examined by the Committee. Lack of expertise by the Members and Staff in financial scrutiny.

Challenges Recommendations in Committees reports receive no attention Lack of Public awareness of the role and function of the Committees

Solutions In November, 2011, the PAC hired a Financial Consultant to assist with its deliberations. With effect from April 2013, two dedicated research officers have been assigned to the Committees. In June 2013, the PAEC adopted a detailed work programme. In July, 2013 the PA(E)C for the first time received comments on its recommendations from an entity.

Solutions Improved relationship between the Committee staff and the staff of the AG’s Department Parliamentary Outreach Programmes with a specific focus on the work of Committees. In June 2013, the PAEC adopted a detailed work programme.

Public Committee Meeting

Training for Members • Post-election Seminars and Conferences; • Visits to other Commonwealth Parliaments; • • Seminars directed specifically towards Committees; Interacting with visiting Parliamentarians.

Post-election Seminars and Conferences

Thank you for you time For more information please: Visit out Website at www. ttparliament. org; Follow us on Twitter @ttparliament; Like our page on Facebook www. facebook. com/ttparliament; or Email us at pac@ttparliament. org and paec@ttparliament. org.