The Evolution of the New Zealand Regulations Review

The Evolution of the New Zealand Regulations Review Committee: Systems, Scrutiny and Complaint Andrew Bayly MP Dep. Chairperson, Regulations Review Committee

Role of the Regulations Review Committee • Technical oversight of regulating powers and legislation (subordinate or secondary/ tertiary regulations and rules) • Counterweight to executive branch “regulatory exuberance” • Public watchdog role through complaints process • A politically ‘balanced’ and ‘independent’ parliamentary committee

Functions of the Regulations Review Committee • Examines all disallowable instruments – 9 criteria used to determine whether to refer • Reporting of draft regulations referred by a Minister • Reporting to subject select committees on regulation making powers in bills • Conducting inquiries into matters relating to regulations • Investigating complaints

RRC role requires political balance • Chaired by an Opposition member • Convention is that it operates by consensus • Handles both routine and contentious issues: - Input on controversial legislation - Sensitive inquiries (Christchurch Emergency Management) - Detailed scrutiny of executive regulatory actions

2014 RRC systematic focus • 80/20 approach to scrutiny of regulations and bills • Active overhaul lodgement and nomenclature (refer to previous presentation) • Complaints prioritised and rigorously pursued: - No ‘sacred cows’ within proper ambit of committee - Specialist expertise engaged when required

Complaints process • Jurisdiction – Is it in relation to a regulation? – Basis of complaint within Standing Orders? • Referral to responsible department or Minister for comment • Hearing of evidence • 58 reports on complaints in 29 years

Actual Complaints Considered • Plumbers, Drainlayers & Gasfitters Board – 2010 issue of compulsory training requirementsdisallowance motion voted down – 2012 issue re levy used for funding prosecutions and investigations - primary legislation amended – 2015 issue re fee for tradesperson supervising untrained persons - Board actions considered justified

Actual Complaints Considered • Shipping charges charged by Maritime NZ – Complaint that cost recovery fees was in fact an “undisguised tax” – Hearings identified complex accounting issues and RRC engaged OAG • Offshore Minerals Fees – Complaint re potential overcharging when new charging regime introduced and not applied retrospectively

Conclusions • RRC is an important constitutional bulwark between Legislation Council and Executive • Role requires political balance and maturity • Current committee taking systematic approach • Keen to streamline lodgement process for subordinate legislation (including agencies) • Complaints process important for public

Remedies and Effectiveness • Reports to the House: recommendations to Government must be responded to within 60 days – Since 2002, 12 Government responses, 17 out of 18 recommendations agreed to • Disallowance – – – 8 motions by members of the committee since 1989 1 motion left to automatic disallowance 1 motion (to amend regulations) agreed to by House 4 motions debated and voted against 2 lapsed on dissolution of Parliament