Public Treasury (Administration and Payments) Act 1969

Legislature has financial control and Minister of Finance has man agement of Government finances

2 The Minister shall so supervise the expenditure and finances of the Government as to ensure that a full account is made to the Legisla ture and its financial control is maintained and for such purposes shall, subject to the Constitution [title 2 item 1], this Act and any other enact ment, have the management of the Consolidated Fund and the supervi sion, control and direction of all matters relating to the financial affairs of the Government which are not by law assigned to any other Minister.

Instructions of Minister to be obeyed

3 (1) Every person concerned in or responsible for the collection, receipt, custody, issue or payment of public monies, stores, stamps, in vestments, securities, or negotiable instruments, whether the property of the Government or in deposit with or entrusted to the Government or any public officer in his official capacity either alone or jointly with any public officer or any other person shall obey all instructions that may from time to time be issued by the Minister or by direction of the Minis ter in respect of the custody and handling of the same and accounting therefor.

(2) The Financial Secretary, the Accountant-General and any other public officer of the Department shall be entitled to inspect all of fices and shall be given access thereto at all times and shall be given all available information he may require with regard to the monies and property specified in subsection (1), and to all documents and records in respect thereof, so far as may in any way be necessary in the opinion of the Minister for the purpose of ensuring compliance with section 2 and subsection (1) of this section.

Accountant-General's Department established

4 (1) The Consolidated Fund shall be administered by the Gov ernment Department called the Accountant-General's Department.

(2) The Department shall, subject to the general direction and control of the Minister, be under the supervision of a public officer who shall be known as the Accountant-General; and the Accountant-General shall have the powers and discharge the duties conferred or imposed upon the Accountant-General by or under this Act or any other provision of law.

(3) The Accountant-General shall exercise a general supervi sion in respect of the arrangements under which payments out of or into public funds are made by or to Government Departments; and the Ac countant-General, subject to such general or special directions as may be given by the Minister in that behalf, may, subject as hereinafter pro vided, from time to time issue such instructions to Government Depart ments as he thinks expedient—

(a) with respect generally to the control and management of public funds by Government Departments and for car rying any provision of this Act into effect;

(b) with respect to the method by which payments are to be made into or out of public funds by Government De partments, and with respect to the conditions subject to which such payments are to be made;

(d) with respect to accounting for public funds by Govern ment Departments:

Provided that instructions issued as aforesaid shall not be in consistent with any Act.

(4) In subsection (3) any reference to a Government Depart ment shall be construed as including a reference to any other public authority.

Accountant-General to maintain books and records

5 The Accountant-General shall cause proper books or other records to be maintained in the Department and shall cause proper en tries to be made in such books or records in respect of every payment made into or out of the Consolidated Fund.

Payment of moneys withdrawn from Consolidated Fund

6 (1) Where by virtue of a warrant monies have been withdrawn from the Consolidated Fund for statutory expenditure or for expenditure authorized by an Appropriation Law or by a supplementary estimate ap proved by resolution of the House of Assembly or by virtue of section 97 of the Constitution [title 2 item 1], then, subject to section 11 and without prejudice to any statutory provision specifying the manner in which par ticular pay ments out of the Consolidated Fund are to be made, the Ac countant-General may, subject to any general or special directions as may be given by the Minister in that behalf pay out such portion of the monies so withdrawn for the purpose for which the expenditure was au thorized as aforesaid, in such amounts and at such intervals as appear to him con venient:

Provided that no such payment for any particular purpose shall exceed the amount which the Constitution [title 2 item 1], law, Appropri ation Law, sup plementary estimate or resolution authorized for such purpose.

(2) Where monies have been lawfully withdrawn from the Con solidated Fund and the purpose for which such withdrawal was autho rized was the payment to any society, organization or body of persons (not being a public authority), if it is made to appear to the Minister that such society, organization or other body of persons has ceased effectively to carry out in a proper manner the func tions in respect of which the payment was authorized or required to be made, the Minister may by notice in writing direct the Accountant-Gen eral not to make the pay ment, or any part of the payment, or to make the payment or any part thereof subject to such conditions as the Minister may require to be im posed; and where any such direction as aforesaid is given by the Minister he shall lay a copy of the direction together with his reasons therefor be fore both Houses of the Legislature.

Moneys paid in error into Consolidated Fund

7 Where any monies have been paid in error into the Consolidated Fund the amount of such monies shall be a charge on the Consolidated Fund for the repayment thereof.

Financial year

8 The financial year in Bermuda shall, for the purposes of manag ing and accounting for public funds be the period of twelve months ex tending from the first day of April in any year to the thirty-first day of March in the year next following and accordingly, for the purposes of section 102(1) of the Constitution [title 2 item 1] the first day of April in any year is hereby prescribed as the beginning of the twelve months con stituting the financial year.

Consolidated Fund to be managed on accrual basis

9 The accounts of the Consolidated Fund shall be managed on an accrual basis and, in respect of any financial year, there shall be in cluded in the revenue and expenditure accounts all items of revenue which become due, and all items of expenditure which are incurred, in that year, without regard to the actual date of receipt or payment of any item.

Contingencies fund

10 (1) The Minister may establish a contingencies fund by with drawing from the Consolidated Fund monies not exceeding in the aggre gate twenty-four thousand dollars or such greater sum as the House of Assembly may by resolution approve.

(2) The Minister may make advances from the contingencies fund if he is satisfied that there is an urgent and unforeseen need for ex penditure for which no other provision exists.

(3) When any advance is made from the contingencies fund supplementary estimate shall, as soon as practicable, be laid before the House of Assembly for the purpose of authorizing the replacement the sum so advanced.

Public Service Superannuation Fund

10A (1) The Minister shall establish a fund to be called the Public Service Superannuation Fund (in this section referred to as "the Fund") into which he shall pay such sums of money as have been set aside in the Consolidated Fund for that purpose.

(2) The Minister shall pay into the Fund any amounts which may be authorized by the Legislature from time to time as Government's contribution to the Fund.

(3) The moneys paid into the Fund shall be invested in accor dance with the Public Funds Act 1954 [title 15 item 1] and the interest earned on such investments shall be paid into the Fund.

(4) There shall be paid into the Fund any amounts deducted by the Accountant General from the salaries of public officers or other em ployees in the public service as may be agreed with the representative associations of such public officers or other employees (as the case may be).

Conditions of payments out of Consolidated Fund

11 (1) Where any expenditure is authorized and required by the Constitution [title 2 item 1], any law, Appropriation Law or supplemen tary estimate, then the following provisions of this section shall (without prejudice to any other statutory provision specifying the manner in which particular payments out of monies lawfully withdrawn from the Consolidated Fund are to be made) have effect with respect to the condi tions to be fulfilled before any such payment is made.

(2) Except as otherwise expressly provided, where any expen diture is incurred by or on behalf of or in connection with the operation of any Government Department or other public authority, then the ap propriate public officer of the Government Department or public author ity shall cause the bill, invoice or other statement of account duly pre sented in respect of the transaction in question to be certified, and shall
as soon as may be cause the bill, invoice or other statement of account certified as aforesaid to be transmitted to the Accountant-General.

(3) The Accountant-General, upon receiving any bill, invoice or statement of account, certified in accordance with sub section (2) and on being satisfied that he is authorized or required to make the payment, shall cause the appropriate payment to be made out of the monies law fully withdrawn from the Consolidated Fund to the person or public au thority in respect of whom the expenditure was incurred, and shall cause the appropriate entries to be made in the books or other records main tained in accordance with section 4.

(4) In this section "the appropriate public officer"—

(a) in relation to a Government Department, means the Permanent Secretary or Head of the Department, or, where there is no Permanent Secretary or Head of that Department, then the senior Executive or Administrative Officer in that Department, or, in either case, such other public officer in that Government Department as the Minister may by notice in writing appoint; and

(b) in relation to any other public authority, means the Chairman, President or other Minister or officer of the public authority for the time being exercising the func tions of, or functions analogous to the functions of, Chairman or President of that authority, or such public officer exercising any functions in connection with the exercise of the functions of that public authority as the Minister may by notice in writing appoint.

(5) Nothing in the foregoing provisions shall have effect with re spect to payments in relation to monies lawfully withdrawn from the Consolidated Fund upon the authority of a warrant under the hand of the Governor issued pursuant to section 95 (1) of the Constitution [title 2 item 1].

Payments out of Consolidated Fund for salaries, special allowance, overtime and pensions

12 (1) This section shall have effect with respect to the payment out of the Consolidated Fund of sums—

(a) in respect of salary and special allowances and overtime pay, payable to an established officer or to a non-estab lished officer within the meaning of that Act or to a per son appointed to act temporarily in any established or non-established office;

(b) in respect of pension payable to any person under the Public Service Superannuation Act 1981 [title 9 item 31];

(d) in respect of any pension, annual grant or annuity payable to any person under any Act other than the Acts mentioned in the foregoing paragraphs of this subsec tion.

(2) The payment of the sums in respect of matters specified in subsection (1)(a) shall be made out of the Con solidated Fund to the per son entitled to receive the payment at the rate appropriate in the circum stances as notified to the Accountant-General from time to time by the Secretary to the Cabinet.

(3) Except as otherwise expressly provided, the payment of sums in respect of the matters specified in subsection (1)(a), (b), (c) and (d) shall be made out of the Consolidated Fund to the per son entitled to receive the payment, or to such other person as he may appoint to be his agent to receive any such payment on his behalf, on the last working day of every month, and, in case of broken periods of enti tlement to any such payment as aforesaid, then proportionately for any period during that month during which there accrued any entitlement to such payment.

In this subsection "working day" means any day which is not a public holiday.

(4) Notwithstanding anything in the foregoing provisions of this section, where payment in respect of any of the matters specified in sub section (1) is made to any person in excess of the rate appropriate in the circumstances then (without prejudice to any other lawful remedy which may be taken by any person) the Accountant-Gen eral may withhold from the person to whom the overpayment was made the payment in whole or in part of any sums falling to be paid to that person out of public funds until the amount of the payments withheld equals the amount originally overpaid to that person, and, if such over payment has not earlier been corrected by way of refund or otherwise, then such part of the amount withheld as is required to correct the origi nal overpayment shall be ap propriated to the credit of the vote out of which the original overpayment was made.

Payment out of Consolidated Fund of sums due on death

13 (1) If at the time of the death of any person there is payable to him any sum of money out of the Consolidated Fund, the Accountant-general shall, subject to subsections (2) and (3), pay the sum to the ex ecutor of or administrator of the estate of the deceased person upon pro duction of the probate of the will or letters of administration of the estate of the deceased person, or to any other person on production of an order of the Court addressed to the Accountant-General and directing the payment to be made; and the receipt of any such executor, administrator or other person shall be a good discharge to the Accountant-General for the sum specified therein.

(2) Notwithstanding anything in subsection (1), where a person dies to whom, at the time of his death, a sum of money is payable out of the Consolidated Fund, and there is not pro duced to the Accountant-General within three months after the death—

(a) a probate of the will of the deceased person; or

(b) letters of administration of his estate; or

(d) notice in writing of the existence of a will of the deceased person and intention to prove such will; or

(e) notice in writing of intention to take out letters of ad ministration,

the sum of money may be dealt with in accor dance with the succeeding provisions of this section.

(3) Where the sum of money exceeds twelve hun dred dollars, the Minister, after notice of the in tended payment has been three times published in the Gazette, may order that the sum of money be paid to the person or persons who would in the opinion of the Minister be enti tled to the effects of the deceased per son were letters of administration granted under the law for the time being regulating the distribution of the personal estate of a person dying intestate; and the receipt of any such person or persons to whom any payment is made as aforesaid shall be a good discharge to the Accoun tant-General for the sum specified therein.

(4) Where the sum of money is twelve hundred dollars or less, the Accountant-General, subject to the approval of the Minister, may pay or divide the sum of money to or among any of the persons hereinafter mentioned—

(a) the widow or widower of the deceased person;

(b) any person or persons who would in the opinion of the Accountant-General be entitled to the effects of the de ceased person were letters of administration granted un der the law for the time being regulating the estates of persons dying intestate;

(d) without prejudice to the generality of paragraph (c), any person or persons who are creditors of the deceased per son (including a person or persons who paid the funeral expenses), any person or persons who during the last illness of the deceased person waited on or nursed him or provided him with food or other neces sities, and any person or persons who, but for illegiti macy, would have been eligible for payment under para graph (b) ;

(e) the appropriate officer or authority where the relatives of the deceased person reside outside Bermuda; and

(f) any person or persons undertaking to apply the sum in or towards the maintenance or education of any or all of the children of the deceased person;

and the receipt of any such person or persons to whom any payment is made as aforesaid shall be a good discharge to the Accountant-General for the sum specified therein.

(5) Subsection (3) or subsection (4) (according to the amount of the sum of money) shall also have effect in any case where notice has been given as mentioned in subsection (2)(d) or (e), but no will is proved or (as the case may be) no letters of administra tion are taken out, and produced to the Accountant-General within six months after the death of the deceased person.

Administration of payments due to deceased persons where payee is under legal disability

14 (1) Without prejudice to anything in section 13, where any sum of money falls to be paid in pursuance of subsection (3) or subsection (4) of that section to an infant or other person under legal disability, the Minister may di rect that the payment of the money or any

part thereof is to be adminis tered in the manner specified in subsection (2).

(2) In the circumstances mentioned in subsection (1) the Ac countant-General, subject to the approval of the Minister—

(a) may himself administer the payment of the money; or

(b) may direct any willing person selected by him to be paid the amount of the money and to administer the payment thereof,

for the benefit of the infant or other person under legal disability to whom the sum falls to be paid.

(3) The receipt of any person (other than of the Accountant-General) who administers any payment under the foregoing provisions of this section shall be a good discharge to the Accountant-General for the sum specified therein.

Minister may appoint bank in which Government account may be maintained

15 The Minister may in writing appoint any licensed bank, within the meaning of the Banks Act 1969 [title 17 item 20], to be a bank in which an account on behalf of the Government may be maintained in Bermuda and such account shall thereafter be maintained in any bank so appointed.

Minister may require bank to give security

16 The Minister if he thinks it expedient to do so, may from time to time by Order require any appointed bank to give such security as the Minister may consider adequate to secure the amount of public money on deposit in that bank at the time when the Order is made.

Bank statements

17 Each appointed bank shall prepare and furnish to the Accoun tant-General statements at such times and in such form as he may re quire of all sums deposited in and withdrawn from that bank on account of Government.

Money for change

18 The Accountant-General shall retain in the Department such sums of money as he considers necessary for giving change, and shall cause such advances to be made to officers of other departments as he considers necessary for that purpose.

Payments into Consolidated Fund

19 Any payment into the Consolidated Fund may lawfully be made—

(a) by way of a cheque drawn on an appointed bank; or

(b) by way of a cheque or other negotiable instrument drawn on any other bank (not being an appointed bank) or drawn on any other person, whether or not such other bank or person is in Bermuda, as may from time to time be authorized by the Accountant-General:

Provided that the Accountant-General may, as respects any cheque, require the cheque to be duly certified by the bank on which it is drawn in such manner as to render that bank liable in law for the payment of the amount of the cheque.

Authority for use of non-cash payment systems

19A (1) This section applies to payments to the Government in discharge of obligations owed to the Government by debtors of the Government, whether or not the obligations arise under a statutory provision.

(2) Where a payment to which this section applies is made under and in accordance with arrangements described in subsections (3) to (5), the payment shall be deemed in law to effect satisfaction of the obligation in question, notwithstanding that the money amount of the payment may be less than the nominal money amount due under the obligation.

(3) Subject to subsection (5), the Accountant-General may make such arrangements with such persons as he thinks fit whereby payments to which this section applies may be made with the use of credit cards or vouchers or other methods or devices not involving the use of cheques or money in the first instance.

(4) Arrangements referred to in subsection (3) may include provision—

(a) whereby the money obligation of a debtor is discharged by some person other than the debtor ("a third party"); and

(b) whereby a third party is paid a commission or allowed a rebate in consideration of his participation in the arrangements.

(5) Arrangements shall not have effect for the purpose of

Minister may write-off loss of public money up to $600

22 The Minister, where it appears to him to be equitable and proper in the circumstances, may direct that any loss of public money not ex ceeding in the aggregate the sum of six hundred dollars shall be written off; and upon any such direction being given the Accountant-General shall cause the entries in the books or other records maintained under section 5 to be adjusted accordingly.

Advances between public funds

23 The Accountant-General, subject to such general or special di rections as may from time to time be given by the Minister, may make such temporary advances from one public fund managed and adminis tered by him to any other public fund and vice versa as appears to him expedient and economical.

Cheques drawn on Consolidated Fund remaining unpaid for six months

24 Where after payment has been duly made to any per son out of the Consolidated Fund by way of a cheque drawn in accor dance with section 21 that cheque is not paid within six months of the date on which the cheque was drawn, no payment shall thereafter be made upon that cheque and the amount of such cheque shall be appropriated to the general revenue of Bermuda:

Provided that the Minister may at any time, where he thinks it equitable and proper in the circumstances, direct the payment of the amount of any such cheque to any person after the elapse of the period of six months as aforesaid.

Government account with Crown Agents

25 The Accountant-General shall keep the general account of the Government with the Crown Agents, and shall from time to time make such remittances to the Crown Agents for the credit of the general ac count as are necessary or are in his opinion expedient.

Investment of balance with Crown Agents

26 (1) In any case where there is a balance in the general account of the Government with the Crown Agents standing to the credit of the Government, then the balance shall be subject to the management and control of, and may be invested by the Minister, subject to and in accor dance with the Public Funds Act 1954 [title 15 item 1].

(2) Any sums earned by way of any such loans or deposits as aforesaid shall, subject to payment of the appropriate commission, if any, to the Crown Agents, be placed to the credit of the Government in the general account of the Government with the Crown Agents.

Minister may appoint committee to take account of public moneys where officer ceases effectively to discharge duties

27 (1) Where the Accountant-General or any other offi cer in the Department who has the charge or custody of public monies (otherwise than as respects the charge or custody of sums of money ad vanced un der section 18 for giving change), ceases for any reason effec tively to dis charge the duties of the office by virtue of which he had the charge or custody of those public monies, the Minister may by notice in writing appoint a committee of three persons (including a chairman of the com mittee) to take proper account of the public monies which are in the charge or custody of that officer or were in his charge or custody at the time when he ceased effectively to dis charge the duties of his office.

(2) An officer relinquishing or assuming the charge or custody of public monies, and a committee appointed under subsection (1) to take proper account of public monies, shall complete and sign such re ceipts or statements of accounts, and shall cause such receipts or statements of accounts to be delivered to such persons, as the Minis ter may from time to time direct.

(3) Any person having for the time being possession of any key of a receptacle or vault in which public monies are kept (other than the key to a vault in any appointed bank) shall upon demand deliver that key to a committee appointed under subsection (1).

(4) Where an account is maintained on behalf of the Govern ment in an appointed bank, then in any such case the bank shall, upon demand by a committee appointed under subsection (1), furnish to the committee a certificate signed by an officer of the bank showing the bal ance in the bank to the credit of the Government at the close of busi ness on the day last preceding the making of the demand.

(5) Every member of a committee appointed under subsection (1) shall be entitled to receive out of the Consolidated Fund the sum of two dollars and forty cents in respect of each day or part of a day during which that committee meets to take account of public monies, to be paid on the certificate of the chairman of the committee.

Powers of committees appointed to investigate accounts of Consoli dated Fund

28 (1) Without prejudice to anything in section 27 any committee appointed by the Minister or by either House of the Leg islature to inves-

tigate the accounts of the Consolidated Fund may in spect and take ac count of the public monies in the charge or custody of any officer of the Department.

(2) In any case where a committee is appointed by either House of the Legislature to investigate the accounts of the Consolidated Fund and the Legislature is dissolved while that committee remains undis charged, that committee may, notwithstanding such dissolution, con tinue to exercise its powers until duly discharged by the House of the Legis lature which replaces the House by which the committee was ap pointed.

Minister may surcharge Government employee

29 (1) If it appears to the Minister that any person who is or was in the employment of the Government—

(a) has failed to collect any monies owing to the Government for the collection of which he is or was responsible; or

(b) is or was responsible for any improper payment of public monies or for any payment of monies which is not duly vouched; or

(c) is or was responsible for any deficiency in, or for the de struction of, any public monies, stamps, securities, stores or other Government property;

and if a satisfactory explanation is not, within a period specified by him in writing, furnished to the Minister with regard to such failure to collect, improper payment, payment not duly vouched, deficiency or destruction, the Minister may surcharge against such person a sum equivalent to the amount not collected, payment, deficiency or loss or the value of the property destroyed as the case may be.

(2) The Minister shall cause the person surcharged to be given notice in writing thereof.

(3) The amount of any surcharge made under this section shall, subject to section 30 be a debt due to the Government from the person against whom a surcharge is made and shall, without limit of amount, be recoverable by the Minister from that person before a court of summary jurisdiction in the manner provided in the Magistrates Act 1948 [title 8 item 15], for the recovery of a debt or liquidated demand.

Minister may withdraw surcharge

30 The Minister may at any time in writing withdraw any surcharge in respect of which a satisfactory explanation has been received or if it otherwise appears that no surcharge should have been made and there upon the amount of the surcharge shall cease to be a debt owed to the Government.

Appeal against surcharge

31 (1) Any person aggrieved by a surcharge made against him un der section 29 may appeal to the Governor against such sur charge within a period of fourteen days after he has received notice of the sur charge:

Provided that the Governor may give leave to appeal after the ex piration of such period of fourteen days.

(2) The Governor, after such further investigation as he thinks fit and after considering any representations made by or on behalf of the appellant, shall make an order confirming the surcharge or directing that the appellant be released in whole or in part from the sur charge as may appear just and reasonable and the Minister shall act in accordance with such order.

Deduction of surcharge

32 Without prejudice to the right of recovery under section 29(3), the Minister may direct that the amount of the surcharge shall be recov ered by such equal monthly instalments as the Minister may specify by deductions from the emoluments of the person sur charged where such person is in receipt of emoluments from the Gov ernment:

Provided that such instalments shall not exceed one-sixth of the monthly emoluments of that person.

Accountant-General to prepare accounts

32A (1) The Accountant-General shall, within the statutory period after the last day of each financial year, sign and deliver to the Auditor accounts showing the financial position of the Consolidated Fund on the last day of that year.

(2) The above accounts shall include the following statements in respect of the Consolidated Fund—

(a) a balance sheet;

(b) a statement of income and expenditure;

(d) a statement of changes in financial position;

(e) any other statement that the accounting principles stated in the accounts call for if the Fund's financial position is to be fairly presented.

(3) The expression "statutory period" in subsection (1) means four months or, if in relation to a particular financial year the Minister approves in circumstances explained to him by the Accountant-General affecting that year, six months.

[section 32A inserted by 1991:19 effective 30 May 1991]

Minister may make regulations

33 (1) The Minister may make regulations as appear to him to be necessary or expedient for the proper carrying out of the intent and pro visions of this Act.

(2) The negative resolution procedure shall apply to regulations made under this section.

Repeal and transitional

34 [omitted]

Consequential amendments

35 [omitted]

General amendments

36 [omitted]

Saving

37 Nothing in this Act shall derogate from or abridge any provision of any Act by or under which provision is made for the establishment and administration of a particular public fund.

SCHEDULE

[omitted]

[Amended by:

Bermuda Consolidated Legislation

Public Treasury (Administration and Payments) Act 1969