Document 1 DEPARTMENT ofthe PRIME MINISTER and CABINET Briefing Note 20 February 201 To: From: For your: Agreement Subject: Rt. Hon. Bill English: Prime Minister John Beaglehole, Director National Security Policy SHORTLIST FOR APPOINTMENT OF THE TELLIGENCE AND Purpo 1. Recommendations 0 2. I recommend that you: ADVISORY PANEL 5e ?96? This note seeks your agreement to a shortlist of ex 0 from which the two members of ?s the lnsoector-General of Intelligence and Sec visory Panel will be selected in accordance with the new Intelligence and.S Bill. It also seeks your agreement to the duration of the appointments. e0 Agree to the propos Ist of six people for the appointment of the two members of the Intspecor-Gen - ra visory Panel, comprising: Agree Disagree 391neao_1 APPOINTMENTS - Agree that for the sake of future continuity of Advisory Panel membership and experience, the durations of the two appointments should be different, with one being for the maximum period of five years permitted under the Bill and the other for three years. Disagree x} ?1 't I . J??fI-g r/g I lothn Beaglehole Rt. Hon. Bill English Director, National Security Policy Prime Minister Background 3. The Inspector-General of Intelligence and Security has a-two-person Advisory Panel which now needs to be reconstituted. The appointments will be made under the terms of the new Intelligence and Security Bill, noting that while theBill is still being considered by Parliament, its provisions relating to the Advisory Panel will come into force as soon as the Act receives Royal assent. The appointments will bemade after that date. 4. Twenty-one applications were received for the two positions. We had sought candidates with an in?depth understanding of the public sector and/or public law; understanding and strong interest in international and national issues; and an appreciation of the role of the intelligence community and the signi?cance of independent oversight of that community. A number of the applicants met the criteria, with evident that the Inspector?General assessed would be yaluable for the functions she needs her Advisory Panel to carry out. 5. A shortlist has been developed by DPMC in consultation with the Inspector-General and the Hon Christopher Finlayson in his capacity of both Atto may-General and Minister responsible for the two intelligence agencies. The shortlist i recommend for your consideration is: 9 (OWN) ?a 3910680_1 9(2)(ba)li) I propose that in the first instance, only the first four of these be interviewed. 6. The Intelligence and Security Bill provides for Panel members to be appointed for a period of up to five years. Both the inspector-General and I consider it desirable to have continuity of membership on the Panel. To thatend, I propose that one appointment should be for the maximum permitted period of five years, while the othershould be for three years. Members of the Panel are eligible for reappointment. I seek your agreement to these proposed terms of appointment. Next steps 7. Once interviews have been conducted, the recommended appointees will be submitted to you for your agreement. At that stage we will seek your agreement to the nomination of one ofthe two as the Panel?s chair. Both appointments will be conditional on the appointee holding or obtaining the requisite Top Secret Special security clearance. The intelligence and Security Bill requires you to consult Parliament?s Intelligence and Security Committee on your recommended appointments. Following that consultation, DPMC will prepare a paper for you to take to APH and subsequently Cabinet. The appointments are ?nally made by the Governor-General on your recommendation. 391oasu_1 Document 2 DEPARTMENT of the PRIME MINISTER and CABINET Briefing Note 21 April 2017 To: Rt. Hon. Bill English: Prime Minister From: John Beaglehole, Director National Security Policy For your: Agreement . ?j Subject: APPOINTMENT OF THE MEMBERS OF THE AND ADVISORY PANEL Purpose 1. This note seeks your endorsement of the preferred candidates for the two positions on the Inspector-General of Intelligence and Security?s Advisory Panel. Recommendations 2. I recommend that you: I Agree to propose the appointment of gains)?; as the Chair of the Adyisory Panel for a term of five years commencing as soon as the Misagree appointment processes have. been completed; - 0 Agree to propose the appointment of; SLPQIWU) I as a member of the Advisory Panel for a term of three years, subject towxalobtaining New Zealand citizenship and the requisite Top Secret Special Disagree Agr I Agree that the members of the Advisory Panel should be remunerated at Evirates in the ranges specified for Group 2 Level 1 bodies in the Cabinet-approved fees framework for members appointed to bodies in which the Crown has an interest (Cabinet circular CO (12) 6 of 19 December 2012), the actual rates being $1,000 per day for the Chair and $638 per day for the member; (Agre?isagree security clearance; APPOINTM - Agree, subject to your agreement to the above recommendations, to consult the members of the Intelligence and Security Committee about the pro posed appointments. ?39 My kin Beaglehole/ Rt. Hon. Bill English A ector, National Security Policy Prime Minister 0? lnspector?General's Advisory Panel proposed appointees (as 3. The members of the Inspector-Generai?s Advisory Panel are under the terms of the Intelligence and Security Act 2017, relevant provisioeg ch took effect on 28 March ge 2017, when the Act received Royal assent. The memb appointed for terms of up to five years and may from time to time be reappointed\' hout restriction. 4. On 7 March you agreed to a shortlist of foul: be interviewed for the two positions on the Advisory Panel. The four were You alsoagreedtha to ure continuityof membershl andexperience Inutu re, one member should ointed for the maximum term of five years and the other for three years. 5. The iWanel was chaired by Caroline Tremaine, Comptroller of Customs and also in lu ik Coed, Assistant Commissioner, State Services Commission; Jeff Orr, Chief Legal Cw Ministry ofJustice; and John Beagiehole, Director, National Security Policy, DPMC. 6' Qie Interview panel recommended that be appointed as Chair of the 9. Advisory Panel forfive years. <7 \0 Q3) 7. The interview panel recommended be appointed as a Panel member for three years, subject to glz'il?i obtaining New Zealand citizenship and the requisite national security clearance. Because of the need for9i2iia). "9(2iibaii'ii to obtain both citizenship and security clearance, W1, appointment will not be able to be completed as soon as that becomes eligible to apply for citizenship in early July. - Remuneration The Intelligence and Security Act 2017 specifies that Advisory Panel members should receive remuneration in accordance with the Cabinet-approved fees framework for members appointed to bodies in which the Crown has an interest (Cabinet Circular CO (12) 6 of 19 December 2012). The Advisory Panel is classified as a Group 2 (Statutory Tribunals and Authorities) body under the Framework and our evaluation of the Advisory Panel?s functions and responsibilities indicates that the Panel would qualify at the highest level of that Group. The State Services Commission agrees with this evaluation. Accordingly, I recommend that the Advisory Panel members be remunerated at daily rates of $1,000 for the Chair and $638 for the member. Next steps 10. Subject to your agreement to the proposed appointments, the next step is for you to consult the members of the Intelligence and Security Committee. For that purpose, a draft letter is attached for your consideration. Once the Intelligence and Security Committee has been consulted, DPMC will prepare a paper on the appointments for you to take to APH and then Cabinet. Should you agree to propose the appointment g, all of these steps can be carried out under the condition that the actual appointment can be made by the Governor?General only when??ii has obtained the requisite security clearance and New Zealand citizenship. Document 3 From: ?Parliament: James Christmas Sent: Monday, 24 April 2017 4:04 PM To: John Beaglehole Cc: 6(3) 1 Subject: RE: Memo for PM on appointment of the Advisory Panel . HiJohn, The PM has agreed with the appointment 9(2)(ba)ti)l' but does not agree to the appointment oflm i l. Are we able to proceed with an alternative candidate? Regards, James From: 6(a) - I :[mailto Sent: Thursday, 20 April 2017 3. 58 p. m. .. - To: James Christmas ; l@parliament. govt. n2> 7' Cc: John Beaglehole Subject: Memo for PM on appointment of the IGIS Advisory Panel 3 NTM James 69l2Xa-il Attached is a soft copy of a memo for the PM seeklng his endorsement of the two proposed appointments to the IGIS Advisory Panel. The hard copy of this come across to you, hopefully tomorrow. The memo also seeks the 5 agreement to sending a letter to the ISC members consulting them about the appointments. A draft of the letter from the PM to ISC members Is included and also attached as a Word document. if the PM does agree to proceed as recommended you will need the Word version of the draft letter to date and put on letterhead. 6 At a later date we will provide'yQuWith similar documents relating to the appointment of the Deputy IGIS. Thanks {65" ?l 5(3) Principal ?Policy Adviser Nattonal Security Policy I Department of the Prime Minister and Cabinet 39(2)(a) DEPARTMENT Nib Kereru. 359(2)(a afme PRIME l1 - 599W) l?dm and CABINET The information contained in this email message is for the attention of the intended recipient only and is not necessarily the of?cial view or communication of the Department of the Prime Minister and Cabinet. If you are not the intended recipient you must not disclose. copy or distribute this message or the information in it. if you have received this message in error. please destroy the email and notify the sender immediately. . . Document 4 Prime Minister 09 MAY 2017 Members, Intelligence and Security Committee: Hon Amy Adams MP Hon Christopher Finlayson QC MP Mr Andrew Little MP Rt Hon Winston Peters MP Appointment of the members of the Inspector-General of Intelligence and Security?s Advisory Panel In accordance with Section 169(1) of the Intelligence and Security Act 2017, I am consulting you about the government's proposal to appoint as the Chair of the Inspector-General's Advisory Panel and $131181? as the second member of the Advisory Panel. (283"; it? s" The two positions on the Inspector?General?s Advisory Panel were advertised last December and attracted 21 applications. Candidates were sought with an in-depth understanding of the public sector and/0r public law; understanding and strong interest in international and national Issues; and an appreciation of the role of the intelligence community and the significance of independent oversight of that community. A number of the applicants had evident that the Inspector-General assessed would be valuable for the functions she needs the Advisory Panel to carry out. Four short?Iisted candidates were interviewed by a panel comprising: . Carolyn Tremain, Comptroller of Customs (Chair) . Erik Coed, Assistant Commissioner, State Services Commission 0 Jeff Orr, Chief Legal Counsel, Ministry of Justice - John Beaglehole, Director, National Security Policy, DPMC. The Inspector-General was consulted by DPMC in the preparation of the shortlist, but was not involved in the selection of the appointees to ensure that the independence of the Advisory Panel, which is implicit in the legislation, was preserved. Private Bag 18041, Parliament Buildings, Wellington 6160, New Zealand. Telephone 64 4 817 6800 I would apprecia ?our views on these proposed appointments. Should you have any questions, wo please get in touch directly with DPMC Chief Executive. Andrew Kibblewhg will be available to discuss matters with youHon English Prime Minister Document 5 From: i Sent: Tuesday, 6 June 2017 1:31 PM To: Cc: John Beaglehole Howard Broad Subject: RE: Appointment of Inspector-General's Advisory Panel 'i . There is no issue with the appointments coming through APH before the election. APH is running up until :15 August so there?s plenty of time to get both appointments through. The decision as to whether an appointment is significant Is yours and the Minister 5, based on our guidance 17 Government Decisions and Actions in the Pre- election Period. As discussed on Friday, we would likely consider these appointments significant given the'topical nature of the Pa nel?s work. One option for appointments in the pre-election period is to consult with the opposition, which occurs for these appointments via the ISC. Therefore, it can be noted in the paper that they have gone through the ISC who agree with the appointments, and proceed as normal with the proposed/agreed terms. 9(2xa); From. 6(a Sent: Tuesday, 6 June 2017 dpmc.govt.nz> . Cc: John Beaglelhole Howard Broad i@dpmc. govt. nz> Subject: Appointment of Inspector- -General' 5 Advisory Panel APPOI NTM ENTS Hello 9(2)(3 l, I should appreciate further advice from you about our completion of two further appointments that have been underway for some time now. These are for the two members of the Inspector-General?s Advisory Panel (the previous Panel?s terms having'eXpired at the end of October last year). The Panel members are part time positions. in practice, the Inspector-General expects to have regular meetings with the Panel and to consult them on other Occasions as the need arises. The process so far has been We advertised the positions and interviewed short? listed candidates. In the opinion of the interview panel, two candidates interviewed were appointable and two were not. 4?s. gig-{l We sought the agreement to nominate the two preferred candidates and provided him with a letter about the appointments for the members of the Intelligence and Security Committee who must be consulted about the appointments). The situation now is that we wish to put up the first proposed appointee for consideration by APH and Cabinet prior to the Governor-General making the appointment on the recommendation of the PM. While we are conscious that we are now in the pre-election period, it is not clear that the Advisory Panel members qualify as significant appointments and in any event there has been cross-party consultation through the ISC. The Opposition members of the ISC (Andrew Little, Winston Peters) support this appointment. Grateful for your advice on the acceptability of proceeding with this appointment given the above background. We are reluctant to have to wait until after the election before resuming the appointment process, not least because the Inspector-General has been without an Advisory Panel for seven months already. We are also s_ee_k_in_g_ to p_rogr_e_s_s a s_e_cond _a_ppointment but the proposed appointee is ruled out and i We have consulted the Inspector- -General about suitable alternative appointees and have run these and other options past Andrew Kibblewhite. We now have a number of candidates that Andrew Howard and John consider would be strong appointments (noting that none of them applied when the positions were advertised). Once we have a preferred choice who would be Willing to serve on the Panel we intend to propose this person to the PM and suggest that he consult the 15C again _noting how and why this proposal has arisen. We would again like to take this appointment through to conclusioh as soon as practicable and without waiting until after the election. Grateful for your advice on the of doing so if we can get the support of the PM and the members of the ISC. - Thanks for your assistance. 26(8) l6 (8) .. I Principal Policy Advisor .- National Security Policy - -. Department of the Prime Minister and Cabinet 3-. "l 59(2)(a) .. DEPARTMENT ?it: I Kereru. fifths mums I s9(2)(a) dome. govtzn and CABINET The information contained in this email message is for the attention of the intended recipient only and is not necessarily the of?cial view or communication of the Department of the Prime Minister and Cabinet: If you are not the intended recipient you must not disclose, copy or distribute this message or the information in it. If you have received thismessa?ge in error, please destroy the email and notify the sender immediately. . i Document 6 From: 6(8) 9 Sent: Friday, 16 June 201711:13 AM To: AParliament: James Christmas Cc: John Beaglehole Subject: lGIS-related appointments (WM InWilmaeqnd Advisory Panel). request for advice on . state of play i Attachments: Brief for Prime Minister Proposed appointees for IGIS Advisory Panel PositionDOCX; Not relevant to your request I I Importance: High WHEE- Hilames As we work towards finalising the agenda for next Wednesday? 5 ISC meeting, grateful for advice on where you have bEen able to get to in discussing ou nd Advisory Panel appointment memos with the PM. have spoken to 9(2l(3) about this but he' Is unaware of where matters have got to. Not relevant to your request *3 ?2 a On the second Advisory Panel member, following the decision not to proceed with the original nomination, we have proposed the PM agree to submit two alternative nominees 9(2Mal. 9(szan and 9(2)(ba)(i)i to ISC members for their consideration and that the PM agree to take to APH and Cabinet whichever of the two is favoured by the ISC. A memo on this with bios ofthe nominees and a draft letter from the PM to ISC members came across to PMO last week, a copy of the memo is attached. We recognise that this is not a standard course of action. it would be more usual for the PM to endorse a proposed appointee and submit that proposal only to the ISC for its consideration. - if the PM has considered these matters and we are in a position to proceed, or would be able to do so on Monday, it would be good to have a discus'siori'about both appointments as an agenda item on next Wednesday?s meeting. To ensure that members get adequate notice, we would need a decision not later than Monday to include an item on the ISC agenda. Otherwise, the two appointment issues will need to be submitted separately to members as out of session items. Separately, we have5a paper ready to submit to the PM for presentation to APH and Cabinet on the appointment of to the 5 Advisory Panel. It would be desirable, however, to expand this to include the appointment 012:? relevant '0 ?ml and the second Advisory Panel member if we can obtain the 5 endorsement of both and complete the ISC consultations In timely fashion. Thanks 6(a) 6(a) Principal Policy Adviser National Security Policy Department of the Prime Minister and Cabinet . 'aa' . 2x fj DEPARTMENT oftha PRIME MINISTER $2 dgmc.goyt.nz and CABINET The information contained in this email message is for the attention of the intended recipient only and is not necessarily the of?cial View or communication of the Department of the Prime Minister and Cabinet. If you are not the intended recipient you must not disclose, copy or distribute this message or the information in it. If you have received this message in error, please destroy the email and notify the sender immediately. APPOINTMENTS Document Ga DEPARTMENT ofthe PRIME MINISTER . and CABINET Wt}; Briefing Note 9 June 2017," To: Rt. Hon. Bill English: Prime Minister From: John Beaglehole, Director National Security Policy For your: Agreement Subject: APPOINTMENT OF A MEMBER OF THE INSPECTOR- GENERAL OF INTELLIGENCE AND ADVISORY PANEL Purpose 1. This note seeks your endorsement of two potential candidates for the second position on the Inspector-General of Intelligence and Security?s Advisory Panel. It proposes that you consult the Intelligence and Security Committee'about both candidates and take forward a nomination for the position to APH and Cabinet in accordance with the outcome of the Committee?s discussions. Recommendations 2. recommend that you: 0 Note that ISC members did not support the proposed appointment 0f9i2lia). 9(2)(ba)(II as a member of the lnspector-General?s Advisory Panel; 0 Note that subsequent consultations with the inspector?General and within DPMC have identified strong potential appointees of whom Beta). 9(21IbamI and 9(2)(ba)(iI are considered most suitable; 0, Agree to support the nomination of either Hera) 9(2libaiilI 9(2)(ba)(II as the second . member of the nspector~General?s Advisory Panel and to propose both for consideration by the Intelligence and Security Committee; Agree Disagree 0 Agree that the proposed appointee to be put forward to APH and Cabinet should be determined by the outcome of discussions in the intelligence and Security Committee. Agree/ Disagree APPOINTM Agree that the appointee to the Advisory Panel position should be remunerated at a daily rate in the range specified for Group 2 Level 1 bodies in the Cabinet-approved fees framework for members appointed to bodies in which the Crown has an interest (Cabinet circular CO (12) 6 of 19 December 2012), the actual rate to be determined in discussions between DPMC and the proposed appointee. 5' Agree Disagree John Beaglehole Rt. Hon. Bill English Director, National Security Policy Prime Minister lnspector-General?s Advisory Panel proposed appointee 3. Following your decision not to proceed with the appointment to the Inspector- -Genera ?s Advisory Panel given opposition to the appointment from ISC members, DPMC has canvassed options for an alternative appointee. Our internal discussions and consultations with the a number of people with relevant governance oversight or judicial backgrounds who we believe would be strong appointees. The two whom I consider would be most suitable are anld 1 I l? Both have indicated their willingness to be considered for the positioh. Their biographies are attached. Subject to your agreement, I recommend that you should put forward both of them for consideration by the intelligence and Security Committee. A draft letter is attached for you co nsl'ld??ta't?ion. Remuneratiop*' 5. The-intelligence and Security Act 2017 specifies that Advisory Panel members should receive .- 3' remuneration in accordance with the Cabinet-approved fees framework for members appointed to bodies in which the Crown has an interest (Cabinet circular CO (12) 6 of 19 December 2012). The Advisory Panel is classified as a Group 2 (Statutory Tribunals and Authorities) body under the Framework and evaluation of the Advisory Pa nel?s functions and responsibilities indicates that the Panel would qualify at the highest level of that Group. The State Services Commission agrees with this evaluation. Accordingly, I recommend that this second appointee to the Advisory Panel should be remunerated at a daily rate within the Group 2, Level 1 members band set by the Fees Framework, the actual rate to be agreed in discussions between DPMC and the appointee. APPOINTMENTS APPOINTMENTS Document 7 21 June 2017 Members, Intelligence and Security Committee: Hon. Amy Adams MP Hon. Christopher Finlayson QC MP Mr Andrew Little MP Rt. Hon. Winston Peters MP Appointment of a member of the Inspector-General of Intelligence and Security?s Advisory Panel 1 1. Last month I consulted you about the government's proposal to i to Chair the Inspector-General?s Advisory Panel and 9(2Xbam to be the second member of the Advisory Panel. As a result of the views you expressed, I decided not to proceed with the appointment of and asked officials to come up with an'alternative nominee. The process for the proposed appointment for a term of two years is continuing. 2. DPMC officials have diSCUssed other people with relevant governance, oversight orjudicial backgrounds who they believe would be strong appointees Within ?than? and they have consulted the Inspector?General. They have proposed: 1% f" ?uh?Tr-33 an alternative candidate. I endorseit nomination and propose thxatdigj?m?; should be appointed for a term of three years to ensure continuity of experience on the Advisory Panel. has indicated willingness to be considered for the position. biography is attached. 3. consider that9(2?(a" 9mm?): would make a strong contribution to the oversight of the New Zealand intelligence community as a member of the Advisory Panel alongside I would appreciate your views on appointment. Should you have any questions, would you please get in touch directly with Andrew Kibblewhite, who would be available to discuss matters with you. Would you please note that this matter is subject to the Committee?s secrecy rules and there may be privacy issues since the appointment may be subject to security clearance requirements. There should be no publicity about the proposed appointee until an announcement is made following the formal appointment by the Governor?General. Rt. Hon. Bill English PRIME MINISTER Document 8 From: AParliament: James Christmas Sent: Friday, 30 June 2017 8:57 AM To: Fla) Cc: John Beaglehole i Subject: RE: Draft Letter from PM to ISC members concerning appointment of IGIS Advisory Panel member Hi all, Despite my best efforts over the last few days, we have a problem: Amy Adams will not support the apchintment of The other person you proposed won?t make it through, either. Are we able to come up with a couple more options? James From:6(a) [mailto 6(a) ?@dpmc.govt.n2] Sent: Tuesday, 20 June 2017 11:24 am. To: James Christmas Cc: John Beaglehole i 9(2Xa) l@parliament.govt.nz> Subject: Draft Letter from PM to ISC members concerning appointment-of IGIS Advisory Panel member Hi James As promised, here is the draft revised letter to go from the PM to ISC members about the appointment of the second Advisory Panel member. John is happy with this draft. Please note that we have arbitrarily proposed that should be appointed for a term of three years to ensure continuity of experience on the Panel. The term of appointment was not considered in the memo for the PM we originally sent you. The Intelligence and Security Act allows for appointments of up to 5 years, so this is a compromise recognising that it is proposed 9<2libal?i be appointed for 2 years. copy for you to show Andrew at your discretion, recognising that he is again nominated as a point of contact should lSCme'mbers have questions. Thanks 6(8) 6(a) Principal Policy Advisar National Security Policy Department of the Prime Minister and Cabinet DEPARTMENT afthc mum: Ml Kerer?: 59(2Xal and CABINET dpmc.govt.nz Document 9 From: 9(2l(3) Sent: Monday, 2?_l August 2017 4: 34 PM To: 6(a) I Subject: RE: Documents for Governor General' 5 appointment 0f9(2)(a). as ENot relevant to your request I and 9(2)(ba)(ii to lGlS?s iAdVisory Panel I I I Hi6(a) 'The Panel appointment did not go through Cabinet today. relevant t6 your request Cf? I 9(2Xa): From: i Sent: Thursday, 17 August 2017 3: 02 p. m. it dpmc.govt.nz>; 9(2)(a ?@parliament. govt. nz> - Cc: John Beaglehole 9(2)(a a) I@dpmc. govt nz> Subject: Documents for Governor~Genera appointment of .szlla) Saw?) as relevant to your request? and 99x3) to 5 Advisory Panel ((aIz) Here are the documents for the Governor- General 5 appointments ofPi2Xa) andl 9(2)(ba)(II_ Would you please note that the covering letter for (ball'l appointment is incomplete as itl refers (in a sentence highlighted' In red) to the Minute of the Cabinets appointments decisions which are only to be taken next Monday. The reason for this' Is that the PM 5 recommendation Is to appoint; for a term of two years rather than the maximum of 5 years permitted by the statute. Cabinet Is being asked to note that recommendation (not agree to it) next Monday. If you consider it unnecessary to inClude this reference to Cabinet? 5 decisions could you please modify the covering letter appropriately. If you consider it necessary to include the reference could you please add it once known. Could you also please check my formatting. have checked the substantive detail and believe it to be all correct apart from the highlighted Cabinet reference. Thanks Skapyj 3 Principal Policy Adviser National Security Policy Department of the Prime Minister and Cabinet 9 2 i :ergrul 33232))(8) 59(2)(a) DEPARTMENT -- ofme PRIME amt CABINET The information contained in this email message is for the attention of the intended recipient only and is not necessarily the official View or communication of the Department of the Prime Minister and Cabinet. If you are not the intended recipient you must not disclose, copy or distribute this message or the information in it. If you have received this message in error, please destroy the email and notify the sender immediately. CAB-17-MIN-O449 Cabinet Document 10 Minute of Decision This document contains information for the New Zealand Cabinet. It must be treated in con?dence and (L handled in accorziance with any security classification, or other endorsement. The information can only be released,- inciuding under the Official information Act 1982, by persons with the appropriate authority. (5 and Chat? Portfolio Prime Minister On 21 August 2017, Cabinet: ire-i ?itting tin mi: a92wr4doe9 2018-06-20 10:06:39 CA B-1 8 noted that the Prime Minister intends to report back to Cabinet in due course on the membership of the Inspector-General of Intelligence and Security?s Advisory Panel. Michael Webster Secretary of the Cabinet Hard-copy distribution: Prime Minister 892Wl'4d089 2018-06-20 10:06:39 Office of the Prime Minister Memorandum for Cabinet Proposal 00 1 This paper proposes 0 the appointment of . Advisory Panel for a term 0 0 years; - that both appointments should proceerei??tanding the imminent general election; . ?32015 'iirirv retinal?? iri?-J?r 15,23?! to @e Inspector?Generals - that remuneration for t?c air of the Advisory Panel be in accordance with the Fees Framework. 1 . ., a92wr4doe9 2018-06-19 10:22:53 APPOINTMENT Niir?i i. Wan maq?guryt?qi 4 Kiwi? ?lawn: law 5 4-1 a92wr4d039 2018-06?1 9 10:22:53 APPOINTMENTS Background: lnspector-General?s Advisory Panel 7 Appointments of members of the Inspector-General's Advisory Panel are governed by Section 169 of the Intelligence and Security Act 2017, the relevant provisions of which came into effect on 28 March 2017. Panel members are appointed by the Governor-General on the recommendation of the Prime Minister, following consultation with the Intelligence and Security Committee. Advisory Panel members may be appointed for a term of up to five years and may be reappointed. .. 8 i ii propose to recommend to the GovernOr?General that 19?2?9?1 be appointed to Chair the Advisory Panel for a two year term commencing shortly after the appointment Is made by the Governor-General. holds a - current security clearance so there need be no delay In. taking up the appointment while clearance Is obtained. 9 The functions of the Advisory Panel include: 0 providing advice to the inspector-General at the Inspector-General request or on its own initiative; - reporting to the Prime Minister on any matter relating to intelligence and security if the Advisory Panel considers that the matter should be drawn to the Prime Minister' 5 attention. - This second function has two aspects. it serves as an independent oversight check on the It also enables reporting to the Prime Minister on any intelligence and security matter beyond the remit of the Inspector-General but which ?"31 and/or the Advisory Panel consider should be drawn to the Prime Minister? 3 . 10 Under the Intelligence and Security Act 2017 the Advisory Panel comprises two members only. This' Is a change from its previous composition as under the legislation governing it up'until 28 March 2017 the Inspector-General was also a member. The intention "ofthe change was to ensure the Panel?s independence, of potential importance for'its function of reporting independently to the Prime Minister. Appointment 11 Criteria used to evaluate applicants for both the Not re'evant to your request and the Advisory Panel positions included: 0 an ability to obtain a Top Secret Special security clearance with access to New Zealand Eyes Only material (essential); an in? ?depth understanding of the public sector and/or public law; 1 ,1 understanding and strong interest in international and national issues; - an appreciation of the role of the intelligence community and the significance of independent oversight of that commun_ity_; Not relevant to your reqUest I a92wr4doe9 2018-06?19 10:22:53 APPOINTMENTS Not relevant to your request 12 13 The Inspector-General was consulted about the selection of the shortlist for the Advisory Panel members but, because of the need for the Panel to be able to act independently of the Inspector?General, did not participate in the interview panel. Short?listed candidates were interviewed by a four-person panel comprising the Comptroller of Customs (chair), an Assistant Commissioner from the State Services Commission; the Chief Legal Counsel in the Ministry ofJustice; and the Director, National Security Policy, DPMC. The interview panel was unanimous in its recommendation that two of the four candidates interviewed were appointable and that9(2)(a)- one of those two, should be appointed. Statutory consultation requirement 14 I have consulted the members ofthe Intelligence and Security Committee (Hon. Amy Adams Hon. Christopher Finlayson QC MrAndrew Little and Rt. Hon Winston Peters) about the proposed appointments as required by re'eVant to your request and Section 169 (1) of the Intelligence and Security Act 2017 for the Advisory Panel. Members indicated suppert for the proposed appointments. Appointments in the pre-election period 15 I consider both the relevant? and Advisory Panel appointments to be "significant appointments? under the terms of the advice provided by the State Services Commission and the Cabinet Of?ce on government decisions and actions in the pre-election period (the 880's Board Appointment and Induction Guidelines of October 2015 and the'Cabinet Office circular CO (17) 1 of 22 February 2017). The Cabinet Office concurs with this view. The Cabinet Office has also advised that consultation through'the Intelligence and Security Committee may be considered to satisfy the option-of consulting with the opposition and that in its view the appointments can proceed as normal. 16 Not relevant to your request An" - 'l 17 Not relevant to your request 18 The Inspector~General has been without an Advisory Panel since the end of October 2016, due to protracted appointment and consultation processes. I a92wr4does 2018-06-19 10:22:53 APPOINTMENTS recommend proceeding with appointment ahead of the election, noting in this context that bot Igence and Security Committee members from opposition parties supported appointment. ma switir-Icm mast I?t i161 2: Its tarts-:1 at ii to merit I515: 3; it c4! its; "titan I m; wast Ilmuv lt inirImI 22 DPMC has been ontact with the Remuneration Authority concerning remuneration the Inspector-General and the under thel nce and Security Act 2017 It has prov ut orIty informati Authority has requested to enable it to begin preparations for its remune? determinations. Remun Advisory Panel 23 @1e Advisory Panel is funded through a non-departmental output expense under Justice Advocacy, Advice and Promotion Services within Vote Justice that covers \6 accommodation, secretarial support and other costs for the Inspector-Generals Of?ce. 24 The. Intelligence and Security Act 2017 speci?es that Advisory Panel members are to be remunerated in accordance with the Fees Framework (Cabinet circular CO (12) 6 of 19 December 2012). The Advisory Panel quali?es as a Group 2 statutory tribunal and authority under the Framework. and evaluation of the criteria indicates that the Panel should be placed at Level 1. This re?ects the signi?cance of the Panel's responsibilities in advising on complex legal, constitutional. privacy and 2013-06-49 10:22:53 APPOINTMENTS security issues, the importance of both Parliament and the public having confidence in the effectiveness and independence of advice provided to the Inspector?General and the Panel?s statutory authority to report independently to the Prime Minister on significant intelligence and security issues. 25 I propose that should be remunerated at a rate appropriate to the chair of a Group 2, Level 1 statutory tribunal and authority. i I recommend that remuneration within the band for a Group 2, Level 1 appointment should be set in discussions between DPMC and Conflicts of Interest 26 Not relevant to your request 7,313.. x" A, r'r ?w 3?127?) -, .56? 27 Advisory Panel members have an obligation under-the State Services Commission's Board Appointment and Induction Guidelines to declare any interests that could be seen to affect their ability to give advice impartially and be seen to be doing so. No con?icts of interest have been identified in the course of discussions with {125? Not relevant to your regu?eqfView this does not constitute a conflict of Interest Timing and Publicity 28 propose to issue a press statement following the formal completion of each appointment process by the Governor-General. Consultation 29 This paper was prepared by the Department of the Prime Minister and Cabinet. Financial Implications 30 There are no financial implications arising from this proposal. Human Rights 31 I This proposal has no human rights implications. 1 Recommendations 32 It is recommended that Cabinet: 1 Not relevant to your request a92wr4doe9 2018-06-19 10:22:53 APPOINTMENTS APPOINTMENTS Not relevant to your request safe 5 note my intention to recommend the appointment offk??m to chair the Inspector-General of Intelligence and Security 5 Advisory Panel for a term of two years to commence following the completlon of appointment processes by the Governor-General; - ?03 6 note that the statutory requirement underSection 169 (1) of the Intelligence and Security Act 2017 to consult the members of the Intelligence and Security Committee on the proposed Advisory Panel appointment has been complied with; 7 note that no interests have been identified in discussions with which could conflict with the proper performance ofgm? functions Under the Intelligence and Security Act 2017; 8 agree that 9(2Xai?f9?h?m should receive remuneration appropriate to the chair of a Group 2 Level 1 Statutory Tribunal and Authority under the Fees Framework at a rate to be agreed in discussions between and 9 agree that both appointments should proceed during the pre- -election period on the basis of the consultations with the Intelligence and Security Committee and the views expressed by Committee members. Bill English i'?PrIrne Minister a92wr4doe9 2018-06-19 10:22:53 APPOINTMENTS From: 6(a) i Sent: Thursday, 2 November 2017 9: 34 AM To: i [ssq Cc: John Beaglehole Subject: Inspector- General' 5 Advisory Panel: request for advice APPOINTMENTS-IN-EGNHBENEE 9(2)(aj penal I should be grateful if you could advise how we should proceed with the re-establishment of the Inspector-General of Intelligence and Security?s Advisory Panel given the situation in which we now find ourselves. We have been unable to get Panel members appointed due to opposition to those proposed from Ministers in the former government and/or members of the Intelligence and Security Committee. - The situation is that we advertised the two positions nearly a year ago selected a short- list and interviewed four '3 candidates. Two were considered suitable for appointment ?fth. These two nominees were put to the PM for consideration. The appointment process requires the PM to consult Parliaments intelligence and Security Committee (ISC) and then recommend the appointments to the Governor? General. Both nominees were put to ISC members for their consideration, noting that the PM had reservations about one of them and would insist on a limited term for that person. Beth nominees were considered unacceptable by different members of the ISC and we were asked to propose alternatives. We consulted various people, including the Inspector-General, and put forward a number of nominations for consideration by our CE in the first instance before making recommendations to the PM. This resulted in two further recommendations. Both of these and at least one more were judged to be unacceptable by Ministers. 'At this point we ran out of time to carry out the ISC consultations and then get Cabinet approval to appointments. The current situation, therefore, is that we have no nominees whom we can put forward immediately for consideration. It does not seem appropriate to propose again those who have been judged unacceptable under the previous government. We can go back to scratch and re?advertise the two positions and that is probably the logical way to go. If we do that, we consider it certain that one of the two whom we selected in the previous application process will not reapply and-if the other were to do so and be selected, that person?s appointment would remain unacceptable. Other courses of action include resurrecting previous candidates judged suitable by various people and putting forward two of'them. That process might well be considered marginal in terms of the requirements of Board Appointment and Induction Guidelines. In the meantime we are conscious that the IGIS has had no Advisory Panel for more than a year, and even in the most favourable circumstances it will take months before members are appointed and then gain security clearance. Thanks era) 6(a) I Principal Policy Advisor National Security Policy Department of the Prime Minister and Cabinet - . Kere'rll?: DEPARTMENT fifth: PRIME MINISTER i and CABINET The information contained in this email message is for the attention of the intended recipient only and is not necessarily the of?cial View or communication of the Department of the Prime Minister and Cabinet. If you are not the intended recipient you must not disclose, copy or distribute this message or the information in it. If you have received this message in error, please destroy the email and notify the sender immediately. Minute of Decision This document contains information for the New Zeaiand Cabinet. It must be treated in confidence and (L handled in accordance with any security classification, or other endorsement. The infonn'ation can only be released, including under the Official Information Act 1982, by persons with the authodty Cb and Cha' Portfolio Prime Minister On 21 August 2017, Cabinet: i_ 892wr4d069 201806?20 '1 0:06:39 CAB-17-MIN-0449 8 noted that the Prime Minister intends to report back to Cabinet in due course on the membership of the Inspector-General of Intelligence and Security?s Advisory Panel. Michael Webster 5:7 Secretary of the Cabinet Hard-copy distribution: I Prime Minister (f (If; ii?" i ii": .1 if: . my892wr4doeg 2018-06?20 10:06:39 Of?ce of the Prime Minister Memorandum for Cabinet Proposal 1 This paper proposes to @e lnspector?General's Advisory Panel for a term 0 two years; .. that both appointments should proceec?g?tanding the imminent general election; . it. :i i i l-"i I 1.1.5131that remuneration for @c air of the Advisory Panel be in accordance with the Fees Framework. 892wr4d099 201806?19 10:22:53 Mil: 1102101191111.1.0:.? 3916:1011 1131:5111; u, 1:15;: i; - ESE {$110151}: i102 11-1011? 011.31155111:1139 5 fir-1 11:11:11 :10. 1:11:31 11.11165}! 111212-11 .a92wr4doe9 2018-06-19 10:22:53 APPOINTMENTS Background: lnspector-General?s Advisory Panel 7 Appointments of members of the Inspector-General?s Advisory Panel are governed by Section 169 of the Intelligence and Security Act 2017, the relevant provisions of which came into effect on 28 March 2017. Panel members are appointed by the Governor-General on the recommendation of the Prime Minister, following consultation with the Intelligence and Security Committee. Advisory Panel members may be appointed for a term of up to five years and may be reappointed. 8 I propose to recommend to the Governor-General thatmz?w?l be appointed to chair the Advisory Panel for a two year term commencing shortly after the appointment is made by the Governor-General. 99m! holds a current security clearance so there need be no delay In9 taking up the appointment while clearance is obtained. 9 The functions of the Advisory Panel include: 0 providing advice to the Inspector?General at the Inspector-General?s request or on its own initiative; 0 reporting to the Prime Minister on any matter relating to intelligence and security if the Advisory Panel considers that the matter should be drawn to the Prime Minister' 3 attention. This second function has two aspects. It serves as an independent oversight check on the Inspector-General 9(2Xa) It also enables reporting to the Prime Minister on any intelligence and security matter beyond the remit of the Inspector-General but which I and/or the Advisory Panel Consider should be drawn to the Prime Minister? 5 attention. 10 Under the Intelligence and Security Act 2017 the Advisory Panel comprises two members only. This Is a change from its previous composition as under the legislation governing it up until 28 March 2017 the Inspector?General was also a member. The intention-ofthe change was to ensure the Panel's independence, of potential importance for its function of reporting independently to the Prime Minister. Appointment processes; 11 Criteria used to evaluate applicants for both the re'evant to your requeSt and the Advisory Panel positions included: - an ability to obtain a Top Secret Special security clearance with access to New Zealand Eyes Only material (essential); an in-depth understanding of the public sector and/or public law; 0 understanding and strong interest in international and national issues; . . an appreciation of the role of the intelligence community and the significance of independent oversight of that community; Not relevant to your request a92wr4doe9 2018-06?19 10:22:53 APPOINTMENTS APPOINTMENTS Not relevant to your request 12 13 The Inspector-General was consulted about the selection of the shortlist for the Advisory Panel members but, because of the need for the Panel to be able to act? independently of the Inspector-General, did not participate in the interview panel. Short-listed candidates were interviewed by a four-person panel comprising the Comptroller of Customs (chair) an Assistant Commissioner from the State Services Commission; the Chief Legal Counsel in the Ministry of Justice; and the Director, National Security Policy, DPMC. The interview panel was unanimous In its recommendation that two of the four candidates interviewed were appointable and that9(2)(a one of those two should be appointed. Statutory consultation requirement 14 I have consulted the members of the Intelligence and Security Committee (Hon. Amy Adams Hon. Christopher Finlayson QC Mr Andrew Little and Rt. Hon. Winston Peters) about the proposed appointments as required by ?e'eVantto your request - i and section 169 (1) of'th? Intelligenceand SeCurity Act 2017 for the Advisory Panel. Members indicated support for the proposed appointments. Appointments in the pre- -election period 15 I consider both the releVa? 0 Yagr'?ife?i'JeSt and Advisory Panel appointments to be ?significant appomtments under the terms of the advice provided by the State Services Commission and the Cabinet Of?ce on government decisions and actions in the pre-election period (the SSC's Board Appointment and Induction Guidelines of October 2015 and the/Cabinet Office circular CO (17) 1 of 22 February 2017). The Cabinet Officefconcurs with this view. The Cabinet Office has also advised that consultation through'the Intelligence and Security Committee may be considered to satisfy the optioit? of consulting with the opposition and that in its view the appointments can proceed as normal. 16 Not ragai?itrto your request Not relevant to your request .. 18 The Inspector-General has been without an Advisory Panel since the end of October 2016, due to protracted appointment and consultation processes. I aQ2wr4doe9 2018-06-19 10:22:53 APPOENTMENTS APPOINTMENTS recommend proceeding with appointment ahead of the election, noting in this context that both of the Intelligence and Security Committee members from opposition parties supported appointment. Not relevant to your request 19 Not relevant to your request 20 Not relevant to your request . -Not relevant to your request rt,? 22 DPIVIC has been in contact with the Remuneration Authority concerning remuneration for the Inspector?General and the re'eVant ?3 Your reques" under the Intelligence and Security Act 2017. It has provided the Authority with information the Authority has requested to enable it to begin preparations for its remuneration determinations. Remuneration: Advisory Panel 23 The-Advisory Panel is funded through a non?departmental output expense under - Justice Advocacy, Advice and Promotion Services within Vote Justice that covers accommodation, secretarial support and other costs for the Inspector?Generate Office. 24 The Intelligence and Security Act 2017 specifies that Advisory Panel members are to be remunerated in accordance with the Fees Framework (Cabinet circular CO (12) 6 of 19 December 2012). The Advisory Panel quali?es as a Group 2 statutory tribunal and authority under the Framework and evaluation of the criteria indicates that the Panel should be placed at Level 1. This re?ects the significance of the Panel?s responsibilities in advising on complex legal, constitutional, privacy and a92wr4doee 2018-06-19 10:22:53 security issues, the importance of both Parliament and the public having confidence in the effectiveness and independence of advice provided to the Inspector-General and the Panel's statutory authority to report independently to the Prime Minister on significant intelligence and security issues. 25 I propose should be remunerated at a rate appropriate to the chair ofa Group 2 Level I statutory tribunal and authority? 9(2Xa) (0 I II I reCommend'th'at remuneration within the band for a Group 2 Level 1 appointment should be set in discussions between DPMC and 9(2Xa) 9C2 )(baXI); Conflicts of Interest 26 :Not relevant to your request 0 s9 27 Advisory Panel members have an obligation under-the State Services Commission?s Board Appointment and Induction: Guidelines to declare any interests that could be seen to affect their ability to give adviCe impartially and be seen to be doing so No con?icts of interest have been. identified In the course of discussions with 9(2)(ba)(I)I . I and the Authority will set the remuneration for the Inspector- General and. NOI reIeVant ?0 Your rqu?i\V 1 28 September 2017. In my view this does not constitute a conflict of interest. Timing and Publicity 28 I propose to issue a press-Statement following the formal completion of each appointment process?by the Governor-General. Consultation 29 This paper-{was prepared by the Department of the Prime Minister and Cabinet. Financial Implications 30 There are no financial implications arising from this proposal. Human Rights In: 31 This proposal has no human rights implications. Recommendations 32 It is recommended that Cabinet: 1 Not relevant "to your request a92wr4doe9 2018-06-1910222z53 Not relevant to your request 2 3 if? 5R: .2. ?is, 4 Ix?, ,F?x 45% 531p? ?at? 5 note my intention to recommend the appointment of ?(balm I to chair the Inspector?General of Intelligence and Securitys Advisory Panel for a term of two years to commence following the completion of appointment processes by the Governor-General; 6 note that the statutory requirement under Section 169 (1) ofthe Intelligence and Security Act 2017 to consult the members of the Intelligence and Security Committee on the proposed Advisory Panel appointment has been complied with; 7 note that no interests have been identified in discussions with which could conflict with-the proper performance ofm??, functions under the Intelligence and Security Act 2017; 8 agree that 9(2) should receive remuneration appropriate to the chair of a Group 2 Level 1 Statutory Tribunal and Authority under the Fees Framework at a rate to be agreed in discussions between and 9 agree that both appointments should proceed during the pre?election period, on the basis of the consultations with the Intelligence and Security Committee and the views expressed by Committee members. Rt Hon Bill English Prime Minister APPOINTMENTS a92wr4doe9 2018-06-19 10:22:53