Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

Section 33 provides for the amendment of the National Treasury Management Agency Act 1990. That Act is a foundation for the NTMA. It does two things. It increases the size of the board of the NTMA by two members and enables the establishment and dissolution of subcommittees by relevant committees of the NTMA. These changes expand the governance capacity of the NTMA, ensuring increased oversight for the future Ireland fund and the ICNF. Although investment decisions will be designated to the committee established under section 5(b) of the 1990 Act, the role of the subcommittees will be to advise the committees on specific elements of the management and investment of each fund. This approach provides sufficient operational flexibility to the NTMA in the management of funds by the agency.

Section 33(3) inserts a new section into the 1990 Act to put such subcommittees on a statutory basis, in a similar way to how committees are provided for. It sets out the parameters of the size and composition of such subcommittees and provides for the remuneration of members and the ability for the subcommittees to regulate their own procedures with the approval of the agency. Section 33(4) amends the section in the 1990 Act that deals with the NTMA's expenses. It reflects, by way of cross-reference, the fact that section 30 of this Bill provides that the expenses of the agency in the performance of its duties regarding the new funds shall be paid out of those funds rather than the central fund.

Subsections (5) to (7) provide the necessary language changes to the 1990 Act to reflect the development of subcommittees, that is, where committees are referenced, subcommittees are now also referenced where relevant. Section 33(5) relates to the disclosure of certain interests. It must apply to committee members. Subsection (6) extends to a member of a subcommittee the indemnification against claims of someone whom the agency is satisfied has discharged their duties. Subsection (7) amends the 1990 Act so that the requirement not to share confidential information obtained in the course of the work of the agency is also extended to subcommittee members.

Subsection (8) amends Schedule B to the 1990 Act to clarify the quorum for a meeting of the agency depending on the number of members that are appointed to the board at the time. This arises as the board membership will be amended from six to between six and eight. This maintains the quorum of five generally, and four where there are fewer than six members appointed. If we did not make this change, it would be unclear whether there was a vacancy when fewer than eight members were appointed.