Net Appropriation Agreement for the Department of Education, Science and Training (Cth)
FINANCIAL MANAGEMENT AND ACCOUNTABILITY ACT 1997, Section 31
NET APPROPRIATION AGREEMENT
FOR THE DEPARTMENT OF EDUCATION, SCIENCE AND TRAINING
This Agreement is made between:
THE MINISTER FOR FINANCE AND ADMINISTRATION
AND
THE MINISTER FOR EDUCATION, SCIENCE AND TRAINING
1. INTRODUCTION
1.1. This net appropriation agreement is made under section 31 of the Financial Management and Accountability Act 1997 (the FMA Act).
1.2. Under this agreement, if the agency receives any amounts covered by the agreement, the appropriation to the agency in the annual appropriation Act will be increased.
1.3. This agreement will commence upon signature by the second party.
2. DEFINITIONS
2.1. In this agreement:
2.1.1. 'the agency' means the Department of Education, Science and Training.
2.1.2. ‘eligible receipts’ means the receipts set out in clause 5.1 of this agreement.
3. PURPOSE
3.1. This net appropriation agreement records the extent to which the amount specified in an item in an annual appropriation Act may be taken to be increased by reference to eligible receipts of the agency.
4. DURATION OF THE AGREEMENT
4.1. This agreement replaces any previous net appropriation agreement between the Finance Minister and the responsible Minister in respect of any of the appropriation items identified in this agreement.
4.2. This agreement continues until a new net appropriation agreement covering the appropriation item identified in this agreement is executed by both parties to the agreement.
5. NATURE OF ELIGIBLE RECEIPTS
5.1. The following receipts are eligible receipts for the purposes of this agreement:
5.1.1. Receipts from the sale, leasing, hiring out of, or other dealing with goods.
5.1.2. Receipts from the provision of staff or other services.
5.1.3. Receipts from a person (whether employed, appointed, or performing services for, the Commonwealth) as payment for any associated benefit provided (whether to that person or another person).
5.1.4. Receipts from the sale of minor assets that are departmental in nature such as furniture and fittings.
5.1.5. Receipts from the transfer of annual and long-service leave entitlements between agencies.
5.1.6. Subsidy and grant moneys received as a result of participation in employment subsidy schemes or programs.
5.1.7. Court awarded costs to the extent to which they reflect legal costs incurred in litigating the matter.
5.1.8. Receipts from International Education activities including National Office of Overseas Skills Recognition (NOOSR) assessment fees and Commonwealth Register of Institutions and Courses for Overseas Students (CRICOS) registration charges.
5.1.9. Receipts received for jointly funded projects, research and reviews including in the nature of reimbursement for activities.
5.1.10. Receipts from the sub-leasing of real property, or the resale of goods used in fitting out premises.
5.1.11: Receipts for the provision of Information and Telecommunication services and facilities.
5.1.12: Amounts received from the Australian Taxation Office as interest on a late repayment.
5.2. For the avoidance of doubt, receipts under item 5.1 do not include:
5.2.1. Court awarded fines and damages, etc (other than to the extent covered by paragraph 5.1.7).; and
5.2.2. Receipts from taxes, levies or specific cost recovered activities where the receipts are raised under legislation and where the activities are budget funded.
6. INCREASE IN APPROPRIATION ITEMS
6.1. Subject to the net appropriation provisions of the annual appropriation Acts, the Departmental item for the agency is taken to be increased by 100% of all receipts listed in 5.1.
Notes
1. In order to comply with the appropriation requirements of sections 81 and 83 of the Constitution and with sections 19 and 48 of the FMA Act, agencies must keep proper accounts and records of all appropriations to ensure that they do not spend above their appropriation limits.
2. The agency must be able to identify, quantify and, if requested, produce information to show the amounts attributable to net appropriation receipts. This information should be available within the agency’s Financial Management Information System or in other supporting systems or documentation.
3. The agency must report the net appropriations referred to above, as required, in the relevant Budget documents, agency financial statements and the Consolidated Financial Statements.
4. It is the agency’s responsibility to be aware of any changes to reporting requirements which affect net appropriation reporting requirements.
5. The Efficiency Dividend will not apply to any amounts deemed to be appropriated under this agreement.
| SIGNED................................................... Delegate of the Minister for Finance and Administration | SIGNED................................................. Minister for Education, Science and Training |
| Ms Susan Page ............................................................... | Dr Brendan Nelson ............................................................... |
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