The instrument to which this explanatory statement relates

Determination to Reduce Appropriations Upon Request (No. 11 of 2010-2011)

Date instrument was made

29 March 2011

The legislative authority under which the instrument is made

Subsection 11(1) of Appropriation Act (No. 4)
2005-2006 enables the Minister for Finance and Deregulation to make a determination reducing an administered assets and liabilities item or an other departmental item for an agency by the amount specified in the Determination, upon receipt of a written request from the Minister responsible for that agency.

Subsection 9(1) of Appropriation Act (No. 3) 2007-2008 and Subsection 10(2) of Appropriation Act (No. 3)
2008-2009 enables the Minister for Finance and Deregulation to make a determination reducing a departmental item for an agency by the amount specified in the Determination, upon receipt of a written request from the Minister responsible for that agency.

Determinations made under these subsections are legislative instruments and are disallowable.

Purpose and effect of the instrument

The purpose of the instrument is to reduce appropriation items that the Minister for Foreign Affairs has advised the Minister for Finance and Deregulation are surplus to the requirements of the Department of Foreign Affairs and Trade.

Schedule 1 of the Instrument determines that the other departmental item (Equity Injections) for the Department of Foreign Affairs and Trade in Appropriation Act (No. 4) 2005-2006 be reduced by $544,847.

Schedule 2 of the Instrument determines that the departmental item for the Department of Foreign Affairs and Trade in Appropriation Act (No. 3) 2007-2008 be reduced by $628,209.

Schedule 3 of the Instrument determines that the departmental item for the Department of Foreign Affairs and Trade in Appropriation Act (No. 3) 2008-2009 be reduced by $2,808,000.

Background

The Minister for Foreign Affairs wrote to the Minister for Finance and Deregulation on 25 February 2011 requesting a determination to reduce DFAT’s departmental appropriation in:

• Appropriation Act (No. 4) 2005-2006 by $544,847;
• Appropriation Act (No. 3) 2007-2008 by $628,209; and
• Appropriation Act (No. 3) 2008-2009 by $2,808,000.

The reduction in the departmental appropriation represents excess funds identified following the
acquittal of the No Win No Loss funding from 2005-06 to 2008-09 in relation to the “Nauru-Upgrade of Consulate-General” measure.

Notes on the Instrument

The Schedules to the Instrument contain a table listing the affected agency in column 1, the appropriation Act and appropriation item in column 2, which through the request by the responsible Minister in column 3, is reduced by the amount in column 4.

In accordance with the Legislative Instruments Act 2003, the Department of Foreign Affairs and Trade was consulted in the preparation of this Instrument.