Overview

The Determination to Reduce Appropriations Upon Request (No. 15 of 2010-2011) was enacted on 17 May 2011 under the authority of the Minister for Finance and Deregulation, pursuant to subsection 13(2) of the Appropriation Act (No. 2) 2009-2010. This legislative instrument was introduced to address a surplus in the other departmental item (Equity Injections) for the Department of Foreign Affairs and Trade (DFAT) following the completion of a specific capital investment initiative. The determination was made in response to a written request from the Minister for Foreign Affairs, who advised that $795,000 of the appropriated funds for equity injections were no longer required as DFAT had finished its investments related to the Border Protection – additional resourcing to combat people smuggling measure. The policy objective of this instrument is to ensure efficient allocation and utilisation of public funds by reducing appropriations that are surplus to departmental needs.

Scope and Application

The Determination to Reduce Appropriations Upon Request (No. 15 of 2010-2011) applies specifically to the Department of Foreign Affairs and Trade (DFAT) in the context of reducing a particular appropriation within the federal government's budget. This legislation arises from a request made by the Minister for Foreign Affairs to the Minister for Finance and Deregulation, pursuant to Subsection 13(2) of the Appropriation Act (No. 2) 2009-2010. The purpose of this determination is to adjust the budgetary allocation for equity injections, reflecting that DFAT no longer requires a specific sum of $795,000, as it has concluded its capital investments related to border protection measures aimed at combating people smuggling. This instrument, which is a legislative instrument, is disallowable and is subject to consultation with the affected agency, DFAT, as required under the Legislative Instruments Act 2003. The effect of this determination is limited to the reduction of the specified appropriation item for DFAT, without extending to other entities, industries, or types of conduct or transactions.

Key Provisions

The Determination to Reduce Appropriations Upon Request (No. 15 of 2010-2011) (the Instrument) reduces the other departmental item (Equity Injections) for the Department of Foreign Affairs and Trade (DFAT) by $795,000. This reduction was made pursuant to the authority conferred by subsection 13(2) of the Appropriation Act (No. 2) 2009-2010, which allows the Minister for Finance and Deregulation to make such a determination upon receiving a written request from the relevant Minister. In this case, the Minister for Foreign Affairs requested the reduction, as DFAT has completed its capital investments related to the Border Protection measure, rendering the funds surplus. The primary operative sections of this Instrument, specifically Schedule 1, detail the reduction of the appropriation item for DFAT's Equity Injections by $795,000. This reduction reflects the completion of the aforementioned capital investments, making the funds no longer necessary for DFAT's operational requirements. The Instrument clearly identifies the affected agency, the specific appropriation Act and item, and the amount by which the appropriation is reduced. The obligations imposed by the Instrument on the relevant parties primarily involve the formal request process and the subsequent reduction of the appropriation. The Minister for Finance and Deregulation must receive a written request from the responsible Minister, in this case, the Minister for Foreign Affairs. Upon receipt of the request, the Minister for Finance and Deregulation is required to prepare and issue the Determination, reducing the appropriation as specified. DFAT, as the agency affected, is expected to comply with the reduction and reallocate the surplus funds as necessary. Under the Legislative Instruments Act 2003, the Instrument is subject to disallowance, meaning it can be annulled by either House of Parliament. Additionally, the Act mandates that DFAT be consulted in the preparation of the Instrument. In terms of potential breaches, while the explanatory statement does not explicitly outline specific offences or penalties, general legal principles suggest that failure to comply with the requirements of the Instrument could result in administrative or legal consequences, including the possibility of disallowance by Parliament. The maximum penalties, however, are not detailed in the provided text.