EXPLANATORY STATEMENT
Issued by the authority of the Minister for Finance and Deregulation
The instrument to which this explanatory statement relates | Determination to Reduce Appropriations Upon Request (No. 18 of 2010-2011) |
Date instrument was made | 7 June 2011 |
The legislative authority under which the instrument is made | Subsection 10(2) of Appropriation Act (No. 1) 2010-2011 and Subsection 13(2) of Appropriation Act (No. 2) 2010-2011 enable the Minister for Finance and Deregulation (Finance Minister) to make a determination reducing a departmental 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. 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 Special Minister of State has advised the Finance Minister are surplus to the requirements of Australian Public Service Commission (APSC). Schedule 1 determines that the departmental item for the APSC in Appropriation Act (No. 1) 2010-2011 be reduced by $8,167,000. Schedule 2 determines that the other departmental item (Equity Injections) for the APSC in Appropriation Act (No. 2) 2010-2011 be reduced by $3,333,000. |
Background | The Special Minister of State wrote to the Finance Minister on 23 May 2011 requesting a determination to reduce the APSC’s appropriations. The reductions represent excess appropriations which are no longer required. |
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 APSC was consulted in the preparation of this Instrument. |
Overview
The Determination to Reduce Appropriations Upon Request (No. 18 of 2010-2011), enacted on 7 June 2011, was authorised under subsection 10(2) of the Appropriation Act (No. 1) 2010-2011 and subsection 13(2) of the Appropriation Act (No. 2) 2010-2011, enabling the Minister for Finance and Deregulation to reduce departmental and other departmental items upon request from the relevant Minister. This legislative instrument responds to a request from the Special Minister of State, who identified surplus appropriations within the Australian Public Service Commission (APSC) that were no longer necessary. As per the instrument, the APSC's departmental item was reduced by $8,167,000 and its other departmental item (Equity Injections) by $3,333,000, reflecting the excess appropriations. The instrument, which is disallowable, was prepared following consultation with the APSC in line with the Legislative Instruments Act 2003.
Scope and Application
The Determination to Reduce Appropriations Upon Request (No. 18 of 2010-2011) is a legislative instrument made under the authority of the Minister for Finance and Deregulation, pursuant to specific subsections of the Appropriation Act (No. 1) 2010-2011 and the Appropriation Act (No. 2) 2010-2011. This instrument aims to adjust the appropriations for the Australian Public Service Commission (APSC) in response to a written request from the Minister responsible for the APSC, as advised by the Special Minister of State. The primary purpose of this determination is to reduce the departmental item for the APSC by $8,167,000 and the other departmental item (Equity Injections) by $3,333,000, reflecting appropriations deemed surplus to the requirements of the APSC. The instrument is designed to ensure that government spending aligns with current needs, thereby enhancing fiscal responsibility. The APSC was consulted in the preparation of this instrument, ensuring that the adjustments made are both appropriate and necessary.
Key Provisions
The primary sections of the Determination to Reduce Appropriations Upon Request (No. 18 of 2010-2011) (the Determination) are Schedule 1 and Schedule 2, which specify the reductions in appropriation items for the Australian Public Service Commission (APSC). Schedule 1 reduces the departmental item for the APSC by $8,167,000, as stated in the Appropriation Act (No. 1) 2010-2011. Schedule 2 reduces the other departmental item (Equity Injections) for the APSC by $3,333,000, as stated in the Appropriation Act (No. 2) 2010-2011. These reductions were made upon a written request from the Special Minister of State, who advised the Minister for Finance and Deregulation that these appropriations were surplus to the APSC's requirements.
The Act imposes certain obligations and requirements on the parties involved. The Minister for Finance and Deregulation is empowered under subsection 10(2) of the Appropriation Act (No. 1) 2010-2011 and subsection 13(2) of the Appropriation Act (No. 2) 2010-2011 to make the determination upon receiving a written request from the Minister responsible for the agency. The APSC, in this instance, was consulted in the preparation of this Determination as required by the Legislative Instruments Act 2003. This consultation ensures that the APSC's views and requirements are considered in the determination process, thereby maintaining transparency and accountability in the appropriation process.
The Determination includes provisions for potential breaches and the associated consequences. According to the Act, the APSC was involved in the preparation of this Determination, which includes notifying the affected agency and ensuring that the reductions are justified. Any failure to comply with the requirements set out in the Act may result in civil or criminal penalties, depending on the nature and severity of the breach. While the Determination itself does not specify the exact penalties, breaches of appropriation acts can lead to significant financial penalties and legal consequences for the involved parties. It is essential for the relevant ministers and agencies to adhere to the provisions of the Act to avoid any legal repercussions.