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. 2 of 2011-2012) |
Date instrument was made | 5 August 2011 |
The legislative authority under which the instrument is made | Subsection 10(2) of Appropriation Act (No. 1) 2009-2010; and subsection 10(2) of Appropriation Act (No. 3) 2009-2010 enable the Minister for Finance and Deregulation (Finance Minister) 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. Subsection 13(2) of Appropriation Act (No. 4) 2009-2010 enables the Finance Minister to make a determination reducing the other departmental item (Equity Injections) 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 this subsection 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 Immigration and Citizenship has advised the Finance Minister are surplus to the requirements of the Department of Immigration and Citizenship (DIAC). Schedule 1 determines that the departmental item for DIAC in Appropriation Act (No. 1) 2009-2010 be reduced by $930,279.59. Schedule 2 determines that the departmental item for DIAC in Appropriation Act (No. 3) 2009-2010 be reduced by $18,604,720.41. Schedule 3 determines that the other departmental item (Equity Injections) for DIAC in Appropriation Act (No. 4) 2009-2010 be reduced by $8,656,000.00. |
Background | The Minister for Immigration and Citizenship wrote to the Finance Minister on 11 July 2011 requesting a determination to reduce DIAC’s appropriations. The reduction in the departmental appropriation represents excess appropriation provided to DIAC for depreciation/amortisation expense and for equity injection for the completion of capital works on Christmas Island. |
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, DIAC was consulted in the preparation of this Instrument. |
Overview
The Determination to Reduce Appropriations Upon Request (No. 2 of 2011-2012) was enacted on 5 August 2011. This legislative instrument was introduced to address the issue of surplus appropriations within the Department of Immigration and Citizenship (DIAC). The determination was made pursuant to the authority provided by subsection 10(2) of the Appropriation Act (No. 1) 2009-2010, subsection 10(2) of the Appropriation Act (No. 3) 2009-2010, and subsection 13(2) of the Appropriation Act (No. 4) 2009-2010. The Minister for Finance and Deregulation has the authority to reduce departmental items upon receiving a written request from the relevant Minister, as stated in the text. The primary objective of this instrument is to adjust the appropriations to align with the actual needs of DIAC, ensuring efficient use of government funds.
Scope and Application
The Determination to Reduce Appropriations Upon Request (No. 2 of 2011-2012) is a legislative instrument made under the authority of the Minister for Finance and Deregulation, pursuant to specific subsections of the Appropriation Acts (No. 1, 3, and 4) 2009-2010. This determination applies to the Department of Immigration and Citizenship (DIAC), focusing on reducing certain appropriation items identified as surplus by the Minister for Immigration and Citizenship. The purpose of this determination is to adjust the budget allocations for DIAC by reducing specified departmental items and equity injections, as per the request from the responsible Minister. The reduction affects appropriations for depreciation/amortisation expenses and equity injection for capital works on Christmas Island. This instrument was created in response to a formal request from the Minister for Immigration and Citizenship dated 11 July 2011, and it was made in consultation with DIAC as required by the Legislative Instruments Act 2003. The instrument is disallowable, meaning it can be reviewed and potentially disallowed by Parliament.
Key Provisions
The main operative sections of this legislation, as outlined in the Schedules, provide for the reduction of appropriations for the Department of Immigration and Citizenship (DIAC) in the Appropriation Acts for the years 2009-2010 (subsections 10(2) and 13(2)). Specifically, Schedule 1 reduces the departmental item for DIAC in Appropriation Act (No. 1) 2009-2010 by $930,279.59, Schedule 2 reduces the departmental item for DIAC in Appropriation Act (No. 3) 2009-2010 by $18,604,720.41, and Schedule 3 reduces the other departmental item (Equity Injections) for DIAC in Appropriation Act (No. 4) 2009-2010 by $8,656,000.00. These determinations were made following a written request from the Minister for Immigration and Citizenship to the Minister for Finance and Deregulation, as stipulated by the legislative authority under which the instrument is made.
The obligations and requirements imposed by this legislation primarily involve the Minister for Finance and Deregulation, who must respond to the written request from the Minister for Immigration and Citizenship by issuing a determination to reduce the specified appropriation items. The Act ensures that DIAC was consulted in the preparation of this Instrument, as mandated by the Legislative Instruments Act 2003. This consultation ensures that the reduction in appropriations is justified and agreed upon by the relevant parties.
In terms of legal consequences, breaches of the provisions outlined in this legislation could potentially lead to disallowance of the determination under the Legislative Instruments Act 2003. This Act provides that a legislative instrument that is not in accordance with the Act, or which is not authorised to be made, is invalid. However, the specific consequences of such a breach are not detailed in the explanatory statement provided. As the determinations made are legislative instruments, they can be subject to disallowance by Parliament, which serves as a check on the power to reduce appropriations without proper authority or consultation.