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. 8 of 2009-2010) |
Date instrument was made | 4 May 2010 |
The legislative authority under which the instrument is made | Subsection 10(2) of annual appropriation Acts for ordinary annual services (eg. No. 1 and No. 3) enable the Minister for Finance and Deregulation (Finance Minister) to make a determination reducing a departmental item. A determination made under subsection 10(2) must be in accordance with a written request made to the Finance Minister by the responsible Minister for the entity. A determination made under subsection 10(2) is a Legislative Instrument and is disallowable. |
Purpose and effect of the instrument | Schedule 1, Item 1 of the Instrument determines that the departmental item for the Department of Broadband, Communications and the Digital Economy (DBCDE) in Appropriation Act (No. 1) 2008-2009 be reduced by $20,000. The effect of this Instrument is to reduce the departmental item for DBCDE in Schedule 1 of Appropriation Act (No. 1) 2008-2009 by the amount of $20,000. |
Background | The Minister for Broadband, Communications and the Digital Economy wrote to the Finance Minister on 13 April 2010 requesting a determination to reduce DBCDE’s departmental item under Appropriation Act (No. 1) 2008-2009. The appropriation in question was provided for promotional activity related to the Regional Telecommunications Inquiry and is no longer required. |
Notes on the Instrument | Schedule 1 to the Instrument contains a table listing the affected agency in column 1, the appropriation Act and appropriation item in column 2, the legislative authority in column 3, which through the request by the responsible Minister in column 4, is reduced by the amount in column 5. In accordance with the Legislative Instruments Act 2003, DBCDE was consulted in the preparation of this Instrument. |
Overview
The Determination to Reduce Appropriations Upon Request (No. 8 of 2009-2010), made on 4 May 2010 under the authority of the Minister for Finance and Deregulation pursuant to subsection 10(2) of annual appropriation Acts for ordinary annual services, aims to address the need for a reduction in appropriations for specific departmental activities that are no longer required. This legislative instrument was necessitated by a written request from the Minister for Broadband, Communications and the Digital Economy to the Finance Minister, dated 13 April 2010, seeking a reduction in the departmental item for the Department of Broadband, Communications and the Digital Economy (DBCDE) under the Appropriation Act (No. 1) 2008-2009. The reduction of $20,000 was made in response to the completion of promotional activities related to the Regional Telecommunications Inquiry, which are no longer necessary. The enactment of this instrument ensures that public funds are appropriately allocated and reflects the current needs of the department.
Scope and Application
The Determination to Reduce Appropriations Upon Request (No. 8 of 2009-2010) is a legislative instrument that specifically applies to the Department of Broadband, Communications and the Digital Economy (DBCDE), affecting an appropriation item in the Appropriation Act (No. 1) 2008-2009. The instrument is enacted under the authority of subsection 10(2) of annual appropriation Acts for ordinary annual services, enabling the Minister for Finance and Deregulation to reduce a departmental item upon written request from the responsible Minister. In this instance, the reduction was requested by the Minister for Broadband, Communications and the Digital Economy due to the unutilised allocation for promotional activity related to the Regional Telecommunications Inquiry. The instrument reduces the departmental item for DBCDE by $20,000 and is subject to disallowance as per the Legislative Instruments Act 2003. DBCDE was consulted in the preparation of this instrument, ensuring transparency and adherence to legislative processes.
Key Provisions
The main operative sections of the Determination to Reduce Appropriations Upon Request (No. 8 of 2009-2010) concern the authority to reduce departmental appropriations and the specific application of this authority in the context of the Department of Broadband, Communications and the Digital Economy (DBCDE). Under subsection 10(2) of the annual appropriation Acts for ordinary annual services, the Minister for Finance and Deregulation is empowered to reduce a departmental item in response to a written request from the responsible Minister for the entity (section 1). This determination must be made in accordance with such a request and is documented as a Legislative Instrument, which can be subject to disallowance (section 2).
The Act imposes specific obligations on the responsible Ministers, primarily the requirement to submit a written request to the Minister for Finance and Deregulation when a reduction in departmental appropriations is sought (section 2). The Finance Minister must then make a determination in accordance with this request, ensuring that the reduction is formally documented and adheres to the legislative requirements (section 1). The process also mandates consultation with the affected entity, in this case, the DBCDE, prior to the issuance of the Instrument (section 3).
Any breaches of the obligations or requirements stipulated in the Act may lead to legal consequences. While the specific provisions detailing offences and penalties are not explicitly stated in the explanatory statement, it is implied that non-compliance with the legislative requirements could result in the disallowance of the Instrument. Such disallowance would nullify the determination, and depending on the context, could potentially lead to further administrative or legal repercussions. The maximum penalties for breaches are not specified in the explanatory statement, but they would likely be consistent with the general legislative framework governing financial administration in Australia.