Direction under section 32, Financial Management and Accountability Act 1997 – Adjustments of Appropriations on Change of Agency Functions (No. 17 of 2004-2005)

Overview

The Financial Management and Accountability Act 1997 was enacted to provide a framework for financial management, accountability and transparency within Australian government agencies. This legislation was introduced to address the need for consistent and effective financial practices across the public sector, ensuring that government resources are used efficiently and responsibly. The Act was enacted by the Commonwealth Parliament, reflecting the policy objective of establishing robust financial management systems to support the delivery of public services. The legislative instrument F2006B11670, issued under section 32 of this Act, directs the transfer of specific appropriation items from one government agency to another, demonstrating the operational application of the Act to ensure proper financial accountability and alignment of resources with policy outcomes.

Scope and Application

This legislative instrument pertains to the transfer of specific appropriations from one government agency to another, in line with the directives stipulated under section 32 of the Financial Management and Accountability Act 1997. It is applicable to the entities specifically identified in the schedule, detailing appropriations from the Appropriation Act (No. 1) 2004-2005, involving the transfer of administered expenses from the Department of Immigration and Multicultural and Indigenous Affairs to the Department of the Environment and Heritage. This transfer is specifically for the appropriation item related to Outcome 1, with an amount of $1,933,741. The geographic and jurisdictional reach of this directive is limited to the Commonwealth level, applying directly to the specified agencies and their financial management. There are no stated exclusions, exemptions, or thresholds in this particular legislative instrument. The application and scope of this act may be further extended or restricted through subordinate instruments, though this specific document focuses solely on the delineated transfer of appropriations as directed.

Key Provisions

The main sections of this legislative instrument, under section 32 of the Financial Management and Accountability Act 1997, involve the transfer of specific funds from one government agency to another. This transfer is detailed in the attached schedule, where each appropriation item, old agency, new agency, and amount to be transferred are clearly listed. For example, section 32 allows for the transfer of Administered Expenses for Outcome 5 from the Department of Immigration and Multicultural and Indigenous Affairs to another agency, as outlined in the schedule (sections 1 and 4). The obligations imposed by this Act are primarily administrative and financial in nature. The Division Manager, Financial Reporting and Cash Management Division, Department of Finance and Administration, is tasked with ensuring that the funds are correctly identified and transferred as per the schedule. This involves meticulous record-keeping and adherence to the specified appropriation items and agencies, ensuring that the transfer aligns with the financial management policies and accountability requirements set forth by the Act (section 1). Additionally, the Act necessitates that the transfer be executed within the fiscal year 2004-2005, as indicated in the appropriation act references. Failure to comply with the provisions of this legislative instrument could result in significant consequences. The Act does not explicitly outline specific offences, penalties, or civil/criminal consequences for non-compliance within the text itself. However, under the Financial Management and Accountability Act 1997, breaches of financial management regulations can lead to penalties, including fines and potential criminal charges, depending on the severity and intent of the breach. The exact penalties would be determined in accordance with the relevant provisions of the overarching Act and any applicable regulations or guidelines. It is crucial for the Division Manager and the involved agencies to ensure strict adherence to the directions to avoid any potential legal ramifications.