Explanatory Statement
Financial Management and Accountability Act 1997, Section 32 - Adjustment of appropriations on change of Agency functions
The instrument to which this explanatory statement relates
This explanatory statement relates to an instrument (the instrument) entitled “Direction under Section 32, Financial Management and Accountability Act 1997”, dated 22 June 2007 and numbered 17 of 2006-2007.
The legislative authority under which the instrument is made
Section 32 of the Financial Management and Accountability Act 1997 (‘the FMA Act’) applies if a function of an Agency (the old Agency) becomes a function of another Agency (the new Agency), either because the old Agency is abolished or for any other reason.
Subsection 32(2)(a) of the FMA Act enables the Finance Minister to, amongst other things, issue one or more directions to transfer from the old Agency to the new Agency some or all of an amount that has been appropriated for the performance of that function by the old Agency.
By way of an instrument dated 19 February 2003 made under section 62 of the FMA Act, the Finance Minister has delegated his power under section 32 to the Chief Executive of the Department of Finance and Administration. By way of an instrument dated 16 March 2007 made under section 53 of the FMA Act, the Chief Executive of the Department of Finance and Administration has, in turn, delegated the power to the General Manager, Financial Management Group, and the Division Manager, Financial Reporting and Cash Management Division. The direction is issued by the Acting Division Manager, Financial Reporting and Cash Management Division.
Purpose of the instrument
The instrument directs that departmental appropriation in the amount of $20,764 provided to the Department of Employment and Workplace Relations (DEWR) in Appropriation Act (No.1) 2005-2006 be transferred to the Office of Workplace Services (OWS). The instrument also directs that departmental appropriations in the amount of $159,940 provided to DEWR in Appropriation Act (No. 1) 2006-2007 be transferred to OWS.
Background
On 27 March 2006, OWS was established as a prescribed agency for the purposes of the Financial Management and Accountability Act 1997, and the workplace services functions, which were previously functions of DEWR, became functions of OWS.
Notes on the instrument
The instrument provides that the amounts set out in column 4 of the table for the appropriation item in column 1 for DEWR be transferred to OWS.
In accordance with the Legislative Instruments Act 2003, DEWR and OWS were consulted in the preparation of this instrument.