Direction under section 32, Financial Management and Accountability Act 1997 - Adjustments of Appropriations on Change of Agency Functions (No. 4 of 2002-2003)

Overview

The Financial Management and Accountability Act 1997 was enacted to address the need for improved financial management and accountability within the Australian public sector. This Act provides the framework for the financial management of Commonwealth entities and the oversight of their financial reporting. The Act was enacted by the Parliament of Australia and its policy objective is to ensure that public moneys are used for their intended purposes and that there is transparency and accountability in the financial dealings of government agencies. Pursuant to section 32 of this Act, James Kerwin, Branch Manager of the Commonwealth Financial Reporting Unit in the Department of Finance and Administration, has issued a direction to facilitate the transfer of specified moneys from one agency to another. This direction is necessary to ensure that the financial resources are appropriately allocated to reflect changes in agency responsibilities and outcomes.

Scope and Application

This legislative instrument, a Direction issued under Section 32 of the Financial Management and Accountability Act 1997, applies to the transfer of specific appropriation moneys from one government agency to another. The Direction, signed by James Kerwin, the Branch Manager of the Commonwealth Financial Reporting Unit in the Department of Finance and Administration, is geographically and jurisdictionally confined to the Commonwealth of Australia. The instrument targets the re-allocation of funds listed in column 4 of the attached schedule, which pertains to appropriation items for the fiscal years 2002-2003, from the 'old agency' specified in column 2 to the 'new agency' listed in column 3. The Direction does not explicitly state any exclusions, exemptions, or thresholds, implying that the transfers are to be conducted as per the outlined schedule without further conditions. The application of this instrument is limited to the specified appropriation items and does not extend to other financial transactions unless specified by subordinate instruments or further legislative amendments.

Key Provisions

The operative sections of this legislative instrument (F2007B00814) direct the transfer of certain moneys from one agency to another. Under section 32 of the Financial Management and Accountability Act 1997, James Kerwin, the Branch Manager of the Commonwealth Financial Reporting Unit within the Department of Finance and Administration, has authorised the transfer of funds. Specifically, the funds listed in column 4 of the attached schedule are to be moved from the 'old agency' in column 2 to the 'new agency' in column 3. This transfer is detailed in the appropriation items listed in column 1. The obligations imposed by this legislative instrument include the precise transfer of funds as listed in the schedule. The 'old agency' is mandated to transfer the specified funds to the 'new agency', ensuring that the moneys are moved as directed. This involves careful record-keeping and accounting to ensure the accuracy of the transfers and compliance with the directive. Additionally, the new agency must be prepared to receive and properly account for the transferred funds in accordance with financial management standards and practices. There are potential civil and criminal consequences for breaches of this directive. If the transfer is not executed as specified, it could lead to financial mismanagement, which under the Financial Management and Accountability Act 1997, can result in legal penalties. Although specific penalties are not detailed in this instrument, breaches of the Act can result in substantial fines and, in severe cases, criminal charges for those responsible. The exact penalties would depend on the nature and severity of the breach, but the Act provides a framework for holding individuals accountable for non-compliance.