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 23 August 2007 and numbered 5 of 2007-2008.
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 effective from 1 July 2007 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 effective from 1 July 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 part of the departmental item, being an amount of $1,500,000 provided to the Attorney-General’s Department (AGD) in Appropriation Act (No. 1) 2007-2008 be transferred to the Australian Commission for Law Enforcement Integrity (ACLEI).
Background
The Law Enforcement Integrity Commissioner Act 2006 established the office of the Integrity Commissioner, supported by a statutory agency, ACLEI. The Integrity Commissioner's role is to detect, investigate and prevent corruption in the Australian Crime Commission, the Australian Federal Police and other prescribed Australian Government agencies with law enforcement functions. The Integrity Commissioner also has a role to maintain and improve the integrity of staff members of law enforcement agencies, and to process intelligence on corruption in Commonwealth law enforcement. ACLEI has also been established as a prescribed agency under the FMA Act (Item 107AA, Schedule 1, Part 1, Financial Management and Accountability Regulations 1997).
ACLEI took internal responsibility for its financial management on 1 July 2007.
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 AGD be transferred to ACLEI.
In accordance with the Legislative Instruments Act 2003, AGD and ACLEI were consulted in the preparation of this instrument.