Finance Regulations (Amendment) 1994 No. 69
EXPLANATORY STATEMENT
Statutory Rules 1994 No. 69
Issued by the Authority of the Attorney-General for the Minister for Finance
Audit Act 1901
Finance Regulations (Amendment)
Subsection 71(1) of the Audit Act 1901 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.
Regulation 6A of the Finance Regulations (the Regulations) declares certain bodies and branches of the Australian Public Service to be prescribed authorities for the purposes of the Act. As prescribed authorities, they are covered by the definitions of the 'Department' in section 2 of the Act, subregulation 4(1) of the Regulations and regulation 2 of the Finance (Overseas) Regulations.
The Industrial Relations Court of Australia (the Court) is established by subsection 361(1) of the Industrial Relations Act 1988 (the IR Act). The Court commences operation on 30 March 1994.
Section 390 of the IR Act provides that the Chief Justice of the Court is assisted in the management of the administrative affairs of the Court by the Registrar of the Court.
Section 403 of the IR Act provides:
'In relation to the branch of the Australian Public Service consisting of the officers of the Court (other than the Registrar and any Deputy Sheriffs who are not persons appointed or employed under the Public Service Act 19221 and the staff of the Registries, the Registrar has the same powers as if that Branch were a Department of the Australian Public Service and the Registrar were the Secretary of that Department.'.
Regulation 6A of the Regulations has been amended by declaring the branch of the Australian Public Service in relation to which the Registrar of the Court has the powers of a Departmental Secretary to be a prescribed authority.
As a prescribed authority the branch is subject to the Act and its subsidiary legislation in its own right. That is, it conducts its own financial administration independently of the Department of the responsible Minister. It is appropriate that the branch have such independence.
The Regulations commences on 30 March 1994.
Overview
The Finance Regulations (Amendment) 1994 No. 69 was enacted to amend the existing Finance Regulations under the Audit Act 1901. This amendment was introduced to address the need for specific financial administration independence for certain branches of the Australian Public Service, particularly in relation to the newly established Industrial Relations Court of Australia. The regulation was issued under the authority of the Attorney-General for the Minister for Finance and was aimed at ensuring that the branch of the Australian Public Service related to the Court's officers, excluding the Registrar and certain other staff, operates with the same administrative autonomy as a Department of the Australian Public Service. This independence was deemed necessary to effectively manage the financial affairs of the Court without interference from other departments, aligning with the policy objective of streamlined and efficient governance within the public service framework.
Scope and Application
The Finance Regulations (Amendment) 1994 No. 69, issued under the authority of the Attorney-General for the Minister for Finance, amends the Finance Regulations to bring certain branches of the Australian Public Service within the purview of the Audit Act 1901. Specifically, the amendment declares a branch of the Australian Public Service associated with the Industrial Relations Court of Australia as a prescribed authority, thereby subjecting it to the financial administration and audit requirements outlined in the Audit Act and its subsidiary legislation. This amendment recognises the operational independence of the branch, allowing it to conduct its financial administration autonomously from the Department of the responsible Minister. The changes came into effect on 30 March 1994, the same day the Industrial Relations Court of Australia commenced operations, ensuring a seamless integration of the branch’s administrative functions under the prescribed authority framework.
Key Provisions
The main operative sections of the Finance Regulations (Amendment) 1994 No. 69 relate to the amendment of the Finance Regulations under the Audit Act 1901, specifically targeting Regulation 6A (subsection 71(1)). This amendment declares certain bodies and branches of the Australian Public Service, including the Industrial Relations Court of Australia, as prescribed authorities (section 2). These prescribed authorities are covered by the definition of 'Department' in section 2 of the Audit Act 1901 and other relevant regulations, ensuring that they are subject to the same financial administration standards as other departments of the Australian Public Service. This amendment effectively grants the Registrar of the Industrial Relations Court the same powers as a Departmental Secretary in relation to the branch of the Australian Public Service consisting of the officers of the Court, as outlined in section 403 of the Industrial Relations Act 1988.
The obligations imposed by the amended Finance Regulations are primarily concerned with the financial administration of the declared prescribed authorities. These authorities must now conduct their financial affairs independently, adhering to the standards and requirements set forth in the Audit Act 1901 and its subsidiary legislation. This independence is crucial to ensure proper financial oversight and management within the Court. The Registrar, as the head of the branch, has been granted the same powers as a Departmental Secretary, which includes the responsibility for managing the administrative affairs of the Court. This includes ensuring compliance with financial regulations, maintaining accurate financial records, and reporting as required under the Audit Act 1901.
The amendment also introduces potential consequences for non-compliance with the financial administration requirements imposed by the Act. While specific offences and penalties are not detailed within the explanatory statement, breaches of the Audit Act 1901 can generally result in both civil and criminal penalties. Civil penalties may include fines and other monetary sanctions, while criminal penalties could involve imprisonment or fines, depending on the severity and nature of the breach. The maximum penalties would be determined by the relevant provisions of the Audit Act 1901 and any associated regulations. The prescribed authorities, including the branch of the Australian Public Service associated with the Industrial Relations Court, must therefore ensure strict adherence to the financial management standards to avoid any legal repercussions.