Financial Management and Accountability Act 1997 Determination 2007/10 – Section 32 (Transfer from the Department of Employment and Workplace Relations to the Department of Families, Housing, Community Services and Indigenous Affairs)

Overview

The FMA Act Determination 2007/10, issued under the authority of the Minister for Finance and Deregulation, is an administrative measure introduced to address the need for updating appropriations within annual Appropriation Acts due to changes in departmental arrangements. Enacted under subsection 32(2) of the Financial Management and Accountability Act 1997, this determination allows for the transfer of appropriations between agencies as a result of changes dictated by the administrative arrangement order of 3 December 2007. Specifically, the determination facilitates the transfer of $200,000,000 from the Department of Employment and Workplace Relations to the Department of Families, Housing, Community Services and Indigenous Affairs as part of the restructuring process. This legislative instrument aims to ensure that financial allocations are accurately reflected in accordance with the new departmental structure, thereby maintaining financial accountability and transparency within the public sector.

Scope and Application

The FMA Act Determination 2007/10, as outlined in the explanatory statement, applies to the transfer of appropriations between departments within the Australian government, specifically from the Department of Employment and Workplace Relations to the Department of Families, Housing, Community Services and Indigenous Affairs. This transfer is necessitated by administrative changes, as reflected in the 3 December 2007 arrangement order made by the Governor-General in Council, which involved the abolition and establishment of various Departments of State. The transfer amount specified is $200,000,000 under one administered item for the Department of Employment and Workplace Relations to the Department of Families, Housing, Community Services and Indigenous Affairs, as indicated in the annual Appropriation Act (No. 1) 2007-2008. The scope of the Determination is limited to amendments required in the annual Appropriation Acts to reflect these departmental changes, and it does not extend to any other departments or functions outside the specified transfer. No external consultation was undertaken due to the machinery nature of the changes. The Determination operates under the authority granted by the Financial Management and Accountability Act 1997 and is a legislative instrument as per the Legislative Instruments Act 2003.

Key Provisions

The main operative sections of this Determination are contained in subsection 32(2) of the Financial Management and Accountability Act 1997 (FMA Act), which grants the Minister for Finance and Deregulation the authority to amend Schedules to annual Appropriation Acts in connection with the transfer of a function between agencies under the FMA Act (subsection 32(2)). This power has been delegated to the Secretary of the Department of Finance and Deregulation under section 62 of the FMA Act. The FMA Act Determination 2007/10 specifically amends the Schedules of the annual Appropriation Acts to reflect the transfer of appropriations from the Department of Employment and Workplace Relations to the Department of Families, Housing, Community Services and Indigenous Affairs. The obligations and requirements imposed by the Act on the relevant parties include the need to ensure that the appropriations are accurately reflected in the amended Schedules of the annual Appropriation Acts. This involves the Department of Finance and Deregulation coordinating with both the Department of Employment and Workplace Relations and the Department of Families, Housing, Community Services and Indigenous Affairs to ensure the smooth transfer of the specified appropriation amount. The determination also requires that the changes be implemented in a manner consistent with the administrative arrangement order made by the Governor-General in Council, as reflected in Gazette No. S254. Given that these changes are of a machinery nature, no external consultation was undertaken in relation to the changes as required by section 17 of the Legislative Instruments Act 2003. Any breach of the obligations under this Determination could lead to civil or criminal consequences, although the specific offences and penalties are not detailed in the explanatory statement. It is clear, however, that the Determination is a legislative instrument for the purposes of the Legislative Instruments Act 2003, which means that it is subject to the processes and requirements outlined in that Act. Failure to comply with the legislative requirements could result in legal challenges or other enforcement actions. While the maximum penalties are not specified in this explanatory statement, they would typically be determined by the relevant legislation governing the administration and enforcement of the FMA Act and the Legislative Instruments Act 2003.