EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/12— Section 32 (Transfer of Functions from FaHCSIA to PM&C)
Subsection 32(2) of the Financial Management and Accountability Act 1997 (FMA Act) provides that the Minister for Finance and Deregulation (Finance Minister) may, by determination, amend Schedules to annual Appropriation Acts to transfer appropriations in connection with the transfer of a function between agencies under the FMA Act. The determination has the effect of amending the Schedules concerned in accordance with the determination.
This power has been delegated from the Finance Minister to the Secretary of the Department of Finance and Deregulation under section 62 of the FMA Act.
Special Gazette No. S254 reflects the administrative arrangements order of
3 December 2007, made by the Governor-General in Council, which resulted in the abolition and establishment of Departments of State. As a result of these changes various annual Appropriation Acts require amendment in order to reflect the changes in departmental arrangements.
The purpose of this Determination is to allow a transfer of appropriations from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of the Prime Minister and Cabinet (PM&C). The appropriation amounts transferred are as follows:
- From annual Appropriation Act (No. 1) 2007-2008 an amount of $269,158.00 of the departmental item for FaHCSIA to the departmental item for PM&C.
In accordance with the Legislative Instruments Act 2003, FaHCSIA and PM&C were consulted in the preparation of this instrument.
The Determination is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
Overview
The FMA Act Determination 2008/12 was enacted in 2008 to facilitate the transfer of appropriations between the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) and the Department of the Prime Minister and Cabinet (PM&C), following the administrative changes outlined in the administrative arrangements order of 3 December 2007. This determination was made under the authority of the Minister for Finance and Deregulation and aligns with the provisions of the Financial Management and Accountability Act 1997. The primary objective of this determination is to ensure that the annual appropriation acts are amended to reflect the changes in departmental arrangements, thus maintaining fiscal accountability and efficiency. The determination also ensures that the necessary consultations with FaHCSIA and PM&C were undertaken in line with the Legislative Instruments Act 2003. The enacting body responsible for this determination was the Secretary of the Department of Finance and Deregulation, who was delegated the power to amend the appropriation acts by the Finance Minister.
Scope and Application
The FMA Act Determination 2008/12 pertains to the transfer of appropriations between government departments, specifically from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of the Prime Minister and Cabinet (PM&C). The act applies to these two entities as it mandates the reallocation of specific financial resources to reflect the changes in departmental arrangements as per the administrative arrangements order made by the Governor-General in Council on 3 December 2007. This legislative instrument is designed to amend the Schedules of annual Appropriation Acts to facilitate the transfer of appropriations in accordance with the Financial Management and Accountability Act 1997. Notably, the power to make such determinations has been delegated from the Minister for Finance and Deregulation to the Secretary of the Department of Finance and Deregulation under section 62 of the FMA Act. The Determination itself is a legislative instrument for the purposes of the Legislative Instruments Act 2003, which underscores its legal standing and authority within the legislative framework.
Key Provisions
The FMA Act Determination 2008/12 (subsection 32(2)) pertains to the transfer of appropriations from the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) to the Department of the Prime Minister and Cabinet (PM&C). This transfer is necessary due to administrative changes that have resulted in the abolition and establishment of various Departments of State, as reflected in Special Gazette No. S254. The specific amount transferred from FaHCSIA to PM&C under the 2007-2008 annual Appropriation Act (No. 1) is $269,158.00. This determination amends the relevant schedules of the Appropriation Acts to accurately reflect these changes.
The obligations under this determination are primarily administrative and financial in nature. FaHCSIA and PM&C were consulted during the preparation of this instrument, as mandated by the Legislative Instruments Act 2003. This consultation ensures that both departments are aware of and agree to the transfer of appropriations, thereby facilitating a smooth transition. The Secretary of the Department of Finance and Deregulation, who has been delegated this power by the Finance Minister under section 62 of the FMA Act, is responsible for ensuring that the transfer is executed correctly and in accordance with the legislative framework.
Failure to comply with the provisions of this determination could result in various civil and criminal consequences. While the Explanatory Statement does not detail specific offences or penalties, breaches of the FMA Act or related legislative instruments could lead to sanctions under the relevant Acts. For instance, section 13.3 of the Legislative Instruments Act 2003 provides for civil penalties for non-compliance, which can include fines. Additionally, any breaches that involve fraudulent intent or are deemed to be of a serious nature could potentially lead to criminal charges, with penalties determined by the applicable criminal legislation.
The maximum penalties for breaches are not explicitly stated in the Explanatory Statement, but they can be found in the relevant legislation. For example, under the Legislative Instruments Act 2003, the maximum civil penalty for non-compliance could be substantial, depending on the severity of the breach. Criminal penalties would depend on the specific offence under the FMA Act or other applicable criminal laws. It is crucial for the parties involved to ensure strict adherence to the requirements set forth in this determination to avoid any legal repercussions.