Financial Management and Accountability Act 1997 Determination 2008/14 – Section 32 (Transfer of Functions from former DITR to DRET)

Overview

The FMA Act Determination 2008/14 was enacted in 2008 under the authority of the Financial Management and Accountability Act 1997 (FMA Act). This Determination was introduced to address the need for adjustments in appropriations due to the restructuring of government departments, specifically the transfer of functions from the former Department of Industry, Tourism and Resources (DITR) to the Department of Resources, Energy and Tourism (DRET). Enacted by the Minister for Finance and Deregulation, the primary policy objective of this Determination is to ensure the seamless transfer of financial appropriations in line with the administrative changes, thereby maintaining the continuity and efficiency of government services. This legislative instrument reflects the administrative arrangements order of 3 December 2007, which resulted in the abolition and establishment of various Departments of State. The Determination amends the Schedules of relevant annual Appropriation Acts to correctly reflect the transfer of appropriations between the specified departments.

Scope and Application

The FMA Act Determination 2008/14 pertains to the transfer of appropriations from the former Department of Industry, Tourism and Resources (DITR) to the Department of Resources, Energy and Tourism (DRET) under the Financial Management and Accountability Act 1997. This determination is specifically designed to amend the Schedules of the annual Appropriation Acts to reflect the transfer of functions between these departments, as mandated by section 32(2) of the FMA Act. The authority to make this determination has been delegated from the Minister for Finance and Deregulation to the Secretary of the Department of Finance and Deregulation. The determination addresses the administrative changes resulting from the administrative arrangements order of 3 December 2007, which involved the abolition and establishment of various Departments of State. The transfer of appropriations is necessitated by these changes, and the determination corrects certain figures that were previously inaccurate in the 2007 instrument. The savings provision included in this determination ensures that any actions taken under the previous instrument remain valid. This determination is a legislative instrument under the Legislative Instruments Act 2003, and consultations with relevant entities, including DITR and the Australian Government Solicitor, were conducted during its preparation.

Key Provisions

The FMA Act Determination 2008/14 (subsection 32(2)) allows the Minister for Finance and Deregulation to amend Schedules to annual Appropriation Acts, facilitating the transfer of appropriations between agencies under the FMA Act. This power is exercised to amend appropriation amounts to reflect changes in departmental arrangements resulting from the abolition and establishment of various Departments of State. Specifically, this Determination transfers appropriations from the former Department of Industry, Tourism and Resources (DITR) to the Department of Resources, Energy and Tourism (DRET). The amounts transferred include $1,624,478.56 from the administered item for Outcome 1 of the annual Appropriation Act (No. 1) 2006-2007, $14,217,197.34 from the States, ACT, NT and local government item for Outcome 1 of the annual Appropriation Act (No. 2) 2006-2007, $33,088,160.21 from the departmental item for the annual Appropriation Act (No. 1) 2007-2008, $135,458,690.84 from the administered item for Outcome 1 of the annual Appropriation Act (No. 1) 2007-2008, and $38,495,424.47 from the States, ACT, NT and local government item for Outcome 1 of the annual Appropriation Act (No. 2) 2007-2008. These amendments aim to ensure that the appropriation amounts correctly reflect the new departmental structure. The Determination imposes obligations on the relevant parties to ensure that the transfers of appropriations are accurately reflected in the Appropriation Acts. This includes the responsibility of the Minister for Finance and Deregulation, through the Secretary of the Department of Finance and Deregulation, to accurately amend the appropriation items in accordance with the determination. It also requires the former DITR and the new DRET to account for the transferred appropriations correctly in their respective financial records and reporting. This ensures that the appropriations are appropriately managed and used for their intended purposes under the new departmental arrangements. Failure to comply with the provisions of the Determination may result in various consequences, although specific offences and penalties are not detailed in the Explanatory Statement. Generally, non-compliance with the FMA Act provisions could lead to legal and administrative repercussions, including the potential for audits, investigations, and corrective actions by the relevant authorities. The accuracy and proper management of appropriations are crucial to maintaining the integrity of the financial operations of the government departments involved. While specific penalties are not outlined, breaches of financial management and accountability regulations can lead to financial penalties, administrative sanctions, or other legal actions as deemed appropriate by the relevant authorities.