EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/15— Section 32 (Transfer of Functions from the former DITR to BOM)
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 former Department of Industry, Tourism and Resources (DITR) to the Bureau of Meteorology (BOM). The appropriation amounts transferred are as follows:
- From annual Appropriation Act (No. 1) 2007-2008 an amount of $2,554,390.31 of the departmental item for the former DITR to the departmental item for BOM.
In accordance with the Legislative Instruments Act 2003, the former DITR and BOM 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 2008/15, enacted under the authority of the Minister for Finance and Deregulation, is an instrument designed to amend the Schedules of annual Appropriation Acts to facilitate the transfer of appropriations between agencies pursuant to the Financial Management and Accountability Act 1997. This determination responds to the structural changes in government departments that occurred as a result of the administrative arrangements order of 3 December 2007, which necessitated adjustments to the annual Appropriation Acts to reflect the new departmental arrangements. Specifically, this determination enables the transfer of appropriations from the former Department of Industry, Tourism and Resources to the Bureau of Meteorology, as outlined in the appropriation act for the year 2007-2008. The policy objective is to ensure a smooth transition of budgetary allocations following the restructuring of government departments, thereby maintaining fiscal accountability and continuity in the provision of public services.
Scope and Application
The FMA Act Determination 2008/15 applies to the transfer of appropriations between the former Department of Industry, Tourism and Resources (DITR) and the Bureau of Meteorology (BOM) in accordance with the Financial Management and Accountability Act 1997. The determination specifically addresses the transfer of funds from the former DITR to the BOM as a result of administrative arrangements that led to the abolition and establishment of various Departments of State, as reflected in Special Gazette No. S254. The authority to make such a determination is vested in the Minister for Finance and Deregulation, with the power delegated to the Secretary of the Department of Finance and Deregulation. The transfer of appropriations in question is detailed, with an amount of $2,554,390.31 moved from the former DITR to the BOM from the annual Appropriation Act (No. 1) 2007-2008. Both the former DITR and the BOM were consulted during the preparation of this legislative instrument, ensuring that the transfer is both legally sound and administratively feasible. This Determination operates under the Legislative Instruments Act 2003, and no specific exclusions, exemptions, or thresholds are mentioned in the text.
Key Provisions
The FMA Act Determination 2008/15, specifically under Section 32, facilitates the transfer of appropriations between government departments as necessitated by changes in departmental functions and structures. This determination empowers the Minister for Finance and Deregulation, or the Secretary of the Department of Finance and Deregulation by delegation, to amend Schedules to annual Appropriation Acts in accordance with changes in departmental arrangements. For instance, it allows for the transfer of $2,554,390.31 from the former Department of Industry, Tourism and Resources (DITR) to the Bureau of Meteorology (BOM) as specified in the annual Appropriation Act (No. 1) 2007-2008. This transfer reflects the administrative changes resulting from the abolition and establishment of Departments of State, as outlined in Special Gazette No. S254.
This legislation imposes certain obligations on the parties involved. The Minister for Finance and Deregulation, or the Secretary of the Department of Finance and Deregulation, must ensure that the transfer of appropriations is accurately documented and reflected in the relevant annual Appropriation Acts. Both the former DITR and the BOM were required to be consulted in the preparation of this instrument, as mandated by the Legislative Instruments Act 2003. This ensures that the departments affected by the transfer are aware of and agree to the changes, thus facilitating a smooth transition of functions and funding.
The consequences of breaching the requirements set out in the FMA Act Determination 2008/15 are significant. While specific penalties are not detailed within the explanatory statement, breaches of legislative instruments under the Legislative Instruments Act 2003 can result in civil or criminal penalties. Civil penalties may include fines, and in severe cases, criminal penalties such as imprisonment could be imposed, depending on the nature and severity of the breach. Ensuring compliance with this determination is crucial to maintaining the integrity of the financial management and accountability framework within the Australian government.