EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/18— Section 32 (Transfer of Functions from former DCITA to DBCDE)
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 Communication, Information Technology and the Arts (DCITA) to the Department of Broadband, Communications and the Digital Economy (DBCDE). The appropriation amounts transferred are as follows:
- From annual Appropriation Act (No. 1) 2005-2006 an amount of $3,659,626.87 of the administered item for Outcome 3 for the former DCITA to the administered item for Outcome 1 for DBCDE.
- From annual Appropriation Act (No. 1) 2006-2007 an amount of $5,223,141.00 of the administered item for Outcome 3 for the former DCITA to the administered item for Outcome 1 for DBCDE.
- From annual Appropriation Act (No. 3) 2006-2007 an amount of $6,678,743.00 of the administered item for Outcome 3 for the former DCITA to the administered item for Outcome 1 for DBCDE.
In accordance with the Legislative Instruments Act 2003, DCITA to DBCDE 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 2008/18 was enacted to facilitate the transfer of appropriations from the former Department of Communication, Information Technology and the Arts (DCITA) to the Department of Broadband, Communications and the Digital Economy (DBCDE). This determination was introduced in response to changes in departmental arrangements as outlined in the administrative arrangements order of 3 December 2007, which necessitated amendments to various annual Appropriation Acts. The determination, issued by the Minister for Finance and Deregulation under the authority of the Financial Management and Accountability Act 1997, authorises the transfer of specified appropriations to align with the newly established departmental functions. The enactment of this determination ensures that the financial allocations are appropriately reflected in the legislative framework, thereby maintaining the integrity and functionality of the government's financial management system.
Scope and Application
The FMA Act Determination 2008/18 applies to the transfer of appropriations from the former Department of Communication, Information Technology and the Arts (DCITA) to the Department of Broadband, Communications and the Digital Economy (DBCDE), following the administrative changes resulting from the abolition and establishment of Departments of State as outlined in Special Gazette No. S254. This determination, issued under the authority of the Minister for Finance and Deregulation, and delegated to the Secretary of the Department of Finance and Deregulation, serves to amend the Schedules of the annual Appropriation Acts to reflect these changes. Specifically, it transfers appropriations from Outcome 3 of the former DCITA to Outcome 1 of the DBCDE, involving specific amounts from the Appropriation Acts for the years 2005-2006 and 2006-2007. The Determination operates under the legislative framework established by the Financial Management and Accountability Act 1997 and the Legislative Instruments Act 2003, ensuring that the transfer process complies with the necessary legislative and administrative protocols.
Key Provisions
The FMA Act Determination 2008/18, under Section 32, outlines the transfer of functions from the former Department of Communication, Information Technology and the Arts (DCITA) to the Department of Broadband, Communications and the Digital Economy (DBCDE). This determination facilitates the amendment of Schedules in annual Appropriation Acts to reflect the transfer of appropriations associated with these departmental changes. Specifically, the determination transfers funds from the former DCITA to the DBCDE to align with the new departmental arrangements resulting from the administrative arrangements order of 3 December 2007. The transferred amounts are detailed: from the annual Appropriation Act (No. 1) 2005-2006, an amount of $3,659,626.87 is transferred; from the annual Appropriation Act (No. 1) 2006-2007, $5,223,141.00 is transferred; and from the annual Appropriation Act (No. 3) 2006-2007, $6,678,743.00 is transferred.
Under this determination, both the former DCITA and the DBCDE are subject to specific obligations. The former DCITA must ensure the accurate transfer of the specified funds to the DBCDE as per the detailed amounts stipulated in the determination. Conversely, the DBCDE must ensure proper receipt and accounting of these transferred funds in their respective budget allocations. Additionally, both departments must adhere to the requirements set out in the Legislative Instruments Act 2003, ensuring that consultations and necessary notifications are appropriately managed during the preparation of this legislative instrument.
Failure to comply with the provisions of this determination could result in various consequences. Under the FMA Act and other relevant legislative frameworks, non-compliance might lead to financial discrepancies, audits, and potential legal ramifications. While specific penalties are not detailed in this determination, breaches of the FMA Act or related legislation could result in fines, administrative penalties, or legal actions depending on the severity of the breach. The determination underscores the importance of adhering to the outlined procedures to maintain financial integrity and compliance with legislative requirements.