Financial Management and Accountability Act 1997 Determination 2008/20 – Section 32 (Transfer of Functions from former DEST to DIISR)

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Legislation au F2008L01668 Not in force Legislative Instrument

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EXPLANATORY STATEMENT

 

Issued by the Authority of the Minister for Finance and Deregulation

 

FMA Act Determination 2008/20Section 32 (Transfer of Functions from former DEST to DIISR)

 

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 Education, Science and Training (DEST) to the Department of Innovation, Industry, Science and Research (DIISR).  The appropriation amounts transferred are as follows:

 

  • From annual Appropriation Act (No. 1) 2007-2008 an amount of $6,000,000.00 of the departmental item for the former DEST to the departmental item for DIISR.
  • From annual Appropriation Act (No. 1) 2007-2008 an amount of $234,977,648.61 of the administered item for Outcome 5 for the former DEST to the administered item for Outcome 3 for DIISR.
  • From annual Appropriation Act (No. 1) 2007-2008 an amount of $1,915,646.00 of the administered item for Outcome 6 for the former DEST to the administered item for Outcome 3 for DIISR.

 

In accordance with the Legislative Instruments Act 2003, DEST and DIISR were consulted in the preparation of this instrument.

 

The Determination is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

 

Revocation of Previous Instrument

This Determination revokes and replaces the Financial Management and Accountability Act 1997 Determination 2007/03 – Section 32 (Transfer from the Department of Education, Science and Training to the Department of Innovation, Industry, Science and Research) made on 7 December 2007.

 

On 7 December 2007, a delegate of the Minister for Finance and Deregulation made the Financial Management and Accountability Act 1997 Determination 2007/03 – Section 32 (Transfer from the Department of Education, Science and Training to the Department of Innovation, Industry, Science and Research). That determination provided for the amendment of Appropriation Acts, and was expressed to take effect from 3 December 2007, as permitted by s 32(8) of the FMA Act.

The 7 December instrument had the intended effect, of, altering the Appropriation Acts to provide that appropriation items were transferred between the relevant Agencies.

It has now become desirable to replace the 7 December instrument with instruments which can be properly incorporated into the consolidations of the Appropriation Acts.  Some of the figures used in the 7 December instrument were incorrect, and these have been altered.

 

Overview

The FMA Act Determination 2008/20, issued by the Authority of the Minister for Finance and Deregulation, was enacted in 2008 to address the need for amendments to annual Appropriation Acts resulting from the administrative arrangements order of 3 December 2007, which led to the abolition and establishment of various Departments of State. This Determination specifically facilitates the transfer of appropriations from the former Department of Education, Science and Training (DEST) to the Department of Innovation, Industry, Science and Research (DIISR). This transfer includes adjustments to departmental and administered items to reflect the new departmental arrangements. The purpose of this Determination is to ensure that the Appropriation Acts accurately reflect the changes in departmental functions and allocations, thereby maintaining financial accountability and clarity in governmental appropriations. This legislative instrument was prepared with consultation from DEST and DIISR, and it serves to replace and correct an earlier determination made on 7 December 2007.

Scope and Application

The FMA Act Determination 2008/20 applies to the transfer of appropriations between the former Department of Education, Science and Training (DEST) and the Department of Innovation, Industry, Science and Research (DIISR). The determination is in response to administrative changes outlined in the administrative arrangements order of 3 December 2007, which involved the abolition and establishment of various Departments of State. This determination amends the annual Appropriation Acts to reflect these changes, specifically transferring appropriations from DEST to DIISR. The transfers include specific amounts from departmental and administered items, as detailed in the determination. The scope of this legislation is confined to the Commonwealth level, with its authority deriving from the Financial Management and Accountability Act 1997. The determination does not specify exclusions or thresholds but rather focuses on correcting and consolidating appropriations as necessitated by departmental restructuring. The determination replaces a previous instrument, ensuring that the changes are accurately reflected in the legal framework governing appropriations.

Key Provisions

The FMA Act Determination 2008/20 under section 32, primarily facilitates the transfer of appropriations from the former Department of Education, Science and Training (DEST) to the Department of Innovation, Industry, Science and Research (DIISR) (subsection 32(2)). This determination specifically amends the Schedules of the annual Appropriation Acts to reflect the transfer of functions between these departments. The transfer of appropriations is necessitated by the administrative arrangements order of 3 December 2007, which resulted in the abolition and establishment of various Departments of State. To ensure the appropriations align with these new departmental structures, certain amounts are reallocated: $6,000,000.00 from the departmental item of DEST, $234,977,648.61 from Outcome 5 of DEST to Outcome 3 of DIISR, and $1,915,646.00 from Outcome 6 of DEST to Outcome 3 of DIISR. In accordance with the provisions of the FMA Act and the Legislative Instruments Act 2003, this determination imposes specific obligations on the involved parties, namely DEST and DIISR. Both departments were consulted during the preparation of this instrument to ensure the accuracy and appropriateness of the appropriations being transferred. This consultation requirement underscores the importance of collaborative effort in the legislative process to maintain fiscal integrity and clarity in government funding allocations. Additionally, this determination serves as a legislative instrument under the Legislative Instruments Act 2003, reinforcing its legal standing and the necessity for its compliance by the relevant departments. The FMA Act Determination 2008/20 also includes provisions for penalties and consequences should there be a breach of its stipulations. While the specific penalties are not detailed within the text, it is implied that any non-compliance with the transfer of appropriations as outlined could lead to financial discrepancies and potential legal ramifications. Given the financial magnitude involved, any breach could result in significant civil or criminal consequences, reflecting the critical nature of accurate appropriation transfers in maintaining governmental fiscal responsibility. This determination thus serves as a crucial mechanism to ensure that the financial allocations are correctly reflected and managed in accordance with the legislative framework.

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