EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/21— Section 32 (Transfer of Functions from DEWHA to DRET)
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 the Environment, Water, Heritage and the Arts (DEWHA) to the Department of Resources, Energy and Tourism (DRET). The appropriation amounts transferred are as follows:
- From annual Appropriation Act (No. 1) 2007-2008 an amount of $3,674,810.20 of the departmental item for DEWHA to the departmental item for DRET.
- From annual Appropriation Act (No. 1) 2007-2008 an amount of $58,905,600.00 of the administered item for Outcome 1 for DEWHA to the administered item for Outcome 3 for DRET.
In accordance with the Legislative Instruments Act 2003, DEWHA and DRET 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 2008/21, issued under the authority of the Minister for Finance and Deregulation, addresses the administrative transfer of functions and appropriations between government departments as a result of the changes outlined in the administrative arrangements order of 3 December 2007. The Financial Management and Accountability Act 1997 (FMA Act) empowers the Finance Minister to amend appropriations in connection with the transfer of functions between agencies. This particular determination facilitates the transfer of specific appropriations from the former Department of the Environment, Water, Heritage and the Arts (DEWHA) to the newly established Department of Resources, Energy and Tourism (DRET). The aim is to reflect the updated departmental arrangements within the annual Appropriation Acts, ensuring that financial allocations are aligned with the current governmental structure. The determination is a legislative instrument created under the Legislative Instruments Act 2003 and involves consultation with the relevant departments to ensure accuracy and compliance.
Scope and Application
The FMA Act Determination 2008/21 applies to the transfer of appropriations between the former Department of the Environment, Water, Heritage and the Arts (DEWHA) and the Department of Resources, Energy and Tourism (DRET) as a result of the administrative arrangements order that abolished and established certain Departments of State. This instrument amends the Schedules of the annual Appropriation Acts to reflect the transfer of functions and the associated appropriations in line with the FMA Act. The financial transfers outlined in the Determination include a departmental item amounting to $3,674,810.20 and an administered item for Outcome 1 amounting to $58,905,600.00. The power to make such a determination is delegated from the Minister for Finance and Deregulation to the Secretary of the Department of Finance and Deregulation, pursuant to section 62 of the FMA Act, and the Determination itself is a legislative instrument under the Legislative Instruments Act 2003. Both DEWHA and DRET were consulted in the preparation of this instrument to ensure accuracy and relevance to the respective departments' functions and requirements.
Key Provisions
The main operative sections of this determination (subsection 32(2) of the Financial Management and Accountability Act 1997) allow the Minister for Finance and Deregulation, or an authorised delegate, to amend Schedules of annual Appropriation Acts to transfer appropriations between agencies. This specific determination facilitates the transfer of appropriations from the former Department of the Environment, Water, Heritage and the Arts (DEWHA) to the Department of Resources, Energy and Tourism (DRET), in line with the administrative changes and departmental restructuring. The key transfers include $3,674,810.20 from the departmental item for DEWHA to the departmental item for DRET, and $58,905,600.00 from the administered item for Outcome 1 for DEWHA to the administered item for Outcome 3 for DRET, as specified in the annual Appropriation Act (No. 1) 2007-2008.
The Act imposes several obligations on the parties involved, primarily ensuring that the transfer of appropriations is accurately reflected in the relevant appropriation acts. The Secretary of the Department of Finance and Deregulation, acting under delegated authority, must ensure that the amendments made to the appropriation acts accurately reflect the changes in departmental arrangements. Additionally, the departments themselves, DEWHA and DRET, must cooperate in the preparation of this instrument, providing necessary information and consultation as required. This ensures that the financial allocations are correctly adjusted to reflect the operational changes.
There are no specific offences, penalties, or consequences for breach outlined in the determination itself. However, the determination operates under the broader legislative framework of the Financial Management and Accountability Act 1997 and the Legislative Instruments Act 2003. Any failure to comply with the requirements of the FMA Act could lead to civil or criminal penalties, as determined by the respective provisions of the Act. Similarly, any breaches of the Legislative Instruments Act 2003, which governs the preparation and operation of legislative instruments, could also attract penalties. The specific penalties would depend on the nature and severity of the breach, as well as the provisions of the relevant acts.