Financial Management and Accountability Act 1997 Determination 2008/23 – Section 32 (Transfer of Functions from the former DEST to ARC)

Overview

The FMA Act Determination 2008/23, issued under the Financial Management and Accountability Act 1997, was enacted to facilitate the transfer of appropriations between the former Department of Education, Science and Training (DEST) and the Australian Research Council (ARC) following changes in departmental arrangements. The enactment of this determination by the Minister for Finance and Deregulation, through the delegated authority of the Secretary of the Department of Finance and Deregulation, aimed to ensure that the appropriations reflected the new departmental structures. This determination addresses the administrative changes resulting from the abolition and establishment of departments as per the administrative arrangements order of 3 December 2007. The policy objective was to streamline the transfer of specific appropriations, amounting to $239,232.40 from the 2004-2005 Appropriation Act and $6,180,000.00 from the 2007-2008 Appropriation Act, ensuring continuity in funding for the ARC while reflecting the new departmental allocations.

Scope and Application

The FMA Act Determination 2008/23 pertains to the transfer of appropriations from the former Department of Education, Science and Training (DEST) to the Australian Research Council (ARC) under the authority of the Financial Management and Accountability Act 1997. The determination specifically allows for the transfer of appropriations from the annual Appropriation Act (No. 1) 2004-2005 and 2007-2008, with $239,232.40 and $6,180,000.00 respectively being transferred from DEST to ARC. This is necessitated by administrative arrangements which resulted in the abolition and establishment of Departments of State, as reflected in Special Gazette No. S254 and the Governor-General in Council's administrative arrangements order of 3 December 2007. The authority for this transfer has been delegated to the Secretary of the Department of Finance and Deregulation under section 62 of the FMA Act. Both the former DEST and ARC were consulted during the preparation of this instrument, which is a legislative instrument under the Legislative Instruments Act 2003.

Key Provisions

The FMA Act Determination 2008/23, under subsection 32(2) of the Financial Management and Accountability Act 1997, allows for the transfer of appropriations from the former Department of Education, Science and Training (DEST) to the Australian Research Council (ARC). Specifically, this determination facilitates the amendment of annual Appropriation Acts to reflect changes in departmental arrangements. The appropriation amounts transferred are detailed as follows: $239,232.40 from the annual Appropriation Act (No. 1) 2004-2005 and $6,180,000.00 from the annual Appropriation Act (No. 1) 2007-2008. The purpose of this transfer is to ensure that financial resources are correctly allocated following the administrative changes that abolished the former DEST and established the ARC. This determination imposes specific obligations on the relevant parties, including the former DEST and the ARC. It mandates that these entities are to be consulted in the preparation of the legislative instrument, as stipulated by the Legislative Instruments Act 2003. The consultation ensures that both parties are aware of and agree to the transfer of appropriations, thereby maintaining transparency and accountability in the financial management process. Furthermore, the Secretary of the Department of Finance and Deregulation has been delegated the power to amend the annual Appropriation Acts under section 62 of the FMA Act, reinforcing the administrative oversight in financial reallocations. In the event of non-compliance with the provisions of the FMA Act Determination 2008/23, the legislation does not explicitly detail specific offences or penalties. However, breaches of the Financial Management and Accountability Act 1997, under which this determination operates, can result in significant civil and criminal consequences. The Act provides for penalties such as fines and imprisonment, reflecting the importance of adhering to the prescribed financial management protocols. The exact penalties would be determined based on the nature and severity of the breach, with maximum penalties potentially including substantial fines and imprisonment terms as outlined in the FMA Act.