EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/31— Section 32 (Transfer of Functions from DBCDE 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 Department of Broadband, Communications and the Digital Economy (DBCDE) 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 $1,871,000.00 of the administered item for Outcome 1 for DBCDE to the administered item for Outcome 2 for DIISR.
In accordance with the Legislative Instruments Act 2003, DBCDE 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.
Overview
The FMA Act Determination 2008/31, enacted in 2008, was introduced to address the need for amendments to the annual Appropriation Acts due to changes in departmental arrangements following the administrative arrangements order of 3 December 2007. The Financial Management and Accountability Act 1997 (FMA Act) empowered the Minister for Finance and Deregulation to transfer appropriations between agencies, a power delegated to the Secretary of the Department of Finance and Deregulation. This particular determination aims to facilitate the transfer of appropriations from the Department of Broadband, Communications and the Digital Economy (DBCDE) to the Department of Innovation, Industry, Science and Research (DIISR), reflecting the reallocation of functions and resources necessitated by the structural changes. The determination was prepared in consultation with DBCDE and DIISR, ensuring the changes are accurately represented and agreed upon by the relevant departments.
Scope and Application
The FMA Act Determination 2008/31 pertains to the transfer of appropriations between the Department of Broadband, Communications and the Digital Economy (DBCDE) and the Department of Innovation, Industry, Science and Research (DIISR) as authorised by the Financial Management and Accountability Act 1997 (FMA Act). The authority to make this determination stems from Subsection 32(2) of the FMA Act, which allows the Minister for Finance and Deregulation to amend the Schedules to annual Appropriation Acts in relation to the transfer of functions between agencies. This power has been delegated to the Secretary of the Department of Finance and Deregulation under section 62 of the FMA Act. The transfer is a direct consequence of the administrative arrangements order of 3 December 2007, which necessitated amendments to various annual Appropriation Acts to reflect the abolition and establishment of Departments of State. Specifically, this determination facilitates the transfer of an amount of $1,871,000.00 from the administered item for Outcome 1 for DBCDE to the administered item for Outcome 2 for DIISR, as detailed in the annual Appropriation Act (No. 1) 2007-2008. The preparation of this legislative instrument involved consultation with DBCDE and DIISR, as required by the Legislative Instruments Act 2003.
Key Provisions
The main operative sections of the FMA Act Determination 2008/31 (sections 32(2) and 62) allow the Minister for Finance and Deregulation to transfer appropriations between departments when a function is transferred between agencies. In this instance, the determination transfers funds from the Department of Broadband, Communications and the Digital Economy (DBCDE) to the Department of Innovation, Industry, Science and Research (DIISR). Specifically, section 32(2) of the Financial Management and Accountability Act 1997 (FMA Act) empowers the Minister to amend Schedules to annual Appropriation Acts to reflect these transfers. This power has been delegated to the Secretary of the Department of Finance and Deregulation, who has exercised it in accordance with the administrative arrangements order of 3 December 2007. The determination amends the Schedules to the annual Appropriation Act (No. 1) 2007-2008 by transferring $1,871,000.00 from DBCDE to DIISR.
The obligations and requirements imposed by this Act on the relevant departments and the Secretary of the Department of Finance and Deregulation include ensuring that the transfer of funds accurately reflects the transfer of functions and departmental responsibilities. Both DBCDE and DIISR were consulted in the preparation of this instrument, as required by the Legislative Instruments Act 2003. The Secretary must ensure that the transfer is properly documented and reflected in the annual Appropriation Acts, thereby maintaining the integrity and transparency of the appropriations process.
The determination does not explicitly outline specific offences, penalties, or consequences for breaches. However, any failure to comply with the provisions of the FMA Act, or the administrative arrangements order, could result in civil or criminal liability under the relevant acts. The FMA Act itself does not specify penalties for breaches of this particular determination but violations could be subject to the general provisions of the Act which may include financial penalties, corrective actions, or other legal remedies. The Legislative Instruments Act 2003 may also impose administrative consequences for non-compliance with its requirements.