EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/51— Section 32 (Transfer of Functions from the former DITR 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 Industry, Tourism and Resources (DITR) to the Department of Resources, Energy and Tourism (DRET). The appropriation amounts transferred are as follows:
- From annual Appropriation Act (No. 1) 2004-2005 an amount of $11,500,272.02 of the departmental item for the former DITR to the departmental item for DRET.
In accordance with the Legislative Instruments Act 2003, the former DITR 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 2008/51, issued under the authority of the Minister for Finance and Deregulation, is an amendment to the annual Appropriation Acts to facilitate the transfer of appropriations between departments as a result of administrative changes. Enacted in 2008, this determination addresses the need to adjust financial allocations following the reorganisation of government departments, specifically the abolition of the Department of Industry, Tourism and Resources (DITR) and the establishment of the Department of Resources, Energy and Tourism (DRET). This adjustment ensures that funding is correctly aligned with the new departmental structures. The policy objective is to maintain fiscal accountability and efficiency in government spending by accurately reflecting the changes in departmental responsibilities and operations. The power to make such determinations was delegated by the Minister for Finance and Deregulation to the Secretary of the Department of Finance and Deregulation, in accordance with section 62 of the Financial Management and Accountability Act 1997.
Scope and Application
The FMA Act Determination 2008/51 applies to the transfer of appropriations between the former Department of Industry, Tourism and Resources (DITR) and the Department of Resources, Energy and Tourism (DRET) as a result of the administrative arrangements order of 3 December 2007. The determination amends the Schedules of the relevant annual Appropriation Acts to reflect the transfer of functions and appropriations due to the changes in departmental arrangements. The Minister for Finance and Deregulation has the power to make such determinations under subsection 32(2) of the Financial Management and Accountability Act 1997, and this power has been delegated to the Secretary of the Department of Finance and Deregulation. The former DITR and DRET were consulted in the preparation of this instrument in accordance with the Legislative Instruments Act 2003. The determination is a legislative instrument for the purposes of the Legislative Instruments Act 2003. The amendment pertains specifically to appropriations and does not extend to any other functions, activities, or legal obligations of the departments involved.
Key Provisions
The primary sections of the FMA Act Determination 2008/51 (subsection 32(2) of the Financial Management and Accountability Act 1997) allow the Minister for Finance and Deregulation to amend Schedules of annual Appropriation Acts in relation to the transfer of appropriations between agencies under the FMA Act. This determination, which has been delegated from the Finance Minister to the Secretary of the Department of Finance and Deregulation under section 62 of the FMA Act, specifically facilitates the transfer of appropriations from the former Department of Industry, Tourism and Resources (DITR) to the Department of Resources, Energy and Tourism (DRET) due to changes in departmental arrangements. The transfer involves an amount of $11,500,272.02 from annual Appropriation Act (No. 1) 2004-2005.
This legislation imposes specific obligations on the parties involved, primarily ensuring that the transfer of appropriations is accurately reflected in the annual Appropriation Acts. The determination mandates consultation between the former DITR and DRET in the preparation of the instrument, ensuring that the transfer is communicated and agreed upon by the relevant parties. Furthermore, the determination must be prepared in accordance with the Legislative Instruments Act 2003, which governs the preparation, publication, and commencement of legislative instruments.
The FMA Act Determination 2008/51 does not explicitly outline specific offences, penalties, or consequences for breach in its explanatory statement. However, given its nature as a legislative instrument, any failure to comply with the requirements stipulated in the Act, including the proper consultation and documentation processes, could potentially lead to legal challenges or administrative consequences. It is important for the parties involved to adhere strictly to the provisions outlined in the determination to avoid any potential repercussions.