EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/54— Section 32 (Transfer of Functions from the 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) 2004-2005 an amount of $1,803,947.88 of the departmental item for the former DEST to the departmental item for DIISR;
In accordance with the Legislative Instruments Act 2003, the former 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.
Overview
The FMA Act Determination 2008/54, issued under the authority of the Minister for Finance and Deregulation, was enacted to facilitate the transfer of appropriations resulting from changes in departmental arrangements following the administrative arrangements order of 3 December 2007. This determination specifically addresses the need to adjust appropriations between the former Department of Education, Science and Training (DEST) and the newly established Department of Innovation, Industry, Science and Research (DIISR) to align with the revised departmental functions and responsibilities. The determination was made pursuant to subsection 32(2) of the Financial Management and Accountability Act 1997, which empowers the Minister for Finance and Deregulation to amend Schedules to annual Appropriation Acts for such transfers. This legislative instrument ensures that financial allocations are correctly reflected in the annual appropriations to maintain proper financial management and accountability within the public sector.
Scope and Application
The FMA Act Determination 2008/54, issued under the Financial Management and Accountability Act 1997, pertains 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). This determination was necessitated by administrative arrangements changes outlined in Special Gazette No. S254, which reflected the abolition and establishment of Departments of State, as per the Governor-General in Council on 3 December 2007. The determination specifically allows for the transfer of appropriations from the former DEST to DIISR, including an amount of $1,803,947.88 from the annual Appropriation Act (No. 1) 2004-2005. This power to amend the appropriations is exercised by the Secretary of the Department of Finance and Deregulation, under a delegation from the Minister for Finance and Deregulation, as stipulated by section 62 of the FMA Act. The legislative instrument is subject to the Legislative Instruments Act 2003, which also mandates consultation with the former DEST and DIISR during its preparation.
Key Provisions
The FMA Act Determination 2008/54 primarily involves the transfer of appropriations from the former Department of Education, Science and Training (DEST) to the Department of Innovation, Industry, Science and Research (DIISR) as per subsection 32(2) of the Financial Management and Accountability Act 1997 (FMA Act). This determination allows for amendments to the Schedules of annual Appropriation Acts to reflect the transfer of functions between these two departments. Specifically, it transfers an amount of $1,803,947.88 from the departmental item of the former DEST to that of the DIISR, as outlined in annual Appropriation Act (No. 1) 2004-2005.
The obligations under this Determination include the requirement for the Minister for Finance and Deregulation, or a delegate, to ensure that the amendments to the annual Appropriation Acts are accurately reflected. The Secretary of the Department of Finance and Deregulation has been delegated this authority under section 62 of the FMA Act. Furthermore, the former DEST and DIISR were required to be consulted in the preparation of this instrument, in accordance with the Legislative Instruments Act 2003. This consultation ensures that both departments are aware of and agree to the changes that affect their respective appropriations.
There are no explicit offences or penalties outlined within this Determination itself. However, breaches of the provisions of the FMA Act or other related legislation may result in civil or criminal consequences. For instance, if the appropriations are not managed or utilised in accordance with the FMA Act, this could lead to legal action, including potential fines or other penalties. The maximum penalties for such breaches would depend on the specific provisions of the FMA Act and any other relevant legislation. It is important for the relevant departments to ensure compliance with all applicable laws to avoid any adverse legal consequences.