EXPLANATORY STATEMENT
Issued by the Authority of the Minister for Finance and Deregulation
FMA Act Determination 2008/62— Section 32 (Transfer of Functions from the former DCITA to DBCDE)
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 Communications, Information Technology and the Arts (DCITA) to the Department of Broadband, Communications and the Digital Economy (DBCDE). The appropriation amounts transferred are as follows:
- From annual Appropriation Act (No. 1) 2005-2006 an amount of $572,257.13 of the departmental item for the former DCITA to the departmental item for DBCDE.
In accordance with the Legislative Instruments Act 2003, the former DCITA and DBCDE 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 2008/62, enacted in 2008, was introduced to address the administrative changes resulting from the abolition and establishment of various Departments of State, as outlined in the administrative arrangements order of 3 December 2007. This determination, issued by the Minister for Finance and Deregulation under the authority granted by the Financial Management and Accountability Act 1997 (FMA Act), facilitates the transfer of appropriations between the former Department of Communications, Information Technology and the Arts (DCITA) and the newly established Department of Broadband, Communications and the Digital Economy (DBCDE). The enactment was necessary to ensure that the financial allocations in the annual Appropriation Acts were aligned with the updated departmental arrangements. The policy objective of this determination is to maintain fiscal integrity and ensure that government funding accurately reflects the current organisational structure, thereby facilitating efficient financial management and accountability.
Scope and Application
The FMA Act Determination 2008/62 pertains to the transfer of appropriations from the former Department of Communications, Information Technology and the Arts (DCITA) to the Department of Broadband, Communications and the Digital Economy (DBCDE) as a result of administrative changes outlined in the administrative arrangements order of 3 December 2007. This Determination is an instrument under the Financial Management and Accountability Act 1997, which allows the Minister for Finance and Deregulation to amend Schedules to annual Appropriation Acts to reflect the transfer of functions between agencies. Specifically, this determination involves the transfer of $572,257.13 from the annual Appropriation Act (No. 1) 2005-2006, which necessitated amendments to the appropriation items for both the former DCITA and the DBCDE. The application of this Determination is confined to the transfer of specified appropriations and does not extend to other areas of the agencies' functions or operations. The consultation process involved both the former DCITA and the DBCDE in the preparation of this instrument, ensuring that the transfer is accurately reflected in the appropriation acts.
Key Provisions
Section 32(2) of the Financial Management and Accountability Act 1997 (FMA Act) empowers the Minister for Finance and Deregulation to amend the annual Appropriation Acts' Schedules to facilitate the transfer of appropriations related to functions between agencies. This authority is exercised through a determination, which amends the Schedules in line with its terms. The power to make such determinations has been delegated to the Secretary of the Department of Finance and Deregulation under section 62 of the FMA Act. The FMA Act Determination 2008/62, published in Special Gazette No. S254, addresses the administrative arrangements order of 3 December 2007, which led to the abolition and establishment of various Departments of State. Consequently, this determination amends the annual Appropriation Acts to reflect the changes in departmental arrangements, specifically transferring appropriations from the former Department of Communications, Information Technology and the Arts (DCITA) to the Department of Broadband, Communications and the Digital Economy (DBCDE).
The primary obligation imposed by this determination is to ensure the accurate and timely transfer of appropriations from the former DCITA to the DBCDE, as specified in the annual Appropriation Act (No. 1) 2005-2006. This involves the transfer of an amount of $572,257.13 from the departmental item for the former DCITA to the departmental item for the DBCDE. The determination requires adherence to the legislative process, including consultation with the relevant departments, as mandated by the Legislative Instruments Act 2003. This ensures that the transfer of funds is properly documented and reflects the new departmental structure following the administrative changes.
There are no specific offences, penalties, or consequences outlined in the determination itself for failing to comply with the transfer of appropriations. However, breaches of the FMA Act or the Legislative Instruments Act 2003 could result in civil or criminal liability. Under the FMA Act, unauthorised or improper use of appropriations could lead to disciplinary action or legal proceedings, while failure to comply with the Legislative Instruments Act 2003 could result in penalties such as fines. The maximum penalties for these offences are determined by the relevant laws, which may include substantial financial penalties and potential imprisonment for criminal offences.